Kenya Payroll Compliance Calendar 2026
Monthly PAYE, NSSF, SHIF, and Housing Levy deadlines for Kenya employers. Missing a single deadline can result in a 25% tax penalty — this calendar covers every statutory filing date through December 2026.
Monthly Filing Calendar
Every statutory Kenya payroll deadline, month by month, through December 2026.
| Date | Filing Obligation | Authority | Notes |
|---|---|---|---|
| January 2026 | |||
| 9 Jan | PAYE + SHIF + Housing Levy (Dec 2025) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Jan | NSSF contributions (Dec 2025) | NSSF Portal | Late penalty: 5%/month |
| January action: Perform year-start PAYE band check following any Finance Act amendments. Confirm NSSF tier limits and update payroll system for new salary reviews effective from January. | |||
| February 2026 | |||
| 9 Feb | PAYE + SHIF + Housing Levy (Jan 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Feb | NSSF contributions (Jan 2026) | NSSF Portal | Late penalty: 5%/month |
| 28 Feb | P9 certificates issued to all employees | Employer obligation | Individual PAYE summary for prior tax year; required for employee tax returns |
| February action: Issue P9 tax certificates to all employees by 28 February for the 2025 tax year. Note: P9A employer annual return is due 30 June. | |||
| March 2026 | |||
| 9 Mar | PAYE + SHIF + Housing Levy (Feb 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Mar | NSSF contributions (Feb 2026) | NSSF Portal | Late penalty: 5%/month |
| April 2026 | |||
| 9 Apr | PAYE + SHIF + Housing Levy (Mar 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Apr | NSSF contributions (Mar 2026) | NSSF Portal | Late penalty: 5%/month |
| May 2026 | |||
| 9 May | PAYE + SHIF + Housing Levy (Apr 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 May | NSSF contributions (Apr 2026) | NSSF Portal | Late penalty: 5%/month |
| June 2026 | |||
| 9 Jun | PAYE + SHIF + Housing Levy (May 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Jun | NSSF contributions (May 2026) | NSSF Portal | Late penalty: 5%/month |
| 30 Jun | P9A Employer Annual Return (2025 tax year) | KRA iTax | Critical annual deadline — statutory obligation for all registered employers |
| June critical deadline: P9A employer annual return must be filed with KRA by 30 June. Also monitor the Kenya Gazette for Finance Act changes to PAYE bands, NSSF limits, SHIF rates, or Housing Levy rates. | |||
| July 2026 | |||
| 9 Jul | PAYE + SHIF + Housing Levy (Jun 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Jul | NSSF contributions (Jun 2026) | NSSF Portal | Late penalty: 5%/month |
| July/August action: Finance Act changes typically take effect from 1 July. Update all PAYE rates, tax bands, and any revised statutory rates in your payroll system before the August payroll run. | |||
| August 2026 | |||
| 9 Aug | PAYE + SHIF + Housing Levy (Jul 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Aug | NSSF contributions (Jul 2026) | NSSF Portal | Late penalty: 5%/month |
| August action: Confirm all Finance Act changes have been applied in payroll. Run a parallel check on the first post-Finance-Act payroll to validate revised PAYE calculations. | |||
| September 2026 | |||
| 9 Sep | PAYE + SHIF + Housing Levy (Aug 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Sep | NSSF contributions (Aug 2026) | NSSF Portal | Late penalty: 5%/month |
| October 2026 | |||
| 9 Oct | PAYE + SHIF + Housing Levy (Sep 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Oct | NSSF contributions (Sep 2026) | NSSF Portal | Late penalty: 5%/month |
| October: SHIF anniversary month — two years since the transition from NHIF. Conduct an internal review of SHIF deductions across all employee records to confirm ongoing compliance. | |||
| November 2026 | |||
| 9 Nov | PAYE + SHIF + Housing Levy (Oct 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Nov | NSSF contributions (Oct 2026) | NSSF Portal | Late penalty: 5%/month |
| December 2026 | |||
| 9 Dec | PAYE + SHIF + Housing Levy (Nov 2026) | KRA iTax | Late penalty: 25% + 1%/month |
| 9 Dec | NSSF contributions (Nov 2026) | NSSF Portal | Late penalty: 5%/month |
| December year-end: Close the payroll year. Process all December bonuses, gratuities, and leave cash-outs before 31 December. Post accruals for any unpaid salary. Archive all 2026 payroll records. | |||
Kenya Public Holidays 2026
Holidays falling on a weekend are observed on the following Monday. No PAYE or NSSF filing extensions are granted for public holidays — if the deadline falls on a public holiday, remit on the preceding business day to be safe.
| Date (2026) | Public Holiday |
|---|---|
| 1 January | New Year's Day |
| 18 April | Good Friday |
| 21 April | Easter Monday |
| 1 May | Labour Day / Workers' Day |
| 1 June | Madaraka Day |
| 7 July | Saba Saba Day |
| 15 October | Huduma Day |
| 20 October | Mashujaa Day |
| 12 December | Jamhuri Day |
| 25 December | Christmas Day |
| 26 December | Boxing Day |
PAYE Bands 2025/26
Progressive income tax rates applicable to all employment income in Kenya for the 2025/26 financial year under the Finance Act.
| Monthly Income (KES) | Rate | Annual Equivalent |
|---|---|---|
| 0 – 24,000 | 10% | 0 – 288,000 |
| 24,001 – 32,333 | 25% | 288,001 – 388,000 |
| 32,334 – 500,000 | 30% | 388,001 – 6,000,000 |
| 500,001 – 800,000 | 32.5% | 6,000,001 – 9,600,000 |
| Above 800,000 | 35% | Above 9,600,000 |
Personal relief of KES 2,400/month (KES 28,800/year) is deducted from tax liability after applying the progressive bands above. Disability relief and insurance relief may also apply.
