Updating statutory contribution rates
Statutory contribution rates change — usually annually, sometimes mid-year. Updating them in KAMI is a small task with a large blast radius: it affects every employee's payslip and every remittance from the effective date onwards.
Where: Settings › Payroll › Contribution types You need: the payroll settings right
Before You Start
Get the official schedule, not a summary of it. You need the rates, the wage brackets, the floors and caps, and the exact date the change takes effect.
Confirm the effective date against your payroll calendar. A change effective on the 1st affects a cut-off that may have started in the previous month. Which run it first applies to is a decision, and it should be a deliberate one.
Check whether anything else changed. Rate revisions often move the wage cap or the bracket boundaries as well, and updating only the percentage leaves you quietly wrong at the top and bottom of the range.
How to update a rate
- Open Settings › Payroll › Contribution types and open the type.
- Update the rate or fixed amount.
- Update the wage floor, wage cap and any amount caps — these change more often than people expect.
- Check the rounding method and multiple still match the official schedule.
- Save.
- Recalculate a test payslip and reconcile it against the official table before doing anything else.
Reconcile at three points
Check one employee at each of these, against the authority's own table:
- Below the floor, if the schedule has one
- In the middle of the range
- Above the cap
Those three catch nearly every mistake. A rate typed correctly with a stale cap looks perfect in the middle of the range and is wrong for your highest earners — who are also the ones most likely to notice.
What Happens Next
- The new rate applies from the next calculation. Payslips already calculated keep the old rate until they are recalculated.
- Deciding whether to recalculate an in-progress run is a real decision: recalculating applies the new rate to that period, not recalculating leaves it on the old one.
- The change flows into the monthly remittance reports and into year-end reporting.
Tips
- Diary the change dates. Statutory rates move on known dates and nothing in KAMI will remind you. A late update means an under-remittance and an amendment.
- Update before the first affected run is calculated, not after. Retrofitting means recalculating a run people may already have seen.
- Keep the official schedule with the date you applied it. When a filing is questioned a year later, this is the evidence.
- Tell payroll staff the period the change lands in, so they are not surprised by everyone's net pay moving at once.
- Do not update a rate mid-run without deciding what happens to the payslips already calculated. An inconsistent run is worse than a late change.
Troubleshooting / FAQ
Q: The contribution is right for most people and wrong for high earners. The wage cap or amount cap was not updated with the rate.
Q: Figures are a unit or two out from the official table. Rounding — check the method and the multiple against the schedule.
Q: We updated the rate and nothing changed. Recalculate. Payslips hold the rate they were calculated with.
Q: Half the run used the old rate. Some payslips were calculated before the change and some after. Recalculate the whole run so the period is consistent.
Q: We applied the change late. What now? Recalculate the affected payslips if they can still be corrected, or handle the difference through the authority's amendment process. Do not leave the rate stale to keep the history tidy.