Free tool · Updated October 2026
NSSF Calculator 2026: Tier I and Tier II Contributions
Find your NSSF deduction and your employer’s matching contribution under the NSSF Act rates that took effect on 1 February 2026.
The NSSF Act is being phased in over five years. Every February the earnings limits rise, so your deduction may have changed even if your salary did not.
How NSSF is calculated
Both you and your employer pay 6% of your pensionable pay. Tier I covers pay up to the Lower Earnings Limit of KSh 9,000 (max KSh 540 each). Tier II covers pay between KSh 9,001 and the Upper Earnings Limit of KSh 108,000 (max KSh 5,940 each). Anyone earning KSh 108,000 or more pays the maximum KSh 6,480, and the total paid into NSSF is KSh 12,960 a month.
| Phase | Lower limit | Upper limit | Max employee |
|---|---|---|---|
| Year 3 (Feb 2025) | 8,000 | 72,000 | 4,320 |
| Year 4 (Feb 2026) | 9,000 | 108,000 | 6,480 |
Need your statement? See Business Radar’s guide to checking your NSSF statement and registration, and when you can claim NSSF benefits.
Rates used and sources
| Item | Rate | Effective |
|---|---|---|
| PAYE bands (monthly) | 10% on first 24,000; 25% on next 8,333; 30% on next 467,667; 32.5% on next 300,000; 35% above 800,000 | 1 July 2023 (Finance Act 2023), unchanged by Finance Act 2025 and 2026 |
| Personal relief | KSh 2,400 per month | Since 1 January 2018 |
| Insurance relief | 15% of premiums, max KSh 5,000 per month | Income Tax Act s.31 |
| NSSF (Year 4) | 6% employee + 6% employer; Lower Earnings Limit KSh 9,000, Upper Earnings Limit KSh 108,000 (max KSh 6,480 employee) | 1 February 2026 (NSSF Act, Third Schedule) |
| SHIF | 2.75% of gross pay, minimum KSh 300, no cap; fully tax-deductible | 1 October 2024; deductible from 27 December 2024 |
| Affordable Housing Levy | 1.5% employee + 1.5% employer; fully tax-deductible | Affordable Housing Act 2024; deductible from 27 December 2024 |
Sources: KRA – Pay As You Earn; NSSF Notice to Employers – Year 4 (2026) rates; KPMG Kenya tax alert on NSSF Phase 4; PKF Kenya 2025/26 Quick Tax Guide (SHIF, AHL and insurance relief). Rates checked October 2026. This tool gives estimates; your employer’s payroll is the final word.
Frequently asked questions
What is the maximum NSSF deduction in 2026?
KSh 6,480 per month for the employee, matched by KSh 6,480 from the employer, from 1 February 2026.
Is NSSF tax-deductible?
Yes. NSSF contributions are deducted from your pay before PAYE is calculated, together with any registered pension contributions up to KSh 30,000 a month.
Will NSSF go up again?
The NSSF Act sets a five-year phase-in. Year 5 begins in February 2027, when the upper limit is set to move to a multiple of the national average earnings.
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