How much is 4 LPA per month in hand?
By Vijay Singh Sinhmar · Fintech automation specialist, 8 years in finance · Published 2026-10-05
A ₹4 LPA package — ₹4,00,000 of CTC — pays about ₹29,133 a month in hand in FY 2026-27, against ₹33,333 a month on paper, taking basic at 40% of CTC, the employer’s provident fund inside the package and ₹200 a month of professional tax. Income tax is nil under the new regime; the deductions are provident fund — ₹2,000 a month from you and ₹2,000 from the employer — and professional tax.
Educational information, not investment advice · Muktify is not SEBI-registered
In-Hand Salary Calculator (FY 2026-27)
CTC to monthly take-home — after EPF, income tax (new regime) and professional tax.
Basic is under half your pay, so PF is worked out on ₹2.00L a year, not on basic — the Code on Social Security counts allowances above half of pay as wages.
Employer's PF included in CTC?
PF worked out on
Payslip shows a flat ₹3,000 of PF? Your employer caps it at the ₹25,000 wage ceiling.
₹200 in most states; 0 in Delhi, UP and a few others
Monthly in-hand
₹29,133
₹3.50L per year · 87% of your CTC reaches your account
Where the rest goes (per year)
Your EPF isn't lost — ₹48,000/yr (yours + employer's) builds your retirement corpus.
Assumptions
- New tax regime, FY 2026-27 (₹75,000 standard deduction, 87A rebate). Using old-regime deductions? Compare with the Tax Regime Calculator.
- EPF at 12% for you and your employer — of PF wages (basic, or half your total pay if basic is less, under the Code on Social Security's wages rule), or of PF wages capped at the ₹25,000-a-month statutory wage ceiling (in force from 17 September 2026) if you choose that above.
- Not modelled: gratuity accrual, ESI, NPS, variable pay, perks, surcharge above ₹50L.
Educational estimate on your inputs — actual take-home depends on your employer's salary structure.
Not tax or investment advice. Not SEBI-registered.
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See how long your money would last →4 LPA in hand per month: the payslip
“4 LPA” means ₹4,00,000 of CTC a year, which is ₹33,333 a month on paper. On the structure this page assumes — basic at 40% of CTC, the employer’s provident fund inside the package, professional tax of ₹200 a month and the new regime — about ₹29,133 reaches your account each month, ₹3,49,600 over the year, or 87.4% of the CTC.
The ₹4,200 a month between the two is the employer’s ₹2,000 of provident fund, your own ₹2,000 and ₹200 of professional tax. Neither provident-fund contribution is lost: your own ₹2,000 goes into your EPF account, and of the employer’s ₹2,000, a portion goes to the Employees’ Pension Scheme and the rest into your EPF account.
| Line | Per month | Per year |
|---|---|---|
| CTC | ₹33,333 | ₹4,00,000 |
| Employer’s provident fund | ₹2,000 | ₹24,000 |
| Gross salary | ₹31,333 | ₹3,76,000 |
| Your provident fund | ₹2,000 | ₹24,000 |
| Income tax (TDS) | ₹0 | ₹0 |
| Professional tax | ₹200 | ₹2,400 |
| In hand | ₹29,133 | ₹3,49,600 |
Income tax on 4 LPA
Gross salary is ₹3,76,000 — the CTC less the employer’s ₹24,000 of provident fund. Take off the ₹75,000 standard deduction and taxable income is ₹3,01,000. That is below the top of the new regime’s nil slab at ₹4,00,000, so the slabs produce no tax at all — this is not the Section 87A rebate at work, there is simply nothing to rebate.
So no income tax is deducted from 4 LPA, and none would be until taxable income passed ₹4,00,000. On this structure the rebate then keeps tax at nil all the way to a CTC of ₹13,56,383.
These are new-regime figures, the default unless you opt out. The tax regime calculator puts the old regime beside them on your own deductions.
If your employer caps provident fund at the wage ceiling
At 4 LPA your PF wages are ₹16,667 a month, below the ₹25,000 statutory wage ceiling in force since 17 September 2026. So the ceiling changes nothing here: an employer that calculates provident fund on it deducts the same ₹2,000 a month.
The same 4 LPA, structured differently
Two offers at ₹4,00,000 can pay different amounts. With basic at 50% of CTC instead of 40%, in-hand is unchanged at ₹29,133: provident fund already runs on half the package under the Code on Social Security’s wages rule, so a basic up to half changes nothing. At 60% basic it falls to ₹28,333, because provident fund now runs on the larger basic — ₹800 a month less in hand and that much more saved in provident fund.
If the employer’s provident fund is paid on top of the ₹4,00,000 rather than inside it, gross salary is the full CTC and in-hand is about ₹31,006 a month. The offer letter’s CTC breakup says which of these applies.
| Structure | In hand per month | Your PF per month |
|---|---|---|
| Basic 40%, employer PF inside CTC | ₹29,133 | ₹2,000 |
| Basic 50%, employer PF inside CTC | ₹29,133 | ₹2,000 |
| Basic 60%, employer PF inside CTC | ₹28,333 | ₹2,400 |
| Basic 40%, employer PF on top of CTC | ₹31,006 | ₹2,128 |
Near 4 LPA, side by side
An extra lakh of CTC is ₹8,333 a month on paper. From 4 LPA to 5 LPA it adds about ₹7,334 a month in hand, the rest going to provident fund, with no income tax at either level.
| CTC | CTC ÷ 12 | In hand per month | Income tax a year |
|---|---|---|---|
| ₹3,00,000 | ₹25,000 | ₹21,800 | ₹0 |
| ₹3,50,000 | ₹29,167 | ₹25,467 | ₹0 |
| ₹4,00,000 | ₹33,333 | ₹29,133 | ₹0 |
| ₹4,50,000 | ₹37,500 | ₹32,800 | ₹0 |
| ₹5,00,000 | ₹41,667 | ₹36,467 | ₹0 |
Frequently asked questions
How much is 4 LPA per month?
₹33,333 a month on paper, and about ₹29,133 a month in hand with basic at 40% of CTC, the employer’s provident fund inside the package and ₹200 of professional tax, under the FY 2026-27 new regime.
Is there income tax on 4 LPA?
No. Taxable income is ₹3,01,000, below the ₹4,00,000 nil slab of the new regime, so the slabs produce no tax before any rebate is needed.
How much PF is deducted on 4 LPA?
₹2,000 a month from you, matched by ₹2,000 from the employer: 12% each of PF wages of ₹16,667 a month, which is half the package under the wages rule.
What is 4 LPA in hand per year?
About ₹3,49,600 — 87.4% of the ₹4,00,000 CTC. The rest is both halves of provident fund and ₹2,400 of professional tax.
Is the in-hand figure the same in every state?
Not quite. Professional tax is levied by states, and the amount — or whether it applies at all — depends on where you work. This page assumes ₹200 a month; where none is levied, in-hand is ₹200 a month higher.
Related
- In-hand salary calculator →
- How much is 3 LPA per month in hand? →
- How much is 5 LPA per month in hand? →
- How do I calculate in-hand salary from CTC? →
- How much PF is deducted from my salary? →
- Tax regime calculator →
Last updated 2026-10-05. Figures reflect FY 2026-27 and are educational estimates, not advice. Muktify is not SEBI-registered and never recommends or ranks any instrument.
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