News India Live, Digital Desk: The new financial year is going to start from April 1, 2026 and with this it is going to have a direct impact on the pockets of crores of employed people of the country. Due to the recent changes made in the salary structure and income tax rules by the Government of India, your next month’s salary slip may appear changed. While there may be a slight cut in the ‘in-hand’ salary of some employees, new tax saving options will provide relief to some. Let us understand in detail what is going to change and what effect it will have on your savings. Big change in salary structure, new mathematics of basic pay. Under the new Labor Code and amended rules of EPFO, now companies will have to keep at least 50% of the employee’s total salary as ‘Basic Pay’. Till now many companies used to give more allowances by keeping the basic salary low, due to which the PF contribution remained less. Now with the increase in basic pay, your PF and gratuity contribution will increase. This means that your savings for the future will be more, but the amount you receive every month (Take Home Salary) may be slightly less. Income tax slab and effect of the new system. According to the new guidelines of the Finance Ministry, the ‘New Tax Regime’ has been made more attractive from April 1. Now you will not have to pay any tax on annual income up to Rs 7 lakh, provided you have chosen the new system. Apart from this, the benefit of Standard Deduction has also now been included in the new tax regime. For those who were in the old tax regime till now, this is the right time to assess whether they should switch, because by default only the new regime will be applicable. Strictness on HRA and other allowances The Income Tax Department has now become more cautious about House Rent Allowance (HRA) claims. If you live in a rented house and pay more than Rs 1 lakh as annual rent, it will be mandatory to provide PAN of the landlord. Also, now the rules for evaluation of many other perquisites have also been changed. This simply means that if you used to save tax through fake rent receipt, then doing so now may prove costly for you. How to plan your budget? In view of these changes taking place from April 1, experts recommend that employees study their new salary slips closely. If your PF contribution is increasing, consider it as a safe investment. Also, instead of investing under 80C and other sections to save tax, look at the benefits of the new tax regime, because even without investing in it, you get the benefit of low tax. Companies have also started updating their payroll software so that salaries can be processed under the new rules.