Reviewing PAYE tax bands best bet to grow economy

A growing ecosystem of trade, manufacturing, services, and digital commerce is the foundation of a sustainable revenue system. Prosperity, not pressure, is what builds a resilient tax base.

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Kenya’s economic trajectory over the next decade will be shaped not only by how much the government spends, but by how effectively it empowers citizens to generate and circulate wealth. At the centre of this conversation lies a central but straightforward idea: a lighter tax burden on the payslip can ultimately lead to stronger economic growth and higher tax revenues for national development.

Today, many Kenyan workers are feeling squeezed. Over the past five years, the purchasing power of employed Kenyans is estimated to have declined by about 12 percent, eroded by rising living costs and heavier statutory deductions.

PAYE Tax Calculator

Note: The results are not exact but very close to the actual.