Updated 24 October 2026
Kenyan freelancers, online sellers and anyone who shops on international websites can move money between M-Pesa and PayPal directly. The service is run by Safaricom together with PayPal and the payments company Thunes. It means you can withdraw your PayPal earnings to your phone within minutes, or load dollars into PayPal to pay for subscriptions and online orders. This guide explains how to link the accounts, how top ups and withdrawals work, what it costs and how to avoid common problems.
Want to know which online work platforms pay through PayPal and accept Kenyans? See our verified online gigs tracker.
What You Need
- A registered M-Pesa line.
- A Kenyan PayPal account. Accounts registered in other countries do not link.
- The M-Pesa app. Safaricom says the service is offered on Android devices.
- A PayPal balance in US dollars for withdrawals. The link works in USD only.
How to Link M-Pesa and PayPal
- Open the M-Pesa app and log in.
- Open the PayPal mini app.
- Select Link Account.
- Log in with your PayPal email and password.
- Accept the linking confirmation.
- Enter your M-Pesa PIN.
Once linked, the mini app shows two options: Top Up and Withdraw.
Fees and Limits
| Item | Detail |
|---|---|
| Conversion fee | 3% applied on the day’s exchange rate, on top ups and withdrawals |
| M-Pesa paybill fee | Charged on top ups only, depends on amount |
| Per transaction limit | KSh 250,000 |
| Daily limit | KSh 500,000 |
| Currency | US dollars only on the PayPal side |
Withdrawing From PayPal to M-Pesa
- In PayPal, convert any non dollar balance to USD under Manage Currencies.
- Open the PayPal mini app on M-Pesa and select Withdraw.
- Enter the amount in dollars.
- Review the exchange rate and the shillings you will receive.
- Confirm. The money lands in your M-Pesa wallet.
Topping Up PayPal From M-Pesa
- Open the PayPal mini app and select Top Up.
- Enter the amount.
- Check the rate and fees, including the M-Pesa paybill fee.
- Enter your M-Pesa PIN. The dollars arrive in PayPal.
How to Unlink
In the M-Pesa app, open PayPal, tap Options, then Unlink Account. You can link again later.
Tips for Freelancers
- Withdraw in planned amounts. The 3% conversion fee applies to every withdrawal, but timing larger withdrawals avoids extra paybill costs on the M-Pesa side and saves effort.
- Watch your M-Pesa wallet limit. If a withdrawal would take your balance over the maximum, it can fail. Move money to savings or a bank first.
- Keep records. Save invoices and withdrawal confirmations. Freelance income is taxable, and records make filing easier. See our guide to filing KRA returns for the first time.
- Compare with alternatives. Payoneer and bank withdrawals have their own fees and rates, so compare the shillings you actually receive.
Who Benefits Most From the Link
The M-Pesa and PayPal link is most useful for three groups. Freelancers on international platforms can turn dollar earnings into shillings quickly, without waiting days for bank transfers and paying bank charges. Online sellers who receive payments from foreign buyers can restock faster. Shoppers and small businesses that pay for software, advertising or online services in dollars can load exactly what they need from M-Pesa instead of using a bank card.
Before relying on PayPal for client payments, also read PayPal’s own fee rules for receiving money. PayPal may take its own fee when a client pays you, separate from the 3% conversion fee charged when you withdraw to M-Pesa. Factor both into your pricing so your rates cover the true cost of getting paid. Many Kenyan freelancers add a small margin to their rates for this reason.
Common Problems
Cannot link. Make sure your PayPal account is registered in Kenya and verified, and that you use the correct login details.
Withdraw button greyed out. Your PayPal balance may be in another currency. Convert it to USD first.
Transaction failed. Check the daily limit, your wallet limit and your internet connection.
Looking for freelance or remote work? Browse openings on JobinKenya.
Frequently Asked Questions
How much does it cost to withdraw from PayPal to M-Pesa?
A 3% fee applied on the exchange rate. There is no M-Pesa paybill fee on withdrawals.
How long do withdrawals take?
Usually minutes.
Can I use the service on an iPhone?
Safaricom has said the service is offered on Android. Check the latest M-Pesa app for updates.
Can I withdraw euros or pounds?
Convert them to US dollars in PayPal first.
Is there a minimum withdrawal?
The mini app shows any minimum when you enter the amount.
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