What are the statutory deductions in Kenya in 2026?

Every Kenyan employer must deduct and remit PAYE (income tax on graduated bands), NSSF (6% of pensionable pay up to KES 108,000, matched by the employer), SHIF (2.75% of gross, minimum KES 300), and the Affordable Housing Levy (1.5% of gross, matched by the employer). All are remitted by the 9th of the following month.

When are Kenyan statutory deductions due?

PAYE, NSSF, SHIF and the Affordable Housing Levy are all due by the 9th of the month following the payroll month. Late remittance attracts penalties and interest from each authority.

Which laws govern employment in Kenya?

The main statutes are the Employment Act 2007, the Labour Relations Act 2007, the Occupational Safety and Health Act 2007, the Work Injury Benefits Act, and the Data Protection Act 2019, alongside the statutory schemes for PAYE, NSSF, SHIF and the Housing Levy.

Free Resource · Updated for 2026

Kenya HR Compliance Hub

Everything a Kenyan employer needs to stay compliant in 2026 — the current statutory rates, a live PAYE calculator, a remittance calendar, and plain-English guides to the Employment Act 2007, NSSF, SHIF, the Housing Levy, leave, discipline and termination. Bookmark this page; we keep it current as the law changes.

2026 statutory rates at a glance

6%NSSF each side, to KES 108,000 (max 6,480)

2.75%SHIF of gross (min KES 300)

1.5%Housing Levy, matched by employer

10–35%PAYE graduated bands

KES 2,400Personal relief per month

Tools & calculators

Interactive tools to get the numbers right the first time.

PAYE & Net Pay CalculatorEnter gross pay → PAYE, NSSF, SHIF, Housing Levy and take-home, instantly.

Free HR TemplatesContracts, letters, forms and checklists to download.

Full Payroll GuideEverything you must deduct and remit, step by step.

HR & Labour Law GlossaryPlain-English definitions of the terms that matter.

HR Compliance ChecklistA printable checklist to self-audit your compliance.

Payroll & statutory deductions

The four mandatory deductions and how each is calculated in 2026.

NSSF Rates 2026New Tier I & II limits, maximum contributions.

SHIF Explained2.75% health deduction that replaced NHIF.

Affordable Housing Levy1.5% + 1.5%, deadlines and penalties.

Minimum Wage 2026New rates by location and job category.

Contracts, hiring & onboarding

Employment ContractsEssential clauses for a compliant contract.

Casual vs PermanentClassification and the risk of getting it wrong.

Probation PeriodsMaximum length, notice and rights.

OnboardingA compliant checklist from day one.

Leave & time off

Leave EntitlementsAnnual, sick, maternity and paternity leave.

Maternity & Paternity90 days and 14 days, pay and obligations.

Discipline, termination & disputes

Terminating LegallyValid reasons, fair procedure, notice.

Redundancy ProcedureNotice, fair selection and final dues.

Employee RelationsGrievances, discipline and investigations.

Policies, safety & data

HR PoliciesThe policies every business needs.

Employee HandbookWhat a Kenyan handbook should include.

Workplace Safety (OSHA)OSHA 2007 duties and DOSHS registration.

HR AuditFind and fix compliance gaps.

Kenya statutory remittance calendar

The recurring monthly deadlines every employer must hit. Miss them and penalties and interest apply.

Deduction	Remit to	Deadline
PAYE	KRA (iTax)	9th of the following month
NSSF	NSSF	9th of the following month
SHIF	Social Health Authority	9th of the following month
Affordable Housing Levy	KRA	9th of the following month (working day)

General guidance kept current with published rates; not tax or legal advice. Last reviewed July 2026.

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