Below are the PAYE Statutory Rates starting from Year 2019 to date:
PAYE Statutory Rates for 2023 (New Finance Act 2023)
| Salary | Rate | Monthly Relief |
|---|---|---|
| Ksh 1 - 24,000 | 10% | Ksh 0 |
| From Ksh 24,000 - 32,334 | 25% | Ksh 2,400 |
| From Ksh 32,334 - Ksh 500,000 | 30% | Ksh 2,400 |
| From Ksh 500,000.00 - Ksh 800,000 | 32.5% | Ksh 2,400 |
| From Ksh 800,000 | 35% | Ksh 2,400 |
PAYE Statutory Rates for 2021/22
| Salary | Rate | Monthly Relief |
|---|---|---|
| Ksh 1 - 24,000 | 10% | Ksh 0 |
| From Ksh 24,000 - 32,334 | 25% | Ksh 2,400 |
| From Ksh 32,334 | 30% | Ksh 2,400 |
PAYE Statutory Rates for 2020 (Post Covid)
| Salary | Rate | Monthly Relief |
|---|---|---|
| Ksh 1 - 24,000 | 10% | Ksh 0 |
| From Ksh 24,000 - 40,668 | 15% | Ksh 2,400 |
| From Ksh 40,668 - 57,334 | 20% | Ksh 2,400 |
| From Ksh 57,334 | 25% | Ksh 2,400 |
PAYE Statutory Rates for 2020 (Pre Covid)
| Salary | Rate | Monthly Relief |
|---|---|---|
| Ksh 1 - 12,299 | 10% | Ksh 0 |
| From Ksh 12,299 - 23,886 | 15% | Ksh 1,408 |
| From Ksh 23,886 - 35,473 | 20% | Ksh 1,408 |
| From Ksh 35,473 - 47,060 | 25% | Ksh 1,408 |
| From Ksh 47,060 | 30% | Ksh 1,408 |
PAYE Statutory Rates for 2019
| Salary | Rate | Monthly Relief |
|---|---|---|
| Ksh 1 - 12,299 | 10 % | Ksh 0 |
| From Ksh 12,299 - 23,886 | 15% | Ksh 1,408 |
| From Ksh 23,886 - 35,473 | 20% | Ksh 1,408 |
| From Ksh 35,473 - 47,060 | 25% | Ksh 1,408 |
| From Ksh 47,060 | 30% | Ksh 1,408 |
Pay as You Earn (PAYE) is a mandatory statutory tax deduction that comprises of a portion of an employees remuneration that is remitted to KRA on a monthly basis.
PAYE is calculated based on an employee's Gross Earnings. These include money for hours worked, overtime, travel allowances, sick pay, payment in lieu of leave, commissions, bonuses, gratuities, or subsistence, as well as any other benefits earned while working.
Employers withhold this tax from an employee's pay and submit it to KRA on their employees behalf via KRA Online Portal. The employee's payroll information is compiled into a single zip file using a unique Microsoft Excel file called an iTax P10 file (Click Here to get the latest file). How to fill this out may be found in our iTax P10 how-to tutorial.
Take Note: Effective January 2022 insurance relief is now applicable to NHIF after gazettement of the The Finance Act No.8 of 2021
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