NSSF Sends Notice to Employers as New Contribution Rates Take Effect

The National Social Security Fund (NSSF) has issued a notice to employers outlining the Year 4 (2026) contribution rates in accordance with the Third Schedule of the NSSF Act (Cap 258).

The new rates take effect in February 2026 and apply to all registered employers and employees nationwide.

Revised Tier 1 Contributions

Under the Lower Earning Limit (Tier 1), the new threshold has been set at Ksh 9,000.

Employees earning at or above this amount will contribute 6 per cent of the lower limit, translating to Ksh 540.

Employers will match this with an equal contribution of Ksh 540.

This brings the maximum Tier 1 contribution per employee to Ksh 1,080 per month.

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Revised Tier 2 Contributions

For the Upper Earning Limit (Tier 2), the limit has been set at Ksh 108,000.

Contributions will be calculated at 6 per cent of the upper limit, less the lower limit, amounting to Ksh 5,940 from the employee and an equal Ksh 5,940 from the employer.

The maximum Tier 2 contribution per employee will therefore total Ksh 11,880 monthly.

Overall, the maximum monthly NSSF contribution per employee from February 2026 will stand at Ksh 12,960.

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Employers Urged to Remit on Time

NSSF has reminded employers that all remittances must be made by the 9th day of each subsequent month to avoid penalties.

“Employers are reminded that remittances to NSSF should be made by the 9th day of each subsequent month,”the notice read.

At its 8th Annual General Meeting (AGM) held on February 6, 2026, the Fund declared a 17 per cent net interest for all members for the 2024/2025 financial year.

Managing Trustee and CEO David Koross encouraged members to continue saving, noting that the strong interest rate demonstrates the Fund’s commitment to delivering enhanced benefits to contributors.

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NSSF notice to its employers concerning the new 2026 monthly deductions
PHOTO/MyGov