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NSSF Year 4 Contribution Rates in Kenya (Employee & Employer)
5 min read · Updated 15 October 2026 · More salary tools
The National Social Security Fund (NSSF) is Kenya's statutory pension scheme. Contributions are split between the employee and the employer and are calculated on pensionable pay using two tiers.
This guide explains how the Year 4 rates work, including the Tier I limit, the upper earnings limit and the maximum monthly contribution for both sides.
NSSF Year 4 tiers at a glance
- Tier I: pensionable pay up to KSh 9,000.
- Tier II: pensionable pay from KSh 9,001 up to the upper limit of KSh 108,000.
- Employee contribution rate: 6%.
- Employer contribution rate: 6%.
Good to know: Contributions are calculated on pensionable pay, which is normally your gross salary excluding non-pensionable allowances.
Maximum NSSF contribution
The calculator uses a Tier I limit of KSh 9,000 and an upper earnings limit of KSh 108,000. Anything above the upper limit is not pensionable for NSSF purposes.
Maximum monthly NSSF contribution
| Tier | Pensionable pay | Employee 6% | Employer 6% |
|---|---|---|---|
| Tier I | Up to KSh 9,000 | KSh 540 | KSh 540 |
| Tier II | KSh 9,001 – 108,000 | Up to KSh 5,940 | Up to KSh 5,940 |
| Total maximum | KSh 108,000 | KSh 6,480 | KSh 6,480 |
NSSF contribution examples
Because the rate is flat at 6% up to the upper limit, the employee contribution equals 6% of gross pay until the KSh 108,000 ceiling is reached.
| Gross monthly pay | Employee NSSF | Employer NSSF |
|---|---|---|
| KSh 20,000 | KSh 1,200 | KSh 1,200 |
| KSh 50,000 | KSh 3,000 | KSh 3,000 |
| KSh 108,000 | KSh 6,480 | KSh 6,480 |
| KSh 150,000 | KSh 6,480 (capped) | KSh 6,480 (capped) |
Why NSSF lowers your PAYE
The employee NSSF contribution is an allowable deduction before PAYE, so it reduces your taxable pay as well as your take-home pay. The employer contribution is an additional cost on top of your gross salary and does not reduce your net pay.
Quick Answers
NSSF Year 4 Contribution Rates Kenya FAQs
What is the maximum NSSF contribution in Kenya?
Using the Year 4 tiers, the maximum monthly contribution is KSh 6,480 for the employee and KSh 6,480 for the employer, based on an upper earnings limit of KSh 108,000.
Is NSSF calculated on gross or basic salary?
NSSF is calculated on pensionable pay, which is normally the pensionable part of your gross salary and excludes non-pensionable allowances.