You signed for ₹8 lakh CTC, so ₹66,000 a month feels like your number — then ₹54,000 shows up, and you wonder what went missing.
CTC includes your employer's EPF contribution, gratuity, and insurance premiums — money that's yours on paper, not in your hand every month.
A typical ₹8 lakh CTC often lands as ₹58,000–₹62,000 take-home, after EPF (12%), professional tax, and TDS.
What this means for you
- Gross salary is CTC minus employer PF and gratuity — still before your own deductions.
- Net pay is gross minus your EPF share, TDS, and professional tax — this is what actually lands in your account.
- Budgeting on CTC instead of net pay often overestimates monthly spending room by ₹5,000–₹8,000.
What you can do
- Set your monthly budget and SIP amount using net pay, never CTC.
- Scan your payslip once a quarter — a jump in "other deductions" usually means a missed reimbursement or wrong tax regime selected.
Once you know the real number, every rupee you plan with is a rupee you actually have.
Grow with clarity 🌱