Step-by-Step Process of Payroll Outsourcing in Kenya with Bubi Alexander & Co. (2025 Guide for SMEs, NGOs & Multinationals)

By Maina Susan – Tax & Finance Writer
Author

Maina Susan is a content researcher at Bubi-Alexander, who simplifies Virtual CFO services for multinationals and NGOs with her finance expertise.

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Introduction: Why Payroll Outsourcing in Kenya Matters

Let’s be honest –  Payroll can be a headache.

If you’re an SME, maybe you’re spending way too much time figuring out PAYE and NSSF.

If you’re an NGO, maybe you’re worried about keeping donor-funded projects fully compliant.

And if you’re a multinational? You’re probably navigating unfamiliar Kenyan tax laws while still juggling global compliance requirements.

This is where payroll outsourcing comes in.

At Bubi Alexander & Co., we don’t just “process salaries.”

Our payroll experts are constantly updated on both Kenyan tax laws and global compliance standards

That means we’re ready to handle payroll for local SMEs, international NGOs, and even multinationals setting up shop in Nairobi or Mombasa.

Simply put –  we keep you compliant, accurate, and stress-free.

Take the headache out of payroll

Stop worrying about PAYE, NSSF, and SHIF. 

Let our experts handle your payroll so your HR team can focus on growing your business or fulfilling your NGO’s mission.

Book Your Free First Payroll Consultation Today

What Payroll Outsourcing in Kenya Really Means

Payroll outsourcing in Kenya  doesn’t mean replacing your HR team. It means freeing them from the repetitive grind.

At Bubi Alexander & Co., we provide payroll outsourcing services in Kenya designed for SMEs, NGOs, and Multinationals

Instead of drowning in spreadsheets and tax deadlines, your HR team gets to focus on:

  • Training staff,
  • Improving company culture,
  • Recruiting top talent.

Example: Your HR manager no longer has to chase KRA PINs every month. We handle that, so they can focus on onboarding your new star employee.

Meanwhile, we take care of the heavy lifting: tax filings, salary disbursement, and making sure every last shilling is compliant.

Free your HR team from payroll stress

We’ll set up a system that works for your SME, NGO, or multinational — accurate, compliant, and fully automated.

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Who We Serve

At Bubi Alexander & Co., our payroll outsourcing services in Kenya are trusted by:

  • SMEs – We provide outsourced payroll for SMEs that saves time, cuts costs, and keeps every PAYE, NSSF, and SHIF filing accurate.
  • NGOs – Our payroll services for NGOs ensure donor accountability, proper reporting, and 100% compliance with Kenyan labour laws.
  • Corporates & Multinationals – We handle multinational payroll outsourcing in Kenya, blending local tax rules with international compliance standards.

No matter your size or sector, our payroll compliance experts make sure your organisation runs smoothly and stays penalty-free.

Steps of Payroll Outsourcing in Kenya with Bubi Alexander & Co

Step 1: Book a Free Consultation

Everything starts with a simple, free consultation. Think of it as a “payroll health check.”

Here’s what we’ll cover together:

  • A bit about your organisation –  are you running an SME, NGO, corporate, or multinational?
  • Your payroll setup –  how many employees you have, what benefits you offer, and any compliance rules you’re juggling.
  • Our pricing –  tailored to your needs, with everything upfront so you’re never surprised later.

By the end of that conversation, you’ll have a clear picture of how payroll outsourcing can work for you –  and whether it’s the right move for your business right now.

Start your payroll journey with confidence

Schedule your free consultation today and see how Bubi Alexander & Co. can streamline your payroll, save costs, and keep you fully compliant.

Book Your Free First Payroll Consultation

Step 2: Setting Up Your Payroll System

Once you decide to move forward, we roll up our sleeves and build a custom payroll system that actually fits your business (no one-size-fits-all templates here).

Think of this step as laying the foundation. We gather the right information, set the rules, and make sure everything runs smoothly from Day 1.

And we don’t stop there –  we keep the system updated every time someone joins, exits, or gets promoted.

Here’s how it works:

What We Collect Why It Matters Example
Employee bio-data (names, IDs, KRA PINs)
Keeps your payroll 100% compliant with KRA & PAYE
Linking each staff member’s KRA PIN for accurate monthly tax filing
Salary Structure
Ensures correct calculations for gross pay, benefits & deductions
Say an employee earns KES 100,000 — we’ll automatically apply PAYE, SHIF, and NSSF so the net pay is spot-on every month
Terms Of Engagement
Factors in loans, allowances & benefits for each employee
Deducting a staff loan or housing allowance every month

Example: If your NGO brings on 5 new field officers, we integrate them into payroll instantly. No delays.

Step 3: Running the Payroll (Payroll Processing)

Now that the system is set up, it’s time to actually run your payroll — and this is where things get smooth.

You get to decide how hands-on (or hands-off) you want to be:

Option A: We prepare the payroll for you, then your HR team handles salary disbursements.
Option B:
– We take care of the whole process – preparing and disbursing salaries directly to employees.
– Of course, nothing moves without your final approval

Either way, you’re always in the driver’s seat. We don’t make financial moves without your say-so –  you stay in control, and we handle the heavy lifting.

