Tax Guide

How to structure your salary to save ₹1 lakh every year — legally.

"My HR says my CTC is ₹15 lakhs. How do I maximise my take-home salary?"

Your CTC is an amount fixed between you and your organization. However, how this CTC is structured, whether it is structured with basic, HRA, NPS, and reimbursements will decide how much of it will reach you after tax deductions.

Four biggest restructuring steps one can take under the new regime: (1) Increase employer's NPS contribution to 14% of basic salary - results in saving of Rs 18,000-Rs 42,000 depending on the salary; (2) Include meal vouchers worth Rs 31,200 p.a. in tax-free form; (3) Ask for company laptop instead of laptop allowance; (4) Opt for WFH allowance wherever possible.

None of these involve increasing your salary.

These involve restructuring your CTC with your HR team.

What the law says — exact provisions

Section 80CCD(2)

Employer NPS up to 14% of basic+DA deductible in new regime. Most impactful legal saving.

Rule 3(7)(iii)

Meal vouchers: ₹50/meal × 2/day tax-free. Annual saving: ₹31,200.

Rule 3(7)(vii)

Laptop/computer provided by employer: zero perquisite value. Must be employer's asset.

Section 10(14)(i)

Official duty allowances actually incurred: fully exempt. Documentation required.

CA Rishabh's verdict

Bottom line

Write to HR requesting: (1) Add employer NPS 10–14%, (2) Add ₹2,600/month meal vouchers, (3) Company laptop instead of allowance. Do this in April for the full year benefit.