National Social Security Fund (NSSF)
The rates and limits below apply from the February 2026 payroll (the fourth year of the phase-in under the NSSF Act, 2013). The limits were raised in each phase, so earlier payrolls used lower figures.
NSSF is deductible from taxable pay for computing PAYE, within the combined pension limit: see the Pension page.
Legal Reference for NSSF:
The National Social Security Fund (NSSF) Act No. 45 of 2013 was assented on 24 December 2013 and commenced on 10 January 2014. Its higher rates have been in force since February 2023, phased in over several years.
Computation guidelines (from February 2026)
The contribution is 12% of pensionable wages (see definition below), made up of two equal portions: 6% from the employee and 6% from the employer.
| Item | February 2026 |
|---|---|
| Lower Earnings Limit (LEL) | KES 9,000 |
| Upper Earnings Limit (UEL) | KES 108,000 |
| Tier I (6% of earnings up to the LEL) | KES 540 maximum each for employee and employer |
| Tier II (6% of earnings between the LEL and UEL) | KES 5,940 maximum each for employee and employer |
| Total maximum | KES 6,480 each for employee and employer (KES 12,960 combined) |
The employee contribution is deducted directly from salary and wages. The employer’s contribution comes from the employer.
Earnings above the UEL are not pensionable for NSSF. Example: pensionable earnings of KES 50,000 give Tier I of 6% × 9,000 = KES 540 and Tier II of 6% × 41,000 = KES 2,460, a total of KES 3,000 from the employee and KES 3,000 from the employer.
The limits are set under the Act and have been raised in stages. Check the NSSF website for any change after February 2026.
Pensionable Wages Definition
From The Act: “wages” include all emoluments payable to an employee under a contract of service if no deductions were made, in pursuant to any law requiring or permitting the making of any deduction or otherwise excluding fluctuating emoluments;
From The Regulations: “fluctuating emoluments” for the purposes of these Regulations means employee earnings not paid on a fixed basis, but additional to basic wage or salary and includes benefits in kind, acting allowance, special duty allowance, leave allowance, uniform allowance, equipment allowance but does not include bonuses, commissions, overtime, shift pay, house allowance and service charge.
Note (From The Regulations):
An employer may opt to bear the full burden of the mandatory contributions prescribed in Section 20 of the Act, except that in such a case the employer’s contribution shall be 12% of the employee’s monthly pensionable earnings excluding fluctuating emoluments.