
Use our Dutch payroll calculator to check your take-home amount
Use our Dutch payroll calculator to check your take-home amount
Finally! You have found your dream job in the Netherlands and then you suddenly think, “what will my take-home amount be every month?”
In your home country the tax and employment laws are probably easy for you to understand. Believe me, I think you know more about your country’s rules and legislations than we do. But know this: the Netherlands is by far one of the most difficult countries when it comes to the tax system.
Why is that?
Well, not only will tax be deducted from you—from your gross salary—but your employer is required to pay social premiums like the AOW (Old Age Pension), WW (Unemployment Insurance), WIA (the Work Capacity Act), and the ZW (the Sickness Benefits Act). These premiums are mandatory for employers.
These premiums do not impact your gross to net but will affect the costs for your employer. So, in other words, the premiums cost your employer, not you.
What are you agreeing to?
When you are in the final negotiations with your future company, it is very important to know what you are agreeing to. In case you agree on an all-in amount, for instance, please be aware that this is not the same as your gross salary! Your gross salary will always be lower than the all-in amount. You can see how this works in the graphic below.
Employment agreements most often show a gross salary figure. This salary may or may not include the 8% holiday allowance. In the Netherlands it is mandatory to pay an employee 8% holiday allowance, so check whether it’s included in the gross or not. Read your employment agreement very carefully to be sure that the salary will be as you expect. Remember: you pay your bills and handy expenses with the amount you get in your account, not the amount at the top of the job offer!
Tip: Looks like you will be rich?! Be sure to focus on your net salary amount, not the gross or all-in.
In addition to the tax that will be deducted from your gross salary, there is also a possibility that a small premium for the Whk (Return to Work Partially Disabled) will be deducted too. Fifty percent of the premium, which is determined by the tax authority, is allowed to be deducted from your net salary.
Calculate your rate
Gee, isn’t this all very interesting?! But you probably don’t need to get a Master’s in Dutch tax and pay rules; you just want to see your take-home amount. Because we like this stuff, we have created a handy dandy calculator.
Using this calculator you can see what your take-home amount will be as well as what the costs will be for the employer if they would be using Payingit International service. Small print: it is an estimate and no rights can be derived, but at least you will have an idea.