Netherlands

Last Update by Katie, 02 Sep 2024

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Exchange Rate

18 Sep 2024

 

Cost of Living

Indicative value for a working adult in a city: Amsterdam

Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff

Living Requirement Indicative Amount (EUR)
McDonalds Set Meal 13
Monthly Train and Bus Tickets 81
3 Bedrooms Rental (City Center) 9,492
3 Bedrooms Rental (Outskirt) 6,927

Current Inflation Rate

3.7%

Wage

Minimum Wages

  • Staff over 21: 13.68 EUR per hour as of 1st July 2024

Median Salary

Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.

Job Level Monthly Salary (EUR)
Entry-Level
Fresh Graduate
 2,500
Mid-Level
5 Years
 3,500
Experienced & Managerial Level
10 Years
 5,500
Specialized & Senior-Level
15 Years
 Over 6,500

Annual Salary Growth

4.2%

Statutory Contribution

Except national insurance, the contribution base capping for other contributions is 71,628 EUR per year

Country Level

Type Employer Rates Employee Rates Notes
National Insurance 15.7% for payrolling companies 27.65%
AOW: 17.9%, ANW: 0.10% and WLZ: 9.65% 		All staff
Unemployment Fund (AWF) 2.64% Open-ended contracts
7.64% Fixed-term contracts 		- All staff
Sickness Benefit Insurance Premium (ZW) 0.16% - All staff
Invalidity Insurance (AOF) 6.18% Small companies
7.54% Large companies 		- All staff
Healthcare Insurance (ZVW) 6.57% - All staff
Work Resumption Fund (WHK) 0.07% - 4.13% - All staff the rate depends on sector or company size
Childcare Premium (WKO) 0.50% - All staff with children
Vacation Allowance 8% per month is retained from staff's salary and paid out as a one-time payment in May or June - All staff

Other Benefit

Other common employment benefits in Netherlands include:

  • Commuting Subsidy: 0.23 EUR per kilometer
  • Tax-Free Work from Home Allowance: Around 2.35 EUR per day
  • Health Insurance Compensation: Around 210 EUR per month
  • 13th salary payment is customary in November or December
  • Adequate Pension Scheme: Employers contribution from January 2024, 15.4% of staff's gross salary

Income Tax

Residents

  • Tax period: 1st January – 31 December
    Filing start date: 1st March
    Tax filing due date: 1st May

Country Level

Taxable Income Rate
Up to 75,518 36.97%
Over 75,518 49.50%

Non-residents

  • Tax for non-residents is the same as residents

Working Hours

Statutory

40 hours
8 hours a day, 5 days a week

Typical practice

40 hours
Monday - Friday

Overtime

Maximum hours are 12 per day or 60 hours per week

  • Night work is anything over 1 hour between 00:00-06:00
    - Staff cannot work over 117 night shifts per year
  • There is no legislation on overtime compensation. Overtime pay and rates are determined in the employment contract

Employment Contract

Permanent

Contract Format

Written and signed (electronically or printed copy) in Dutch or English, staff receive a copy signed by both parties

Payroll Currency

EUR

Probation

Up to 2 months

Contract Period

No minimum duration

Termination

  • Notice during probation for staff and employers:
    - No notice
  • Voluntary Resignation:
    - 1 calendar month starting on the first day of the month
  • Involuntary Termination:
    - Under 6 months’ service: No notice
    - Over 5 years’ service: 1 month
    - 5-10 years’ service: 2 months
    - 10-15 years’ service: 3 months
    - Over 10 years’ service: 4 months
  • Severance:
    - 1/3 of monthly salary * years of service from the start date
    - Outstanding unused leave, bonuses, commission in the last 12 months are paid out
    - If a permanent contracts are not extended a transition payment is still due
    - Maximum compensation of 89,000 Gross, If a staff member's salary is higher: 1 year salary

Public Holiday

8 days
Public holidays that fall on weekends are lost

Country Level

Date Name
01 Jan New Year's Day
29 Mar Good Friday
31 Mar - 01 Apr Easter Sunday & Monday
27 Apr King's Day
05 May Liberation Day
09 May Ascension Day
19 May - 20 May Whit Sunday & Monday
25 Dec - 26 Dec Christmas Day & Boxing Day

Leave

Leave Type Entitlement Notes
Annual Leave 20 working days All staff working 4 days per week
Sick Leave Up to 2 years All staff sick, for organ donation, pregnancy or childbirth
Pregnancy and Maternity Leave 16 weeks
6 weeks before birth, 10 weeks after 		All expectant mothers
Partner and Paternity (including extended) Leave Up to 6 weeks All parents and partners of children
Parental Leave 26 weeks All parents caring for children
Adoption and Foster Care Leave 6 weeks All staff adopting or fostering a child
Short and Long-Term Care Leave Short term - up to 2 weeks
Long term - up to 6 weeks 		All staff caring for sick relatives
Emergency Leave Up to several days depending on the emergency All staff giving birth on the day of child birth

Reference

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