About the Moonlighting Income Calculator
What is the Moonlighting Income Calculator?
Money from a side income is added to your salary and taxed at your marginal rate. This calculator works out the extra tax and what you keep.
Freelance professional income can be taxed on a presumptive basis (50% of receipts) under Section 44ADA, or on actual profit after expenses.
How to use the Moonlighting Income Calculator
- Annual Salary – Gross (₹) (sample: 15,00,000)
- Side Income per Year (₹) (sample: 3,00,000)
- Side Business Expenses per Year (₹) (sample: 50,000)
- Tax Method for Side Income (sample: Presumptive 44ADA – 50% of receipts)
- Press Calculate Side Income After Tax (results also refresh as you type). The result card shows the Side Income After Tax, along with Extra income tax, Effective tax on side income, Per month after tax and Check your contract.
Formula used
Extra tax = Tax(Salary + Side income) − Tax(Salary)
- Side taxable income = 50% of receipts (44ADA) or receipts − expenses
Tax follows FY 2025-26 rules: under the new regime, taxable income up to ₹12 lakh (₹12.75 lakh of salary) pays no tax.
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Annual Salary – Gross (₹) | 15,00,000 |
| Side Income per Year (₹) | 3,00,000 |
| Side Business Expenses per Year (₹) | 50,000 |
| Tax Method for Side Income | Presumptive 44ADA – 50% of receipts |
| Result | Value |
|---|---|
| Side Income After Tax | ₹2,26,600 |
| Extra income tax | ₹23,400 |
| Effective tax on side income | 7.8% |
| Per month after tax | ₹18,883 |
| Check your contract | Many employment contracts restrict outside work – get written permission |
Tips for using the Moonlighting Income Calculator
- Check your employment contract and company policy before taking outside work.
- Keep side-income bank transactions separate for easier accounting.