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Payroll Tax Netherlands

Payroll in the Netherlands and its taxes

If you employ people in the Netherlands or send employees to work in the Netherlands on assignment, you may have to set up a Dutch payroll administration. Does this sound complicated or at the very least like a lot of work? Don’t worry, Holland Employment Experts is here to guide you in setting up your own Dutch payroll administration, working with Dutch payroll companies and explaining Dutch payroll taxes.

Payroll Netherlands

And implications for foreign business

Payroll administration requires specific knowledge of laws and regulations and is often the odd man out and HR and Finance regularly discuss where it should best be housed. Finance departments usually focus on regular finance administration and control and HR departments often focus attracting new talent and supporting current staff. This makes payroll in a foreign country an even greater challenge for your Finance and HR department. All the more reason for a Dutch payroll company like ours to support foreign businesses.

What are payroll taxes?

If you have a company in the Netherlands where you employ people, these employees are placed on the Dutch payroll administration. Because these employees are physically in the Netherlands, they automatically fall under the Dutch tax rules. Every month the employer has to make you sure the right amount of wage tax is paid and premiums for social security are withheld. This what we call payroll taxes. Dutch payroll tax must be paid according to the rules or even the Dutch client of the foreign employer can be held liable for the tax debt.

Payroll company Netherlands

Outsourcing your administration

As a foreign employer our payroll tax can be complicated. In order to save you time and money, you can hire a payroll company in the Netherlands that will arrange your payroll taxes by becoming the legal employer of your employees. Outsourcing your payroll administration is very common in the Netherlands. The Dutch payroller will put your employees on its payroll and take care of all legal and financial matters. You are still the employer in the workplace and the one your employees come to when they want time off or talk about their work and working hours.

Outsource your Dutch payroll administration

Why worry about your administration if you can hire someone to do it for you? There are many companies that offer paryroll services. Just Google ‘payroll services Netherlands’ and you will find a whole list of them. Make sure that you choose a payroll provider Netherlands based, because this is required by law and if this is not the case, you will be returned to the starting point.

Three good reasons to outsource

If you are not quite sure if you should outsource your payroll administration, we will give you 3 good reasons:

  1. You will save heaps of time and lots of paperwork.
  2. Rely on someone who has the knowledge and experience.
  3. Outsourcing adds to good employership; make it easier on yourself and your employees.

Finding the right partner

Holland Employment Experts, a recognized sponsor by the IND

Now that you know outsourcing is a good idea, we would like to introduce Holland Employment Experts as a qualified payroll company. As we are recognized as a sponsor by the IND, we have the advantage of faster application for a work permit, less administration and access through a dedicated Business Portal. Our services include enjoying our specialization in hiring highly skilled migrants for foreign employers and providing you with all the ins and outs of a Dutch payrolling.