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NAPSA Contributions Calculator National Pension Scheme Authority

Calculate employee and employer NAPSA contributions with our easy-to-use calculator. Updated for 2025 rates and ceilings.

Validate Your Return

Salary Details

Your total monthly earnings before deductions

Results Summary

Individual Contribution (5%)
K0
Amount paid by both employer and employee
Total Deductions (10%)
K0
Combined employer and employee contributions
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Detailed Breakdown

Total Earnings (Gross + Allowances) K 0.00
Employee Share (5% employee share) K 0.00
Employer (5% employer share) K 0.00
Total Deductions (Full 10%) K 0.00
Wages After Deductions (5%) K 0.00

Legal Basis & Compliance (NAPSA Act, Cap. 256)

How NAPSA Contributions Work

1. Contribution Rate
  • Total Rate: 10% of gross earnings
  • Employee Share: 5% (deducted from salary)
  • Employer Share: 5% (paid by employer)
  • Ceiling: Monthly limit adjusted annually (K29,891 for 2024)
2. What's Included in NAPSA Calculation

NAPSA applies to gross emoluments which includes:

  • Basic salary
  • All cash allowances (housing, transport, etc.)
  • Overtime payments
  • Bonuses and commissions
  • Acting allowances
  • Any other regular cash payments
3. What's Excluded from NAPSA
  • Gratuity (paid at contract end)
  • Reimbursable expenses (properly vouched)
  • Employer-provided benefits in kind
  • Severance packages
4. Coverage
  • Mandatory for: All employees including casual/temporary workers employed for 1 day or more
  • Exempt: Expatriates covered under another approved pension scheme
  • Age Limit: Contributions continue until retirement age
5. Important for PAYE

NAPSA contributions are deducted before calculating PAYE tax. This reduces your taxable income.

NAPSA Ceilings History

Year 5% 10%

NAPSA Legal Framework (National Pension Scheme Act)

Governing Law

NAPSA contributions are governed by the National Pension Scheme Act (Chapter 256), particularly Section 14 which establishes the responsibility for contribution payments.

Important Note: The Act specifies that contribution rates are "prescribed percentage" determined by actuarial valuation (Section 14(4)). The current 5% employee + 5% employer rates are set by regulations, not the Act itself.

Official Documents:
📄 Download National Pension Scheme Act (PDF)

Frequently Asked Questions

NAPSA is calculated on your gross earnings - this includes your basic salary plus all cash allowances, overtime, bonuses, and commissions. The contribution is 5% from you and 5% from your employer, totaling 10%. However, there's a monthly ceiling limit (K29,891 for 2024).

No, gratuity is excluded from NAPSA calculations. Gratuity is paid at the end of a contract and is not considered part of regular monthly earnings. Only regular monthly emoluments are subject to NAPSA contributions.

Yes, all employees including casual and temporary workers must contribute to NAPSA if employed for 1 day or more. There's no minimum employment period exemption - even daily-paid workers must have NAPSA deducted and remitted.

No, NAPSA contributions are mandatory by law for all eligible employees. You cannot opt out. The only exemption is for expatriates who are covered under another approved pension scheme in their home country.

When your gross earnings exceed the monthly ceiling (K29,891 for 2024), NAPSA contributions are capped at the ceiling amount. For example, if you earn K40,000, you'll only contribute 5% of K29,891 = K1,494.55, not 5% of K40,000.

Employers must remit both employee and employer NAPSA contributions by the 10th of the following month. Late payments attract penalties and interest. Employers who fail to remit employee deductions commit a criminal offense.

Yes, all cash allowances are included in NAPSA calculations. This includes housing allowance, transport allowance, responsibility allowance, and any other cash payments. However, if the employer provides actual transport or accommodation (not cash), these benefits in kind are excluded.