PennyCompass

Kenya Net Pay Calculator

Full gross-to-net payslip: PAYE, NSSF, SHIF, Housing Levy and reliefs from one gross salary.

Published

Written by PennyCompass Team

Gross to net payslip with all statutory deductions.

Monthly net pay

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NSSF

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SHIF

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Housing Levy

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Pension (allowed)

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PAYE before relief

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Personal relief

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Insurance relief

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PAYE

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Your breakdown

Updates live as you type
ItemAmount

Worked example

Start with a gross monthly salary of KES 120,000 and no extra pension, mortgage or insurance entries. Four statutory items come off the gross first: NSSF is capped at KES 6,480, SHIF is 2.75% (KES 3,300), and the Affordable Housing Levy is 1.5% (KES 1,800). NSSF, SHIF and AHL are all allowable, so taxable pay drops to KES 108,420. PAYE on that taxable pay is KES 27,309.35 before relief, and the KES 2,400 personal relief leaves PAYE of KES 24,909.35.

ItemAmount (KES)
Gross salary120,000.00
Less NSSF (capped)6,480.00
Less SHIF (2.75%)3,300.00
Less Housing Levy (1.5%)1,800.00
Taxable pay108,420.00
Less PAYE (after relief)24,909.35
Net take-home pay83,510.65

The employee keeps KES 83,510.65 a month, about 69.6% of gross, which is roughly KES 1,002,128 a year. The chart shows how the gross splits between take-home pay and the four deductions.

How it is calculated

Net pay in Kenya is gross salary less four statutory deductions and PAYE. NSSF is 6% of pensionable pay split across two tiers, capped at KES 6,480 a month per party under the February 2026 rates. SHIF, which replaced NHIF in October 2024, is a flat 2.75% of gross with a KES 300 minimum and no ceiling. The Affordable Housing Levy is 1.5% of gross, matched by the employer. Because NSSF, SHIF, AHL and allowable pension contributions are deducted before tax, they shrink the taxable pay on which PAYE is computed. PAYE then runs through the five progressive bands and is reduced by the KES 2,400 personal relief and any insurance relief. Whatever remains after these deductions is the cash that reaches the employee, which this tool reports both monthly and annually.

Frequently asked questions

What is deducted from a Kenyan salary?
Four statutory items come off gross pay: NSSF at 6% per tier (max KES 6,480), SHIF at 2.75%, the Affordable Housing Levy at 1.5%, and PAYE on the bands after the KES 2,400 personal relief. NSSF, SHIF, AHL and allowable pension contributions reduce the taxable pay before PAYE is worked out.
How does the order of deductions affect the PAYE calculation?
NSSF, SHIF, the Affordable Housing Levy, and any allowable pension contributions are subtracted from gross pay first to arrive at taxable pay. PAYE is then computed on the lower taxable-pay figure using the progressive bands, and the personal relief of KES 2,400 a month is subtracted from the PAYE itself (not from the income). This ordering means statutory deductions give a tax benefit by shrinking the base on which PAYE runs.
What is the PAYE rate on a KES 120,000 monthly salary in Kenya?
Under the 2026 bands, the first KES 24,000 of monthly taxable income is taxed at 10%, the next KES 8,333 at 25%, and income above KES 32,333 up to higher thresholds at 30% and 35%. On KES 108,420 of taxable pay (after statutory deductions on a KES 120,000 gross), PAYE before relief is about KES 27,309, which falls to KES 24,909 after the KES 2,400 personal relief.
Does the Affordable Housing Levy also come off the employer?
Yes. The AHL is matched: the employee pays 1.5% of gross pay and the employer contributes an equal 1.5%. This calculator shows only the employee side, so the KES 1,800 AHL on a KES 120,000 salary is your share. The employer pays a further KES 1,800 on top, making the combined levy KES 3,600 per month for that employee. The employer contribution does not affect your net pay figure.

Related calculators

PAYE

Tax only.

Statutory Deductions

All deductions.

Sources

  1. KRA — PAYE, NSSF and SHIF, Kenya Revenue Authority
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