What is an Employer of Record in Kenya?
An Employer of Record (EOR) eliminates the administrative barriers between your business and a fully compliant Kenya workforce. Two Max Group becomes the legal employer on record — processing payroll, managing statutory compliance, and issuing employment contracts under our corporate identity — while your team retains full day-to-day control over the employees' work.
What does Two Max Group do as your EOR?
When you engage our Kenya EOR service, Two Max Group assumes full legal responsibility for your local workforce. Our payroll team processes monthly salaries, submits mandatory returns to the Kenya Revenue Authority, and verifies every obligation under the Employment Act, Cap 226 is met. Your managers retain total authority over daily tasks and deliverables.
For multinationals, this is the fastest legal route to hiring in Kenya. Without an EOR, the minimum deployment timeline is 3–6 weeks of corporate registration. With Two Max Group, staff are active in 48 hours.
- Legal employment contracts issued under Two Max Group's corporate identity
- PAYE computation and KRA iTax filing — submitted before the 9th-of-month deadline
- NSSF, SHIF, and Housing Levy — calculated and remitted to statutory deadlines
- Leave, disciplinary, and offboarding — managed by IHRM-certified professionals
- Work permit support for foreign nationals integrated within EOR scope
Who uses an EOR in Kenya?
Any foreign company seeking to employ people in Kenya without a local entity is the primary audience. That spans a US tech firm deploying its first Nairobi-based manager, to a multinational running a 50-person East Africa hub, to international development agencies managing project-based teams under donor compliance frameworks.
The optimal market entry strategy
Our EOR framework is equally suited to agile enterprises validating commercial viability in Kenya before committing capital to subsidiary incorporation. The World Bank consistently ranks Kenya among East Africa's most attractive investment destinations. Two Max Group's EOR platform lets you capitalize on that without regulatory delay.
- Foreign companies with no Kenyan subsidiary
- Multinationals evaluating the East African market
- International NGOs directing project-based workforces
- Technology firms rapidly expanding from EMEA
- Companies mid-registration who need staff active immediately
How our Kenya EOR service works
Five implementation steps separate your organisation from a fully compliant Kenya workforce. Two Max Group executes all five on your behalf. Your personnel are operational within 48 hours of confirming the engagement.
Everything included in our employer of record services in Kenya
One fixed monthly retainer. No hidden charges. No gaps in coverage. All 12 statutory and HR obligations managed end to end.
Kenya Payroll Calculator — 2026 rates
Calculate your full employment cost in Kenya instantly. Enter the gross salary plus any bonuses or allowances — the tool handles PAYE, NSSF, SHIF, and the Affordable Housing Levy automatically using Finance Act 2025/26 rates.
Transport, housing, or other taxable allowances. Added to gross for PAYE computation.
Team total shown in the summary below. Each employee calculated at the same gross.
*Estimates based on Kenya statutory rates (Finance Act 2023/2026). Indicative purposes only. Contact Two Max Group for a binding EOR proposal.
Comparing an EOR vs registering your own entity in Kenya
Both pathways establish a legally compliant workforce. The critical differences lie in implementation speed, setup cost, and who carries the compliance risk.
| Factor | EOR — Two Max Group | Own Entity |
|---|---|---|
| Time to first hire | 48 hours from engagement | 3–8 weeks (BRS, KRA, NSSF, SHIF) |
| Entity required | No — use Two Max Group's | Yes — mandatory before first hire |
| Setup cost | Zero registration fees | KES 30K–100K+ (legal, BRS, KRA) |
| Monthly admin | Zero — fully managed | In-house HR or outsourced |
| Employment liability | Sits with Two Max Group | Sits with your entity |
| PAYE compliance | Managed — zero late filings | Your responsibility — 5% + 1%/month penalty |
| Finance Act updates | Applied on gazette day | Your responsibility to monitor |
| Scalability | Add or remove at any time | HR capacity must scale |
| Work permits | Integrated — Class G, Special Pass | Separate process |
| Exit flexibility | End engagement — no wind-down | KRA deregistration, NSSF/SHIF |
Choose EOR when speed and flexibility matter
Personnel on the ground immediately — not delayed by weeks of bureaucracy. Zero capital outlay. Employment law liability transferred. Scale up, scale down, or exit without complex dissolution.
Start EOR — 48hr →Choose your own entity for permanent long-term presence
Once your East Africa footprint is consistently profitable, a registered subsidiary provides permanence and commercial credibility. Two Max Group's Company Registration service handles full incorporation.
Explore Registration →Employer of Record in Kenya — built for every sector
Our compliance infrastructure accommodates the distinct HR regulations and employment dynamics of each major economic sector.
Your Kenya team — operational in 48 hours.
Tell us who you need to hire, their role, and your timeline. We handle everything from contract to payroll to compliance.
Frequently asked questions about an EOR in Kenya
The questions C-suite executives ask before engaging Two Max Group — answered with full regulatory precision.
An Employer of Record in Kenya is a company that becomes the legal employer of your Kenyan workforce. Two Max Group generates employment agreements, executes monthly payroll, manages all statutory deductions, and ensures full compliance with the Employment Act, Cap 226. You retain complete authority over the employees' daily workflows. Foreign organisations use this structure to secure local talent legally without registering a domestic subsidiary.
Yes — but indirectly. An international enterprise cannot directly employ a Kenya resident without completing the local incorporation process. By contracting with Two Max Group as your EOR provider, your firm circumvents this requirement. The employee is employed by our established Kenyan entity, allowing you to direct their work compliantly.
Within 48 hours of commercial engagement. Once we receive personnel data, Two Max Group drafts compliant contracts, registers the individual for KRA PAYE, NSSF, SHIF, and Housing Levy, and integrates them into the active payroll. Registering an independent entity with equivalent configurations typically takes 3–8 weeks.
Every mandatory deduction: PAYE under Finance Act 2025/26 progressive bands (10%–35%), filed via KRA iTax before the 9th-of-month cut-off. NSSF Tier I and II (6% employee + 6% employer). SHIF at 2.75% of gross. Affordable Housing Levy at 1.5% employee + 1.5% employer. We have never submitted a late statutory return.
An EOR is the sole legal employer — used when you have no Kenya entity. A PEO co-employs alongside your existing registered Kenyan entity. No local company = EOR. Already have a registered entity and want to outsource HR and payroll = PEO.
Immigration administration is integrated within our EOR model. Specialists in our Work Permit service coordinate Class G Work Permits, Special Passes for short-term assignments, and Dependent Passes for family members — all aligned with employment contract timelines.
Contracts comply fully with Employment Act, Cap 226, Section 9 — covering probation schedules, notice periods, leave entitlements, remuneration, and severance. Issued under Two Max Group's corporate name in English, with Kiswahili translation on request.
A structured migration. Our consulting arm can manage the company registration if needed. We then migrate payroll ledgers, KRA filings, NSSF and SHIF enrolments, and HR archives to the new entity. Employment agreements are legally novated from Two Max Group to your firm — zero disruption to employees, statutory benefits preserved, compliance history transfers seamlessly.
Your Kenya team —
compliant in 48 hours.
One engagement. Every Kenya statutory obligation managed. Zero penalty exposure. 14+ years of flawless compliance.