Come February 2024, employees across Kenya will notice changes in their pay-slips as the National Social Security Fund (NSSF) implements new contribution rates. These adjustments are a part of a gradual increment initiated last year and will affect workers across various salary scales.
Key Changes in NSSF Contributions:
- Lower Earnings Limit Increase:
- The lower earnings limit for pensionable salary has been raised from Ksh.6,000 to Ksh.7,000.
- Employees within this category will contribute Ksh.420, up from the current Ksh.360.
- Upper Earnings Limit Adjustment:
- The Upper Earnings Limit has been elevated to Ksh.29,000 from Ksh.18,000.
- Most workers will now contribute Ksh.1,740, up from Ksh.1,080.
- Employer Contributions:
- Employers will continue to match these contributions, consistent with the existing practice.
- Effective Period:
- These new contribution rates will be effective until the next review in January 2025.
Impact on Different Salary Scales:
The table below provides a snapshot of how the new NSSF contributions will impact workers across different salary scales:
| Salary Scale | Current Contribution | New Contribution |
| 10,000 | 600 | 600 |
| 18,000 | 1,080 | 1,080 |
| 20,000 | 1,080 | 1200 |
| 30,000 | 1,080 | 1800 |
| 36,000 | 1,080 | 2160 |
| 50,000 | 1,080 | 2160 |
| 100,000 | 1,080 | 2160 |
Implementation and Remittance:
- Employers are reminded to implement these new deductions starting February 2024.
- Contributions should be remitted to the Fund by the 9th day of each subsequent month.
- Employers are encouraged to seek clarification, and the dedicated NSSF team is ready to support compliance with the NSSF Act.
Acknowledgment and Compliance:
NSSF expresses gratitude to employers who have consistently remitted contributions since the operationalization of the NSSF Act in 2013. The adjustments aim to strengthen social security provisions and ensure the financial well-being of workers.