finance3 min read0 views11 September 2026

NSSF New Rates Kenya 2026 - How Much More You Are Paying

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MGLSHub

MGLSHub Editorial Team

Kipchoge opened his February 2026 payslip and his NSSF deduction had jumped from KES 4,320 to KES 5,940. His employer had also increased their matching contribution. Nobody had sent him a memo. He called three colleagues and they had all seen the same increase. This guide explains exactly what changed in February 2026 and what it means for your pension.

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Why NSSF Contributions Increased in February 2026

The NSSF Act 2013 introduced a five-phase increase in contributions to be implemented over five years. February 2026 marked Phase 4 of this rollout. Each phase increases the earnings limits used to calculate contributions, resulting in higher deductions for most employees. Phase 5, the final increase, is expected in February 2027.

The contribution rate itself has not changed. It remains 6% of gross salary, matched equally by the employer. What changed are the earnings limits for Tier 1 and Tier 2.

NSSF Rates February 2026

ComponentAmount (KES)
Tier 1 Lower Limit9,000
Tier 1 Employee Contribution (6%)540
Tier 1 Employer Contribution (6%)540
Tier 2 Upper Limit108,000
Tier 2 Employee Contribution max5,940
Maximum Employee Contribution6,480
Maximum Total Monthly Contribution12,960
Gross Salary (KES)NSSF Employee (KES)NSSF Employer (KES)
15,000900900
30,0001,8001,800
50,0003,0003,000
80,0004,8004,800
108,000 and above6,4806,480

"Phase 4 of the NSSF contribution rate increase takes effect February 2026. The new maximum employee contribution is " KPMG Kenya Tax Alert, February 2026.

Did You Know? NSSF contributions are tax-deductible in Kenya. The employee NSSF contribution is deducted from gross salary before PAYE is calculated, reducing your taxable income. On a KES 80,000 salary, deducting KES 4,800 in NSSF before calculating PAYE saves approximately KES 1,440 in tax per month. Source: KRA PAYE guidelines 2026.

Use the free MGLSHub NSSF calculator to verify your correct monthly deduction.

Open NSSF Calculator

Related Guides Worth Reading

NSSF is one of four statutory deductions on your payslip. For the complete breakdown including PAYE, SHIF, and Housing Levy, read our PAYE calculator guide which shows every deduction on a KES 80,000 salary with exact figures.

If you are an employer managing payroll, also read our SHIF calculator guide which covers the 2.75% health insurance deduction that replaced NHIF in October 2024.

Conclusion - Check Your February 2026 Payslip Now

If your NSSF deduction did not increase in February 2026, your employer may not have updated their payroll system. The new maximum employee contribution is Use the MGLSHub NSSF calculator to verify your correct deduction every month.

Phase 4 rates - effective February 2026

NSSF Calculator Kenya

Enter gross salary. Get Tier 1 and Tier 2 NSSF contributions using the latest official rates.

KES
NSSFpensionKenya 2026payrollretirement
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