Payroll has fixed deadlines and very little room for error. A simple checklist keeps every month predictable.
Statutory rates and bands change. Always confirm current figures with KRA and the relevant agencies, or use payroll software that is kept up to date.
Before payday
- Update the staff list. Add new hires, record exits and confirm bank or M-Pesa details.
- Capture changes. Overtime, allowances, unpaid leave, advances and loan repayments.
- Check attendance. Make sure leave and absence records match what managers approved.
Run the payroll
- Calculate gross pay including all allowances and overtime.
- Apply statutory deductions: PAYE, social health insurance, NSSF and the housing levy.
- Apply other deductions such as SACCO contributions, loans and advances.
- Review the summary against last month and investigate any big changes.
Pay and file
- Approve and pay staff by bank transfer or M-Pesa.
- Send payslips to every employee by email or a self-service portal.
- File and remit statutory returns before their deadlines.
- Post the journal to your accounting system.
Make it repeatable
Doing this by hand works for a handful of staff. As you grow, software that calculates deductions, generates payslips and produces statutory reports saves hours and reduces risk.
See how UzimaHR handles each step, or book a demo.