In-hand Salary of 23 LPA (FY 2026-27)
A CTC of ₹23 lakh a year works out to about ₹1,53,250 a month in hand under the new tax regime, after PF, professional tax and income tax.
Monthly in-hand salary
₹1,53,250
New regime · ₹18,39,004 a year
- Old regime
- ₹1,36,620 a month
- Income tax (new)
- ₹2,37,796 a year
- Gross pay
- ₹1,82,467 a month
- Your PF
- ₹9,200 a month
Assumes basic pay of 40% of CTC, PF of 12% of basic from you and your employer inside the CTC, ₹2,400 a year of professional tax, no other income and no deductions beyond PF. For a salaried person under 60.
Breakdown for a year
| Per year | New regime | Old regime |
|---|---|---|
| CTC | ₹23,00,000 | ₹23,00,000 |
| Employer PF | −₹1,10,400 | −₹1,10,400 |
| Gross salary | ₹21,89,600 | ₹21,89,600 |
| Your PF | −₹1,10,400 | −₹1,10,400 |
| Professional tax | −₹2,400 | −₹2,400 |
| Taxable income | ₹21,14,600 | ₹20,26,800 |
| Income tax with cess | −₹2,37,796 | −₹4,37,362 |
| In hand a year | ₹18,39,004 | ₹16,39,438 |
| In hand a month | ₹1,53,250 | ₹1,36,620 |
A month's payslip at 23 LPA
New tax regime, with income tax (TDS) spread evenly throughout the year.
| Gross pay | ₹1,82,467 |
|---|---|
| Your PF | −₹9,200 |
| Professional tax | −₹200 |
| Income tax (TDS) | −₹19,816 |
| Credited to your bank | ₹1,53,250 |
Professional tax is typically ₹200 monthly (₹300 for one month in some states), while some states do not charge it.
How changes in salary structure affect it
The same ₹23 lakh CTC, divided in different ways. Look at your offer letter to see which one fits.
| Structure | Regime | In hand a month |
|---|---|---|
| Basic pay 40% of CTC, PF on full basic (the figures above) | New | ₹1,53,250 |
| Basic pay 50% of CTC | New | ₹1,49,248 |
| PF capped at ₹1,800 a month (₹15,000 wage ceiling) | New | ₹1,66,126 |
| Employer PF paid on top of the CTC | New | ₹1,60,058 |
| Gratuity (4.81% of basic) included in the CTC | New | ₹1,50,522 |
| No PF deducted | New | ₹1,69,258 |
| ₹1.5 lakh of 80C (PF included) and ₹25,000 of health insurance (80D) | Old | ₹1,38,300 |
Old or new tax regime?
The new regime gives you more unless your deductions besides PF and the standard deduction (80C investments, health insurance, HRA, home-loan interest) total over about ₹6,40,000 annually. Above that amount, the old regime offers you more.