RE: Net Pay Calculation - Kenya - Senior Manager & 2023 Payee Description (Attachment)

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Kiptoo Kibowen

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Jan 20, 2024, 6:20:01 AMJan 20
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Jambo,

Further to the previous example, kindly find attached example 3 for senior manager earning monthly gross pay of Ksh. 600, 000/- plus allowances and also having deductions for advance.

Also attached for your reference, description of 2023 KRA Payee table.

Hope this helps someone out there trying to understand the Kenyan tax system.

Fun, rather than profit  ;)

Knowledge is the root of understanding
Understanding is the root of wisdom
He who has been given wisdom has been given many blessings!

Cheers and Enjoy!

Ibrahim Kiptoo Kibowen
Tel: +254 726430830
Email: tkib...@gmail.com
Payslip Calculation - NSSF, NHIF, PAYEE, HOUSING LEVY (ODF) - Example 3 (PDF).pdf
Payee Calculation - 2023 - Old & New Rates.pdf

Benson Muite

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Jan 26, 2024, 7:08:27 AMJan 26
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> Also attached for your reference, description of 2023 KRA Payee table.
>
> Hope this helps someone out there trying to understand the Kenyan tax
> system.
None of these programs seem to have source code available. Started on a
small program to calculate taxes:

https://github.com/bkmgit/nairobilug.or.ke/blob/kodi/content/kodi-na-scheme.md
Initial explanation is in Kiswahili, will translate to English.
Contributions welcome, both programming and language improvement, in
particular feedback on Kiswahili technical terms is most welcome. For
those learning Kiswahili, the program should be understandable.
>
> /Fun, rather than profit  ;)/
>
/Freedom, rather than profit :) /

Kiptoo Kibowen

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Jan 26, 2024, 9:35:14 AMJan 26
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Jambo,

Congratulations (pongezi) for the small beginnings.

In March 2020, I started writing a program called BEI of which when writing the program realized that many people in the accounting and HR professions do not want to share information on their trade, especially when it comes to payslip calculation
At the time, one needed to have gone to some school to learn about HR/Accounting policies, procedures and how to "swindle" staff when calculating payslips.

Having enough coffee, donuts, bread and a blanket to keep me company (LOL!)
I was able to read through several books, online materials and most importantly sample payslips to be able to develop the first manual for calculating KRA PAYEE - a complete mystery/enigma at time (see attachment)

The rest was easy since NHIF was simply looking at the table and NSSF was deducting 200/- per month

In 2023, things became confusing as TIER system for NSSF was introduced by very "Educatedly confused intellectuals" since I had to spend several days trying to understand the chart issued by NSSF so as to put it into software.

None the less, no shortcuts ..... READ, READ, READ, READ .... anything you can get regardless of the author or language since some small explanation can assist in ......TADAAAAAA..... coming up with algorithm

For any software --- the algorithm is important but before then, you need to understand what you are doing first ..... put it down on paper!

Thus far the BEI software is running on Linux (Slackware Linux) and is using Mysql/MariaDB database backends.
Some customers already had existing HR solutions running on MS Windows using MSSQL database backends (e.g. SQL Express 2017) and BEI was easily integrated with their solutions to provide better reports, charts and insights --
as it could read data from MSSQL and compare with data in Linux and be able to do analysis  such as per assignment costings --> how much are you paying your staff vs you deductions --- usually assists in building your Profit and Loss (P & L ) report which useful for budgeting and also determining viability of the assignments

Anyone requiring tutorials on writing HR software and the associated calculation is welcome .... donuts, coffee and mboflo should be in plenty! :) LOL!

"Day becomes night and night becomes day ... the wise ponders at the meaning"

Cheers!


Ibrahim Kiptoo Kibowen








PAYE TAX CALCULATION - BEI HR SOFTWARE PROJECT.PDF

Emmanuel Ndaka

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Jan 26, 2024, 9:55:03 AMJan 26
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Hi Kiptoo,

Please see attached change for updated calculation.
Kindly also note that the court of appeal ruled against housing levy deductions today.
Thanks for your continued contributions.
Regards,
EMN

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tax-alert-revised-nssf-feb-2024.pdf

Kiptoo Kibowen

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Jan 26, 2024, 10:04:43 AMJan 26
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Jambo,

Thank you for your reply and also the updates regarding NSSF and housing levy.

Given that I am illiterate when it comes to matters HR, accounts, taxes, .../etc. - kindly explain your document by clear examples so that I can understand the impact of these legal matters & new regulations.

You are most welcome to use my previous examples.

Ahsante and good day.

Regards,


Ibrahim Kiptoo Kibowen


Benson Muite

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Feb 1, 2024, 11:27:19 PMFeb 1
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Jambo,

Thanks for the updates Emmanuel and Kiptoo. Removed NHDF.

An apk can be found at:
http://nairobi.lug.or.ke/DemoKodi-1.0-android-api29.apk
Developer permissions are needed to install on a relatively recent
Android phone.

Source code at:
https://github.com/nairobilug/nairobilug.or.ke/pull/210

It uses LambdaNative:
http://www.lambdanative.org/

Suggestions for improvements welcome - probably updates for NSSF are
needed. There seem to also be a myriad of options for deductions and
additions, keeping track of them maybe tedious. A FOSS solution could
probably help Wanjiku.

Benson
> /Fun, rather than profit  ;)/
>
> Knowledge is the root of understanding
> Understanding is the root of wisdom
> He who has been given wisdom has been given many blessings!
>
> Cheers and Enjoy!
>
> Ibrahim Kiptoo Kibowen
> Tel: +254 726430830
> Email: tkib...@gmail.com <https://groups.google.com/>
>
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