More Pain for Kenyans as NSSF Contributions increase. Salaried Kenyans are once again set to feel the pinch of a reduced take home at the end of February 2025 as the third phase of implementing the NSSF Act takes effect. The government is set to deduct more from payslips of Employees earning a monthly salary, regardless of their income bracket. Employers are required to match employee contributions, further increasing the cost of doing business in the country. Currently, The lower limit for pensionable income is Ksh7,000 while the upper limit for pensionable income is capped at Ksh 36,000. This means the maximum NSSF deduction is Ksh 2,160 from the employee and an equal amount from the employer, totalling Ksh 4,320. The pensionable income lower limit is set to increase from Ksh7,000 to Ksh8,000 while upper limit will increase to Ksh72,000 effective February 2025 (This Month) The net effect is that the deduction for NSSF Tier 1 will increase from Ksh420 to Ksh480. The Tier II limit will increase from the current Ksh1,740 to Ksh3,840. The overall limit on NSSF deductions will increase from Ksh2,160 to Ksh4,320 - to be matched by the employer. A Kenyan earning Ksh50,000 will see their NSSF contribution rise from Ksh 2,160 in January to Ksh3,000 in February before other taxes such as housing levy are deducted. Similarly, a Kenyan employee earning Ksh 80,000 will now contribute Ksh 4,320, up from Ksh 2,160