This Payroll Agreement covers monthly payroll processing and any related work set out in an accepted proposal, and it applies each time we run payroll for you.
What we do
We provide monthly payroll processing for your staff, based on the employee details, pay rules, and approvals you give us, and we keep each month tied back to the final approved totals. The deliverables for your engagement are the items listed in the proposal under this section.
A few day-to-day points that matter in payroll: before the first run we need your employee list and setup details, and each month we need joiners, leavers, pay changes, and any one-off items in time to draft the pack. If someone joins or leaves mid-month, we add or close them from the effective date you confirm, and we calculate PAYE, NHIF, and NSSF on the pay actually due for that month and show it in the draft pack for your review.
Payment
We invoice at the start of each month of monthly payroll processing. There is no deposit or up-front payment beyond that month’s invoice. Each invoice is payable within 7 days of its date.
Payroll depends on timing. If an invoice is overdue, we pause filing and reconciliation work until the account is up to date. We will tell you what is on hold, for example the PAYE return figures, statutory reconciliations, or a clean-up of prior-month differences, so you can decide whether to prioritise payment or move the work to the next cycle. We do not release final outputs for that month until payment is received.
Privacy and files
We both see sensitive information during payroll, including employee personal details, pay, and deductions. We each agree to keep the other side’s confidential information private and to share it only with people who need it to do the work, for example your nominated approvers and our payroll team.
We work from the employee information and figures you provide, so you keep the original records, contracts, and approvals on your side. We keep payroll files and reports in our secure workspace and share them with your nominated contacts only. When our work ends, we will provide you with the latest payroll outputs and handover files we hold for you, and we will keep a reference copy so we can answer later queries using the registers, reconciliations, and submission records from the months we handled.
How we are engaged
We work as an independent payroll service, not as your employee or an internal HR function. We decide how we organise our team and tools to deliver the work, and you decide who on your side supplies inputs and approvals.
We are responsible for our own business costs and obligations, including our taxes, insurance, and the software and systems we use to run payroll. You remain responsible for your employment decisions and policies, including who you hire, what you agree in employment contracts, and when you authorise payment. Our role is to calculate, prepare, reconcile, and file based on the data and approvals you give us, and to flag issues we see before they become a problem.
Ongoing monthly work
This is a recurring engagement that runs month to month. At the start of each month, we invoice for that month’s monthly payroll processing, then we collect inputs, prepare a draft payroll pack, and wait for your written approval before we run payroll and finalise the statutory schedules.
Either of us can stop the recurring work by giving notice in writing. We will agree the notice period with you in writing, because the right timing depends on where we are in your payroll cycle and what has already been drafted or filed. If you give notice after we have started a month’s run, you still pay for work already done up to the stop date, and we will hand over the in-progress pack and what we have completed so you can continue internally or with another provider.
What we are responsible for
We take responsibility for the accuracy of the payroll calculations and statutory schedules we prepare from the information you provide, once you have approved the payroll figures in writing. If we make a mistake in our work, we will correct it promptly, explain what happened, and provide the revised registers and schedules.
There are limits that reflect how payroll works in practice. We cannot be responsible for errors that come from incomplete or wrong inputs, late changes, or approvals that arrive after the agreed cut-off for payday. We also cannot be responsible for bank delays or any payment you make that does not match the approved payroll totals. If KRA or another body raises a query, we will respond using the month’s payroll register, reconciliations, and submission records for the work we handled.
Ending this agreement
Either of us can end this agreement by giving notice in writing. We will agree the notice period with you in writing so we can protect your payday dates and avoid half-completed filing.
On termination, you pay for work completed up to the end date, including any month that has already been invoiced and work already performed for that period. We will then deliver a handover pack that includes the latest payroll register, payslips and schedules produced, and any reconciliation notes needed to explain the figures. Once invoices are paid, you own the payroll outputs we produced for you, and we keep a reference copy so we can answer questions about the months we ran.
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