Your first salary is exciting — until you realise CTC and in-hand are very different numbers.
What is CTC?
CTC (Cost to Company) is everything the company spends on you in a year, including parts you never see directly.
Where the gap comes from
- Provident Fund (EPF) — your retirement savings
- Professional tax and income tax (TDS)
- Gratuity and other benefits
- Variable pay that isn't guaranteed
A simple rule for your first salary
Split your in-hand into needs, savings and wants. Even a small SIP started early makes a big difference later.
Office Gupshup explains financial basics only and does not give personalised investment advice.