According to BBC, the MPs' $7,200 monthly pay will be cut by 15% and they will lose some generous allowances.
The Salaries and Remuneration Commission (SRC) said that the salary review was part of a plan to reduce Kenya's public sector wages by 35%.
The lawmakers blocked previous attempts to tax and/or cap their pay, saying that their constituents depended on the MPs to help them financially.
The review reduces their salaries to $6,100 and scraps some of their allowances.
SRC boss Sarah Serem said the abolition of mileage and sitting allowances, which are favoured by the MPs, "were prone to abuse". BBC reports.
The average income in Kenya is $150 a month.
The new salaries will be effective after the 8 August election.