Changing jobs

Salary Hike Calculator

What a percentage hike does to your monthly take-home — and how much of the raise goes to tax and PF.

Salary hikeSign in
Your hike in hand
+₹7,334

₹73,133 becomes ₹80,467 a month. New CTC ₹11L.

In hand now₹73,133
After the hike₹80,467
Of the raise you keep88%
The fixed CTC from your current offer or appraisal letter.
0%50%
40%
30%60%
Employer’s PF is inside the CTCMost offer letters include it.
Your hike in hand
+₹7,334
₹73,133 becomes ₹80,467 a month. New CTC ₹11L.
In hand now
₹73,133
After the hike
₹80,467
Of the raise you keep
88%

Where the ₹1L increase goes, a year

Reaches your bank₹88,000
Income tax₹0
PF, both sharesStill your money, held in PF₹12,000

No extra tax: after the hike your income stays within the new regime’s rebate, so tax is still nil.

On the new tax regime for FY 2026-27 and ₹200 a month professional tax. Variable pay and bonus are left out — the hike is on fixed CTC.

Next questionWhat does the new CTC put in your bank?Your CTC worked down to monthly in-hand pay.

How it’s worked out

What a hike does to your take-home

A hike raises your CTC, but only part of the increase reaches your bank. Some goes into PF, which is still your money, and some goes to income tax. This tool works out your monthly in-hand pay before and after the hike with the same calculation as the in-hand salary calculator, so the difference is the real monthly gain.

On ₹10 LPA a 10% hike takes the CTC to ₹11 LPA and the monthly take-home from about ₹73,133 to ₹80,467, an extra ₹7,334 a month. At that level the new regime’s rebate keeps income tax at nil, so the whole increase splits between your bank and your PF.

Where the increase goes

The breakdown shows the year’s CTC increase in three parts: what reaches your bank, the extra income tax, and the extra PF from both your share and your employer’s. The three always add up to the increase. Professional tax stays the same, because it does not rise with pay at these levels.

Once your income crosses the new regime’s rebate, each extra rupee is taxed at your slab, so a larger share of a raise goes to tax than at lower salaries. The share kept in hand is shown as a percentage of the increase.

Questions people ask

How much will my salary increase after a hike?

Enter your current CTC and the hike percentage. The tool shows your monthly in-hand pay before and after, worked out after PF, income tax on the new regime for FY 2026-27 and professional tax, and the difference each month.

Why is my in-hand increase smaller than my hike?

Because part of the CTC increase goes into PF, both your share and your employer’s, and part goes to income tax. The tool splits the increase into these parts so you can see where each rupee went.

Is the hike calculated on CTC or on basic?

Hikes are usually quoted on CTC, and this tool applies the percentage to CTC. Basic is taken as 40% of CTC unless you change it, which decides how much PF is deducted.

Does a hike always mean more tax?

Not always. Under the new regime for FY 2026-27, income up to the rebate limit pays no tax, so a hike that keeps you within it adds nothing to tax. Above it, the extra income is taxed at your slab.

Figures for tax year 2026-27 from our own engine. Educational only — not tax or investment advice.