Has it always been on your bucket list to move to and work in one of the most tech-dominating industries in the world?
Well then, you have hit the right platform. If you wish to work in the Netherlands, then you must know a little something (yet of GREAT VALUE).
At the start of this new year, there were certain changes in the laws & regulations in the Netherlands. Assuming that you are an in-country knowledge partner, we are listing down some of the most important legislative changes for you.
This way, you won’t have to invest time in researching the same and will be acquainted with the changes by the end of this article.
So, read on and know what changes took place in the Dutch employment law.
30% ruling
There is no denying the fact that if anyone chooses to come and work in the Netherlands, they may have to incur a higher expense of living than they were used to. Under such cases, an employer is allowed to offer tax-free reimbursement to these employees. The employer can choose to pay 30% of the employee’s salary, including extra-territorial costs, tax-free. This is known to be a 30% tax facility.
The salary criteria for the 30% tax ruling from January 2022 are:
- The taxable wage of an employee should exceed EUR 41,954 (2022: EUR 39,467) on an annual basis.
- The taxable wage of an employee who is under the age of 30 and possesses a master’s degree should exceed EUR 31,891 (2022: EUR 30,001) on an annual basis.
Salary criteria based on work permits
The changes in salary based on different work permits are as follows:
Minimum wage
- The statutory minimum wage for full-time employees who are 21 and older will increase from €1,756.20 to €1,934.45 per month on Jan. 1, 2023.
Adequate pension
1. The Employer’s contribution to the Adequate Pension by law per January 2023 is 15.7% of the gross salary (2022: 15,8%).
2. The maximum pensionable salary per January 2023 is EUR 128.810,00 (2022: 114.866,00).
3. The AOW franchise per January 2023 is EUR 16.322,00 (2022: EUR 14.802,00).
Paid parental leave
Parental leave allows employees who have a child or children under eight years to take unpaid time off. This is different from their annual leave and it can be taken at any point. Parental leave is calculated based on working hours per week times 26. For example, if an employee works 35 hrs a week, they are entitled to 910 hours of parental leave for each child under eight years old.
How can we be of value to you?
In the coming times, we will keep you updated with the changes that may happen across Europe and many other countries. In case you feel like diving deeper into these changes or have any other queries, you may write to us at experts@adtsolution.com
In addition to this, our team of experts is all set to help you grab an immigration visa and work permit. at the earliest
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