Hi Fishes,

I need help in figuring out the maximum tax I can save on this offer. Also, I am a little confused about the special allowance part. Will that be the part of my salary?

Any help would be appreciated.

In case you want to know-
YoE - 2.9
CCTC - 9.5 LPA
Role: Front End Angular developer.

TIA

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You are currently posting as works at

Hello, yes you can
A few variable factors are:
1. Education loan interest
2. Home loan interest
3. Housing rent

Your tax liability will be highly affected by this, apart from this, I would recommend the following:
1. Do 1.5 lac investment in 80C
2. Buy a health insurance policy, which would have some additional tax savings over 80C
3. Most important: Check if your employer offers corporate NPS, while you can save an additional 50000 in tier 1 NPS, the limits are up to 100000+ for corporate NPS accounts.

In addition to these, 50000 will be standard deduction, and any donations made to 80G charities will be tax deductible.

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there's tax exemption no limit to employer's contribution to nps right?

contribute 10% of basic salary each month to get deduction above 80c and 50k employee nps limit

Assuming you do 50k NPS and 25k health insurance,
Your tax liability would be 13750/month (15.5L - 0.5L SD - 1.5L 80C - 0.5L NPS - 0.25L Health - 1L rent) = 11.75L
Assuming your employee PF is also 7750 INR and 200 INR professional tax, your in hand should be about 107467 INR

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Thank you so much. I really appreciate the help🫡

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