6 December 2018

Malawi Govt Give Chiefs 100 Percent Increase On Honoraria

Government has doubled the honoraria for traditional leaders in the country, just a month after UTM party leader Saulos Chilima said at public rally that the traditional leaders were receiving peanuts as allowances which he said should be increased to meet the rising cost of life.

According to a letter from the secretary for Human Resources Management and Development, paramount chiefs will now be getting K100, 000 a month up from K50, 000.

Senior chiefs will now smile all the way to the bank with K60, 000 from K30, 000, traditional authorities will now get K36, 000 from K18, 000, sub-chiefs will get K16,000 from K8,000, group village headmen will get K10, 000 from K5,000 whilst village headmen will get K5,000 from K2, 500.

The new honoraria is with immediate effect, according to the memo dated December 4, 2018.

Other quarters of society say this is just electioneering by the ruling Democratic Progressive Party (DPP) ahead of the highly competitive May 21, 2019 tripartite elections.

Malawi Revenue Authority (MRA) on the other hand advised councils to start deducting 10 percent withholding tax from honoraria paid to chiefs.

The honoraria payments are subject to pay as you earn (Paye) and withholding tax, respectively, according to the Taxation Act.

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