NSSF Contribution Calculation
Under the NSSF Act 2013, contributions are split into two tiers. Tier I covers the first KES 7,000 of gross monthly salary at a rate of 6% from each of the employee and the employer. Tier II covers gross salary between KES 7,001 and KES 36,000, also at 6% each side. For any amount above KES 36,000, no further NSSF is payable — the upper earnings limit caps the maximum contribution.
Example: An employee earning KES 50,000 gross per month:
The KES 2,160 cap per side is reached at any gross salary of KES 36,000 or above, meaning all employees earning KES 36,000 or more attract the same maximum NSSF outlay regardless of actual salary.
SHIF Calculation
The Social Health Insurance Fund rate is 2.75% of an employee's gross monthly salary, deducted entirely from the employee. There is no contribution from the employer and no upper cap. The calculation is straightforward: multiply gross salary by 0.0275.
SHIF is remitted monthly to KRA iTax alongside PAYE, with the same 9th-of-the- month deadline applying. There is no separate SHIF portal — both PAYE and SHIF are administered through KRA.
Affordable Housing Levy
The Affordable Housing Levy is payable at 1.5% of gross salary by the employee and a matching 1.5% by the employer, with no cap. Total housing levy cost to the payroll is 3% of gross salary per employee per month.
Filed with KRA iTax by the 9th of the following month. The employee portion is tax-deductible from gross income. The levy remains subject to legal review — confirm current status with your HR advisor before each payroll cycle.
Penalties for Late Filing
25% of the unpaid tax as an immediate penalty, plus 1% compound interest per month on the outstanding balance. Accrues from the 10th of the month the return was due.
5% per month on the outstanding contribution amount. Both employer and employee share arrears attract the penalty.
Filed alongside PAYE via KRA iTax. Same penalties as PAYE apply: 25% immediate penalty plus 1% monthly interest.
Remitted with PAYE via KRA iTax. Same penalty structure as PAYE: 25% penalty plus 1% monthly interest.
Employers who voluntarily disclose underpayments before a KRA audit is initiated may negotiate reduced penalties. Proactive disclosure demonstrates good faith and typically results in penalty abatement. Consult a KRA-registered tax advisor before approaching KRA.
Year-End Payroll Checklist
Complete these ten tasks before 31 January each year to close the payroll year cleanly and meet all KRA statutory deadlines.
- 01Reconcile all payroll runs against bank statements and confirm that every salary payment clears.
- 02Prepare P9 forms for every employee, showing the full individual PAYE summary for the year.
- 03File the P9A employer annual return with KRA via iTax by 30 June.
- 04Issue P9 certificates to all employees by 28 February so they can complete their personal income tax returns.
- 05Review PAYE rates and update the payroll system for any Finance Act changes taking effect from the new tax year.
- 06Confirm that all NSSF contributions for the year match the records shown on the NSSF employer portal.
- 07Check SHIF deduction records for all employees against the SHA (Social Health Authority) portal.
- 08Verify that all Housing Levy remittances match the payroll register and KRA iTax records.
- 09Update all employment contracts where salary changes were made during the year and ensure written addenda are signed.
- 10Archive all payroll records — including P10 returns, payslips, NSSF schedules, and SHIF receipts — for the mandatory seven-year KRA retention period.
Frequently Asked Questions
What is the PAYE filing deadline in Kenya?
PAYE must be filed and remitted via the KRA iTax portal by the 9th of the month following the payroll period. For example, January PAYE is due by 9 February. Late filing attracts an automatic 25% penalty on the unpaid tax plus 1% compound interest per month.
When must NSSF contributions be filed in Kenya?
NSSF contributions must be submitted via the NSSF online portal and remitted by the 9th of the month following the payroll period. The late filing penalty is 5% per month on the outstanding contribution amount.
What is the annual payroll return deadline in Kenya?
Employers must file the P9A annual employer return with KRA by 30 June each year, covering the prior tax year (January–December). Additionally, P9 tax certificates must be issued to all individual employees by 28 February for use in their personal income tax returns.
How long must payroll records be kept in Kenya?
KRA requires employers to retain all payroll records — including P10 returns, NSSF schedules, SHIF remittance records, and payslip copies — for a minimum of seven years. Records must be made available for KRA audit on demand.
Want Someone Else to Handle Every Deadline?
Two Max Group files PAYE, NSSF, SHIF, and Housing Levy for 385+ Kenya employers every month — zero late submissions since 2011. Take the deadlines off your plate.