A member can make additional voluntary contributions. The portion of your salary that you contribute to the scheme is normally deducted from your salary before taxation. There however exists a limit to the amount that is tax-free. Presently the limit on contributions is Ksh 20,000 but this is reviewed periodically by the government.

The table below shows the advantages of Additional voluntary contributions (AVC) in relation to tax calculation. For the illustration purposes the three members earn the same salary, Member A makes the mandatory and additional voluntary contributions of five percent (5%), Member B makes only the mandatory contributions, Member C makes no contributions.

	Member A	Member B	Member C
Basic pay	50,000	50,000	50,000
Allowances	17,000	17,000	17,000
Gross pay	67,000	67,000	67,000
Pension contributions – 5%	2,500	2,500	–
Additional Voluntary Contributions -5%	2,500	–	–
Statutory contributions- NSSF	200	200	200
Non taxable income	5,200	2,700	200
Taxable Income	61,800	64,300	66,800
Tax payable -before reliefs	13,144	13,894	14,644
Net salary	48,656	50,406	52,156