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 30% tax ruling from January 2022 are:
- An employee’s annual taxable salary must be more than EUR 39.467,00 (2021: EUR 38.961,00),
- An employee’s annual taxable salary with a qualifying master's degree (and who is younger than 30 years) must be more than EUR 30.001,00 (2021: EUR 29.616,00).
Salary criteria based on work permits
The changes in salary based on different work permits are as follows:
Minimum wage
The minimum wages per month from January 2022 is EUR 1.725,00 gross, which, in the year 2021 was EUR 1.701,00.
Adequate pension
1. From January 2022, an employer’s contribution to the adequate pension has gone up from 14.5% (which was in the year 2021) to15.8%.
2. The maximum pensionable salary from January 2022 is EUR 114,866, which was EUR 112,189,00 in the year 2021.
3. The AOW fiscal minimum franchise average salary from January 2022 is EUR 14,802, which was EUR 14,544 in the year 2021.
4. The AOW fiscal minimum franchise final salary from January 2022 is EUR 16,749, which was EUR 16,548 in the year 2021.
Paid parental leave (starting from August 2, 2022)
From August 2, 2022, parents will be granted a paid leave for 9 weeks. By doing so, the government wants to encourage the parents to go on parental leave. During parental leave, the Employee Insurance Agency (UWV) pays 50% of the daily wages of employees and up to 50% of the maximum daily wages.
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 a work visa at the earlies
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