Housing Levy Calculator Kenya 2024
Calculate your affordable housing levy contributions based on KRA guidelines
Calculate Your Housing Levy
Employee Contribution
KES 0
1.5% of gross salaryEmployer Contribution
KES 0
1.5% of gross salaryTotal Monthly
KES 0
Combined 3%Annual Breakdown
| Contribution Type | Monthly | Annual |
|---|---|---|
| Employee (1.5%) | KES 0 | KES 0 |
| Employer (1.5%) | KES 0 | KES 0 |
| Total (3%) | KES 0 | KES 0 |
Important Information
- Due Date: 9th working day after month end
- Penalty: 3% per month for late payments
- Tax Relief: Employer contribution is tax deductible
- Employee Relief: Residents entitled to affordable housing relief
Enter your gross salary and click calculate to see your housing levy breakdown
Disclaimer: This calculator is for estimation purposes only. Please consult KRA official guidelines or tax professionals for accurate calculations. We do not accept responsibility for any financial decisions based on these calculations.
Understanding Kenya's Affordable Housing Levy Calculator
The Affordable Housing Levy (AHL) became effective in Kenya on March 19, 2024, as part of the government's affordable housing initiative. This housing levy calculator helps employees, employers, and self-employed individuals determine their monthly contributions to the affordable housing fund as administered by the Kenya Revenue Authority (KRA). The levy applies to all residents earning income in Kenya and consists of equal contributions from both employees and employers.
Our housing levy calculator simplifies the computation process by automatically calculating the 1.5% employee contribution and 1.5% employer contribution based on gross monthly salary. The tool provides both monthly and annual projections, helping users understand their long-term financial commitments under the affordable housing program. For comprehensive financial planning, consider using our other calculators including the TikTok Money Calculator and other personal planning tools.
The calculator follows KRA guidelines precisely, ensuring accurate computation of housing levy amounts for compliance purposes. Employers can use this tool to prepare payroll deductions and budget for their monthly AHL obligations, while employees can plan their take-home salary expectations. Self-employed individuals and business owners can calculate their quarterly or annual housing levy obligations based on their gross income projections.
Housing Levy Compliance and Payment Requirements in Kenya
Compliance with Kenya's housing levy requirements involves understanding payment deadlines, penalty structures, and tax implications. Employers must remit housing levy contributions by the 9th working day following the end of each month, with late payments attracting a 3% penalty for each month of delay. The KRA requires employers to declare AHL under sheet "M" of the PAYE return on iTax and make payments through designated agent banks or mobile money platforms.
The housing levy system provides certain tax benefits that our calculator helps users understand. Employer contributions to the affordable housing levy qualify as allowable deductions under Section 15 of the Income Tax Act, reducing the company's taxable income. Resident individuals who pay the housing levy become entitled to affordable housing relief, creating additional tax advantages that should be factored into overall financial planning strategies.
For businesses seeking comprehensive tax planning and compliance support, our digital marketing services include consultation on financial planning and business optimization strategies. Regular use of this housing levy calculator ensures ongoing compliance and helps maintain accurate financial records for both personal and business tax obligations. Stay informed about latest tax updates and business planning strategies through our regularly updated content resources.