CTC Calculator – Cost to Company Breakdown
Break down your Annual CTC into Monthly CTC, Basic Salary, HRA, Allowances, PF, and estimated take-home pay.
Calculation Breakdown
Calculation Formula & Methodology
Cost to Company (CTC) represents the complete total expense incurred by an employer on an employee for one year.
What is CTC (Cost to Company)?
Cost to Company (CTC) is the total annual expenditure a business incurs to hire and retain an employee. It encompasses gross salary, employer PF contributions, bonuses, gratuity reserve, and other perks.
How CTC Structure is Built
Typically, Indian companies allocate 40-50% of CTC to Basic Salary. HRA is configured at 40% (non-metro) or 50% (metro) of Basic. The residual balance forms Special Allowances and statutory contributions.
Example CTC Calculation
For a ₹10,00,000 CTC package:
Monthly gross salary is ₹81,533 with estimated take-home of ₹79,533.
Key Elements of CTC Structure
Direct Benefits
Monthly Gross pay, Basic, HRA, Special Allowances.
Indirect Benefits
Employer PF, Gratuity allocation, Group Mediclaim insurance.
Frequently Asked Questions
Under Code on Wages 2019 guidelines, Basic Salary + DA should ideally be at least 50% of total CTC.
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