🇮🇳 India · FY 2026-27 · new regime

₹18 lakh salary — in-hand pay FY 2026-27

A ₹18 lakh salary leaves ₹16,49,200 a year in hand under the new regime for FY 2026-27 — about ₹1,37,433 a month before PF. Income tax including cess: ₹1,50,800 (8.4% effective rate).

DATA VERIFIED FY 2026-27 (AY 2027-28) verified 2026-06-11 2 primary sources next review 2026-09-15
₹18 lakh CTC breakdown — new regime
Line Yearly Monthly
Gross salary (CTC) ₹18,00,000 ₹1,50,000
Standard deduction −₹75,000
Income tax + 4% cess −₹1,50,800 −₹12,567
In-hand (before PF) ₹16,49,200 ₹1,37,433
You keepIncome tax + cess

What this means in practice

You keep 91.6% of every rupee at this level — light by international standards. Compare the same package in the UK or Germany, where comparable salaries lose 25–45% to tax and social contributions.

Common questions

What is the in-hand salary for ₹18 lakh CTC in FY 2026-27? +

About ₹1,37,433 a month before PF. Income tax under the new regime comes to ₹1,50,800 a year (8.4% effective), leaving ₹16,49,200 annually.

How much tax on ₹18 lakh under the new regime? +

₹1,50,800 including 4% cess, computed on taxable income of ₹17,25,000 (after the ₹75,000 standard deduction) through the FY 2026-27 slabs.

Does this include PF and surcharge? +

No — EPF depends on your basic-salary structure (typically 12% of basic), so subtract your monthly PF for the bank-credit figure. Surcharge only applies above ₹50 lakh taxable income.

Sources & method. Budget 2026 made no slab changes; FY 2025-26 structure carries into FY 2026-27. Rebate u/s 87A makes taxable income ≤ ₹12,00,000 effectively tax-free (₹12.75L gross for salaried after standard deduction); marginal relief applies just above. Surcharge above ₹50L not modelled. EPF excluded by default.
  1. Income Tax Department — tax slab pages (incometax.gov.in)
  2. Union Budget 2026 — slabs unchanged from FY 2025-26 (ClearTax summary)