₹83,333 on paper, ₹75,133 in the bank
Divide ₹10,00,000 by 12 and you get ₹83,333. The roughly ₹8,200 monthly gap is almost entirely provident fund: with a 40% basic (₹4,00,000 a year), employer PF of ₹4,000 a month stays inside CTC, your own ₹4,000 employee PF is deducted, and professional tax takes the last ₹200. Income tax contributes nothing to the gap — at 10 LPA, the new regime charges zero.
The 8-to-10 LPA hike is the best-value jump on the ladder
Compared with 8 LPA, a 10 LPA CTC adds ₹16,667 a month on paper — and about ₹15,066 of it actually reaches your account, a 90% pass-through. That is the §87A rebate at work: both levels sit in the zero-tax zone (taxable income ₹8,77,000 here, comfortably under ₹12 lakh), so the entire raise leaks only PF, never tax. Above 12 LPA of taxable income this stops being true.
What 10 LPA feels like
Around ₹75,000 a month supports a comfortable single or DINK life in any Indian metro, and a family budget with discipline. In Bengaluru or Gurgaon a good 2BHK plus commute can still absorb 35–40% of it; in Pune, Hyderabad's suburbs or any tier-2 city the same salary funds rent, an SIP and an emergency fund without strain. This is also the band where many people start their first serious investments — our SIP calculator shows what that surplus compounds into.
The 50% basic (labour-code) scenario
With basic at 50% of CTC (₹5,00,000), monthly PF rises to ₹5,000 each side and in-hand becomes ₹73,133 — ₹2,000 a month lower, all of it redirected into your EPF corpus. As of June 2026, wage-code implementation timelines vary by state and employer, so check whether your company has restructured.
Every month looks the same
With zero tax and a fixed structure, the monthly credit does not vary across the year. If your offer includes variable pay (common at this band: 7–15% of CTC), the fixed monthly figure will be proportionally lower and the difference arrives as quarterly or annual payouts.