And it’s not just about full-time employees. We also manage payroll for casual staff, including:

  • Construction firms → compliant hourly rate calculations for site workers.
  • Manufacturing plants → fair wages for short-term or shift-based employees.
  • NGOs & field projects → accurate payments for temporary project staff.

This ensures that even your short-term workers get paid fairly, accurately, and on time — without adding extra stress to your HR team.

Think of us as your payroll co-pilot: you steer the direction, and we keep the engine running smoothly.

Step 4: Compliance & Risk Management

Payroll outsourcing in Kenya  isn’t just about paying staff. It’s about protecting your organisation.

Our team ensures full payroll compliance in Kenya, covering PAYE, SHIF, NSSF, and labour law updates.

Here’s how we keep you safe:

  • We monitor tax & labour law changes  e.g KRA updates(PAYE, NSSF, SHIF).
  • We apply global compliance standards (key for donor-funded NGOs and multinationals).
  • We double-check calculations to prevent penalties or fraud.
  • We give real-time payroll advice when cashflow is tight.

Example: One corporate client came to us after being fined heavily for late PAYE filings. With us handling compliance, those fines disappeared –  saving them millions.

Payroll Outsourcing Process Flow (Visual Summary)

Benefits of Payroll Outsourcing in Kenya

If you’re still on the fence about outsourcing payroll, here’s why it’s worth it.

Partnering with Bubi Alexander & Co. isn’t just about handing over payslip duties — it’s about unlocking real value for your organisation:

  • Save time – Your HR team focuses on strategy, training, and culture instead of chasing payslips and deductions.
  • Stay compliant – No more stress over KRA deadlines or surprise penalties from labour authorities.
  • Get accuracy every timePAYE, NSSF, SHIF… every figure is double-checked before submission.
  • Cut costs – Forget about hiring a full payroll department. You get expert support at a fraction of the price.
  • Enjoy peace of mind – We don’t just follow Kenyan rules; we also align with global compliance standards, making life easier for NGOs and multinationals.

In short: outsourcing payroll isn’t just about reducing admin –  it’s about making your whole organisation run smoother and smarter.

Maximise efficiency, stay compliant

Stop spending hours on payroll admin. Let our experts manage your PAYE, NSSF, SHIF, and donor-compliance requirements — accurately and on time, every time.

Book Your Free First Payroll Consultation - Start Today

Payroll Outsourcing with Bubi Alexander – Your Questions, Answered

Q: What happens when you outsource payroll with Bubi Alexander?

Think of us as your payroll partner. We set up your payroll system, run it every month, and make sure you stay fully compliant –  while your HR team keeps full control.

Q: What do you need to start Payroll Outsourcing with us?

It’s simpler than you think. Just share your employee details, salary structure, and KRA PINs. From there, we handle everything else.

Q: Is payroll outsourcing with Bubi Alexander  expensive?

Not at all. Our rates are flexible and customised for SMEs, NGOs, corporates, and multinationals. You only pay for what fits your organisation — no one-size-fits-all pricing.

FAQs – Payroll Outsourcing in Kenya

1. How much does it cost to outsource payroll in Kenya?

It really depends on your organisation. An SME with 10 employees won’t have the same needs as a multinational with 300 staff across regions. At Bubi Alexander & Co., our payroll outsourcing rates are fully customised — no one-size-fits-all. 

Book a free consultation and get a quote tailored to your business.

2. What are the challenges of outsourced payroll?

The two biggest hurdles most businesses face are:

  • Getting employee data from HR on time (think KRA PINs, salary updates, new hires).
  • Adjusting to a new payroll system when shifting from manual or in-house processing.

We solve both with staff training, clear communication, and smooth onboarding — so your payroll keeps running without hiccups.

3. What’s the biggest advantage  of payroll outsourcing for SMEs in Kenya?

 Simple: cost savings + compliance. Instead of hiring a full-time payroll officer, you get access to a team of payroll experts who handle PAYE, NSSF, and SHIF deductions accurately. That means fewer costs, fewer penalties, and more peace of mind.

4. How can a small business outsource payroll in Kenya with Bubi Alexander?

It’s straightforward:

  • Book a free consultation.
  • We assess your payroll setup and compliance requirements.
  • We design and run a payroll system tailored to your team.

You stay in control –  we just make it stress-free.

Conclusion

Payroll outsourcing in Kenya doesn’t have to feel complicated. With Bubi Alexander & Co., you get:

  • A payroll partner trusted by SMEs, NGOs, corporates, and multinationals.
  • A system that’s accurate, compliant, and cost-effective.
  • Experts who understand both Kenyan tax laws and global compliance rules.

We’re also trusted for multinational payroll outsourcing in Kenya, ensuring both local and global compliance.

Ready to simplify payroll? Book your free consultation today and let’s build a payroll system that finally works for you.

Payroll doesn’t have to be complicated

Get a trusted partner for your payroll. 

SMEs, NGOs, and multinationals rely on Bubi Alexander & Co. to keep staff paid, accounts compliant, and penalties at bay.

Schedule Your Free First Consultation - Simplify Payroll Today

Disclaimer

This guide provides general insights on payroll outsourcing in Kenya. It should not replace professional legal or financial advice. 

For advice tailored to your organisation, consult a payroll expert like Bubi Alexander & Co.