M-Pesa Agent Commission in 2024 : Here Are The New Mpesa Agent Commission And Tips for Higher Earnings

Boost your income as an M-Pesa agent by understanding the intricacies of the M-Pesa commission chart. Find out how to optimize your commission earnings now!

Mar 14, 2024 - 15:40
Mar 15, 2024 - 08:30
M-Pesa Agent Commission in 2024 : Here Are The New Mpesa Agent Commission And Tips for Higher Earnings
MPESA Agent Commission: Here Are The New Mpesa Agent Commission For 2023

In Kenya today, where technology and finance intersect, M-Pesa has emerged as a revolutionary force. This mobile money platform is not just a service; it's a lifeline that has transformed how Kenyans handle money. But there's more to M-Pesa than meets the eye, especially for those who operate as agents. These agents are the backbone of this financial phenomenon, which is crucial in facilitating transactions for millions.

If you're already an M-Pesa agent or considering this lucrative venture, understanding the agent commission system is your first step to success. So, what exactly is the M-Pesa Agent Commission? Simply put, the earnings agents make for every transaction they facilitate. Each transaction adds to an agent's income, whether a small deposit or a hefty bill payment. This commission isn't just a flat fee; it varies, influenced by factors like the transaction type and amount.

For agents, this commission is more than just a number. It's an opportunity to grow a sustainable business, contribute to the economy, and support their communities. For those aspiring to join the ranks, it's a window into a world of potential income and financial empowerment. Understanding this system is key to maximizing earnings and making the most of being an M-Pesa agent.

Detailed Breakdown of M-Pesa Agent Commission Rates

When understanding your potential earnings as an M-Pesa agent, the commission table is like a treasure map. It lays out what you earn for each transaction, guiding you toward maximizing your profits. Let’s get a closer look at this crucial tool.

M-Pesa Agent Commission on Deposits

The following table outlines the commission earned for each deposit transaction band:

Amount (Transaction Band) Applicable Commission (Ksh)
50 - 100 4
101 - 510 8
511 - 1,010 9
1,011 - 1,510 10
1,511 - 2,510 11
2,511 - 3,510 12
3,511 - 5,010 14
5,011 - 7,510 20
7,511 - 10,010 28
10,011 - 15,010 40
15,011 - 20,020 55
20,021 - 25,020 71
25,021 - 30,020 87
30,021 - 35,020 103
35,021 - 40,020 119
40,021 - 45,020 135
45,021 - 50,020 150
50,021 - 70,000 190
70,001 - 150,000 190

It's worth noting that the average commission across different transaction bands ranges from approximately 12% to 17%.

M-Pesa Agent Commission on Withdrawals

The following table outlines the commission earned for each withdrawal transaction band, categorized by registered and unregistered users:

Transaction Band (Ksh) Commission for Registered Users (Ksh) Commission for Unregistered Users (Ksh)
10 - 49 N/A N/A
50 - 100 5 N/A
101 - 500 8 8
501 - 1,000 10 10
1,001 - 1,500 12 12
1,501 - 2,500 15 15
2,501 - 3,500 20 20
3,501 - 5,000 25 25
5,001 - 7,500 30 30
7,501 - 10,000 35 35
10,001 - 15,000 45 45
15,001 - 20,000 60 60
20,001 - 25,000 65 65
25,001 - 30,000 70 70
30,001 - 35,000 70 70
35,001 - 40,000 100 N/A
40,001 - 45,000 150 N/A
45,001 - 50,000 180 N/A
50,001 - 150,000 200 N/A

While these tables clearly show potential earnings per transaction, there's more to it. For instance, handling numerous smaller transactions could be more profitable than fewer larger ones. It's all about finding that sweet spot between transaction value and frequency.

A Word on Taxes and Payment

Remember, as an agent, you're not just earning but also responsible for taxes. There's a 5% withholding tax on all commissions earned, which is something to factor into your financial planning​​​​.

Factors Affecting M-Pesa Agent Commission

As an M-Pesa agent, it’s crucial to understand that your commission isn’t just a static number. Several factors come into play, each influencing how much you earn from each transaction. Let’s dive into these factors to help you strategize for better earnings.

1. The Type of Transaction

Different strokes for different folks! In the M-Pesa world, not all transactions are created equal. The type of transaction you facilitate has a direct impact on your commission:

  • Sending Money: These transactions usually offer lower commissions.
  • Bill Payments: Here’s where you can expect higher commissions. Encouraging customers to pay bills through your service can significantly boost your earnings​​.

