Mpesa agents earn a commission from Safaricom every time they deposits or withdrawals for their client. In this quick guide, we shall show you how Safaricom pay Mpesa agents in Kenya and more.
Safaricom clients deposit money into their accounts for free, but Safaricom still pays commission to mpesa agents performing this service. This fee is distributed to Safaricom, the principal-agent and the sub-agent.
Mpesa has evolved into an essential part of our lives in Kenya because we are able to transfer and receive money, perform bank transactions and make payments like school fees, e\rent, electricity, and shopping.
Since 2007, Safaricom mpesa has maintained mobile money transfers with more than 26 million active mpesa users and over 150,000 mpesa agents in different localities countrywide.
How Does Safaricom Pay Mpesa Agents
Yes. Safaricom pays Mpesa agents on a commission basis.
Mpesa agent carries out two central transactions. These are deposits and withdrawals.
These two transactions automatically affect your mpesa float and liquid cash.
When a client performs a mpesa withdrawal, they have electronic cash and would like money.
Safaricom rewards Mpesa agents for transacting higher amounts.
As a mpesa agent, you will need to hold sufficient float in your mpesa wallet, enabling you to get a return on what you have invested, especially if you have a good clientele base.
Mpesa agents are paid by Safaricom when their clients deposit or withdrawal money.
Safaricom uses the commission earned from the deposit and withdrawal transactions to pay mpesa agents.
Does Safaricom Pay Mpesa Agents Deposit Transaction Commission
Mpesa agent will earn a commission on every deposit transaction.
On average, the deposits commissions always range between 12-17% across the various transaction bands.
Safaricom has made it easy to calculate the mpesa commission by coming up with the mpesa commission rate.
Therefore, the minimum amount of commission a mpesa agent can earn is Ksh. 4 after transacting Ksh. 50- Ksh. 100.
On the other hand, the highest amount of commission from a single transaction is Ksh. 190.
This commission is earned after the customer transacts Ksh. 60,021 to Ksh. 70,000.
Does Safaricom Pay Withdrawal Transactions Commission
Commission earned from withdrawal various for both registered and unregistered mpesa users.
The minimum amount of commission a mpesa agent can gain from a registered client is Ksh. 5 after withdrawing Ksh. 50 – Ksh.100, and Ksh.8 after making
a withdrawal of Ksh. 101- Kshs 100 for unregistered Safaricom customers.
On the other hand, the highest amount of commission, on the other hand, from a single transaction is Ksh. 200 after withdrawing Ksh. 50, 001 – Ksh. 70,000.
To conclude, Safaricom will pay you all the monthly earned commission into the MMF account of the mpesa agent less the 5% withholding tax.
It is upon the mpesa agent to decide whether to withdraw the cash or plow it back to their mpesa float.