HOW DOES NSSF COLLECT THE CONTRIBUTION FROM ME?

If you have been following us this past week, you, like our friend Magidu, have probably read our content on NSSF. Magidu wants to know how NSSF collects NSSF contributions.

WHAT DOES THE LAW SAY?

Well, NSSF (National Social Security Fund) has a duty to collect contributions of 15% of an employee’s salary and invest it as part of its fund. It makes this collection every month, by requiring employers to deduct a sum of money from the salaries of employees and forwarding that payment to the NSSF account opened for that purpose and for the employee’s benefit. If you are part of a workplace where there are 5 or more employees, then it is compulsory for your employer to make this payment on behalf of the employees. The employer must deduct 5% from the salary of the employee and top up an additional 10% of the employee’s gross salary before sending this to that NSSF account.

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