CTC Calculator
Add up salary components, employer PF, gratuity and benefits to get total CTC, and check the 50% wage rule.
Your details
Check your payslip. Many employers use full basic; some cap PF at the ₹25,000 monthly wage ceiling.
How it's calculated
Formula
- CTC = 12 × (basic + HRA + allowances) + 12 × employer PF + gratuity + variable pay + benefits
- Employer PF = 12% × PF wage per month
- Gratuity provision = monthly basic × 15/26 (per year)
Use this to build or check a salary structure from its components.
Under the Labour Codes (in force since 21 November 2025), allowances such as HRA and special allowance should not exceed 50% of pay. If they do, the excess is treated as wages for PF and gratuity. The calculator flags structures where basic + DA is below 50% of monthly pay.
Worked example
₹60,000 basic, ₹24,000 HRA, ₹30,000 special allowance and ₹6,000 other allowances a month, PF on full basic, ₹1.2 lakh bonus and ₹20,000 benefits.
- Annual CTC
- ₹17,01,015
- Total CTC
- ₹17,01,015
Basic + DA is at least 50% of pay, in line with the Labour Codes' wage rule.
Frequently asked questions
Is employer PF part of CTC?
Usually yes. Most Indian employers include their PF contribution and a gratuity provision in CTC.
What does the 50% wage rule mean for my salary?
If allowances exceed half of your pay, the excess is counted as wages for PF and gratuity. That can raise PF deductions and gratuity, and lower monthly take-home slightly.