1. What is the Salary And Pension Calculator?

The Salary And Pension Calculator estimates net salary after deducting taxes and provident fund contributions. It provides a clear breakdown of take-home pay based on gross salary, tax amount, and PF percentage.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( Gross Salary \) — Total salary before deductions (INR)
• \( Tax \) — Income tax amount (INR)
• \( PF Contribution \) — Provident Fund percentage of gross salary

Explanation: The calculation subtracts tax and PF contributions from the gross salary to determine the net take-home amount.

3. Importance of Salary Calculation

Details: Accurate salary calculation is crucial for financial planning, budgeting, and understanding your compensation structure. It helps employees know their exact take-home pay and plan their expenses accordingly.

4. Using the Calculator

Tips: Enter gross salary in INR, tax amount in INR, and PF percentage. All values must be valid (non-negative numbers, PF percentage between 0-100).

5. Frequently Asked Questions (FAQ)

Q1: What is the standard PF percentage in India?
A: The standard Employee Provident Fund (EPF) contribution is 12% of basic salary + dearness allowance.

Q2: Are there any other deductions besides tax and PF?
A: Yes, other deductions may include professional tax, ESIC, voluntary deductions, and loan repayments, depending on the employer and employee agreements.

Q3: How is income tax calculated in India?
A: Income tax is calculated based on the applicable tax slabs under the old or new tax regime as chosen by the taxpayer.

Q4: Is PF contribution mandatory?
A: EPF contribution is mandatory for organizations with 20 or more employees under the EPF Act, 1952.

Q5: Can I change my PF contribution percentage?
A: The standard 12% contribution is mandatory, but Voluntary Provident Fund (VPF) allows additional contributions up to 100% of basic salary.