Kenya Finance CalculatorGuides / Salary Tools
SHIF Contribution Kenya 2026: How the 2.75% Works
5 min read · Updated 15 October 2026 · More salary tools
The Social Health Insurance Fund (SHIF) replaced NHIF as Kenya's national health cover. It is funded through a contribution calculated as a percentage of your gross salary.
This guide explains how the contribution is worked out and how it affects your monthly take-home pay.
How the SHIF contribution is calculated
The calculator applies a rate of 2.75% of gross salary with no upper cap, so the contribution rises in line with your pay.
| Gross monthly salary | SHIF contribution (2.75%) |
|---|---|
| KSh 20,000 | KSh 550 |
| KSh 30,000 | KSh 825 |
| KSh 50,000 | KSh 1,375 |
| KSh 100,000 | KSh 2,750 |
| KSh 200,000 | KSh 5,500 |
Good to know: SHIF is an allowable deduction before PAYE, so it lowers both your take-home pay and your taxable income.
SHIF vs NHIF
- NHIF used a fixed contribution table based on income bands.
- SHIF uses a percentage of gross salary, which generally means higher earners contribute more.
- Both provide national health cover, but the calculation method differs.
Effect on net salary
Because SHIF is deducted from gross pay and is also allowable before tax, it has a two-part effect: it reduces your pay directly and it slightly reduces the tax you owe. Use the gross to net calculator to see the combined result with NSSF and the Affordable Housing Levy.
Quick Answers
SHIF Contribution Kenya 2026 (2.75%) FAQs
What percentage is SHIF in Kenya?
The calculator uses 2.75% of gross monthly salary for the SHIF contribution.
Is SHIF deductible before PAYE?
Yes. SHIF is treated as an allowable deduction, so it reduces taxable pay before PAYE is applied.
Is there an upper cap on SHIF?
This calculator applies the 2.75% rate without an upper cap, so higher salaries lead to higher contributions.