Pramza Tools

    Payroll Calculator

    SHIF, AHL, NSSF Tier I & II, PAYE and reliefs — tick what applies.

    Salary Details

    KES

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    Enter the month, year and gross salary. Tick the options or sections that apply to the employee.

    Enter a gross salary to continue

    Common Questions

    How is PAYE calculated in Kenya?

    PAYE uses progressive tax bands: 10% on the first KES 24,000, 25% on the next KES 8,333, 30% up to KES 500,000, 32.5% up to KES 800,000, and 35% above that. A personal relief of KES 2,400 per month is then deducted from the computed tax.

    What is SHIF and what is the deduction rate?

    SHIF (Social Health Insurance Fund) replaced NHIF in October 2024. The rate is 2.75% of gross salary with no upper cap, deducted from the employee each month.

    What is the Affordable Housing Levy?

    The Affordable Housing Levy (AHL) is 1.5% of gross salary from the employee and 1.5% from the employer — totalling 3% of gross salary per month. It applies to all employees in formal employment.

    How is NSSF calculated?

    Under the NSSF Act 2013: Tier I is 6% of the first KES 9,000 gross (max KES 540 each side). Tier II is 6% of gross between KES 9,001 and KES 108,000 (max KES 5,940 each side). Employee and employer contribute equally.

    What is personal relief and who qualifies?

    Personal relief is a tax credit of KES 2,400 per month (KES 28,800 per year) that every employed person in Kenya receives automatically. It directly reduces the PAYE amount payable.

    Which deductions reduce my taxable pay before PAYE?

    NSSF, SHIF, and the Affordable Housing Levy all reduce taxable pay. Approved pension contributions (capped at KES 30,000/month), mortgage interest (capped at KES 30,000/month), and post-retirement medical fund contributions (capped at KES 15,000/month) also qualify.

    What is NITA and why is it included in employer cost?

    NITA (National Industrial Training Authority) is a flat KES 50 monthly levy paid by the employer. It funds workplace skills development across Kenya and is a statutory employer obligation separate from NSSF and Housing Levy.

    Does this calculator support multiple employees?

    This tool calculates one employee's payslip at a time. For processing an entire workforce at once, use the Bulk Payroll Upload System on the Excel Templates page — it handles unlimited employee rows with the same statutory formulas.

    Can I print or save the payslip?

    Yes. After calculating, use your browser's print function (Ctrl+P / Cmd+P) to print or save as PDF. The payslip layout is optimised for A4 printing.

    Is pension contribution tax-deductible?

    Yes. Contributions to a registered pension or provident fund are deductible up to KES 30,000 per month (KES 360,000 per year) before PAYE is computed. Enable the Allowable Deductions section to include it.

    What does 'taxable benefit' mean in the benefits section?

    A taxable benefit is non-cash compensation the employer provides — such as a company car, school fees, or club membership — that PAYE treats as additional gross income. Its market value is added to gross salary before tax is computed.