Can anyone help me understand this payslip deductions ?

[Arokaz]

This pay as you earn thing.

 

[Gaza]

Hapo sijui vile kunaenda. Out here in the streets we only deal cash .. no paychecks and what not. Cash for product only.

 

[bjurmann]

Cant tell unless I see that 'messsage' on the bottom.

 

[Chiefkiumbe]

Oky, tumejua uko na figure tano....Akina nani wanakulipa ??ask ua employers

 

[dabu]

unauliza what is highlighted ama story ya PAYE? what a min, I know! you wanted us to see your net pay!

 

[Arokaz]

unauliza what is highlighted ama story ya PAYE? what a min, I know! you wanted us to see your net pay!

No dabu,!!! i just wanted to understand the highlighted paye deductions.

 

[mariachi]

hii maneno niliachia tu Mungu

 

[riskey]

 

[makarapa]

DEFINED CONTRIBUTION is what goes to your pension scheme hence offset from your pay before calculating Paye, TAX CHARGED is PAYE charged on the first Kshs. 38,893/= of your pay, MPR USED is your statutory monthly relief of Kshs. 1,162 granted under the Income Tax Act hence deductible from the calculated Paye to determine what is to be remitted. In my opinion, i think there might be a bug in the payroll software as the computation of the TAX CHARGED item is not strictly as per the Income Tax Act. Accountants to weigh in on the matter

 

[shocks]

 

[Okiya]

Ata me nimejaribu nikashindwa

 

[makarapa]

In other news, please consider joining hata kama ni Sacco to get some money off your payslip before ikufikie. With your kind of pay, that is the only way to grow. Bure, ukijua pombe na malaya, wewe kwisha.

 

[kijanamrefu]

Wait. Vile naona, deductions ni 31k plus 36k ama ni 36k pekee?

 

[riskey]

@Okiya Pension should be deducted from the Gross Taxable before PAYE is calculated.

 

[Okiya]

Wait. Vile naona, deductions ni 31k plus 36k ama ni 36k pekee?

deductions ni 36k which in it included 31K ya PAYE. If you add the other deductions, you don't get the balance

 

[Okiya]

@Okiya Pension should be deducted from the Gross Taxable before PAYE is calculated.

That's what I have done in my computations

 

[kijanamrefu]

deductions ni 36k which in it included 31K ya PAYE. If you add the other deductions, you don't get the balance

Sanda. I thought this guy was getting only half of what he earned.

 

[Dunya]

This guys salary is about 30k gross p/m if you look at his tax charged of around 5k. Then he has been paid a lumpsum of abt 200k most probably gratuity upon expiry of a contract which is making him pay the lumpsum tax of 28k. So effectively hana kazi unless the contract is renewed ama ameresign ama akafutwa. Take that to the bank

 

[makarapa]

This guys salary is about 30k gross p/m if you look at his tax charged of around 5k. Then he has been paid a lumpsum of abt 200k most probably gratuity upon expiry of a contract which is making him pay the lumpsum tax of 28k. So effectively hana kazi unless the contract is renewed ama ameresign ama akafutwa. Take that to the bank

Nice observation, but wacha kudanganya watu. Please note the NHIF deduction of Kshs.1,700.00 and try to relate it with the new NHIF deduction rates. It becomes obvious that the guy earns way over Kshs.100,000.00 hence the NHIF deduction of 1,700.00. Unless you try to convince us how the NHIF deduction of 1,700.00 is attributable to the one-off payment of 200k you are quoting, to the best of my knowledge, NHIF deductions will never be affected by one-off payment. Ni kama kusema ile mwezi mtu analipwa acting or leave allowance, NHIF deduction zinapanda then zinashuka the following month akipata mshahara ya kawaida.

 

[panktcha]

Gross Pay = 141,642.50

Contribution Benefits = 1,261.55 + 200 + 992.95 = 2,454.50

Taxable Pay = 139,188.00

PAYE Before Relief = 36,850.00

Relief = 1,162.00

PAYE after Relief = 35,688.00

Net Pay = 105,954.5

Deductions = 4454.50

Net Pay after Deductions = 101,500 (EFT into Coop)


I couldn't arrive at 105,221.00


There must be a benefit which you are receiving e.g. welfare fund, telephone or car for which some tax is being charged. Or the employer is paying some tax for you on your behalf (e.g. due to travel per diems etc) and tax on tax is being charged.

Either way, ask your HR/Accounts office to clarify. Maybe kuna mtu anachota a few shillings from everyone's salo...