What is the difference between gross pay and net pay?

Gross pay is every earning on the slip added together. Net pay, or take-home, is what's left after deductions such as provident fund, professional tax and income tax (TDS).

Why is my PF only ₹1,800?

EPF is 12% of basic salary, but employers may calculate it on a wage ceiling of ₹15,000. 12% of ₹15,000 is ₹1,800. It's allowed; it raises your take-home but builds a smaller retirement fund.

Why does the TDS on my slip change during the year?

Employers spread your estimated annual tax across the remaining months. It changes when your salary changes, when you submit investment proofs, or when you switch between the old and new regime.

How to read your salary slip (and check your TDS)

Updated 23 September 2026 · FinanceX guides

A salary slip has two halves. Earnings such as basic, HRA and special allowance add up to your gross pay. Deductions such as provident fund, professional tax and income tax come off it. Gross pay minus deductions is your net take-home pay.

What are the parts of a salary slip?

Basic salary: the core of your pay. PF, gratuity and the HRA exemption are all calculated from it.
HRA (house rent allowance): partly tax-free under the old regime if you pay rent.
Special allowance: usually the balancing figure that makes up your agreed salary. It's fully taxable.
Other earnings: leave travel allowance, bonuses, overtime and similar.
Provident fund (EPF): your contribution towards retirement savings.
Professional tax: a small state tax, up to ₹2,500 a year.
Income tax (TDS): tax your employer deducts in advance on your behalf.

How is take-home pay calculated?

Take-home pay = gross earnings − total deductions. For example, gross pay of ₹1,00,000 with ₹6,000 PF, ₹200 professional tax and ₹8,000 TDS gives a take-home of ₹85,800, or 86% of gross. If the net pay printed on your slip doesn't match this sum, a deduction is missing from the breakdown. Ask HR which one.

Why is PF 12% of basic, or sometimes just ₹1,800?

EPF is 12% of your basic salary, and your employer adds a matching amount that doesn't appear in your take-home. Employers may instead calculate PF on the statutory wage ceiling of ₹15,000, which caps your contribution at ₹1,800 a month. Both are legal. The cap raises your take-home today but builds a smaller retirement fund.

How do I know if my employer is deducting the right tax?

Multiply this month's TDS by 12 and compare it with your estimated tax for the year. A big gap usually means one of these:

Your employer is using a different regime from the one you'll file under.
You haven't submitted investment proofs yet, so more tax is being held back.
You joined mid-year, or a bonus is coming that isn't on this slip.

Over-deduction comes back as a refund when you file. Under-deduction means you'll owe tax, so it's better to fix it early.

How do I check my slip in one step?

Open the Salary Slip Analyzer.
Upload your slip as a PDF, or type in the figures.
See whether it adds up, your take-home share, your PF, and whether your TDS is too high, too low or about right.