Last updated: October 2026 · FY 2026-27 tax rules
₹4 LPA is one of the most common first offers in India, especially for freshers joining IT services, BPO, banking operations and sales roles. The question everyone asks right after accepting is the same: how much actually lands in my account every month?
Short version: a little under ₹29,000. Below is the full breakup, a sample payslip, and how ₹4 LPA compares with other fresher packages.
4 LPA in-hand salary: the short answer
- Monthly in-hand (new regime): ₹28,332 – ₹28,732
- Yearly in-hand: ₹3,39,980 – ₹3,44,780
- Income tax: ₹0 under the new regime
- Gross monthly salary (before PF, tax): ₹30,532 – ₹30,732
- Assumes: basic pay is 50% of CTC, no variable pay, ₹200 a month professional tax
Why a range and not one number? It depends on how your company calculates PF. If PF is 12% of your full basic pay, you get the lower figure. If PF is capped at the statutory wage limit of ₹15,000 a month (₹1,800 a month from you, ₹1,800 from the company), you get the higher one. Your offer letter or first payslip will tell you which applies.
4 LPA salary breakup: from CTC to in-hand
Here is how a ₹4 lakh CTC turns into money in your bank account. Two parts of CTC never reach your monthly salary: the employer's PF contribution (it goes to your PF account) and gratuity (paid only if you stay 5 years).
| Component (per year) | PF on full basic | PF capped at ₹1,800/month |
|---|---|---|
| CTC (cost to company) | ₹4,00,000 | ₹4,00,000 |
| Basic pay (50% of CTC) | ₹2,00,000 | ₹2,00,000 |
| − Employer PF (goes to your PF account) | −₹24,000 | −₹21,600 |
| − Gratuity (4.81% of basic, paid after 5 years) | −₹9,620 | −₹9,620 |
| = Gross salary | ₹3,66,380 | ₹3,68,780 |
| − Employee PF (12%) | −₹24,000 | −₹21,600 |
| − Professional tax | −₹2,400 | −₹2,400 |
| − Income tax (new regime, incl. 4% cess) | ₹0 | ₹0 |
| = In-hand per year | ₹3,39,980 | ₹3,44,780 |
| = In-hand per month | ₹28,332 | ₹28,732 |
Why is the tax zero? Your taxable salary is ₹3,66,380 minus the ₹75,000 standard deduction, which is ₹2,91,380. Under the new regime, the Section 87A rebate wipes out all tax when taxable income is ₹12 lakh or less. That rule is unchanged for FY 2026-27.
What your monthly payslip will look like
A typical payslip at this salary, with PF on full basic. Companies split the non-basic part differently, so your HRA and special allowance may not match, but the total and the in-hand will be close.
| Payslip line | Per month |
|---|---|
| Basic pay | ₹16,667 |
| HRA | ₹6,667 |
| Special allowance | ₹7,198 |
| Gross earnings | ₹30,532 |
| Employee PF | −₹2,000 |
| Professional tax | −₹200 |
| Income tax (TDS) | ₹0 |
| Net pay | ₹28,332 |
Old vs new tax regime at 4 LPA
Stick with the new regime. You already pay zero tax there. Under the old regime, even with the full ₹1.5 lakh of Section 80C investments, your monthly in-hand would be about ₹28,332 (the same, because income this low is tax-free in the old regime too).
Who earns 4 LPA in India?
Most people at ₹4 LPA are in their first or second year of work. Mass-recruiter fresher tracks at large IT services firms sit in this band: TCS Ninja, for example, is reported to start from about ₹3.4 LPA in 2026. Customer support, inside sales, banking operations and junior accounting roles also commonly start here.
It is also a typical CTC for 1–2 years of experience in non-tech roles in tier-2 cities.
Median salaries reported on Weekday's company salary pages, for comparison:
- Tech Mahindra: ₹5.0 LPA at 2–3 years of experience
- HDFC Bank: ₹5.0 LPA median across roles
- Axis Bank: ₹5.0 LPA median across roles
- ICICI Bank: ₹5.6 LPA median across roles
Is 4 LPA a good salary?
For a fresher, yes, it is a normal starting point. In a tier-2 city, ₹28,000–29,000 a month covers shared rent, food and travel with some savings. In Bengaluru, Mumbai or Gurugram it is tight: rent for a shared flat alone can take ₹10,000–15,000.
The more useful question is where you will be in two years. People who start at ₹4 LPA and build one in-demand skill (SQL, a cloud certification, a testing framework) often double their CTC on the first switch.
How to move from 4 LPA to 6–7 LPA
Inside a services company, annual hikes are usually single digit. The bigger jumps come from switching after 18–24 months with a skill the market pays for. Product companies and well-funded startups regularly hire people with 1–2 years of experience at ₹6–8 LPA.
Want to see what a hike does to your take-home? Run it through the salary hike calculator, or browse jobs on Weekday paying ₹6 LPA and above.
In-hand salary at other CTCs
| CTC | Monthly in-hand | Yearly tax (new regime) |
|---|---|---|
| 3 LPA | ₹21,199 | ₹0 |
| 4 LPA | ₹28,332 – ₹28,732 | ₹0 |
| 4.5 LPA | ₹31,898 – ₹32,798 | ₹0 |
| 5 LPA | ₹35,465 – ₹36,865 | ₹0 |
| 6 LPA | ₹42,598 – ₹44,998 | ₹0 |
| 7 LPA | ₹49,730 – ₹53,130 | ₹0 |
| 10 LPA | ₹71,129 – ₹77,529 | ₹0 |
| 12 LPA | ₹85,395 – ₹93,795 | ₹0 |
| 15 LPA | ₹1,00,308 – ₹1,10,819 | ₹77,832 |
| 20 LPA | ₹1,29,339 – ₹1,44,033 | ₹1,57,435 |
For any other number, or to plug in your own basic pay, PF type and city, use the in-hand salary calculator. If you are new to the terms, our guide on CTC vs in-hand salary explains every line of a payslip.
Frequently asked questions
What is the in-hand salary for 4 LPA per month?
Around ₹28,332 – ₹28,732 a month under the new tax regime, assuming basic pay is 50% of CTC and there is no variable pay. You pay no income tax.
Is 4 LPA taxable?
Not under the new regime. After the ₹75,000 standard deduction your taxable income is well below ₹12 lakh, so the 87A rebate makes your tax zero. You should still file a return.
Is 4 LPA good for a fresher?
It is a standard fresher package in IT services and operations roles. Specialist tracks (for example TCS Digital at about ₹7 LPA) pay more, so it is worth preparing for those tests.
Does variable pay change my 4 LPA in-hand?
Yes. If part of your CTC is a performance bonus, it is paid once or twice a year, not monthly. Take it out of the CTC before you calculate the monthly figure, then expect the bonus as a lump sum (taxed when paid).
Why is my in-hand lower than this?
Common reasons: a lower basic % (PF and gratuity eat more), group health insurance deducted from salary, meal cards or NPS taken from your pay, or a state with different professional tax. Your payslip shows each one.
How we calculated this
All figures use FY 2026-27 rules under the Income-tax Act, 2025, which kept the same slabs as last year: a ₹75,000 standard deduction and full rebate up to ₹12 lakh taxable income in the new regime; a ₹50,000 standard deduction in the old regime; 4% health and education cess. We assume basic pay is 50% of CTC (the new labour codes push most companies to at least 50%), gratuity at 4.81% of basic inside CTC, employee and employer PF at 12%, and ₹2,400 a year professional tax. Your actual numbers depend on your salary structure, so treat these as a close estimate, not a payslip.
