Sharp Daily
No Result
View All Result
Saturday, July 19, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home News

Blow To NSSF As Court Quashes Proposed Higher Deductions

Domenic Ntoogo by Domenic Ntoogo
January 19, 2023
in News
Reading Time: 2 mins read
NSSF

[Photo/ Courtesy]

The high court has invalidated the NSSF Act of 2013 that sought to have the National Social Security Fund, NSSF, increase monthly deductions from the current Ksh. 200 to Ksh 2068.

In their ruling, Justices Monica Mbaru, Hellen Wasilwa and Mathews Nduma stated that the act was not presented to the senate for enactment as a money bill, despite impacting county government workers.

“An order is issued prohibiting the government from compelling or requiring mandatory registration, enrolment or listing of any employer or employee whether registered as a member or any retirement benefits scheme or not ….to register, enrol or list and contribute their earnings or any party,” said the judges.

“Since the NSSF Act 2013 was not presented to the Senate for enactment as a money bill, the Act is declared unconstitutional, null and void.”

RELATEDPOSTS

Still sending tier II contributions to NSSF by default? Time to reconsider.

June 13, 2025

Atwoli defends NSSF contributions amid political debate

February 5, 2025

Read: Minimum Wage Increased By 12 Percent

NSSF’s move was intended to create a stronger retirement package for employees, stating that the dependency rate among senior adults was too high with the current contributions.

According to the Act, higher earners were to pay Ksh. 2068 representing a maximum pensionable amount of Ksh. 34, 476, while employers were supposed to contribute a similar amount for their employees.

Those earning Ksh. 6000, which is the minimum wage, would part with Ksh. 360 lesser, with employers contributing the same amount to make it Ksh. 720, representing 12 per cent of the Ksh. 6000.

Petitioners in the case argued that the establishment of the Act did not meet the threshold of public participation required to ratify such a decision.

Read: KRA Was Right To Issue Forfeiture Notices Against Former Lands Secretary, Court Of Appeal Rules

They further argued that giving NSSF such an advantage would grant them unnecessary favour against other employers and would be in contravention with the County Government’s Act of 2012 by seeing them contribute more than 6 per cent of an employee’s earnings.

The current contribution of Ksh. 200 was lastly reviewed upwards from Ksh. 160 in 2001.

Email your news TIPS to editor@thesharpdaily.com

 

Previous Post

Treasury Denies Counties KSh.16 Billion In Additional Revenue

Next Post

Jumia Launches Logistics Network Facility To Enhance Consumers Shopping Experience

Domenic Ntoogo

Domenic Ntoogo

Related Posts

Business

Del Monte foods files for bankruptcy in USA

July 3, 2025
News

Private vs Public Pension Funds in Kenya

June 30, 2025
Investments

Investor shift to long term bonds drives oversubscription in CBK’s reopened auction

June 19, 2025
News

The real price of Israel – Iran Conflict for Kenya.

June 19, 2025
Economy

Resilient but strained: Kenyan firms speak out in May 2025 CEO survey.

June 19, 2025
News

Co-op Bank posts KES 6.9 billion profit in Q1’2025

May 16, 2025
Please login to join discussion

LATEST STORIES

Invest in stability: introducing the Cytonn USD money market fund

July 18, 2025

The Importance of Asset Diversification on Kenyan Pension Funds

July 18, 2025

Park your money where it grows: Why more Kenyans are turning to Cytonn Money Market Fund

July 16, 2025

Strategies to boost alcohol and tobacco tax revenues

July 16, 2025

Kenya’s reactive monetary policy

July 16, 2025

Why Employers Should Prioritize Pensions Over One-Time Gratuity Payments

July 10, 2025
Business and Finance Concept - Coin, Currency, Financial Item, Graph,

Opinion: Why lower taxes may be Kenya’s only escape route

July 10, 2025

Nvidia becomes the first company globally to hit USD 4.0 trillion market value

July 10, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024