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Dutch national health and social security insurance

Like all major developed countries The Netherlands has a social security system for its population. The Dutch social security system is split into a national social security (volksverzekeringen) for all residents of The Netherlands and an employee social insurance specifically for employees working in The Netherlands.

The national social security includes:
  • Old age pension (AOW)
  • National fund for the next of kin (ANW)
  • Long term care (WLZ)
  • Child benefit (AKW)
The employee social insurance includes:
  • Unemployment insurance (WW)
  • Longterm disability insurance (WAO)
  • Work capacity act (WIA)
You are entitled to national social security if you are a resident of The Netherlands or work in The Netherlands as a non-resident and are subject to Dutch wage taxes. You are entitled to the employee social insurance if you work for an employer in The Netherlands.

Payment into the national social security system

Only residents of The Netherlands and non-residents subject to Dutch wage taxes pay into the national social security system if they receive income from employment or from any other source. The premiums are withheld when the income is paid out or paid by regular tax assessment if no withholding occur (business owners). In 2015, the annual taxable salary for an employee must be more than €36,705 (€36,378 in 2014). A lower salary of €27,901 is applicable for those who have completed a Master's degree and are younger than 30 years old (€27,653 in 2014). Scientific researchers, employees working in scientific education or doctors in training do not require a minimum salary in order to apply for the 30% ruling.

The taxable base is the income received but only income up to € 33.589 is taxed for national social security purposes. The rate is 31,15% for all national social insurances combined (with the exception of the national health insurance). The maximum premiums payable are therefore 31.15% * € 33.589 = € 10.462. Please note that the income tax rate is very low for income up to € 33.589. The income tax rate is a maximum of 13.85%.

- Premiums for the employee social insurance are paid by the employer only.
- Child benefits (AKW) are paid for by the government. No contributions are levied.

National Health insurance

Residents of The Netherlands are entitled to national health insurance which is a mandatory insurance. The health insurance premiums are paid by the employer. In addition, all residents of The Netherlands pay a mandatory premium to a health insurance company. Residents are able to chose the insurance company. The price of the insurance premium will depend on the insurance company and the type of health insurance coverage.

Payment of national health insurance

Premiums for the Dutch national health insurance are paid for by the employer and by business owners. Residents of The Netherlands who receive foreign employment income are taxed for national health insurance as well. (the dutch authorities cannot tax an employer who is resident abroad). Both the resident employed abroad and the business owner receive a seperate tax assessment for health insurance. The taxable base is the income received but only up to € 51.976. The rate is 6.95% for employees and 4,85% for business owners. The maximum amount payable is therefore 6.95% * €51.976 = €3.612.

International law

Please note that European Union Law or Social security treaty law may allow a person to continue to be insured for social security purposes in their home country while working in The Netherlands. In addition, Dutch social security may apply to certain employees who work abroad for a Dutch employer.

Please contact us if you have any questions relating to Dutch social security, or Dutch national health insurance.