Wages in the Netherlands
Before we fully start, let’s look at wages in the Netherlands and what they are like. This differs depending on many different factors, such as age. As it is revised often in order to keep it in line with inflation, this may change. Note: minimum wage is based on a full-time employee (36 – 40 hours per week) – so that’s what you’re looking at BTW.
Firstly, when you start working in the Netherlands, you will be given a fixed-term contract. You may be used to be automatically permanently employed – but it doesn’t work like that here. You will have a contract and then they will choose whether to extend it when the time comes – you can have no more than 3 contracts, you must either be let go or employed permanently.
Help! I don’t understand my Dutch payslip
Already working in the Netherlands? Okay then, first of all, let’s tackle those scary Dutch words on a payslip. Here’s a list of words that almost definitely will be present on your payslips:
- Salaris Periode = the period of pay
- Personeelsnummer = Your employee number
- BSN = Your Dutch social security number (your BSN)
- Geboortedatum = Your date of birth
- Afdeling/Functieomschrijving = Your job role
- Anciënniteitsdatum/Datum in dienst = Date you started your employment
- Salaris/uurloon = Your gross salary (before tax)
- Minimumloon = Minimum wage
- Verzekerd voor WW/WiA/ZW/Zvw = social security you contribute to
- Bijz. tarief/heffingskorting (ja/nee) = tax rate (percentage) / general tax credit (yes or no)
- Gewerkt uren = Hours worked
- Sociale verzekeringen (SV) = Your social security contributions
- Reiskostenvergoeding = Transport reimbursement cost
- Totaal Netto = net salary after everything – literally what will be paid to you for that month
- Vakantiegeld = holiday leave, in hours
If you are eligible for social security premiums, these will also be on your payslip. Some of these include: ZW or Zvw (Zorgverzekeringswet)= Sick pay, AWBZ = contribution to special health care, AP-premie = disability pension allowance, WW (Werkloosheidswet) = unemployment benefit.