Tax on Returns Calculator Kenya — What You Actually Keep
Enter your gross interest, withholding tax rate, and management fees. We’ll show exactly what you keep — net of 15% WHT and fund fees.
Total M-Pesa, bank-transfer or withdrawal charges over the period. Use your provider's own tariff; many funds charge nothing to withdraw, but M-Pesa and bank transfers can.
From KES 60,000 gross interest, 15% WHT takes KES 9,000 and the 2% fee takes KES 1,200. You keep KES 49,800 — an effective rate of 83.00%. Every one of these carries the same 15% withholding tax, so what separates them is the management fee — T-Bills charge none, which is why they keep the most.
How the Tax on Returns Formula Works
In Kenya, the withholding tax on interest income is 15% for resident individuals and corporations. It is deducted at source — your bank, fund manager, or the Central Bank of Kenya withholds the amount before paying you. The management fee is charged by fund managers for administering your investment, typically ranging from 1% to 3% of gross returns.
Your effective annual rate equals Net Return divided by Principal divided by Years, multiplied by 100. A 12% gross rate with 15% WHT and 2% fee gives an effective rate of just 9.96% — that 2.04 percentage-point gap compounds over time. Compare gross yields across products using the Compare Investments Calculator, or project your growth with the Compound Interest Calculator.
Kenya Investment Products — Gross vs Net After-Tax Yields (2026)
What you actually earn after 15% WHT and applicable management fees.
| Product | Gross Yield | Typical Fee | Net Yield (After WHT + Fee) |
|---|---|---|---|
| Money Market Funds | 8 – 12% | ~2% | 6.6 – 10.0% |
| Unit Trusts (Balanced) | 10 – 15% | ~2% | 8.3 – 12.4% |
| Treasury Bills | 14 – 17% | 0% | 11.9 – 14.5% |
| Treasury Bonds | 12 – 14% | 0% | 10.2 – 11.9% |
| Fixed Deposits | 6 – 10% | 0% | 5.1 – 8.5% |
| SACCO Savings | 8 – 14% | 0% | 6.8 – 11.9% |
| Equity Fund (Unit Trust) | 12 – 18% | ~2.5% | 9.9 – 14.9% |
Gross vs Net Return — Kenya Investment Scenarios
See how withholding tax and fees reduce your returns across different amounts and rates.
| Principal | Rate | Years | Gross | Net | Eff. Rate |
|---|---|---|---|---|---|
| KES 100,000 | 10% | 1 | KES 10,000 | KES 8,300 | 8.30% |
| KES 500,000 | 12% | 1 | KES 60,000 | KES 49,800 | 9.96% |
| KES 1,000,000 | 9.4% | 1 | KES 94,000 | KES 78,020 | 7.80% |
| KES 250,000 (T-Bill) | 16% | 1 | KES 40,000 | KES 34,000 | 13.60% |
| KES 1,000,000 | 14% | 2 | KES 280,000 | KES 232,400 | 11.62% |
| KES 500,000 | 10% | 3 | KES 150,000 | KES 124,500 | 8.30% |
| KES 2,000,000 | 12% | 5 | KES 1,200,000 | KES 1,002,000 | 10.02% |
| KES 5,000,000 | 10% | 5 | KES 2,500,000 | KES 2,075,000 | 8.30% |
Rows 1–3 and 5–8 assume 15% WHT + 2% management fee. Row 4 assumes 15% WHT + 0% fee (T-Bill — same 15% WHT, but no management fee).
Tax on Returns Calculator — FAQ
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