The government of Kenya transitioned from the National Health Insurance Fund (NHIF) to the Social Health Insurance Fund (SHIF) on 1st October 2024. As such every citizen, including dependents, is mandated by law to register with Social Health Authority (SHA) as prescribed by the Social Health Insurance Act (SHIA). Employers should register their employees on the portal, update the information, and remit contributions on or before the 9th of the subsequent month. Employees can also register for SHA by dialing *147# and following the prompts.
Companies should register here where the primary requirements are the company registration certificate and KRA PIN. Besides, the contact details of the organization are needed. Individuals/employees should register through the AfyaYangu Portal or dial *147# as had been previously indicated. The steps are very simplified so that anyone can register and start remitting their contributions to SHIF. As an individual, you only need your identification document (ID) and phone number for verification and registration.
Employers are expected to deduct 2.75% of their employee’s gross salary and remit it to SHA on or before the 9th day of the subsequent month following the deduction. All people, whether employed or not are required to contribute to pooling funds to the SHA to enable them access quality care. Here are the steps to follow to make your contributions to SHA via M-PESA:
The SHIF Premium Contribution (the amount that you will be paying) is determined only after you have done the Means Testing on your account at Afyayangu.go.ke and got the amount that you will be paying Monthly or Yearly. This amount is known as the SHIF Premium Contribution.
Step 1: Dial *147# on your phone.
Step 2: Select ID Type: Option 1 – Kenyan Citizen
Step 3: Enter your Kenyan ID Number
Step 4: Select: Option 1 – Pay
Step 5: Choose who to pay for: Option 1 – Self
Step 6: Choose the payment you would like to pay: Option 1 – SHIF Monthly Contribution
Step 7: Your SHIF Premium Contribution (Amount is shown): Option 1 – Pay
Step 8: Wait to receive an M-PESA prompt notification on your phone
Step 9: Enter your M-PESA PIN and confirm payment to complete the transaction
Step 10: Successful payment of your SHIF Premium Monthly Contribution
You will receive an SMS from the Social Health Authority (SHA) confirming that your payment has been successfully credited to your SHIF account.
Employers who fail to remit SHIF contributions on time will face a 2% penalty on the unpaid amounts. Additionally, failing to contribute or making unauthorized deductions from employees could result in fines up to KES 2 million, imprisonment for up to three years, or both.
Employers must ensure all employees are registered with SHA and meet payment deadlines to avoid penalties or interruptions in employee healthcare coverage. At Renol Consulting, we understand that every business is unique. That’s why we tailor our tax planning and regulatory compliance services to meet your specific needs. Whether you’re a small startup or a large corporation, we offer custom solutions that fit your business model. Our personalized approach ensures you get the best service possible. For any clarifications/support kindly reach us at info@renolconsulting.com