What is the in-hand salary for a ₹10 LPA package?

The breakdown, line by line

Start with CTC of ₹10,00,000 and basic at 40%, which is ₹4,00,000. Provident fund does not run on that basic alone: under the Code on Social Security, allowances beyond half of pay count as wages, so PF wages are half the package, ₹5,00,000. The employer’s contribution is 12% of that, ₹60,000, and on the usual structure it sits inside the CTC — so gross salary is ₹9,40,000. That ₹60,000 goes to your provident-fund account, not your bank account.

From gross, three deductions. Your own provident fund is the same ₹60,000. Income tax under the FY 2026-27 new regime is nil: taxable income is ₹9,40,000 less the ₹75,000 standard deduction, or ₹8,65,000, which is under the ₹12,00,000 limit for the Section 87A rebate. Professional tax at ₹200 a month is ₹2,400.

In-hand is ₹9,40,000 − ₹60,000 − ₹2,400 = ₹8,77,600 a year, or ₹73,133 a month.

“10 LPA means how much per month?” — two honest answers

Divide the CTC by twelve and you get ₹83,333, the monthly figure on paper. It is what your employer spends on you each month, not what arrives. The in-hand figure is ₹73,133, and the ₹10,200 between them is made of three things: the employer’s ₹5,000 of provident fund, your own ₹5,000, and ₹200 of professional tax.

None of that ₹10,200 is income tax, and ₹10,000 of it is still yours — it goes into your provident-fund account every month. At this salary the distance between CTC and take-home is almost entirely money saved in your own name that you cannot spend now, rather than money that has left you.

Offer letters that all say “10 LPA”

The same headline figure can be built in different ways, and some of them change the monthly credit. With the employer’s provident fund inside CTC and basic at 40%, in-hand is ₹73,133. With the same ₹10,00,000 paid as gross salary and the employer’s provident fund on top, it is ₹77,814. With basic above half the package — 60%, say — it falls to ₹71,133.

What no longer matters is a basic anywhere up to half. Under the Code on Social Security, allowances beyond half of pay count as wages for provident fund, so basic at 30%, 40% or 50% all give the same ₹73,133. The old advice to ask for a low basic to raise take-home does not survive that rule.

A further version comes from the statutory wage ceiling. Since 17 September 2026 that ceiling is ₹25,000 a month (Ministry of Labour notification S.O. 5109(E) under the same Code), and an employer that computes provident fund on the ceiling rather than on full wages deducts 12% of ₹25,000 — ₹3,000 a month from each side, against ₹5,000 on full wages. On this package that gives ₹77,133.

So “10 LPA” spans ₹71,133 to ₹77,814 a month in hand — ₹6,681 a month apart — with the headline figure unchanged. The three things to ask are whether basic is above half the package, whether provident fund is capped at the ceiling, and whether the employer’s provident fund is inside the CTC or on top of it.

Why your 10 LPA in-hand may differ

Two offers at ₹10,00,000 can pay different amounts. Across the common structures below, 10 LPA lands between ₹66,372 and ₹77,814 a month in hand. A basic of 50% instead of 40% changes nothing: provident fund already runs on half the package under the Code on Social Security’s wages rule. At 60% basic it falls to ₹71,133, because provident fund now runs on the larger basic.

Where the CTC includes a gratuity provision — 15/26 of a month’s basic for each year, about 4.81% of basic — that ₹19,231 a year is set aside for when you leave and never reaches the payslip. The old regime with only your provident fund under 80C would take ₹81,141 a year in tax against the new regime’s ₹0; with more deductions the old-regime figure falls. The offer letter’s CTC breakup says which of these applies.

Why there is no income tax, and what the old regime would charge

Under the FY 2026-27 new regime, taxable income of ₹12,00,000 or less is fully rebated, which with the ₹75,000 standard deduction covers gross salary up to ₹12,75,000. At ₹9,40,000 of gross this package is well inside that, so the monthly TDS line should read zero.

The old regime works differently. On the same ₹9,40,000 with nothing claimed, tax is ₹94,120 a year; with the full ₹1,50,000 under Section 80C it is ₹62,920. Its rebate only applies at taxable income of ₹5,00,000 or less, which here would take ₹3,90,000 of deductions — and it is a cliff, not a slope: ₹1,000 short of that, the bill is ₹13,208.

That is arithmetic on this salary, not a rule for everyone. The tax regime calculator runs the same comparison on your own deductions.

What a hike from 10 LPA does to the monthly figure

Because no tax is due until gross salary passes ₹12,75,000, a hike from here reaches you after provident fund and nothing else — for a while. At 40% basic, ₹11 LPA pays ₹80,467 a month, ₹12 LPA ₹87,800 and ₹13 LPA ₹95,133, all with nil income tax.

The next step behaves differently. At ₹14 LPA, income tax of ₹42,640 a year appears and in-hand is ₹98,913 — only ₹3,780 a month more than at ₹13 LPA, for ₹1,00,000 more CTC. The in-hand calculator shows the monthly figure on either side of that line for your own structure.