Kenya PAYE Tax Calculator (Using Rates Effective Feb. 2025)
At A&A, we believe in relevant, convenient and up-to-date solutions for all our clients’ needs. Sample our FREE monthly income tax calculator below and talk to us today for your various tax compliance & advisory needs.
Points to Note:
- The Old NSSF rates were effective upto the payroll month Jan. 2023. The New NSSF rates took effect from Feb. 2023, after the determination of a pending court case. Effective 1st February 2025, the NSSF LEL increases from KES. 7,000 to KES 8,000 and the NSSF UEL increases from KES. 36,000 to KES 72,000
- As at 01.10.2024, the SHIF amount deducted in this computation is based on SHIF rates which took effect from 01.10.2024, at 2.75% of monthly gross pay and subject to a minimum monthly contribution of KES. 300. The previous NHIF rates were effective from 01.04.2015 to 30.09.2024: https://bit.ly/3tdkO9c
- On 19.03.24, the Kenya Affordable Housing Act, 2024 was enacted into law, introducing a Housing Levy, deducted at 1.5% of the employee’s gross monthly pay, with the employer 100% matching the employee’s contribution as part of the total monthly levy contributions, effective the PAYE period March 2024.
- Effective 01.12.24, Reliefs ONLY include a Monthly Personal Relief of Kshs 2,400. The previously applicable SHIF Relief of 15% of an individual’s SHIF contribution, plus the 15% tax relief to Kenyan tax residents who have paid the affordable housing levy, were both repealed by the Kenya Tax Laws (Amendment) Act, 2024.
- Allowable pension contributions other than NSSF (including NSSF contributions other than the statutory amount), mortgage interest on owner-occupier property, insurance relief, deductible contributions to a post-retirement medical fund, contributions to Home Ownership Savings Plans (HOSPs) (defunct as per Kenya Finance Act 2020), amongst others, have particular treatments in this PAYE computation. Feel free to contact us if you have queries on such applicable cases.
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