PAYE Tax Calculator — Kenya (2025)

We apply progressive tax to the monthly taxable base, then subtract eligible reliefs. For annual inputs we divide to monthly, compute, then multiply results by 12.

Taxable allowances increase PAYE. Non‑taxable allowances don’t increase PAYE but still affect net pay and employer costs.

Personal relief, insurance relief, disability relief, pension caps (pre‑PAYE), and owner‑occupied mortgage interest (modeled cap).

We cap deductible mortgage interest at KES 25,000/month and model its PAYE impact by reducing the taxable base. The reduction in PAYE is presented within “Other reliefs”.

Pension reduces taxable pay up to the lower of KES 240,000/year or 30% of employment income (monthly equivalent). Excess pension does not reduce PAYE; we notify you if caps apply.

Personal relief (KES 2,400/month) is applied if the option is checked. It reduces PAYE but never creates a refund below zero.

For registered persons with disability (NCPWD), a relief of KES 150,000/month is modeled. Toggle the option if you qualify.

Not in this PAYE tool. Use Net Pay / Gross→Net calculators for full payroll deductions. SHIF and Housing deductibility applies from 27 Dec 2024 in those tools.

We use monthly bands. Annual inputs are divided by 12 before computing PAYE, then final results are multiplied by 12.

Up to 24,000 (10%), 24,001–32,333 (25%), 32,334–500,000 (30%), 500,001–800,000 (32.5%), above 800,000 (35%).

PAYE never goes below zero here. For year‑end reconciliations or over‑deductions, use KRA iTax annual return.

Annual shows 12× of the monthly computation. The “Average per month” figure provides a clear monthly equivalent of PAYE when annual is selected.