career2026-07-163 min read

CTC vs Gross Salary vs Net Salary: Differences

Understand the critical differences between Cost to Company (CTC), Gross Salary, and Net Take-Home Salary. Stop getting confused by job offers.

Understanding salary structures is vital during salary negotiations. Let's define the terms:

CTC (Cost to Company): The total amount a company spends on you per year, including PF, gratuity, and office facilities.
Gross Salary: CTC minus gratuity and employer PF contribution. This is your salary before tax and employee PF deductions.
Net Salary: The actual cash you receive in your account (Gross minus TDS, PT, and PF).

Evaluate your salary structure using our Salary Calculator tool.