NSSF Unveils Plans for Social Security Automation.
The National Social Security Fund (NSSF) is gearing up to implement several initiatives aimed at modernizing Kenya’s social security system and enhancing accessibility for citizens.
As part of a pilot program, the NSSF intends to launch a mobile-based enrollment system. This initiative is designed to enable individuals in remote and underserved regions to register and contribute to the fund with ease.
Officials note that residents in these areas have historically been underrepresented in social security schemes.
Eliud Owalo, the Deputy Chief of Staff in charge of delivery management, explained that this move was driven by the realization that limited access to traditional registration systems had left many rural populations without coverage.
Automation to Boost Efficiency
In addition to mobile enrollment, the NSSF has embarked on automating its processes. This effort aims to enhance contributions, streamline fund management, and reduce delays in processing members’ benefits.
Owalo emphasized the government’s focus on improving operations during the 2023/2024 fiscal year. A key priority is ensuring retirees receive their funds more promptly.
The automation involves leveraging advanced digital platforms to simplify contributions and claims. The government projects that this modernization will significantly cut administrative costs and improve overall efficiency.
Recognizing the low representation of the informal sector in social security schemes, the government plans to widen NSSF’s reach.
Limited financial literacy among informal sector workers has been cited as a significant barrier to their participation. Efforts are underway to bridge this gap and encourage contributions from this critical segment of the economy.
Milestones in Government Digitization
Since taking office in 2022, President William Ruto has prioritized digitizing government operations.
Initially targeting 5,000 services, Interior Cabinet Secretary Kipchumba Murkomen recently disclosed that over 21,589 services are now available on the e-Citizen platform. This progress underscores the government’s commitment to digital transformation.
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Salaried Kenyans are preparing for increased NSSF contributions after President Ruto signed new tax amendments into law on December 11, 2024. In line with the NSSF Act of 2013, contributions will double from the current rate of Ksh. 2,160.
The new rates are expected to place financial strain on many households. Experts are advising Kenyans to take advantage of tax amnesty programs to ensure compliance and mitigate the impact of the higher deductions.
These reforms mark a significant step in ensuring a more efficient, inclusive, and sustainable social security system for all Kenyans.
NSSF Unveils Plans for Social Security Automation.
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