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Dutch Payslip Explained

Confused by your Dutch loonstrook? Tap or click on any highlighted row in our interactive dummy payslip below to see a detailed explanation of the taxes, deductions, and expat allowances.

Loonstrook / Payslip

Tech Innovators B.V.

Employee: John Doe (Expat)

Period: 2026 - Period 09 (Month)

BSN (Tax ID)123456789
FTE1.000 (40 hours)
LoonheffingskortingApplied (Ja)
30% RulingApplied (Ja)
DescriptionValue/QtyAmount (€)
Bruto Salaris (Gross Salary)1.006,000.00
Exchange Gross to Net (30% ruling)-30%-1,800.00
Pensioenpremie (werknemer)-250.00
Fiscale Bijtelling Auto (Company Car Tax)22%+300.00
Eigen bijdrage leaseauto (Employee contribution)-100.00
Inhouding WGA (Whk)0.32%-13.44
Premie WGA-hiaat-8.50
Loon voor Loonheffingen (Fiscal Wage)4,128.06
Loonheffing (Income Tax)-1,050.00
Belastingvrije vergoeding (30% Tax-free allowance)+1,800.00
Reiskostenvergoeding (Travel Allowance)100 km+23.00
Verrekening Bijtelling (Non-cash reversal)-300.00
Netto Salaris (Net Payout)4,601.06

Cumulatieven (YTD)

Fiscaal loon t/m periode37,152.54
Ingehouden Loonheffing9,450.00
Verrekende Arbeidskorting3,120.00

Gewerkte Uren

Normale uren (Norm hours)173.33

Vakantie-uren (Holiday Balance)

Saldo vorig jaar (Last year)16.00
Opbouw (Accrued YTD)120.00
Opgenomen (Taken YTD)-40.00
Nieuw Saldo (Current Balance)96.00

Optional & Alternative Components

These items may appear on your payslip depending on your contract, Collective Labour Agreement (CAO), or company policy. Tap to learn more.

Vakantiegeld (Holiday Allowance)

Usually 8% of your gross annual salary.

13e Maand / Eindejaarsuitkering

End of year bonuses.

Payment Period (4-Weken)

Monthly vs 4-weekly payouts.

CAO Specifics (e.g., PAWW)

Deductions based on union agreements.

Zvw (Zorgverzekeringswet)

Health Insurance Act employer contribution vs. DGA exceptions.

* Note: Values used are for illustrative purposes. Actual tax rates and deductions depend on individual circumstances, exact salary brackets, and current year tax laws.
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Why is my Dutch Payslip so complicated?

The Dutch tax system relies heavily on automatic payroll deductions. Instead of paying a massive tax bill at the end of the year, your employer deducts income tax (Loonheffing), social security premiums, and pension contributions directly from your gross salary.

For expats, this is often further complicated by the 30% ruling, which reduces your taxable gross salary and pays it back to you as a tax-free allowance.

The difference between Gross Salary and Fiscal Wage

One of the biggest sources of confusion is the difference between Bruto Salaris (Gross Salary) and Loon voor Loonheffingen (Fiscal Wage). Your income tax is calculated over your Fiscal Wage, not your Gross Salary.

Because items like pension contributions and the 30% ruling allowance are deducted from your Gross Salary before taxes are applied, your Fiscal Wage will be significantly lower than your actual Gross Salary. This is perfectly normal and is the reason you pay less tax!

The Payroll Rulebook: Handboek Loonheffingen

If you ever suspect an error on your payslip, it's good to know that Dutch payroll isn't just up to your employer's discretion. All HR software in the Netherlands (like Nmbrs, Exact, or ADP) calculates your salary based on the strict rules set in the Handboek Loonheffingen (Payroll Taxes Handbook).

This comprehensive guide is published annually by the Dutch Tax and Customs Administration (Belastingdienst) and dictates exactly what is taxable, what is exempt, and how the 30% ruling must be processed. You can find the latest official Handboek Loonheffingen here.

Note: Because this handbook is highly technical and aimed at Dutch payroll administrators, the Belastingdienst does not provide an official English translation.