Why Do Recruiters Ask for Your Current and Expected CTC?
Ever wondered why recruiters ask about your current and expected CTC? Here's the real reason behind it, and what it means for your next job move.
Hi there,
If you've ever applied for a job in India, you've probably been asked this:
"What’s your current CTC?"
"What’s your expected CTC?"
And if you’ve ever wondered why that’s always part of the first few conversations, this one’s for you.
Let’s break it down.
Why Do Recruiters Ask for Current CTC?
Because it gives them a rough idea. CTC (Cost to Company) is still one of the most common ways to talk about salary in India, even though it can be confusing.
Recruiters ask for your current CTC for a few reasons:
To check if you fit within the company’s salary budget
To understand if you're currently overpaid, underpaid, or at market level
To make a quick decision on whether to move forward
Sometimes, to offer just a little more than your current salary instead of what the role is truly worth
This approach isn’t perfect:
It can hurt people who are already underpaid
It can lock you into a number before you understand the full scope of the role
It focuses more on where you are now than what value you bring
Still, many companies follow this method because it helps them move faster and avoid long back-and-forth conversations later.
Why Ask for Expected CTC?
Because hiring isn’t just about matching skill.
It’s also about alignment.
A candidate expecting ₹50L when the budget is ₹30L is unlikely to move forward. Recruiters ask for expected CTC to avoid wasting time, to prepare for internal discussions if they want to stretch the budget, and to assess whether expectations are in line with the role and company size.
Sometimes candidates overestimate their market value. Sometimes they underestimate it. Either way, recruiters want clarity early.
Why Does This Matter So Much?
Filling a senior tech or product role in India can take 3 to 6 months.
If that person leaves in 90 days, it can take another 6 months to fill the gap.
That’s a full year of disruption. Delayed product launches. Lost business impact. Internal friction.
Recruiters ask about CTC early because the cost of a bad or mismatched hire is huge, especially for lean teams.
Is This Changing?
Yes, but slowly.
Some companies now avoid asking for current CTC altogether.
Some disclose their budget upfront.
Some benchmark offers purely on skill, not history.
But most still default to this question because it helps make quicker decisions in a market where speed matters.
What Can You Do?
If you're a candidate, be honest. But feel free to say something like:
"Here’s my current comp, but I’m looking for something that reflects the scope and value I bring."
If you're a recruiter or hiring manager, start with your budget:
"We're hiring for a role at around ₹X. Would that be in your range?"
Clear conversations build trust. And trust leads to better hires.
Final Takeaways
Recruiters ask for current and expected CTC to filter and align early because hiring is expensive and slow.
While it’s not always fair, it helps reduce mismatches in a high-stakes environment.
More companies are starting to adopt transparent, skills-based compensation models, but the shift will take time.
Thanks for reading! I’m currently hiring for 40+ engineering positions across top startups in India. Explore open roles here.
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