Statutory deductions
This page covers the Nigerian statutory contributions that Zinye works out automatically during payroll, alongside PAYE.
The rates
Section titled “The rates”| Contribution | Rate | Based on | Who pays |
|---|---|---|---|
| Pension (employee) | 8% | Basic + Housing + Transport | Employee |
| Pension (employer) | 10% | Basic + Housing + Transport | Employer (statistical) |
| NHF | 2.5% | Basic salary | Employee |
| NHIS | 5% | Gross pay | Employee |
| NSITF | 1% | Gross pay | Employer (statistical) |
| ITF | 1% | Annual payroll | Employer (if liable) |
The employee contributions reduce take-home pay and appear on the payslip; the employer ones are statistical (shown for reporting, paid by the company).
Where the rates live
Section titled “Where the rates live”Open Payroll → Nigeria Payroll Settings to see the configured rates. They’re pre-set to the statutory values, and can be adjusted if the regulations change.
Pension schedule (the PFA file)
Section titled “Pension schedule (the PFA file)”To produce the file you send each Pension Fund Administrator:
- Go to Reports → Nigeria Pension Schedule.
- Filter by Company and Month / Year.
- It lists each employee with their RSA PIN, PFA, employee and employer contributions, and the total.
- Export it for your PFA.
See Compliance reports for all the schedules and their due dates.