See your real net earnings on Kenyan Treasury bills after withholding tax and bank custody fees. Compare 91, 182, and 364 day options at the same capital. All in Kenyan Shillings.
Adjust any field to see how it changes your net earnings.
Your gross interest, less what gets taken before it reaches your account.
Same capital, same tax and fee assumptions, three different tenors. The yields below default to recent CBK auction levels. Adjust each if you have more recent data.
Calculating...
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Log every T-bill, watch your net interest add up across the year.
This calculator is great for single scenarios. But when you actually start buying T-bills, you need a place to record each one. The full Karatasi T-Bill Tracker is a complete Excel workbook for managing a real portfolio across the year.
Excel workbook · 7 sheets · One-time purchase
Most T-bill calculators show you the headline yield and stop there. That's the gross figure. It's what the auction quotes, but it isn't what lands in your account.
Two things get deducted before you see a shilling. The first is withholding tax, usually 15% on the interest. The second is bank custody fees, which most commercial banks charge for holding government securities on your behalf. Both are taken automatically, but if you're not paying attention, you may not notice how much they cost.
A KSh 500,000 T-bill at 7.8% with 0.25% custody fee and 15% WHT. Going via your bank vs directly through DhowCSD:
Custody fees are usually quoted annually but charged proportionally to the tenor. On a 91 day T-bill, the 0.25% annual fee works out to roughly 0.06% of face value. Small per investment, but it adds up.
All three tenors are sold weekly (the 364 day is monthly). They have the same minimum, the same minimum increment, the same tax treatment. The differences are yield and liquidity.
Once you have the net yield from this calculator, here's roughly how it stacks up against other Kenyan saving options.
T-bills are short term government IOUs sold at a discount. You buy them for less than the face value, and the government pays you back the full face value at maturity. The difference is your interest. They come in 91, 182, and 364 day tenors. Minimum investment is KSh 100,000, in multiples of KSh 50,000 thereafter.
Standard withholding tax on T-bill interest is 15%, deducted automatically by the Central Bank of Kenya or your bank. Always confirm the current rate with KRA, as tax rules can change. The calculator defaults to 15% but lets you adjust it for any exemptions that may apply.
Most commercial banks charge an annual custody fee of 0.10% to 0.50% of face value for holding government securities on your behalf, prorated for the tenor. Some banks also charge a flat transaction fee per purchase. Investing directly through DhowCSD (CBK's mobile platform) avoids bank custody fees entirely.
It depends on your goals. The 91 day tenor gives the fastest access to your capital but the lowest yield. The 364 day tenor locks in today's rate for a full year, usually at a higher rate. The 182 day sits in the middle. If you expect rates to fall, longer is better. If you expect rates to rise, shorter is better. A ladder of staggered T-bills smooths out reinvestment risk.
Unlike bonds, T-bills do not pay periodic coupons. For a 91 day T-bill at 7.8 percent yield, you pay roughly KSh 98,055 today for a KSh 100,000 face value. After 91 days, the government pays you the full KSh 100,000. Your KSh 1,945 gross interest is the difference. Withholding tax and any custody fees are deducted from that interest.
Two main routes. The cheapest is DhowCSD, the CBK's mobile and web platform. Open a CDS account directly (free, takes 1-3 days), then bid on auctions yourself. No bank custody fees. The other route is through a commercial bank or investment bank that runs a CDS account on your behalf. They charge custody fees but handle the paperwork. Both let you place non-competitive bids, which guarantee allocation at the auction's average rate, and which are recommended for retail investors.
It uses the standard 365-day year convention applied by CBK to calculate discount, purchase price, and effective yield. Withholding tax and custody fees apply exactly as you enter them. Real auction outcomes can vary slightly depending on settlement timing, secondary market trades, and any bank-specific fees not captured in our two fields. Treat it as an informed estimate, not a guarantee.