Jan 31, 2024 1 min read

Kenya – 2024 National social security fund ceiling changes

Changes in lower & upper earnings limits

In accordance with the Third schedule of the NSSF Act No. 45 of 2013, the lower earnings limit and the upper earnings limit shall increase year-on-year as depicted in the table below.

YearLower Earning LimitUpper Earnings Limit
1 (2023)6,000.0050% of national average earnings
2 (2024)7,000.001 times national average earnings
3 (2025)8,000.002 times national average earnings
4 (2026)9,000.003 times national average earnings
5 (2027 onwards)Average statutory minimum monthly basic wage4 times national average earnings

With effect from 1 February 2024, the new NSSF ceiling amounts will be KES 7,000.00 for the lower earnings limit and KES 36,000.00 for the upper earnings limit. The contribution remains constant at 6% of pensionable earnings.

The impact of the update is shown below:

Pensionable
Earnings
Tier I Employee
Contribution
Tier I Employer
Contribution
Tier II Employee
Contribution
Tier II Employer
Contribution
3,000.00180.00180.000.000.00
7,000.00420.00420.000.000.00
20,000.00420.00420.00780.00780.00
36,000.00420.00420.001,740.001,740.00
40,000.00420.00420.001,740.001,740.00

Please contact your Mercans’ services delivery team for any additional information regarding the implications of the above change

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Kenya NSSF Update 2024: New Earnings Limits and Pension Contributions Revealed
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