CTC calculator
See exactly where a cost-to-company figure goes — what reaches you as salary, and what is employer cost you never receive. Or work backwards from the package you want.
The figure on the offer letter — the total cost to the company.
Drives PF and gratuity. A higher basic means more retirement saving and less in hand.
Where the CTC goes
Reaches you as gross salary
₹11,43,323
4.7% of CTC is employer cost you never see
Paid to you
| Basic | ₹4,80,000 |
| HRA | ₹1,80,000 |
| Special allowance | ₹4,83,323 |
| Gross salary | ₹11,43,323 |
Employer cost inside CTC
| Employer PF | ₹21,600 |
| Gratuity provision | ₹23,077 |
| Insurance | ₹12,000 |
| Total employer cost | ₹56,677 |
This shows CTC composition, not take-home. Your own PF, professional tax and income tax come out of gross — the take-home calculator works that out.
Why CTC and salary are different numbers
CTC is an accounting figure: what an employee costs the company over a year. Some of that cost is paid to the employee, and some is paid on their behalf — the employer’s provident fund contribution, a provision against future gratuity, and insurance premiums.
Because employer PF and the gratuity provision are both derived from basic salary, the basic percentage is the lever that moves everything. Raise it and more of the package goes into long-term savings; lower it and more arrives monthly.
This calculator stops at gross salary deliberately. Your own PF, professional tax and income tax come out of gross, and the take-home salary calculator handles that half.
These are estimates for planning. Your actual structure depends on your employer’s policy — check the breakup in your offer letter.
Frequently asked questions
CTC is everything the employer spends on you in a year: basic salary, HRA and other allowances, plus employer costs you never receive directly — the employer's provident fund contribution, a gratuity provision, and any insurance premium. The last group is why CTC is always higher than the salary you are paid.
Because employer contributions sit inside CTC but are not paid to you. The employer's PF goes to your provident fund account, the gratuity provision is money set aside against a future payment, and insurance is paid to an insurer. Gross salary is what remains after those are removed.
Typically a few percent, and it depends mostly on basic salary, since employer PF and the gratuity provision are both derived from basic. This calculator shows the exact percentage for the structure you enter.
Switch the calculator to "Find the CTC I need" and enter the gross salary you want; it solves for the CTC that produces it. Note that gross is before your own PF, professional tax and income tax — use the take-home calculator to go from gross to in-hand.
Both, depending on what you value. A higher basic increases PF contributions from you and your employer and increases gratuity, so more of the package goes into long-term savings — and less reaches your account monthly. A lower basic reverses it. Neither is wrong, but it should be a choice rather than an accident.
No. Many employers include it, some do not, and it is not a statutory requirement to show it in CTC — the gratuity obligation exists either way. Check the breakup in your offer letter; the toggle in this calculator lets you model both.
Building structures for a whole team?
SignHR holds each employee’s salary structure on their record and computes payroll inputs from it — so a breakup is stored once rather than rebuilt in a spreadsheet each time someone is hired.