One employee: gross, net and employer cost
Rates 2026, with the 2027 proposal. An estimate for a full year.€
Per month or per year
2. Holiday allowance of 8%
Dutch job offers usually quote the monthly salary excluding the allowance. The allowance is paid once a year, in May or June, and is part of the yearly gross salary.
3. Expat scheme (30% ruling)
For an employee recruited from abroad, with a taxable wage of at least €48,013 per year in 2026. Up to 30% in 2026, up to 27% in 2027. The tax office decides on the request.
4. Type of contract
The unemployment insurance premium is 2.74% for a permanent contract with fixed hours and 7.74% for other contracts (2026).
5. Year
2027: income tax figures from the Tax Plan 2027 (a proposal until both houses of Parliament have voted), premiums of 2026 until the 2027 percentages are published.
Result
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Three things to know
- Assumptions. The employee is under the state pension age, works the whole year for one employer and has the payroll tax credit applied. The employer counts as a small employer for the disability fund and pays the average return to work premium. Pension is left out, because it depends on your sector.
- The expat scheme lowers both sides. The tax-free part is free of wage tax and of employer contributions. The taxable wage must stay at the yearly minimum or above, so for salaries close to €48,013 the tax-free part is smaller than 30%.
- The payslip comes from the payroll administration. It uses the wage tax tables per period, the exact age and the sector premium of your company. Our team does this for you. See Dutch payroll services.
Rates 2026. Wage tax and national insurance: 35.75% up to €38,883, 37.56% up to €78,426 and 49.5% above, with the general tax credit and the labour tax credit. Employer contributions on the wage up to €79,409: Awf 2.74% or 7.74%, Aof 6.27% plus 0.50% childcare surcharge, Whk 1.52% on average, Zvw 6.10%. Expat scheme: 30% in 2026 with a maximum of €78,600, 27% in 2027 with a maximum of €73,710. This is a first estimate; the payslip is made by the payroll administration.
Frequently asked questions
What does an employee cost an employer in the Netherlands on top of the gross salary?
In 2026 the employer pays about 17% on top of the gross salary up to €79,409 per year: unemployment insurance (Awf) 2.74% for a permanent contract, the disability fund (Aof) 6.27% for a small employer plus a 0.50% childcare surcharge, the return to work fund (Whk) on average 1.52%, and the healthcare contribution (Zvw) 6.10%. Above €79,409 the contributions stop. Pension contributions come on top where your sector has a pension fund.
Is the holiday allowance part of the gross salary?
Every employee in the Netherlands receives a holiday allowance of at least 8% of the gross salary, usually paid in May or June. Dutch job offers often quote a monthly salary excluding the allowance. The calculator lets you choose: the amount includes the allowance, or the allowance comes on top.
How does the 30% ruling change the net salary?
With the expat scheme the employer pays up to 30% of the salary tax-free in 2026, and 27% from 1 January 2027. The taxable wage must stay at €48,013 or more in 2026 (€36,497 for employees under 30 with a master’s degree), and the tax-free amount is at most €78,600 in 2026. The tax-free part is also free of employer contributions, so the employer cost goes down as well.
What changes in the payroll in 2027?
The Tax Plan 2027 proposes new income tax brackets and tax credits; both houses of Parliament vote on it in November and December 2026. The expat scheme goes from 30% to 27% on 1 January 2027, with a maximum of €73,710 (27% of the 2027 remuneration maximum of €273,000). The 2027 premium percentages are published at the end of 2026.
Is the result the same as the payslip?
The result is an estimate for a full year. The payslip is made by the payroll administration, period by period, with the wage tax tables, the exact age, the sector premium of your company and any pension scheme. Use the calculator to compare offers and to budget; use the payslip for the payment.
Does a foreign employer pay these employer contributions as well?
Yes, when the employee is socially insured in the Netherlands. A foreign employer then pays the employee insurance contributions and the healthcare contribution itself and registers with the Dutch tax office as a foreign employer. Wage tax withholding depends on a permanent establishment or on a voluntary choice to withhold.