Quick answer

STK Push is the payment method. It prompts the customer's phone. Paybill and Till Number are the payment destinations: where the money goes. Most businesses need all three: a Paybill or Till for receiving funds, plus STK Push (via the Daraja API) for initiating payments through a POS. Paybill pays directly into a bank account; Till holds funds in an M-Pesa wallet. For a small single-location shop, a Till Number is simpler to start with.

The three things: and why people confuse them

When Kenyan business owners talk about "accepting M-Pesa", they are actually talking about three separate concepts that work together. Getting them mixed up leads to setting up the wrong thing.

STK Push

The payment method. Your POS sends a payment prompt to the customer's phone. They enter their PIN. Payment confirms automatically.

Paybill Number

A payment destination. A 6-digit number linked to a business bank account. Funds land directly in your bank when a customer pays.

Till Number

A payment destination. A 6-digit number linked to an M-Pesa business wallet. Funds go to the wallet; you withdraw to a bank account manually.

To use STK Push, you need either a Paybill or a Till. It is the destination that receives the payment the Push initiates. STK Push without a destination makes no sense. A Paybill or Till without STK Push means customers still have to open M-Pesa and send money manually.

Paybill vs Till Number: the full comparison

FactorPaybill NumberTill Number
What it is6-digit number linked to a business bank account6-digit number linked to an M-Pesa business wallet
Where funds goDirectly into your business bank accountInto your M-Pesa Lipa na M-Pesa wallet: withdraw manually
Account referenceCustomer enters an account number (e.g. invoice ID)No account number needed
Monthly feesHigher (includes bank settlement fees)Lower
SetupRequires a registered business bank accountSimpler: register directly with Safaricom
Works with STK PushYesYes
Best forHigh-volume businesses, multi-branch, B2B invoicingSingle-location retail, low-medium volume

Which should you choose?

Choose a Till Number if:

  • You run a single shop and want the simplest setup
  • You do not need funds to land directly in a bank account automatically
  • You are just starting out and want to minimise monthly costs
  • Your transaction volume is low to medium

Choose a Paybill Number if:

  • You need funds to settle directly into a bank account automatically
  • You have multiple branches or want to separate revenue by account reference
  • You issue invoices and want customers to reference invoice numbers when paying
  • You process high transaction volumes where manual wallet withdrawals are inconvenient

What about the Daraja API?

The Daraja API is Safaricom's developer platform. It is what allows your POS to trigger STK Push payments programmatically: instead of a customer finding your Till Number and sending money manually.

You need a Daraja account regardless of whether you use a Paybill or Till Number. The Daraja API gives you two credentials, a Consumer Key and Consumer Secret, that your POS uses to authenticate with Safaricom when initiating payments. Register at developer.safaricom.co.ke.

For a full walkthrough of setting up M-Pesa in a POS system, see: How to Accept M-Pesa Payments at a Physical Shop in Kenya.

Can you have both a Paybill and a Till?

Yes. Some businesses register both: for example, using a Till for in-store retail sales and a Paybill for B2B invoicing. WebpinnPOS lets you configure the payment destination per transaction type if needed.

Frequently asked questions

Accept M-Pesa the right way

WebpinnPOS supports both Paybill and Till Number with STK Push. Set up in under 10 minutes.

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