Indian Labour Codes 2026 CTC & Salary Compliance Calculator

State-wise Minimum Wages · Section 2(y) Live Check · Floor Wage Provision · All Labour Codes · Pan-India Ready

Code on Wages 2019 Code on Social Security 2020 OSH Code 2020 IR Code 2020 Floor Wage — Sec 9 28 States · 8 UTs
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Floor wage, Section 9, Code on Wages 2019: not yet notified
Section 9 lets the Central Government fix a national floor wage below which no state may set its minimum wage. As of 17 October 2026 no floor wage has been notified, so the compliance check below is against the state minimum wage only. The central sphere rate (₹840/day unskilled, Area A, from 1 October 2026) applies only to establishments under central authority. It is not a floor for state employers.
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✅Compliance Check
₹Deductions
⚖️Employer Cost
🗺️State Min Wages
🏛️Floor Wage
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Employee Details
Employee Name
Optional
State / UT
Auto-loads notified min wage
Wage Category
Determines min wage
Employee Type
Notified Min. Wage (Auto)
State + category lookup
₹13,403
Floor wage (Sec 9)
Not yet notified
Not notified
Offered CTC — Annual
Annual CTC (₹)
Enter total employer cost
Monthly Gross
CTC ÷ 12 (auto)
₹50,000
Salary Structure  Blue Col = Auto Yellow Col = Your Input
ComponentAuto ₹/moYour InputStatus
Wages — Sec 2(y) Code on Wages 2019 · Basic+DA+OT · Must be ≥ 50% of Gross
1. Basic Salary
Core wage · auto = 50% of gross
₹25,000
50.0%
2. Dearness Allowance (DA)
Part of wages · optional
₹0
Optional
3. Overtime Allowance
Wages · included in Sec 2(y) test
₹0
If appl.
Excluded Allowances — must not collectively exceed 50% of Gross
4. HRA
Auto: 20% of gross
₹10,000
20.0%
5. Conveyance Allowance
Actual amount paid — enter if applicable
₹0
Optional
6. Medical Allowance
Actual amount paid — enter if applicable
₹0
Optional
7. Special Allowance
Auto: balance
₹12,150
Balance
8. Other Allowances
Education / Food / Other
₹0
Optional
Gross Salary — Monthly
₹50,000
Wages % of Gross
50.0%
Required ≥ 50%
Excluded % of Gross
50.0%
Ceiling: 50%
Adjusted Wages
₹25,000
EPF / Gratuity base
Min Wage Surplus
₹25,196
Above state minimum wage
Floor Wage Check
OK
Sec 9 — Code on Wages
Section 2(y) — Code on Wages 2019 — 50% Wage Floor
Effective Gross
₹50,000
Wages (Basic+DA+OT)
₹25,000
Excluded Allowances
₹25,000
50% Cap
₹25,000
Excess → added to wages
₹0
Adjusted Wages (Post-Code)
₹25,000
✓COMPLIANT — Wages 50.0% of Gross (≥ 50%) · Section 2(y) Code on Wages 2019
Min. Wage + Floor Wage Compliance — Punjab
State Notified Min. Wage
₹13,403
Floor wage (Sec 9)
Not notified
Effective minimum (state rate; no floor notified)
₹13,403
Actual Gross Paid
₹50,000
Surplus / (Deficit)
₹25,196
○Enter CTC to check
Floor wage rule (Sec 9): once the Central Government notifies a floor wage, a state minimum wage below it has to be revised up to it. None has been notified yet, so the state rate is the threshold. When one is notified, this calculator will apply whichever is higher.
Net In-Hand — Monthly
₹49,795
Annual: ₹5,97,540
99.6%
of Gross
Total Deductions
₹205
0.4% of gross
PF Wages (Basic+DA)
₹25,000
EPF/EPS base
Employee Statutory Deductions
Employee PF — 12% of Basic+DA (max ₹1,800/mo)
Employee opted out — permissible since Basic+DA > ₹25,000. Employer may also not contribute.
₹0
₹0/yr
ESI — 0.75% of Basic+DA (if Basic+DA ≤₹21,000)
ESI Act 1948 Sec 2(22) — ESI wages = Basic+DA (wages component). NIL if Basic+DA >₹21,000.
₹0
₹0/yr
LWF — Employee (State specific)
Labour Welfare Fund — employee share (Punjab ₹5)
₹5
₹60/yr
Professional Tax
PT rate: ₹200/mo if Annual Gross >₹4,00,000 (Punjab)
₹200
₹2,400/yr
TDS (Monthly Avg) ← Enter
Income Tax — enter estimated monthly average
₹0/yr
Other Deductions ← Enter
Loan / recovery (written auth. required — CoW Sec 18)
₹0/yr
Important: These are the employer's statutory obligations — separate from employee's CTC/gross. They represent additional cost over and above offered salary. NOT deducted from employee's wages.
Employer Statutory Obligations — Monthly
Obligation Legal Basis Monthly Annual
ER EPF — 12% of PF wages (upto ₹25,000) CoSS 2020 Sec 2(22) ₹1,800 ₹21,600
↳ EPS — 8.33% (within above, max ₹2,083) CoSS 2020 ₹1,250 ₹15,000
