Retirement perks Uhuru Kenyatta will enjoy
President Uhuru Kenyatta test drives a vehicle at State House, Nairobi. Among the perks he will enjoy are new vehicles bought and maintained by the government.
President Uhuru Kenyatta will take home at least Sh39.6 million tax free in lump sum payment when his second and final term in office comes to an end tomorrow.
He will also pocket Sh1.32 million in monthly pension plus a host of benefits that include entertainment allowance, house allowance, office space, vehicles, fuel allowance and a full medical, all provided by the state free of tax.
The retired president and his spouse are also entitled to diplomatic passports and local and international travel allowance of up to four trips a year not exceeding two weeks each and access to the VIP lounge at all airports within Kenya.
The pension and benefits of the President when he retires will be drawn from the Sh42.43 million already allocated in the current financial year’s budget. The allocation is guided by the Presidential Retirement Benefits Act of 2003.
The allocation is, however, expected to increase in the subsequent years due to inflation trends according to the National Treasury projections.
For instance Treasury projects the allocation will rise to Sh42,776,150 in the 2023/24 financial year and Sh51,759,141 in 2025/26.
President Kenyatta will, however, be required to resign from any position in any political party before he can access the pension and the retirement benefits.
Section 6 (1) of the Presidential Retirement Benefits Act of 2003, provides that a retired President shall not hold office in any political party for more than six months after ceasing to hold office as President. President Kenyatta is the current Jubilee Party leader and the chairperson of the Azimio la Umoja One Kenya Coalition council.
However, the Act provides that the retired president shall be expected to play a consultative and advisory role to the government and the people of Kenya. He may also be requested by the government to perform specific official functions and shall be paid a reasonable allowance in respect of such activities.
In the last financial year, retired President Mwai Kibaki had been allocated Sh34.43 million but it was terminated when he died on April 21, 2022.
The Presidential Retirement Benefits Act provides that a retired president is entitled to a lump sum payment on retirement equal to one year’s salary for each term served. This translates to Sh39.6 million for President Kenyatta as per the Salaries and Remuneration Commission gazette notice of March 1, 2013, which has Sh1,237,500 as the President’s salary during the first year in office, but with an increase of Sh103,125 every year.
SRC had reviewed the President’s monthly salary to Sh1.44 million in the July 7, 2017 gazette notice, which was annulled by the High Court. This forced the commission to revert to the March 1, 2013 gazette notice to determine the remuneration for state and public officers.
On July 28, 2022, SRC published a gazette notice reviewing the remuneration of state officers in both the Executive and Legislature in the national and county governments.
The law also provides for a monthly pension equal to 80 per cent of the monthly salary currently paid to the President, which translates to Sh1.32 million as per the SRC gazette notice of March 2013.
Entertainment allowance
At the disposal of the retired President is an entertainment allowance calculated at the rate of 15 per cent of the monthly salary paid to the serving President. The state is further required to ensure that a suitable office space, not exceeding 1,000 square metres, with appropriate furnishings and equipment as well as staff, are available to the retired president.
The law entitles the retired presidents to at least 30 office and home staff that include two personal assistants, four secretaries, four messengers, four drivers and up to six security guards.
The retired Head of State will further be entitled to two new cars of his choice fully maintained by the state and replaceable every three years, with each car having an engine capacity not exceeding 3000cc. He is also entitled to two-four-wheel drive vehicles of his choice, with an engine capacity of no more than 4000cc.
President Kenyatta will also get an allowance equal to 23 per cent of the monthly salary paid to the serving President, about Sh379,500, to cater for electricity, water and telephone bills.
Article 151 (3) of the constitution provides that the retirement benefits payable to a former president, the facilities and privileges they enjoy shall not be varied to their disadvantage during their lives.
