What is the in-hand salary for 12 LPA?

About ₹93,795 per month under the new tax regime in FY 2026-27, with 50% basic, PF on the ₹15,000 ceiling, gratuity inside CTC, and ₹200 professional tax. That is about 94% of CTC.

How much tax do I pay on 12 LPA?

Nothing under the new regime. Taxable income after the ₹75,000 standard deduction is ₹10,74,540, which is within the ₹12 lakh 87A rebate limit. Under the old regime (PF as the only 80C deduction) tax would be about ₹1,40,568 a year.

What is the monthly salary for 12 LPA?

12 LPA is ₹1,00,000 a month of CTC. Gross salary (after employer PF and gratuity provision) is about ₹95,795, and take-home after PF, PT, and tax is about ₹93,795.

Is the new or old tax regime better at 12 LPA?

For most people on 12 LPA the new regime gives more in-hand: ₹93,795 vs ₹82,081 a month in our default structure. The old regime only wins if your HRA, 80C, 80D, and home-loan deductions are large.

Do the new Labour Codes reduce in-hand salary at 12 LPA?

Slightly, if your basic was below 50% of pay. Moving basic from 40% to 50% of CTC raises the gratuity provision, so in-hand changes from ₹94,276 to ₹93,795 a month in this example. PF on the ₹15,000 ceiling does not change.

FY 2026-27 take-home

12 LPA in-hand salary: ₹93,795 per month

On a ₹12 lakh CTC, your monthly in-hand salary is about ₹93,795 under the new tax regime (₹11,25,540 a year, about 94% of CTC). You pay no income tax - taxable income stays under the ₹12 lakh 87A rebate limit. Under the old regime it is about ₹82,081 a month.

Default structure: 50% basic (Labour Code minimum), PF on ₹15,000 ceiling, gratuity inside CTC, ₹200 PT. Change any of these in the calculator.

Monthly breakdown

12 LPA salary breakdown per month

12 LPA monthly salary breakdown
CTC per month	₹1,00,000
Basic pay (50% of CTC)	₹50,000
HRA and other allowances	₹45,795
Employer PF (inside CTC)	- ₹1,800
Gratuity provision (inside CTC)	- ₹2,405
Gross salary	₹95,795
Employee PF	- ₹1,800
Professional tax	- ₹200
Income tax (TDS)	- ₹0
In-hand salary per month	₹93,795

Want your exact number with your PF, PT state, and regime? Open the in-hand salary calculator with ₹12 lakh filled in.

What changes your take-home

12 LPA in-hand in 6 common salary structures

Two people on the same 12 LPA offer can take home different amounts. These are the choices that move it:

Default: new regime, PF on ₹15,000 ceiling	₹93,795 / month
Old regime (PF as only 80C deduction)	₹82,081 / month
PF on full basic (no ceiling)	₹85,395 / month
No PF deducted	₹97,395 / month
Gratuity not shown in CTC	₹96,200 / month
Older structure: 40% basic	₹94,276 / month

Tax workings

Income tax on 12 LPA (FY 2026-27, new regime)

Gross salary per year	₹11,49,540
Standard deduction	- ₹75,000
Taxable income	₹10,74,540
Tax as per slabs	₹47,454
87A rebate / marginal relief	- ₹47,454
Health and education cess (4%)	₹0
Total income tax per year	₹0

New regime slabs: nil up to ₹4 lakh, 5% to ₹8 lakh, 10% to ₹12 lakh, 15% to ₹16 lakh, 20% to ₹20 lakh, 25% to ₹24 lakh, 30% above. Professional tax is not deductible under the new regime. Check other incomes with the income tax calculator.

Labour Codes 2025

Why your basic pay now matters more

The Labour Codes in force since 21 November 2025 count wages as at least 50% of total pay. Companies that kept basic at 30-40% of CTC are restructuring. At 12 LPA, moving from 40% to 50% basic changes the gratuity provision from ₹1,924 to ₹2,405 a month - money that comes back to you as a larger gratuity when you leave after eligibility. If your employer deducts PF on full basic instead of the ₹15,000 ceiling, the PF hit is larger: take-home becomes ₹85,395 a month.

Estimate the payout with the gratuity calculator, or read CTC vs in-hand salary explained.

Assumptions

How we calculated this

FY 2026-27 slabs (unchanged by Budget 2026), new regime by default with the ₹75,000 standard deduction and 87A rebate up to ₹12 lakh taxable income, plus 4% cess.
Basic pay is 50% of CTC - the minimum share of wages under the Labour Codes in force since 21 November 2025. HRA and other allowances make up the rest of gross.
Employer and employee PF are 12% each on basic capped at the ₹15,000 PF wage ceiling (the most common practice). Employer PF is part of CTC.
Gratuity provision of 4.81% of basic is shown inside CTC, as most Indian offer letters do. It is paid when you leave after eligibility, not monthly.
Professional tax of ₹200 a month (₹2,400 a year). Some states charge ₹300 in February or have no PT at all.
ESI applies only if monthly gross is ₹21,000 or less (0.75% employee, 3.25% employer).
No HRA exemption, 80C investments beyond PF, variable pay, or bonus. Old-regime figures count only employee PF towards 80C.

Got questions?

12 LPA in-hand salary: FAQs

Quick answers on take-home, tax, and structure for a ₹12 lakh CTC.

About ₹93,795 per month under the new tax regime in FY 2026-27, with 50% basic, PF on the ₹15,000 ceiling, gratuity inside CTC, and ₹200 professional tax. That is about 94% of CTC.
Nothing under the new regime. Taxable income after the ₹75,000 standard deduction is ₹10,74,540, which is within the ₹12 lakh 87A rebate limit. Under the old regime (PF as the only 80C deduction) tax would be about ₹1,40,568 a year.
12 LPA is ₹1,00,000 a month of CTC. Gross salary (after employer PF and gratuity provision) is about ₹95,795, and take-home after PF, PT, and tax is about ₹93,795.
For most people on 12 LPA the new regime gives more in-hand: ₹93,795 vs ₹82,081 a month in our default structure. The old regime only wins if your HRA, 80C, 80D, and home-loan deductions are large.
Slightly, if your basic was below 50% of pay. Moving basic from 40% to 50% of CTC raises the gratuity provision, so in-hand changes from ₹94,276 to ₹93,795 a month in this example. PF on the ₹15,000 ceiling does not change.

Have more questions?

In-hand salary for other CTCs

3 LPA 4 LPA 5 LPA 6 LPA 7 LPA 8 LPA 9 LPA 10 LPA 11 LPA 12 LPA 14 LPA 15 LPA 16 LPA 18 LPA 20 LPA 25 LPA 30 LPA

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