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Health Insurance Contributions in Tanzania: the 3% + 3%

The health insurance contribution is 3% of salary deducted from the employee plus another 3% paid by the employer, under section 9 of the National Health Insurance Fund Act. This guide sets out the rate, who it covers, what counts as salary and what happens for the people it does not cover.

Reviewed by the Calculator editorial team · Last updated 19 September 2026

The rate, and where it comes from

Section 9(1) of the National Health Insurance Fund Act, Cap. 395, requires a monthly contribution of three per cent of the employee's salary; section 9(2) adds another three per cent from the employer. The total is 6% of salary, and there is no ceiling and no floor — the contribution rises with pay all the way up.

The 2023 Act did not change the rate

It is easy to assume that the Universal Health Insurance Act of 2023 replaced the old regime, and its section is even titled contribution rates — but it sets no rate at all. It requires each employer to submit the contribution in accordance with the law governing the public health insurance scheme, which is Cap. 395. Section 9 of Cap. 395 is unamended, so 3% + 3% remains the operative rate.

Who contributes

Public servants and employees in the formal private sector, after the 2023 Act extended the scope. The Act excludes judges, members of the defence forces and intelligence services, members of councils, boards, panels and committees, and anyone whose emoluments are paid by the hour or by the day. The Police Force, Prison Services, Immigration Services and Fire and Rescue Services are excluded from section 9 altogether: for them the Treasury deposits 6.25% instead.

What counts as salary

The contribution is calculated on salary, which the Act defines as gross salary excluding bonus, commission, cost of living allowance, overtime pay, directors' fees and other additional emoluments. That distinction matters in a month with a bonus or overtime in it: the extra pay is not part of the base.

There is no rate for the informal sector

The 2023 Act leaves contributions for the informal sector to regulations that the Minister is to issue, and no rate has been gazetted. So there is no figure to publish for a self-employed trader — the honest answer is that the rate is not yet set, and anyone quoting one is guessing.

A worked example

On a 1,000,000 TZS monthly salary, the employee contributes 30,000 TZS and the employer another 30,000 TZS — 60,000 TZS in total, 6% of salary, with no ceiling. The employee share is deducted from pay; the employer share is paid on top. The employee share comes out of take-home pay alongside PAYE and the pension contribution; the employer share is a cost on top of salary.

Tanzania NHIF Contribution Calculator

Try it with your own numbers:

Employee contribution (3%)
TSh 30,000
Deducted from the employee's pay each month.
Employer contribution (3%)TSh 30,000
Total to the Fund (6%)TSh 60,000
Salary after the employee shareTSh 970,000
BaseGross salary

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Results are estimates provided for information only and do not constitute financial, legal or tax advice. Consult a qualified professional before making financial decisions.

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Frequently asked questions

What is the NHIF contribution rate in Tanzania?

3% of salary from the employee and 3% from the employer — 6% in total, with no ceiling, under section 9 of Cap. 395.

Did the Universal Health Insurance Act change the rate?

No. The 2023 Act sets no rate; it defers to the law governing the public health insurance scheme, which is Cap. 395, and section 9 there is unamended.

Is there a ceiling on the contribution?

No. Unlike some social security schemes there is no maximum, so the contribution keeps rising with salary.

What rate applies to the self-employed?

None has been gazetted. The 2023 Act leaves informal-sector contributions to regulations that have not yet been issued.