The Salary Calculator is updated with the latest
2015-16 Budget figures
The following have changed as part of the new budget.
Conveyance allowance is raised from 800 to 1,600/- per month.
Personal Medical Insurance limit has been raised from 15,000 to 20,000/-
No changes have been maded
to the Income
Tax Slabs and rates
in the new budget.
Calculated values may not match with your payslip
due the following reasons:
1. Your variable pay is paid quarterly, so you will not have the same
take home each month, in the months the variable pay is paid, your
take home salary will be more than the calculated value. In other
months, it would be less than the calculated amount.
CTC includes your variable pay, as the name indicates variable pay
amount differs based on various factors. This will cause your CTC to
vary, this will have a knock-on effect on your take home. You can
correct his by adjusting your CTC to match the actual amounts in
variable pay. For example, if your CTC is ₹ 15 Lakhs which
includes a variable pay of ₹ 2 lakhs, however you only received
₹ 1 lakh as part of your variable pay for this financial year.
In this case enter your CTC as ₹ 14 lakhs for accurate
3. The Salary Calculator calculates your PF
and EPF to be 12% of your Basic Pay and Gratuity as 4.81% of Basic
Pay. If your PF is paid as a different percentage, the will some
variation in your take home salary. We will let you adjust these
values in the calculator soon so that you can calculate your take home
Various ways of increasing your Take Home salary
The Best Ways: Below are the best ways to reduce you
taxable income, whats more, you don't spend penny to utilize these
exemptions, you just have be leave the money invested for a few years.
1. Invest upto ₹ 1,50,000/- in ELSS ,NSC,LIC,Home Loan,PF,PPF,
Pension under income tax sections 80C, 80CCC, 80CCD
upto ₹ 20,000/- on Infra structure bonds under section 80CCF -
Lock-in period is between 5 to 15 years
3. If your employer is
giving food voucher, opt for them and use them.
4. Put some money
in saving bank and the interest earned is tax exempt upto ₹
The Second Best Ways: If you have used up the above
allowances to the limit and want to look for more ways of saving
money, you can utilise the below exemptions. But remember, there is no
free lunch here, you need to invest some money to save.
1. If you
are planning to buy a house, take a home loan you can save tax on
₹ 3,50,000/- .
2. You can also look into RGESS, however you
only get 50% exemption, and you should not have traded via DEMAT
account before and your salary should be below ₹ 10,00,000/- .
The Rest: You need to actually spend this money to
save tax in this category.
1. If you higher rate tax payer, why
not go on a holiday and save 33% , so you only pay 67% of the money on
transportation, only 2 journeys are allowed in a block of 4 years. The
current block of four years ends on 31 December 2014. So, hurry up!
2. Buy medical insurance for your family and parents for upto ₹
35,000/- and this amount will be exempt from income tax .
Why is there no option to select gender ?
Gender is no longer relevant, tax brackets are same
for Male and Female employees.
Delhi, Chennai , Mumbai and Kolkata are metro
cities for the purpose of HRA calculations.
Useful features of Salary Calculator India
1. Calculates your Net Salary, Income Tax, PF, EPF and Gratuity. This
gives you clarity on your salary breakup and helps you gain clear
understanding of your salary components.
2. Provides a
comparison between your Take Home Salary, Gross and Cost to
Company(CTC). This is to highlight the distinction between Gross
Salary and CTC.
3. Calculates your current tax saving and
helps you identify various tax savings to increase tax savings. This
makes it easy for you to get a clear understanding on various tax
saving avenues available for you.
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