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Payroll software in Uganda

Payroll software in Uganda

PayrollMaster Africa is payroll software for Ugandan employers. It calculates PAYE, NSSF contributions and Local Service Tax on every payslip, files monthly with the Uganda Revenue Authority, and pays staff in Ugandan shillings — on the PAYE bands actually in force, which the 2026 amendment has not yet changed.

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Compliance

What must a Ugandan employer deduct from every payslip?

3 statutory items, collected by 3 different bodies. PayrollMaster calculates each one on the same payslip.

Ugandan employers pay monthly. NSSF registration is now mandatory for every employer regardless of size — the old five-employee threshold was abolished.

Choose a country to see its statutory payroll deductions

The statutory stack

What comes off a Ugandan payslip

  • PAYE Uganda Revenue Authority (URA) Employee
  • NSSF National Social Security Fund (NSSF Uganda) Both
  • LST Local government authority Employee

3 statutory items in Uganda. PayrollMaster calculates every one, files with the URA, and pays staff in UGX.

Statutory payroll deductions in Uganda, the body that administers each one, who pays it, and the current rate.
DeductionAuthorityPaid byRate
PAYE Pay As You EarnUganda Revenue Authority (URA)EmployeeMonthly: nil up to UGX 235,000; 10% on 235,001–335,000; 20% on 335,001–410,000; 30% on 410,001–10,000,000; plus a further 10% on income above UGX 10,000,000 Source Sources disagree. A different table is circulating, and it is not law. The Income Tax (Amendment) Bill 2026 would raise the tax-free threshold to UGX 335,000 a month (UGX 4,020,000 a year) and make 20% the first taxable band; Parliament passed it, URA’s own FY2026-27 amendments booklet prints it, and Ugandan press reported it as starting on 1 July 2026. But the President declined assent and returned the Bill to Parliament on 14 July 2026 (over an unrelated clause on betting winnings, not the PAYE bands). Until it is re-passed, assented and gazetted, the table above is the one in force. Expect employees, candidates and printed URA material to quote the 335,000 figure at you.
NSSF National Social Security FundNational Social Security Fund (NSSF Uganda)Employer + employee5% employee + 10% employer of gross monthly pay (15% combined) Source
LST Local Service TaxLocal government authorityEmployeeBanded by salary, roughly UGX 5,000–100,000 per year, deducted across the first four months of the financial year Source Sources disagree. Bands are set by each local government and the rate table sourced was dated 2017. Confirm current amounts for every city you employ in, not just Kampala.

Rates last reviewed 2026-07-17 against Uganda Revenue Authority and other official sources. Where authorities genuinely conflict, both readings are shown rather than resolved. Statutory rates change with every finance act — confirm current figures with a local practitioner before relying on them. PayrollMaster applies the current rates centrally, so your payroll run does not depend on this table being fresh.

Estimate take-home pay with the Uganda salary calculator

What we have

Everything in the Uganda payroll platform

Fifteen areas, one system, for Uganda. Not a feature list bolted on — the platform a payroll team actually runs on.

Payroll

Run a pay cycle end to end, at any size.

  • Payroll engine

    A full pay run, calculated in one click.

  • Pay components

    Any earning, deduction or contribution, your way.

  • Payslips

    Payslips your way, delivered for you.

  • Approvals

    One inbox for every sign-off.

Compliance

Statutory rules, returns and reports that hold up to an audit.

  • Statutory compliance

    Statutory rules that update themselves.

    In Uganda, PayrollMaster applies PAYE, NSSF, LST and produces the returns the URA expects.

  • Reports & analytics

    The numbers your accountant asks for.

People

The whole employee record, leave and self-service.

  • Employee management

    The whole employee record, in one place.

  • Leave & holidays

    Leave balances that count themselves.

  • Employee self-service

    The questions stop reaching your inbox.

Flexible workforce

Casual and gig payroll, loans and advances.

  • Casual & gig payroll

    Casual and gig workers on the same platform.

    Ugandan casual workers are paid against local minimum-wage floors, with sub-monthly PAYE handled correctly.

  • Loans & advances

    Staff loans that reconcile themselves.

Platform

Integrations, agencies, security and the things that scale.

  • Accounting integrations

    Payroll lands in the system you already run.

  • Multi-company & agencies

    Run payroll for every client from one account.

  • Security & access

    The most sensitive data you hold, treated that way.

  • Platform

    Localised, branded and built to grow into.

Pricing in Uganda

What does payroll software cost in Uganda?

PayrollMaster is priced per employee per month and billed in Ugandan shillings (UGX). There is no setup fee, and statutory filing with Uganda Revenue Authority is included rather than charged per submission.

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Questions

Payroll in Uganda: common questions

Have Uganda’s PAYE bands changed?

Not yet, despite wide reporting that they did on 1 July 2026. Parliament passed a Bill raising the monthly tax-free threshold from UGX 235,000 to UGX 335,000, but the President declined assent and returned it on 14 July 2026, so the older bands still apply. PayrollMaster maintains the bands centrally and applies whichever ones are law on the day you run payroll.

How does PayrollMaster handle Uganda’s Local Service Tax?

Local Service Tax is not a normal monthly deduction — it is spread over the first months of the financial year and paid to the local authority. PayrollMaster schedules it across the correct months and stops it automatically, so employees are never over-deducted.

How much does payroll software cost in Uganda?

PayrollMaster charges per employee per month, billed in Ugandan shillings, with no setup fee. Statutory filing is included in the price, so payroll cost stays a single predictable per-head figure as headcount grows.

Can PayrollMaster pay Ugandan employees in shillings?

Yes. PayrollMaster calculates net pay in Ugandan shillings and records each employee’s payment method — bank, mobile money, cash or cheque, with multiple accounts and salary splits — then tracks the status of every payment on the run. Payslips are generated and emailed in bulk, and no run is final without an authorised approval.

Run Ugandan payroll without the spreadsheet

Start free and run one real Uganda month — the deductions, the payslips, and the filing that comes out of it. Compare it against whatever you use today before you switch anything.

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