Understanding these differences can help you focus on transactions that offer better returns.

2. The Value of the Transaction

It’s simple: the more, the merrier! Higher transaction values generally lead to higher commissions. As an agent, aiming for transactions in higher bands can be a game-changer for your income. For instance, a single trade of 10,000 Ksh could be more profitable than ten transactions of 1,000 Ksh each​​​​.

3. Frequency of Transactions

Quantity matters as much as quality. The more transactions you process, the more commission you accumulate. This is where being in a high-traffic area or having a loyal customer base pays off. Regular, repeat customers can significantly increase your transaction frequency and, consequently, your overall earnings​​​​.

Tailoring Your Strategy

Understanding these factors is just the beginning. The next step is to tailor your approach to maximize your commission:

  • Focus on High-Value Transactions: Aim to facilitate more significant transactions whenever possible.
  • Encourage Variety: Promote a mix of transaction types, especially those with higher commission rates.
  • Build Customer Loyalty: Satisfied customers will likely return, increasing your transaction frequency.

How to Increase M-Pesa Commission

As an M-Pesa agent, your goal isn't just to facilitate transactions and grow your earnings. By employing smart strategies, you can significantly enhance your commission. Here’s how you can turn every transaction into a more profitable opportunity.

1. Focus on High-Value Transactions

To make your agency more profitable, prioritize high-value transactions. Encourage customers to use your services for significant money transfers, bill payments, and loan repayments. These transactions offer higher commissions and can quickly add to a substantial income​​.

2. Encourage Repeat Transactions

Customer loyalty is gold in the M-Pesa business. By providing exceptional service, you can encourage repeat transactions. Regular customers bring in steady commissions and can also be your advocates, spreading the word about your services. Consider offering incentives or discounts to retain and attract more repeat customers​​.

3.Diversify Your Service Offerings

Don’t put all your eggs in one basket. Expand your services beyond just cash transactions. Offering services like airtime top-ups, bill payments, and other financial services can attract a broader range of customers, increasing your transaction volume and commission​​.

4. Leverage Referral Programs

Word-of-mouth is a powerful tool. Implement referral programs to attract new customers. Incentivize your existing customers to bring their friends and family to your M-Pesa outlet. This approach can lead to an increase in transactions, thereby boosting your commission earnings​​.

5. Prioritize Customer Service Excellence

At the end of the day, customer service is king. Ensure you provide top-notch service to every customer. Address their queries promptly and efficiently. Happy customers are more likely to return and recommend your services, which means more transactions and higher commissions for you​​.

6. Utilize Aggregated Safaricom M-Pesa Lines

Consider obtaining an aggregated line from Safaricom. These lines offer higher commissions (an 80% split for the agent) than non-aggregated lines (typically a 40% split). Plus, they ensure direct and timely commission payments​​.

Checking Your M-Pesa Commission and Withdrawal

To keep track of your commission earnings and initiate withdrawals, follow these simple steps:

  1. Open your Safaricom App.
  2. Select "Show my commission balance."
  3. Enter your M-Pesa PIN.
  4. Wait for the confirmation SMS indicating your commission balance.

To withdraw your earnings:

  1. Ensure you have sufficient float in your M-Pesa agent account.
  2. Access your Safaricom app.
  3. Click on "Withdraw commissions."
  4. Enter your agent's number.
  5. Input your M-Pesa PIN.
  6. Await the automated message confirming your withdrawal.

READ ALSO: How Much Do M-Pesa Agents Earn Per Month?


Focusing on these strategies can turn your M-Pesa agency into a thriving business. Remember, the key is to adapt and be responsive to your customers' needs while keeping an eye on the most profitable aspects of the service. Stay tuned for the final section, where we'll wrap up everything we've learned about maximizing your M-Pesa commission earnings.

Joseph Richard Joseph Richard is a distinguished contributor to sledge.co.ke, where he leverages his extensive background in finance, business, and technology to provide insightful guides and analyses. With over a decade of experience in Kenya's dynamic market, Joseph has become a trusted voice in helping individuals navigate complex topics with ease. His work, recognized for its clarity and reliability, spans critical reviews, educational content, and comprehensive guides on making informed decisions in finance and business. Joseph's commitment to empowering Kenyans through accessible information underscores his reputation as a dependable and authoritative figure in the industry