By EldoretLeo 
The National Social Security Fund (NSSF) has issued a warning to employers who have failed to remit employees’ October 2026 pension contributions, reminding them that delayed payments attract a penalty of 5 percent of the outstanding amount for every month, or part of a month, that the money remains unpaid.
In a notice issued on Monday, November 9, 2026, the Fund directed employers to submit all contributions deducted from workers’ October salaries within the next 24 hours to avoid additional charges.
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NSSF cautioned employers against retaining money deducted from employees’ salaries, emphasising that both the workers’ contributions and the corresponding employer payments must be remitted.
“Late remittance attracts a penalty of 5 percent of the amount due for every month, or part of a month, it remains unpaid,” the Fund stated.
The pension agency further explained that timely payments are necessary to ensure contributions are properly captured in employees’ accounts and their savings records remain up to date.
“Contributions deducted from October salaries must be remitted to NSSF today. Please remit both the employee and employer portions on time. Timely remittance helps ensure your employees’ contributions are recorded correctly,” the Fund added.
The warning comes as employers continue implementing the fourth-year contribution rates under the NSSF Act, which took effect in February 2026.
Under the current structure, employees contribute 6 per cent of their pensionable earnings, while employers are required to make an equal contribution.
The deductions are calculated under two categories, known as Tier I and Tier II, depending on an employee’s monthly pensionable earnings.
Tier I applies to earnings of up to KSh9,000, attracting a maximum monthly contribution of KSh540 from the employee and another KSh540 from the employer.
Tier II covers earnings above KSh9,000 up to the upper earnings limit of KSh108,000. The maximum contribution under this category is KSh5,940 from each party.
This means an employee earning at least KSh108,000 in pensionable earnings can contribute a maximum of KSh6,480 monthly, matched by an equal amount from the employer. The combined monthly contribution can therefore reach KSh12,960 per employee.
The rates are outlined in NSSF’s official Year Four contribution notice for 2026.
Employers are required to deduct the employee’s share from their salaries, add the matching employer contribution and submit the combined amount to the Fund.
They must also file monthly contribution returns through the NSSF employer self-service portal before completing payment through the available channels.
NSSF requires employers to remit contributions by the ninth day of the month following the salary period.
For October 2026 salaries, the statutory remittance deadline fell on November 9, 2026.
Employers who fail to meet the deadline risk the 5 per cent penalty on outstanding contributions for every month, or part of a month, the payment remains overdue.
The Fund also advises employers against using employees’ pension deductions as working capital or for other business operations.
The current contribution structure has remained in force despite legal challenges involving the NSSF Act, 2013.
The dispute followed a judgment by the Employment and Labour Relations Court declaring key provisions of the legislation unconstitutional.
However, after the Court of Appeal declined to suspend implementation of the judgment, NSSF maintained that employers should continue remitting contributions under the applicable Year Four rates.
In a clarification issued on June 5, 2026, the Fund directed employers to maintain the existing contribution structure rather than revert to the previous arrangement, under which employees and employers each contributed KSh200 monthly.
NSSF maintained that the ongoing court proceedings had not changed the contribution rates prescribed under the Act’s Third Schedule.
Employers have therefore been urged to continue meeting their pension obligations as the legal process proceeds, while ensuring that deductions made from workers’ salaries are remitted on time.
Robert Mutasi 
Baraka Simba