Salary Calculator 2020 | Hush Take Home Salary Calculator - Hush

Hush Take Home Salary Calculator

Calculate take home salary. Estimate monthly take home salary for 2020 in India after taxes and deductions.
Company
Current Company
Job Title/ Designation
Job Title (eg: Software Developer)
Enter your Annual Salary (CTC)
Location
Select from the list
CALCULATE

The Hush Take home salary calculator estimates the in hand salary for the financial year 2020-21 which is the current financial year.

How to calculate the take home salary?

Gross salary calculation:
We start with calculating the Gross salary as follows:
Gross salary = CTC - PF - Gratuity

Gratuity:
The gratuity amount depends upon the tenure of service and last drawn salary. It is calculated according to this formula: Last drawn salary (basic salary plus dearness allowance) X number of completed years of service X 15/26.

PF:
Employee’s provident fund(PF) is calculated as 12% of Basic salary.

Income Tax:
In the income tax calculator, we first calculate taxable income as follows.
Taxable income= Gross salary - PPF Investment - Tax free Allowance - HRA - LTA - Medical Insurance - Home Loan Interest(Upto Rs.2 Lakhs Per Annum) - Other Deductions

We then calculate the tax payable using the tax slabs for the current financial year (FY 2019-20) year which is as follows:

Income SlabSlab Rate
Income upto Rs 5,00,000No Tax
Income from Rs 5,00,000 - Rs 10,00,00012,500 + 20% of (Taxable income - 5,00,000)
Income above Rs 10,00,0001,12,500 + 30% of (Taxable income - 10,00,000)
Surcharge:
10% of income tax, where total income is between Rs. 50 lakhs and Rs.1 crore.
15% of income tax, where total income exceeds Rs.1 crore.
Cess: 4% on total of income tax + surcharge.

Finally using the above value we can compute the in hand salary as follows:
Take home salary = Gross Salary - Income Tax - PF - Professional tax

Note: Professional tax varies from state to state, but we approximate it to Rs.200/month.
Also, we have not included variable pay and income from other sources.