Overview
Under the NSSF Act No 45 of 2013, implementation of the fourth phased enhancement of NSSF contribution rates came into effect in February 2026.
Detailed Analysis
The maximum combined contribution from both employer and employee has now increased from Kes 8,640 to Kes 12,960. For employees whose earnings have not increased in 2026, beyond the Kes 72,000, no change in contribution is expected. The first enhancement occurred in February 2023 with the last enhancement expected in February 2027.
| Phase | Effective Date | Lower Earnings Limit (Tier I) | Upper Earnings Limit (Tier II) | Max Combined Contribution (Emp. + Empr.) |
|---|---|---|---|---|
| Year 1 | Feb 2023 | Kes 6,000 | Kes 18,000 | Kes 2,160 |
| Year 2 | Feb 2024 | Kes 7,000 | Kes 36,000 | Kes 4,320 |
| Year 3 | Feb 2025 | Kes 8,000 | Kes 72,000 | Kes 8,640 |
| Year 4 | Feb 2026 | Kes 9,000 | Kes 108,000 | Kes 12,960 |
Next steps
Employers are expected to review their payroll systems and budgets against this new scale to ensure that their contributions to NSSF for the months of February 2026 are accurate.
Disclaimer: This update is meant to highlight the recent changes in the statutory and regulatory environment in the Country. It should not be considered as a substitute for professional advice. We advise that you seek professional advice on areas that may be of importance to you.
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