Employing in the Netherlands
Payroll Services Netherlands
Allow your business the flexibility to focus on company growth by trusting our team at PeoplePay Global to handle your Payroll Services in the Netherlands for you.
Our team provides businesses with compliant, accurate and efficient payroll solutions that will manage employee salaries, tax withholdings and even social security contributions. We ensure that each of our experts is kept up-to-date with Dutch Payroll Legislation, focusing on each aspect of the payroll process with care, including wage tax and social insurance requirements.
Ensuring timely and accurate payments, Outsourcing Payroll can reduce workloads to allow your company to grow with confidence.
Dutch Payroll Services
Transform your business’s operations by Outsourcing Payroll in the Netherlands through our experts at PeoplePay Global. Our team will offer a reliable and accurate solution to managing employee pay and statutory obligations with ease.
Each step of the payroll process is handled with precision and in-depth knowledge of Dutch Payroll Legislation, to ensure that your company is staying compliant with ever-changing laws. We focus on ensuring accuracy with each aspect, including wage tax, social security contributions and pension requirements. Furthermore, salary calculations, filings and statutory deductions will be managed to ensure that your team is free to focus on long-term company growth.
Ensuring compliance with complex labour and tax regulation laws is our top priority, ensuring that your business can grow organically without stress. Whether you are a local business or a multinational organisation, our team can provide expert payroll solutions that are tailored to each of your business’s needs, whilst ensuring secure data protection measures.
Partner with us today to gain the peace of mind that your Dutch Payroll is being handled with precision and care.
In the Netherlands, the national minimum wage applies to everyone over the age of 15, with the rates varying between the ages of 15 to 21 and over. The following rates apply from the 1st July 2025:
- 18 years old – € 7.20
- 21 years old and over – € 14.40
In the Netherlands, individual tax rates and thresholds vary depending on an employee’s annual salary:
- Income up to €38,441 – tax rate of 35.82%
- Income between €38,441 to €76,817 – tax rate of 37.48%
- Income over €76,817 – tax rate of 49.5%
In the Netherlands, pensions consist of at least one of the following:
- A state pension
- A supplementary pension
- A private pension
Both the employee and employer make contributions although the amount varies depending on the pension scheme and employer.
In the Netherlands a standard working week consists of 40 hours, Monday to Friday.
The Working Hours Act stipulates that employees over the age of 18 may work for a maximum of 12 hours per day and 60 hours per week, although this is not allowed every week. An employee may work an average of:
- 48 hours per week over a 16-week period, or
- 55 hours per week over a 4-week period
Employee’s leave consists of several types:
- Statutory time off or paid leave, which is 4 times the number of hours worked per week (typically 20 days per year)
- Public holidays (there are 11 in the Netherlands)
- Maternity, Paternity and Parental leave
- Sick leave
Termination of an employment contract in the Netherlands is often only allowed with a good reason, and sometimes not at all.
Legally compliant grounds of dismissal can include:
- A business reason
- Long-term illness
- Regular absenteeism
- Incompetence
- Unacceptable behaviour
All dismissals require a minimum notice period to be given, which depends on the duration of the contract. For permanent contracts the notice period for both an employer and an employee is 1 month. Upon dismissal, you often must make a payment as compensation for dismissal, which is known as a transition payment.
