NSSF Addresses Reports of Increasing Rates to Ksh2160
NSSF Addresses Reports of Increasing Rates to Ksh2160
NSSF Addresses Reports of Increasing Rates to Ksh2160
The National Social Security Fund (NSSF) has refuted allegations that claimed Kenyan employers would start deducting Ksh2,160 per month instead of Ksh1,080.According to the sources, the government would begin implementing the new deductions in January 2024, specifically targeting employees who make more than Ksh36,000.
Additionally, the stories said that until the fifth year, the monthly contributions would rise yearly.”If your monthly income exceeds Ksh36,000. Gross, starting this month, your NSSF deduction will increase from Ksh1,080 to Ksh2,160 each month in Year 2. The papers, which have now been found to be fraudulent, stated that the deductions would rise annually until year five.
NSSF, however, clarified the issue, assuring Kenyans that no communication has been made about the new rates.”Please be guided that this is misleading. NSSF has not communicated any deduction progression based on the new rates,” NSSF stated.
“We will communicate in a formal manner about the NSSF reductions. When the progression period is about to end, employers and members will be directed appropriately.”The administration of President William Ruto has been aiming to establish a savings culture in order to generate long-term investment and subsequently accelerate the nation’s economy.
By 2027, the government hopes to have raised over a trillion dollars from the NSSF through contributions.At the now, the NSSF gets about Ksh4 billion from its registered members each month. This corresponds to a Ksh48 billion annual collection.
The Fund used to bring in an average of Ksh14 billion annually, which shows a notable increase in revenue collecting.The administration of President Ruto also aims to increase the number of Kenyans working in both the formal and informal sectors who are registered members from the current 2.9 million to over 18.3 million.
