Ref. No. MPSG&AA.6
Date 7th July 2023

To: All Principal Secretaries/Accounting Officers
The Solicitor General
Chief Executive Officers of State Corporations
The CEO, Constitutional Commissions and Independent Offices
The Controller of Budget
The CEO, Council of Governors
County Secretaries
County Assembly Clerks

IMPLEMENTATION OF THE NATIONAL SECURITY FUND (NSSF) ACT NO. 45 OF 2013

Attention is drawn to Circular Ref. No. OP/CAB.1/8A dated 13th January 2021 from the Head of Public Service on implementation of the Public Service Superannuation Scheme (PSSS).

In the circular under reference, clarification was made on the implementation of the PSSS and NSSF act (copy attached).

In addition the Court of Appeal of Kenya declared that the National Social Security Fund (NSSF) Act No. 45 of 2013 is constitutional vide the ruling on 3rd February 2023.

This ruling made NSSF contributions mandatory for all employers and employees in the Public Service.

Further, Section 20 of the Act categorises the employers and employees contributions into two tiers, namely Tier I and II. All public servants are subject to Tier I mandatory contributions.

This will require every employee to contribute Kenya Shillings three hundred and sixty (Ksh. 360) monthly while the employer contributes a similar amount (Ksh. 360) for each employee.

The Act requires all employers to deduct and remit monthly contribution to NSSF by the 9th day of every month.

The purpose of this crcular letter therefore is to request you to ensure compliance with the provisions of the NSSF Act, 2013 and contents of this circular with effect from 1st July 2023.

Amos N. Gathecha, EBS
PRINCIPAL SECRETARY

Ref. No. MPSG&AA.6
Date 7th July 2023

To: All Principal Secretaries/Accounting Officers
The Solicitor General
Chief Executive Officers of State Corporations
The CEO, Constitutional Commissions and Independent Offices
The Controller of Budget
The CEO, Council of Governors
County Secretaries
County Assembly Clerks

IMPLEMENTATION OF THE NATIONAL SECURITY FUND (NSSF) ACT NO. 45 OF 2013

Attention is drawn to Circular Ref. No. OP/CAB.1/8A dated 13th January 2021 from the Head of Public Service on implementation of the Public Service Superannuation Scheme (PSSS).

In the circular under reference, clarification was made on the implementation of the PSSS and NSSF act (copy attached).

In addition the Court of Appeal of Kenya declared that the National Social Security Fund (NSSF) Act No. 45 of 2013 is constitutional vide the ruling on 3rd February 2023.

This ruling made NSSF contributions mandatory for all employers and employees in the Public Service.

Further, Section 20 of the Act categorises the employers and employees contributions into two tiers, namely Tier I and II. All public servants are subject to Tier I mandatory contributions.

This will require every employee to contribute Kenya Shillings three hundred and sixty (Ksh. 360) monthly while the employer contributes a similar amount (Ksh. 360) for each employee.

The Act requires all employers to deduct and remit monthly contribution to NSSF by the 9th day of every month.

The purpose of this crcular letter therefore is to request you to ensure compliance with the provisions of the NSSF Act, 2013 and contents of this circular with effect from 1st July 2023.

Amos N. Gathecha, EBS
PRINCIPAL SECRETARY