NSSF Contribution Rates - Quartet Consulting

Employers' National Social Security Fund (NSSF) Contributions:

Last reviewed – 26 February 2025

The NSSF Act 2013 introduced a mandatory pension scheme with enhanced contributions for employees in Kenya. While its implementation was delayed due to legal challenges, it was upheld by the Court of Appeal on 3 February 2023 and took effect in February 2023.

NSSF Contribution Rates

Total contribution: 12% of pensionable earnings, shared equally between the employer (6%) and the employee (6%).
Pensionable earnings: The lower of an employee’s monthly salary or the Upper Earnings Limit (UEL).

Graduated Contribution Limits

Year	Lower Earnings Limit (LEL)	Upper Earnings Limit (UEL)	Maximum Contribution
Feb 2023	KES 6,000	KES 18,000	KES 2,160
Feb 2024	KES 7,000	KES 36,000	KES 4,320
Feb 2025	KES 8,000	KES 72,000	KES 8,640

The maximum monthly contribution of KES 8,640 will apply to employees earning above KES 72,000, equally split between employee (KES 4,320) and employer (KES 4,320).

Tier I & Tier II Contributions

NSSF contributions are categorized as follows:

Tier I: Contributions on earnings up to KES 8,000 (LEL). Max: KES 960 (shared 50/50).
Tier II: Contributions on earnings between KES 8,000 – KES 72,000. Max: KES 7,680 (shared 50/50).

Opt-Out for Tier II Contributions

Employers may opt-out of paying Tier II contributions into the NSSF and instead remit them to an approved private pension scheme.

Application must be submitted to the Retirement Benefits Authority (RBA) at least 60 days before opting out.

Employers' National Social Security Fund (NSSF) Contributions:

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