Q. What is NSSF?
The National Social Security Fund (NSSF) core mandate is to provide basic financial security benefits to Kenyans upon retirement in the both the formal and informal sectors of the economy. NSSF pension contribution are based on an individual's gross income, the Upper Earning Limit (UEL) is KSh 18,000 while the Lower Earnings Limit (LEL) is KSh 6,000. The pension contribution is 12% of the pensionable wages made up of two equal portions of 6% from the employee and 6% from the employer subject to an upper limit of KSh 2,160 for employees earning above KSh 18,000. The employee contribution shall be drawn directly from his salary and wages while the employers contribution shall come directly from the employer. The contributions relating to the earnings below the LEL of the earnings (a maximum of KSh 720) is credited to Tier I account while the balance of the contribution for earnings between the LEL and the UEL (up to a maximum of KSh 1,440) is credited to Tier II account.
Q. NSSF Contributions Rate
|Employee Earnings||Pensionable Earnings||Tier I Pensionable Earnings||Tier I Employee Deduction||Tier I Employer Contribution||Tier I Total Contribution||Tier II Pensionable Earnings||Tier II Employee Deduction||Tier II Employer Contribution||Tier II Total Contribution||Total Pension Contribution|