Bonus Tax Calculator Kenya 2026

Keep more of your bonus.

A bonus is taxed at your top marginal PAYE band, so it never lands whole. Enter your salary and bonus to see the tax, the net you actually receive, and the effective rate on the extra pay.

Bonus & 13th Month Calculator

See how much you'll actually receive from your bonus

Net Bonus (Take Home)

Ksh 35,144

Tax on Bonus

Ksh 14,856

Effective Bonus Tax Rate

29.7%

Bonuses are taxed at your marginal tax rate (the rate of your highest tax band). Based on your salary of Ksh 100,000, your bonus is taxed at approximately 30%.

Bonus Net vs Tax

2026 Kenya PAYE Tax Bands

Monthly BandRate
Ksh 0 - Ksh 24,00010%
Ksh 24,000 - Ksh 32,33325%
Ksh 32,333 - Ksh 500,00030%
Ksh 500,000 - Ksh 800,00032.5%
Above Ksh 800,00035%

Personal Relief: KES 2,400/month automatically applied

How bonus tax works in Kenya

A bonus is not taxed at some special flat rate. It is stacked on top of your salary for the month it is paid, so it is taxed at your marginal band — the rate on the last shilling you earn. For most salaried employees that is the 30% band, and for higher earners 32.5% or 35%.

That is why a KES 100,000 bonus rarely lands as KES 100,000. Enter your monthly gross and the bonus figure above to see the PAYE that comes off, the net bonus you receive, and the effective rate on the extra pay.

Questions about bonus tax

How is a bonus taxed in Kenya?

A bonus is added to your pay for the month it is paid and taxed under the normal PAYE bands. Because it sits on top of your salary, it is taxed at your highest (marginal) band — often 30%, 32.5% or 35% — so you keep less of a bonus than of your basic pay.

Is a 13th-month or Christmas bonus taxed?

Yes. There is no separate tax-free treatment for a 13th-month cheque or a festive bonus in Kenya. It is taxable employment income and PAYE applies at your marginal rate, the same as any other bonus.

How much tax will I pay on my bonus?

Take your top tax band as a rough guide. If your salary already pushes you into the 30% band, expect roughly 30% of the bonus to go to PAYE, leaving about 70%. The calculator gives the exact figure for your salary and bonus amount.

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