A payslip is the one document that shows exactly how your salary is built and what is taken from it. Many employees glance at the net pay and never look at the rest, which is how mistakes go unnoticed for months. This guide walks through a typical Kenyan payslip from top to bottom so you know what each line means and what to check.

The top of the payslip: who and when

Check the basics first: your name, KRA PIN, the pay month and the employer's details. The PIN matters because PAYE is credited to it. If it is wrong or missing, the tax your employer pays will not appear on your iTax account.

Earnings

Basic pay is the salary fixed in your contract. Allowances such as housing, transport or a commuter allowance are added to it, and most cash allowances are taxable. Overtime, bonuses and commission appear as separate lines. Together they make gross pay, the starting point for every deduction. If you want to see how benefits such as a company car are valued, use the taxable benefits calculator.

Deductions before tax

Three statutory deductions are taken before PAYE is calculated, so they reduce your taxable pay:

Taxable pay, PAYE and reliefs

Taxable pay is gross pay less those deductions. PAYE is worked out on it using the tax bands, then reduced by personal relief of KES 2,400 a month and any insurance relief you qualify for. Our guide to how PAYE is calculated shows the arithmetic with a worked example.

Other deductions and net pay

Loan repayments, SACCO contributions, salary advances and union dues come off after tax. The final line, net pay, is what reaches your bank or M-Pesa. If an employer deducts an advance, the salary advance and loan tracker is a good way for both sides to keep the balance clear.

A five-minute monthly check

  1. Does the gross pay match your contract plus any approved allowances?
  2. Is NSSF at the right rate and limit for the month?
  3. Are SHIF and the Housing Levy calculated on gross pay?
  4. Does PAYE look reasonable? Test it in the PAYE calculator.
  5. Is every deduction one you agreed to?
  6. Does net pay equal gross pay less all deductions?

Keep your payslips

Keep every payslip for at least five years. You will need them for loan applications, visa applications and any dispute about pay, and your P9 at year end should match them; see filing your employment return with a P9. Employers who want a clean, consistent payslip can use the free payslip generator workbook, and the monthly payroll workbook produces one for every employee.

If something looks wrong

Ask your employer or payroll officer to explain the line in writing, and keep the reply. Most errors come from an outdated rate or a missed allowance, and they are easy to fix when found early. Our guide on how to spot mistakes on your payslip lists the usual suspects.

Figures here are for illustration. Confirm current rates with KRA, NSSF and the Social Health Authority.

Common questions

Why is my take-home pay lower than gross minus PAYE? Because other deductions come out as well: NSSF, SHIF, the Affordable Housing Levy, and any loans or SACCO deductions. NSSF, SHIF and the levy are deducted before PAYE is worked out, so they also reduce the tax.

What does personal relief do? Personal relief is an amount taken off your PAYE each month once your employer has your KRA PIN. It cancels the tax on the first slice of pay, which is why people with low pay may see no PAYE at all.

What should I do if a line is wrong? Write to payroll or HR with the payslip, the line you question and what you expect, and ask for the working. Use a calculator to check the figure first, and keep the reply for your records.