Compare Two Job Offers
Two offers with the same headline CTC can result in drastically different monthly take-home pay. Enter each offer's structure below for an independent head-to-head breakdown.
Side-by-Side Compensation Structure
Compare Offer A and Offer B on the exact same line. Live calculations update instantly.
| Payroll Parameter | Offer A | Offer B |
|---|---|---|
| Annual Headline CTC Total annual cost to company (₹) | ₹ | ₹ |
| Basic Salary Ratio Determines PF & Gratuity allocation | ||
| Target Variable Bonus Annual performance bonus portion (₹) | ₹ | ₹ |
| Expected Bonus Realization Conservative payout realization | % | % |
| PF Deduction Policy Statutory ₹25k cap vs Full Basic 12% | ||
| Income Tax Regime Income-tax Act, 2025 | ||
| ⚡ Estimated Monthly In-Hand Estimated net cash credited to bank | ₹1,13,288 | ₹94,215 |
| Guaranteed Fixed Cash (Annual) Annual take-home excluding variable | ₹14,94,000 | ₹13,82,000 |
| Annual Income Tax (TDS) Estimated income tax withholding | ₹1,62,400 | ₹1,48,200 |
Detailed Head-to-Head Metrics
| Metric | Offer A | Offer B | Net Advantage |
|---|
The Variable Pay Mirage
A ₹24 LPA offer with ₹6 LPA variable often pays significantly less monthly in-hand than a ₹20 LPA 100% fixed offer. Guaranteed cash always wins for monthly EMIs and SIP investments.
PF Ceiling Impact (Sep 2026)
Under EPFO's updated ₹25,000/mo statutory wage ceiling, employee PF is capped at ₹3,000/mo. If an employer mandates PF on full basic salary, deductions can jump to ₹9,600/mo, cutting your immediate take-home.
Gratuity 5-Year Reality
Companies lock ~4.81% of basic salary into CTC as gratuity. Under the Payment of Gratuity Act, you forfeit this entirely if you leave before 5 continuous years of service.
📘 In-Depth Regulatory Guide: How to Evaluate Two Job Offers in India Read Full Analysis
It is extremely common in corporate India for a candidate to accept an offer with a 20% higher CTC, only to discover on their first payday that their actual monthly bank credit is lower than their previous role!
Key Components That Distort Headline CTC
- Variable Pay & Performance Bonuses: Some companies allocate 20% to 35% of CTC to variable bonuses. If team performance or company EBITDA targets are missed, your payout can drop to 60% or zero.
- PF Policy (Statutory Cap vs Full Basic): Under the EPFO rules updated 17 September 2026, the statutory wage ceiling is ₹25,000/mo (deducting ₹3,000 employee + ₹3,000 employer = ₹6,000/mo). If an employer mandates PF on full basic salary (e.g. ₹80,000/mo), ₹9,600 is deducted on both sides (total ₹19,200/mo), slashing your immediate monthly bank credit.
- Gratuity Provisions: Companies include ~4.81% of your basic salary in the CTC as a gratuity accrual. However, under the Payment of Gratuity Act, 1972, you only receive this money if you remain with the company for at least 5 continuous years.
Frequently Asked Questions
Should I pick an offer with ₹20 LPA fixed or ₹24 LPA with ₹6 LPA variable?
In almost all cases, ₹20 LPA fixed is financially superior. ₹20 LPA guaranteed fixed cash gives steady, reliable monthly in-hand cash for EMIs and SIP investments. An offer with ₹18 LPA fixed + ₹6 LPA variable produces lower monthly bank credit and carries payout risk.
How does employer NPS affect offer comparison?
Under Section 124 of the Income-tax Act, 2025, employer contributions to NPS up to 14% of basic are tax-exempt under the New Regime. If one company offers corporate NPS and the other does not, it can save thousands in income tax.