Last reviewed: 24 October 2026
For most Kenyan private schools, fees arrive through M-Pesa. That is convenient for parents. It also brings a headache for the bursar, who has to match hundreds of messages to the right learner. Done well, M-Pesa collection reduces cash handling, speeds up balances and cuts arguments at the gate. Done badly, it produces “I paid, check your phone” disputes every term. Here is how to set it up properly.
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Paybill or Till?
A Till number (Buy Goods) is simple, but it does not capture an account reference, so you cannot tell which learner a payment is for. A Paybill lets the parent enter an account number. Make that the learner’s admission number. That one decision solves most reconciliation problems. Apply for a Lipa na M-Pesa Paybill through Safaricom using the school’s business registration documents, and link it to the school’s bank account, not a personal one.
Publish one clear instruction
Print it on the fee structure, report card, website and gate notice:
Paybill [number] · Account: learner’s admission number (e.g. 0457) · Keep the M-Pesa message as your receipt.
Never ask parents to send fees to a staff member’s personal number. It invites fraud and breaks your audit trail.
Reconciliation: from manual to automatic
- Manual: download the Paybill statement from the M-Pesa org portal each day and match it in a spreadsheet by account number. This works for small schools if it is done daily.
- Semi-automatic: a spreadsheet template that imports the statement and matches it to learners with a lookup, flagging wrong account numbers for follow-up.
- Automatic: Safaricom’s Daraja API can send each confirmed payment to the school’s system in real time. The system credits the learner’s balance and can text the parent a receipt. This needs development work and a server, but it removes data entry entirely.
Handling wrong account numbers
Some parents will type the wrong number or their phone number. Keep a “suspense” list. Call the payer using the phone number on the transaction, confirm the learner, then allocate. Never guess.
Reminders that don’t damage relationships
- Send the fee structure before the term starts, not on opening day.
- Send a polite SMS or email balance reminder at set points, for example week 2, mid-term and two weeks before exams.
- Offer instalment plans in writing. Parents who agree a plan pay more reliably than parents who are chased.
- Keep reminders private. Never read balances aloud or post names publicly.
Bursaries and sponsors
Record bursary and sponsor payments against the same account number, with a note of the source. Families appreciate statements showing exactly what each sponsor covered. Our bursaries page lists programmes parents may be using.
Numbers to watch each term
- Collection rate by week 4 and week 8.
- The count of learners with balances over one term.
- Unallocated payments in suspense.
Anademy by Ananke Digital offers fee tracker templates, SMS and email fee reminders and a full fee portal with M-Pesa (Daraja) reconciliation, built to order to match your fee structure. Request a quote and say roughly how many learners you have. Related: school budgeting.
A final control: make sure the person who records payments is not the same person who approves refunds or discounts. Separating these duties is the simplest protection against internal fraud in a small school office.
Anademy = Ananke + Academy: school systems by Ananke Digital.