The Budget 2026 isn’t just numbers—it could dramatically change how much money actually lands in your pocket every month. Imagine this: you open your next salary slip and see more take-home pay than last year, thanks to the higher basic exemption limit of ₹4 Lakh and a boost in Standard Deduction to ₹1 Lakh.
But here’s the twist: depending on whether you stick with the old regime or switch to the new, your savings could differ by tens of thousands of rupees in a year!
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If you maxed out your deductions last year, the old regime may still be your best bet.
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If you haven’t made many 80C investments or don’t claim HRA, the new regime’s lower tax slabs could put more money in your wallet without any extra effort.
This is where GrowCalculators comes to the rescue. With our Income Tax Calculator and Salary Calculator, you can instantly see:
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Your monthly take-home pay
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How much tax you’ll pay under each regime
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Which option actually saves you more money
Stop guessing and start calculating. Your Budget 2026 windfall could be just a few clicks away!
How the Budget 2026 Changes Affect Your Tax Liability
Standard Deduction Increase
The increase in the Standard Deduction from ₹75,000 to ₹1 Lakh means that salaried employees will automatically reduce their taxable income by an extra ₹25,000. This may seem small, but it directly increases your take-home salary without any additional investment.
Basic Exemption Limit Increase
Raising the basic exemption limit to ₹4 Lakh ensures that taxpayers in the lower-income bracket either pay no tax or a lower tax under both regimes. This can make a noticeable difference for individuals earning up to ₹6 Lakh annually.
Comparing Deductions vs. Lower Rates
While the old regime allows you to claim deductions like 80C or HRA, the new regime relies on lower slab rates. For many taxpayers, especially those who do not have significant 80C investments, the new regime may actually result in lower tax liability. However, for those with maximum deductions, the old regime could still be beneficial.
How to Decide Which Tax Regime Is Better for You
Instead of guessing, it’s best to calculate your tax liability using real numbers. Here’s how:
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Enter your annual salary
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Include all possible deductions (like HRA, 80C investments, and medical reimbursements)
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Compare tax liability under both old and new regimes
This is exactly where GrowCalculators’ Income Tax Calculator and Salary Calculator come in handy. You can input your current salary, investments, and deductions to find your exact take-home pay under each regime.
Use Our Calculators to Plan Your Finances
At GrowCalculators.com, we offer tools that make this process quick and accurate:
1. Income Tax Calculator
With the Income Tax Calculator, you can:
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Enter your annual salary
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Add deductions and exemptions (if choosing the old regime)
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Instantly see your tax liability for FY 2026-27
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Compare old vs. new tax regime results
2. Salary Calculator
The Salary Calculator goes a step further by showing monthly take-home pay, taking into account:
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Tax deductions
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Standard Deduction
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Professional Tax
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Proposed changes in Budget 2026
These tools are especially useful for:
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Salaried employees deciding whether to switch tax regimes
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Freelancers or consultants who want to estimate taxes quickly
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Financial planners guiding clients on investments and tax planning
Practical Example: Which Regime Saves More?
Let’s say you earn ₹10 Lakh annually and claim ₹1.5 Lakh in 80C investments:
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Old regime: Taxable income after deductions = ₹8.5 Lakh → Tax liability ≈ ₹1.2 Lakh
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New regime: Taxable income = ₹10 Lakh (no deductions) → Tax liability ≈ ₹1.15 Lakh
In this example, the new regime offers slightly lower tax and more simplicity, but your result may vary depending on your deductions.
The best way to know for your exact salary and investments is to use the calculators linked above.
Key Takeaways
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Budget 2026 introduces higher basic exemption limits and standard deduction, which can boost take-home salary.
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The Old Regime is beneficial for those with maximum deductions.
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The New Regime is simpler and may benefit those with fewer exemptions.
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Calculating exact numbers is crucial before making a decision.
Don’t guess—use GrowCalculators’ Income Tax and Salary Calculators to see your personalized results instantly.
Final Words
Budget 2026 has brought meaningful changes for taxpayers, but the key to maximizing savings lies in calculating and comparing scenarios. By leveraging online calculators, you can confidently choose the tax regime that works best for you, plan your investments, and understand how much you’ll actually take home every month
✅ GrowCalculators Tip: Always re-evaluate your tax strategy annually. With changes in exemptions, deductions, and slab rates, what worked last year may not be optimal today.