Less holiday allowance for many workers

By: Together Abroad 12-05-2015 2:13 PM
Categories: * Daily employment news,

This year annual holiday allowance will fall in comparison to the previous years for many employees due to HR and payroll processor ADP own calculations.

This year the phasing out of tax credits which are income dependent will be taken into account, as a result employees will receive less net allowance. As stated in nu.nl, the tax credits will be phased out in stages and by 2024 payment of general tax on the lowest-earning partner will be cancelled.

The decline in holiday allowance particularly affects those with a higher income, for example; two and a half times the average income, will receive 256 euros less holiday pay; one and a half times the average income implies 242 euros less and an average income will receive 59 euros less. However, workers with a minimum wage will not receive less.

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