Dissertation (MA Public Administration)The study focused on the challenges facing the extension of provision of social security services to the informal sector in Tanzania taking Kahama Town Council as a case study. The objectives of the study were to provide an overview of social security funds operating in Kahama Town Council; examine the members/beneficiaries to those social security schemes who work or are self – employed in the informal sector; to examine the challenges facing the social security funds in extending the provision of their services and to explore out ways to eliminate the challenges affecting the initiatives to extend the provision of social security services to the informal sector in Kahama. This study employed a cross sectional approach whereby the cases study was applied to investigate the problem in detail. Besides, the study made use of the interview and questionnaires as tools for obtaining useful data from respondents in this study. Documentary reviews were also used as a source of information to nourish this research work. Eventually, data were analyzed using the Microsoft Excel. Then data were presented in various ways and methods such as graphs like bar and histograms, tables, figures, as well as charts (pie charts). The findings revealed that, lack of awareness / knowledge of the respondents / people about the social security schemes (SSS) and low level of income per capital among other challenges, hinder the day- to - day operations of the social security intuitions. Thus the study recommended that, let the government and all the stakeholders in the industry of social security services provision join hands and every of these entities practically engage in effective and efficient extension of services to the informal sector.