Notice Period & Pay in Lieu Calculator Kenya
How much notice is required, and what is pay in lieu?
Basic pay plus regular cash allowances, for one pay period.
Leave at 0 if the contract doesn't say.
Notice not fully served, pay periods and pay in lieu method
If the employee was released early or left before the notice ran out. Leave blank if no notice will be served.
Notice period
notice given 28 Oct 2026- Rule
- s.35(1)(c)
- Notice days
- 28
- Unserved days
- 28
Notice must be in writing. Pay in lieu is taxable employment income, so PAYE applies. Leave keeps accruing during notice.
How it's worked out
- Find the statutory notice from how the employee is paid and the situation (table below).
- Compare with the contract. If the contract gives longer notice, it applies (s.35(2)). Months are counted to the same date, or the last day of a shorter month.
- Count notice days from the day after notice is given to the last day of employment.
- Pay in lieu is the pay for the notice period: one month's salary (or 28/30 of it) for 28 days, the number of months for contract notice in months, and the wage × days ÷ period length for weekly or fortnightly pay.
- If notice is partly served, pay in lieu is reduced in proportion to the days left unserved.
Minimum notice under the Employment Act
| Situation | Minimum notice | Law |
|---|---|---|
| Paid daily | None, ends at the close of the day | s.35(1)(a) |
| Paid weekly or fortnightly | To the end of the next pay period | s.35(1)(b) |
| Paid monthly | 28 days | s.35(1)(c) |
| Probation | 7 days | s.42(4) |
| Redundancy | 1 month, or 1 month's wages | s.40(1)(f) |
| Summary dismissal | None | s.44 |
Questions people ask
What is the notice period in Kenya?
For monthly-paid staff, the Employment Act's minimum is 28 days' written notice (s.35(1)(c)). Weekly-paid staff get notice ending at the close of the next pay week. Daily-paid casuals need none. During probation, it's 7 days (s.42(4)). A longer notice period in your contract applies instead.
Can my employer pay me instead of giving notice?
Yes. Either side can end the contract immediately by paying the pay for the notice period (s.36). On redundancy, it's at least one month's wages (s.40(1)(f)).
What if I resign and don't serve notice?
You may owe your employer pay in lieu for the unserved notice. If your employer waives your notice, it must pay you for the unserved period unless you agree otherwise (s.38).
Is pay in lieu of notice taxable?
Yes. It is employment income and PAYE applies. KRA treats it as income of the period right after termination.
Sources
Rates last checked 13 Sep 2026. Estimates only, not tax or legal advice.