In Kenya, it is mandatory for state officers and salaried public officers to be members of the National Hospital Insurance Fund (NHIF). Therefore, these people have to contribute a certain percentage of their gross monthly income to NHIF. The remittance varies based on different factors. However, the law in Kenya requires employers to remit 2% of employees’ monthly gross earnings to NHIF. The remittance is subject to a maximum of Ksh. 1, 700 for those earning more than Ksh. 100,000 monthly. To help you understand how this is done and the amount you should expect to be charged, we present the updated NHIF rates for both the employed and self-employed.
Factors Affecting NHIF Rates in Kenya
There are two main factors that determine NHIF rates in Kenya. If you have registered for NHIF membership, the following factors will determine how much you pay for NHIF:
Monthly Gross Income
Your monthly gross is used to calculate how much you will contribute towards NHIF. You should know that according to Kenyan laws, people in formal employment are expected to contribute 2% of their gross salary to NHIF.
Let’s take, for example, your gross pay is Ksh. 50,000. Based on the 2% percentage requirement, your employer will remit Ksh. 1,000 towards NHIF. Therefore, you should know that the amount you earn determines how much you will contribute to NHIF.
Your job group affects determines how you are paid. For instance, employees in entry levels earn less than experienced employees in higher job groups like D1.
The higher your job group, the higher the amount you contribute to NHIF.
NHIF Rates for Self-Employed
If you are a self-employed Kenyan, you voluntarily join NHIF. Under this category, you will be expected to pay Ksh. 500 per month (Ksh. 6,000 per year). Therefore, for the self-employed, NHIF contributions are not determined by how much you make. You have a fixed monthly contribution rate.
NHIF Rates for those in Formal Employment
If you are in formal employment, your NHIF contributions are pegged on your gross salary. Based on the 2% of gross income requirement, the table below presents the current NHIF rates for the employed:
|Salary Range (Ksh)||Monthly Contributions (Ksh)|
|0 – 5,999||150|
|6,000 – 7,999||300|
|8,000 – 11,999||400|
|12,000 – 14,999||500|
|15,000 – 19,999||600|
|20,000 – 24,999||750|
|25,000 – 29,999||850|
|30,000 – 34,999||900|
|35,000 – 39,999||950|
|40,000 – 44,999||1,000|
|45,000 – 49,999||1,100|
|50,000 – 59,999||1,200|
|60,000 – 69,999||1,300|
|70,000 – 79,999||1,400|
|80,000 – 89,999||1,500|
|90,000 – 99,999||1,600|
|100,000 and above||1,700|
NHIF Penalties for Late Remitances
The employer will be liable to pay late payment penalties if he fails to remit the employee’s NHIF contributions by the 9th of every month. However, this will not affect the delivery of NHIF services to the employee.
If you are self-employed, failure to make your contributions by the 9th of every month will incur penalties amounting to 50% of your monthly contribution. Therefore, you will pay Ksh. 250 on top of the monthly Ksh. 500 contribution.
You should note that if you are always late in making your NHIF contributions, you will be expected, in addition to penalties, to pay upfront. You may be required to pay a year’s contribution upfront.
NHIF Hospital Categories
NHIF categories member hospitals in the following categories:
- Category A: Government-owned hospitals
- Category B – Faith-Based and Medium Cost Private Facilities
- Category C – High Cost Private Facilities
Frequently Asked Questions (FAQs)
Can I get NHIF card at Huduma Centre?
Yes. After your registration for NHIF membership, you can pick your NHIF card at any NHIF office or Huduma center near you.