The National Social Security Fund (NSSF) has ordered all employees and employers to comply with the new monthly contributions which will jump from Sh200 to Sh2,160 per month.
In a statement dated Thursday, February 9, the authority directed all affected Kenyans to familiarise themselves with the new regulations.
“The total contributions for both Employee and Employer is Kshs 2,160/= monthly,” NSSF announced. NSSF’s directive was issued on the backdrop of a public outcry over the charges rising from Ksh200 to Ksh2,160 a month.
“Following the Court of Appeal ruling on the NSSF Act No. 45 of 2013, we ask all employers to comply with the law immediately.
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In the new directive, employees and employers in Tier 1 will part with Ksh360 per month, while those in Tier 2 will part with Ksh720 every month. Tier 1 represents employees earning between Ksh3,000 and Ksh6,000 per month, while Tier 2 represents earning between Ksh6,000 and Ksh18,000.
The increase in deductions is inline with President William Ruto’s publicly stated intention to increase workers’ monthly deductions in what he says will afford workers a decent life after retirement.