In addition to Dutch personal income taxes, individuals who are living and / or working in the Netherlands are generally also covered by the Dutch social security system. It consists of the Dutch national insurance, the Dutch employees’ insurances and Dutch health insurance. Exemptions may be available for employees working temporarily in the Netherlands.
Dutch social security/ Dutch national insurance
The Dutch employee insurance includes pension insurances for old age and surviving relatives. Dutch national insurance premiums are levied on an annual income up to a maximum of EUR 33,363. The annual premiums due are capped at EUR 10,392 (figure 2013). The premiums due have to be paid to the Dutch tax authorities via the Dutch payroll (in case of an employee or director) or by filing a Dutch personal income tax return.
Dutch social security/ Dutch health insurance
Individual who are living and / or working in the Netherlands are obliged to take out a Dutch health insurance.
TDutch social security / the premiums are as follows:
A nominal contribution (average premium per year EUR 1,281) which has to be paid directly to the health insurance company, and
an income-related contribution (7.75%, with a maximum of EUR 3,941), which has to be paid by the employer to the Dutch tax authorities via the Dutch payroll.
Dutch social security / Employee insurance
The Dutch employee insurance includes insurances for unemployment and long-term disability. The premiums are levied on an annual income up to a maximum of EUR 50,853. The contribution rate depends on the employer’s industry, but on average the contributions to be fully paid by the employer amount to EUR 5,162 (figure 2013). The premiums due have to be paid to the Dutch tax authorities via the Dutch payroll administration and are for the account of the employer.