NSSF NEW RATES 2025

National Social Security Fund (NSSF) contribution rates, which will take effect on February 1, 2025. These adjustments are part of the government’s ongoing efforts to enhance social security provisions for all salaried Kenyan employees. These changes are put into practice through the NSSF Act of 2013 to achieve better social security outcomes for Kenyan employees.

Important Updates:

• Contribution Rates: Employees must contribute 6% of their monthly salary to NSSF but employers must match these contributions so the monthly total effectively reaches 12%.

• The set salary limits have received a nationwide increase. According to newly implemented rules the minimum contribution raised to Ksh 8,000 and maximum contribution increased to Ksh 72,000. The new rules dictate that payroll contributions will apply proportionately to salary amounts spanning from Ksh 8,000 to Ksh 72,000 for all staff in this income bracket.

• Increased Deductions: Monthly NSSF payments for an employee earning Ksh 80,000 monthly will experience a complete pay increase from Ksh 2,160 all the way to Ksh 4,320.

• Payroll Adjustments: The update of payroll systems by employers becomes necessary to fulfill legal requirements as well as reflect the modified payment rates. Employees should anticipate receiving fewer funds in their take-home payments owing to the larger tax deductions.