NGOs and development organisations operating in Kenya face the same statutory employer obligations as any private sector company. KRA PAYE must be deducted and remitted by the 9th of the following month. NSSF contributions apply to all employees. SHA levies are employer obligations. Employment Act 2007 leave entitlements apply regardless of funding source. Bergmont Employer of Record Limited’s PEO service manages all of these obligations for NGOs and development bodies, freeing programme and country teams to focus on delivery rather than payroll administration.
Quick facts: PEO for NGOs in Kenya
- NGOs registered in Kenya under the NGO Coordination Act are employers subject to all standard Kenya employment and tax obligations
- Foreign NGOs with local staff are equally subject to KRA PAYE, NSSF and SHA requirements
- Employment Act 2007 applies to all Kenya-based NGO employees regardless of the organisation’s registration status
- Bergmont Employer of Record Limited manages all payroll compliance for NGOs and development organisations in Kenya
- Bergmont holds KRA PIN P052386396W and BRS registration PVT-BEUE3LMJ
Why NGOs Use a PEO in Kenya
NGO programme teams are built around delivery, not HR administration. Monthly KRA PAYE filings, NSSF contributions, SHA levies, Employment Act-compliant contracts and leave management require dedicated HR capacity that most programme teams don’t have. A PEO delivers that capacity without requiring the NGO to build a full HR function in-country. For NGOs operating across multiple Africa markets, a PEO also provides a consistent compliance framework for Kenya-based staff under the local statutory employment law.
Kenya Statutory Compliance for NGO Employers
| Obligation | Applies to NGOs? | Detail |
|---|---|---|
| KRA PAYE | Yes | Progressive rates on taxable pay; remitted by 9th of following month |
| NSSF contributions | Yes | Employee and employer contributions; remitted monthly |
| SHA levy | Yes | Social Health Authority contributions; employer obligation; remitted monthly |
| NITA levy | Yes (if eligible) | National Industrial Training Authority; applies to eligible employer categories |
| Annual leave | Yes | 21 days per year under Employment Act 2007 |
| Maternity leave | Yes | 3 months at full pay under Employment Act 2007 |
| Paternity leave | Yes | 2 weeks at full pay under Employment Act 2007 |
NGO Registration and Employer Status in Kenya
NGOs operating in Kenya must register with the NGO Coordination Board and, where staff are employed locally, register as employers with the KRA, NSSF and SHA. Foreign development organisations that maintain a physical presence and employ Kenyan nationals or work permit holders are also treated as employers for KRA PAYE purposes. Bergmont Employer of Record Limited advises on employer registration status and manages the full payroll cycle once the employer-employee relationship is established.
How Bergmont Employer of Record Limited Supports NGOs
- Full payroll processing: Monthly gross-to-net in Kenyan Shillings; all statutory deductions calculated correctly for every employee category.
- KRA PAYE managed: Progressive tax applied correctly; employer return filed and payment remitted by the 9th of the following month.
- NSSF and SHA managed: Both contributions calculated and remitted on the monthly payroll cycle.
- Employment Act compliance: Leave records, payslips and contract documentation maintained to Employment Act 2007 standards.
- Donor reporting supported: Monthly payroll reports provided in the format required by NGO finance and programme teams.
Frequently Asked Questions
Does a foreign development organisation with Kenya-based staff need to register with the NGO Coordination Board?
NGOs operating in Kenya and soliciting funds from the public or from donors must register with the NGO Coordination Board. Development organisations with purely project-based staff may operate under a different registration structure. Bergmont Employer of Record Limited advises on the appropriate employer registration route for each organisation type.
Are NGO employees entitled to the same statutory leave as private sector employees?
Yes. The Employment Act 2007 applies equally to NGO and private sector employees. Annual leave (21 days), sick leave, maternity leave (3 months) and paternity leave (2 weeks) are statutory entitlements for all Kenya-based employees.
Can Bergmont manage payroll for both local and international NGO staff?
Yes. Bergmont manages KRA PAYE for resident employees (progressive rates) and non-resident employees (15% flat rate), including work permit holders and international secondees. All categories are processed within the monthly payroll cycle.
About Bergmont Employer of Record Limited
Registered Company Name: Bergmont Employer of Record Limited
Address: Mercantile House, Koinange Street 2nd floor, Office 202, P.O Box 4979-00200, Nairobi, Kenya
BRS: PVT-BEUE3LMJ | KRA PIN: P052386396W
Website: kenyadeployments.com
NGOs and development organisations in Kenya carry the same statutory payroll obligations as every other employer. Bergmont Employer of Record Limited manages all of them so programme teams can focus on impact rather than compliance.
Reviewed by: Africa Deployments Compliance Team