↳ ER PF — 3.67% (EPF minus EPS) CoSS 2020 ₹550 ₹6,600
EPF Admin Charges 0.50% EPF & MP Act ₹75 ₹900
EDLI 0.50% (max ₹75/mo) EDLI Scheme ₹75 ₹900
ER ESI 3.25% of Basic+DA (if ≤₹21,000) ESI Act 1948 ₹0 ₹0
Gratuity Provision 4.81% of Adj. Wages Gratuity Act/CoSS 2020 ₹1,203 ₹14,436
LWF Employer (State-specific) State LWF Act ₹20 ₹240
Bonus Provision 8.33% Bonus Act 1965 Sec 10/12 ₹583 ₹6,996
Total Monthly Employer Cost (Employer PF + Employer Admin + Employer EDLI + Employer ESI+ Gratuity + Employer LWF) ₹3,173 ₹38,076
Statutory Bonus — Payment of Bonus Act 1965
Bonus Computation Mode
(8.33% min — 20% max)
Old method: 8.33% of Basic+DA. If wages >₹21,000, compute on notional ₹7,000 (Sec 12). Employee must draw wages ≤₹21,000 to be eligible. Payable before Diwali/Puja.
₹7,000 (notional — Bonus Act Sec 12)
Min. Bonus Provision (8.33%)
₹583/mo provision
Applies to establishments ≥ 20 employees. Employee eligibility: wages up to ₹21,000/mo. Actual bonus 8.33%–20% based on allocable surplus. Minimum 8.33% shown here.
State-wise Minimum Wages — India 2026 (Latest Notifications) Showing built-in reference rates
State / UT Unskilled Semi-Skilled Skilled Highly Skilled Effective Date
Note: Rates shown are for the primary/highest zone where multiple zones exist. State governments revise min wages typically twice a year (April & October). Always verify latest notification from the respective state Labour Department. Floor wage (Sec 9, Code on Wages 2019): not yet notified as of 17 October 2026.
Floor wage, Section 9: not yet notified. Shown below: the central sphere rate
The Code on Wages has been in force since 21 November 2025, but no floor wage has been notified under Section 9 as of 17 October 2026. The figures below are the central sphere minimum wage (Area A, construction, sweeping and loading; Labour Bureau orders of 30-09-2026, in force 1 October 2026 to 31 March 2027). They bind establishments under central authority (railways, mines, ports, banks, oilfields, central PSUs) and their contractors. They are not a floor for state employers.
Unskilled
₹21,840
₹840/day
Semi-Skilled
₹24,258
₹933/day
Skilled
₹26,624
₹1,024/day
Highly Skilled
₹28,886
₹1,111/day
How Floor Wage Works — Legal Framework
Aspect Provision
Governing Section Section 9, Code on Wages 2019
Who fixes it Central Government, after consulting Central Advisory Board
Effect on States No state can fix minimum wage BELOW the central floor wage
Status Not notified as of 17 October 2026. Until it is, there is no floor to apply.
Revision frequency As determined by Central Govt. — typically linked to CPI (every 6 months to 2 years)
Central sphere rate (Oct 2026) ₹840/day unskilled · ₹933/day semi-skilled · ₹1,024/day skilled · ₹1,111/day highly skilled (Area A). Not a floor.
Monthly equivalent ₹21,840 · ₹24,258 · ₹26,624 · ₹28,886 (26-day computation)
Variable Dearness Allowance CPI-linked VDA revised by Central Govt. every April and October for inflation adjustment
Penalty for non-compliance Fine up to ₹50,000 (first offence); ₹1,00,000 + 3 months imprisonment (repeat) — Code on Wages Sec 51
This calculator Checks against the state minimum wage. It will apply the higher of state and floor once a floor wage is notified.
Why no state is flagged "below floor": there is no notified floor wage to be below. Older versions of this page compared state rates with the central sphere rate, which is a different thing and does not bind state employers.
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Frequently Asked Questions

What should Basic Pay be in a CTC structure under the new Labour Codes?
Basic + DA must be at least 50% of total CTC under the Code on Wages, effective 21 Nov 2025. Structures with Basic below 50% must add back the shortfall for PF, gratuity and other statutory calculations.

What is included in CTC?
CTC = Basic + DA + HRA + other allowances + employer PF contribution + employer ESI contribution + gratuity provisioning + any other employer cost, before any deductions.

Does a higher Basic mean higher take-home pay?
Not necessarily — a higher Basic raises PF deduction (12% of Basic, up to the ₹25,000 ceiling) and gratuity provisioning, which can reduce net take-home even as CTC stays the same.