10 LPA In-Hand Salary: What You Actually Get (And Why It’s Less Than You Think)
✍️ By Rahul Mehta, C&B Analyst | 7+ Years in HR & Salary Consulting
📅 Last updated: July 5, 2025
“I Got 10 LPA in Hand Salary!” But Why Is My Bank Balance Sad?
A few years ago, I helped a software engineer crack her first 10 LPA package. She celebrated with cake and selfies.
Two months in? Panic mode.
“Why am I getting just ₹63K in hand every month?”
You’re not alone if you’re confused by the gap between CTC and in-hand salary. In this blog, I’ll decode the 10 LPA in hand salary, show you where the money goes, and give actionable tips to boost your take-home.
What is 10 LPA? (And Why It’s Not Your Monthly Income)
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10 LPA = ₹10,00,000 per year = ₹83,333 per month (gross CTC)
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CTC = Cost to Company — includes everything they spend on you (not just what you get)
💡 Think of it as the “MRP” of your employment. But just like the sticker on a chips packet, you don’t eat all of it.
10 LPA CTC Breakdown: Where Your Salary Actually Goes
Here’s a typical breakup:
| Component | Approx. Amount (₹) |
|---|---|
| Basic Salary | ₹3,00,000 |
| HRA | ₹1,50,000 |
| Special Allowance | ₹3,00,000 |
| PF (Employer Contribution) | ₹1,20,000 |
| Gratuity | ₹57,600 |
| Bonus/Variable Pay | ₹72,400 |
| Total CTC | ₹10,00,000 |
10 LPA In Hand Salary: The Actual Monthly Take-Home
✅ What’s Deducted from Your Gross Salary?
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Employee PF (12% of basic) = ₹3,000/month
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Professional Tax (varies by state) = ₹200–₹250
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Income Tax = ₹8,000–₹10,000/month
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Gratuity, bonus = Deferred or yearly payout
🧮 Final In-Hand Salary: ₹62,000 – ₹72,000/month
(depending on tax regime, PF, bonuses, etc.)
Tax on 10 LPA Salary: Old Regime vs New Regime
📌 Source: Income Tax Slabs – FY 2024-25 (Official)
Quoting Priya Rathi, certified tax consultant:
“The tax regime choice makes a huge difference at this income level. Employees often lose thousands by not calculating both.”
| Criteria | Old Regime (with exemptions) | New Regime (no exemptions) |
|---|---|---|
| Tax (approx.) | ₹1.2–₹1.4 lakh/year | ₹1.3–₹1.5 lakh/year |
| Benefits | Claim 80C, HRA, etc. | Flat lower slabs |
| Best for | Renters, Investors | People with few deductions |
Bonus, Perks & “Invisible Cuts” in 10 LPA
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Bonus: Not paid monthly; often tied to performance
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Gratuity: Only paid after 5 years
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Insurance/Perks: Included in CTC but not in your wallet
Case Study: Bangalore Techie on 10 LPA
Meet Sneha, a backend developer in Bangalore.
| Parameter | Amount (₹) |
|---|---|
| Gross Monthly | ₹83,333 |
| Tax (after HRA, 80C) | ₹8,000 |
| PF | ₹3,000 |
| Other Deductions | ₹500 |
| In-Hand Salary | ₹71,800 approx. |
How to Increase Your 10 LPA In-Hand Salary
💬 Expert Tip from Aditi Malhotra, HR Director, PeopleGrid India
“CTC negotiations should include fixed pay ratio clarity and perks that reduce taxable components—like reimbursements and meal cards.”
✅ Smart Strategies:
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Maximize Old Regime Benefits: Use 80C, 80D, HRA, NPS
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Choose Tax-Efficient Perks: Reimbursements > Allowances
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Negotiate High Fixed, Low Variable
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Use NPS for Extra ₹50K Exemption (Section 80CCD(1B))
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Track & File Deductions Smartly
Common Myths About 10 LPA Salary
❌ Myth: 10 LPA = ₹83,000/month in hand
✅ Nope! That’s gross, not take-home.
❌ Myth: New regime is always better
✅ Only true if you don’t claim any deductions.
❌ Myth: CTC = Bank Credit
✅ CTC includes PF, gratuity, bonuses—often deferred.
Conclusion: Know the Real Value of Your Offer Letter
Earning 10 LPA is a milestone—but understanding what that means for your wallet is even more powerful.
With the right mix of planning, deductions, and negotiation, your 10 LPA in hand salary can support a great lifestyle and solid savings.
FAQs: Real Answers About 10 LPA In-Hand Salary
1. How much tax on 10 LPA salary?
Expect to pay ₹1.2L–₹1.5L/year, based on your tax regime. Exemptions like 80C and HRA can significantly reduce this.
2. What is the in-hand salary of 10 LPA?
The 10 LPA in hand salary usually ranges between ₹62,000 to ₹72,000/month, depending on your tax planning, city, and employer.
3. Is 10 LPA a good salary in India?
Yes, it’s a strong salary in Tier-2 cities and offers comfortable living in metros with proper planning.
4. Can I save money with a 10 LPA salary?
Definitely. Many save ₹15K–₹25K/month through budgeting, tax planning, and smart investment habits.
Have a 10 LPA offer or switch on the table?
Drop your CTC breakup below and I’ll help you decode your in-hand salary!
🧠 About the Author
Rahul Mehta is a certified Compensation & Benefits Analyst (CBA) with over 7 years of experience advising Indian professionals on salary structuring, tax-saving strategies, and payroll optimization. He’s worked with firms like Talent Logic and PeakHR and frequently helps early- and mid-career employees decode complex CTC structures.
⚠️ Disclaimer
This article is for informational purposes only. Please consult a certified tax professional or financial advisor for personalized guidance based on your income structure and tax liabilities.
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