The NSSF ACT 2013 comes into effect from June 1st 2014.
There is a raise in NSSF contributions from a maximum of KShs 200 to the new rate of 6%. However, the act has allowed for a transitional period building up to the 6%.
For users of wingubox ™ payroll, these changes have been effected automatically for you. You may view the new formula by going to:
You’ll notice it is possible to switch between the old NSSF rates and the new ones for purposes of processing pay slips pre-2014.
Below is a table guide that will demonstrate your transitional payments.
|Lower Earnings Limit||6,000.00||7,000.00||8,000.00||9,000.00|
|Upper Earnings Limit||(50% of NAE)
||(1 x NAE)
||(2 x NAE)
||(3 x NAE)
|Tier 1 Salary|
|Tier 2 Salary|
|Tier 1 contribution|
|Tier 2 contribution|