M-PESA Till Charges 2026: Buy Goods Fees, Merchant Costs & Till Guide

M-PESA Lipa na M-PESA Buy Goods, commonly known as a Till number, is the most customer-friendly payment service in Kenya's mobile money ecosystem. For an ordinary customer paying a merchant, the standard rule is simple: enter the Till number, type the amount, confirm with your PIN, and the amount leaves your wallet with no normal customer-side fee added.

Safaricom's merchant ecosystem is enormous, with more than 675,000 active Lipa na M-PESA merchant tills reported across Kenya in 2025. This guide explains what Till is, how the customer-free rule works, how merchant fees are charged, where the hidden-charge issue comes in, and how a business can register and activate its own Till number.

Till Fee Calculator

Estimate the merchant-side Buy Goods fee, customer-side standard fee, and the merchant's net receipt from one Till payment.

Payment Amount (KES)

Calculate Till Fee

Use this calculator for the standard Buy Goods fee model described in the guide.

Customer FeeKES --

Merchant FeeKES --

Merchant ReceivesKES --

What Is an M-PESA Till Number?

A Till number, also called a Buy Goods number or Lipa na M-PESA Business Till, is a unique identifier that allows a business to receive payments directly from customers' M-PESA wallets. It is different from a Paybill number even though both sit under the broader Lipa na M-PESA family.

Paybill is designed for structured bill collection where the customer may need to enter an account reference. Till is designed for point-of-sale trade where the customer usually only needs the merchant number and the payment amount. From the customer side, that difference matters because a standard Till transaction is generally free while Paybill charges depend on the tariff selected by the receiving business.

M-PESA Till Charges for Customers

Buy Goods transactions through a Till number remain effectively free for customers in the standard model. When you pay an ordinary merchant using their Till number, Safaricom's public Buy Goods rule is that the customer pays no transaction fee in normal retail use.

On a standard Till confirmation screen, the customer-side fee reads KES 0. You are debited the amount you enter, and the merchant receives the payment into the Till ecosystem. This customer-side zero-charge structure has been central to Buy Goods adoption for years because it removes friction at the payment point.

M-PESA Till Charges for Merchants

While customers usually pay nothing, merchants do pay for the service. Safaricom's public Buy Goods merchant tariff is 0.5% of the transaction value, capped at KES 200 per transaction. Collections below KES 200 are free of charge on the merchant side.

The cap is especially useful for larger-value merchants. Once a transaction reaches KES 40,000, the merchant fee no longer grows. That means a merchant receiving KES 100,000 through Till still pays only KES 200.

Merchant reconciliation may be handled differently from the customer-facing flow, but the public pricing principle is clear: the customer-side rule is generally free, while the merchant-side rule is 0.5% capped at KES 200, with low-value collections below KES 200 free.

The Hidden Charge Issue

The customer-free rule has one important caveat. Public material around Lipa na M-PESA and regulator commentary has highlighted that some merchants may pass a fee to the customer in specific contexts. Safaricom's own public Buy Goods guidance points to fuel-station payments as the main example where customer charges may apply.

In practice, this means you should still look carefully at the confirmation screen before entering your PIN. For most ordinary retail tills at shops, supermarkets, salons, pharmacies, and similar merchants, the customer-side fee remains KES 0. But if a merchant has disclosed an added customer charge, especially in a petrol-station setting, confirm it before paying.

How to Pay at a Till Number

Paying at an M-PESA Till number is one of the simplest transactions in the M-PESA system.

Via USSD (*334#)

1. Dial *334# on your Safaricom line.
2. Select Lipa na M-PESA.
3. Select Buy Goods and Services.
4. Enter the merchant's Till number.
5. Enter the amount to pay.
6. Enter your M-PESA PIN.
7. Confirm the merchant name before authorising.
8. Receive your SMS confirmation.

Via M-PESA App

1. Open the M-PESA app and select Pay.
2. Select Buy Goods.
3. Enter the Till number or scan the merchant QR code.
4. Enter the amount.
5. Confirm with your PIN or biometric method.

Always verify the merchant name on the confirmation screen before completing the transaction. If the displayed name does not match the business in front of you, cancel immediately.

How to Register for a Till Number in 2026

To apply for an M-PESA Till Number, go to the official Lipa na M-PESA application portal at m-pesaforbusiness.co.ke/apply and click Apply Now. Choose the M-PESA Business Till option and your preferred settlement route.

Documents Required

• Duly filled and signed application form and Terms and Conditions.
• Valid identification document such as National ID, Passport, Alien ID, or Military ID.
• For sole proprietors and companies: Certificate of Business Registration or Certificate of Incorporation.
• KRA PIN certificate.
• Cancelled cheque or bank letter if settlement will be made to a bank account.
• A registered Safaricom SIM card in the business owner's name.
• For limited companies: Form CR12 valid within the last three months.

Application Process Step by Step

1. Go to m-pesaforbusiness.co.ke and select Apply Now.
2. Choose M-PESA Business Till.
3. Select your business type.
4. Fill in business details and upload the required documents.
5. Choose your settlement preference: M-PESA wallet or bank account.
6. Submit the application and track it through My Applications.

Activating Your Till Number

After approval, your Till number is sent by SMS together with the activation details. The activation process normally includes your Operator ID and a one-time start PIN. Use the activation instructions in the SMS or the M-PESA Business app to set your new operating PIN and take the Till live.

Till vs Paybill - Which Should Your Business Use?

Choose Till if you sell at point of sale and want the lightest-friction payment experience for customers. In ordinary use, the customer pays nothing, which improves acceptance in day-to-day retail.

Choose Paybill if you collect structured payments that require an account reference, such as school fees, rent, loan repayments, subscriptions, or insurance collections. Many larger organisations use both services side by side because they solve different payment problems.

Official Contacts

Frequently Asked Questions

How much does M-PESA Till charge per transaction?

For customers, ordinary Till payments are generally free. For merchants, Safaricom charges 0.5% of transaction value, capped at KES 200, with collections below KES 200 free on the merchant side.

Is M-PESA till free?

For most customer-side Buy Goods transactions, yes. The standard customer-side Till rule is KES 0. Safaricom's public material notes fuel-station payments as the main case where a customer charge may appear.

Has M-PESA changed their charges recently?

As of March 16, 2026, Safaricom has not announced a new standard Till customer tariff for 2026. The public Buy Goods structure remains customer-free in ordinary use, with the merchant side at 0.5% capped at KES 200.

What are M-PESA's current transaction fees?

M-PESA fees vary by service. Send Money, withdrawals, Paybill, ATM cash-out, Fuliza, and Till all use different pricing rules. On a normal Till payment, the customer-side rule is usually KES 0.

Which Paybill is free?

A Paybill is free to the customer when the business uses the Customer Bouquet tariff. Till is different because the standard customer-side model is already free in ordinary retail use.

What is the M-PESA withdrawal charges for 2026?

Withdrawal charges are separate from Till charges and are usually much higher on the customer side. That is why paying a merchant digitally via Till is usually cheaper than withdrawing cash first.

How much does it cost to withdraw Ksh 10,000?

At an M-PESA agent, withdrawing KES 10,000 costs KES 115 under the current withdrawal tariff. A standard Till payment to a merchant would usually avoid that customer-side withdrawal fee entirely.

How are M-Pesa withdrawal charges calculated?

Withdrawal charges use fixed amount bands. Till charges work differently: the customer side is usually free, while the merchant side is calculated as 0.5% of the payment value up to a maximum of KES 200.

Can I use M-Pesa in the USA?

Some M-PESA-linked services can be accessed internationally, but the Till guide on this page is about domestic Buy Goods payments inside Kenya's M-PESA merchant network.

How can I avoid withdrawal fees?

The simplest way to avoid withdrawal fees is to pay digitally instead of cashing out. If a merchant accepts a Till number, Buy Goods is usually the lowest-friction payment method for the customer.