Dutch Pension: A Primer

With the help of Delta Lloyd (a large Dutch insurer), GfK, the fourth largest market research institute in the world, has found that Dutch youths are not keen to work until they’re 70.

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30% Ruling

What does the 30% ruling mean?

The employer can reimburse the extra territorial costs of the employee tax free. To be able to do this the employee must hand over all the receipts and the employer must check and approve them. This can lead to a lot of work, especially if more employees are in a similar situation. To make it easier employer and employee can request the tax office (foreign tax office in Heerlen) to grant the 30% ruling to the employee for his activities for the employer. This way the employer can, once granted, pay out a tax free allowance of (roughly said) 30% of the salary of the employee.

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Salary slip

You will receive a salary slip for each 4 week payment period.  The salary slip will be sent to your private e-mail address and will provide the following information:

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Payment of salary

Abroad Experience pays the salaries to the temporary employees on its payroll on a 4 weekly basis. At the contract signing, you will receive a salary schedule outlining when Abroad Experience needs to receive your time sheets and when the salary payments will take place. We will also need to receive your IBAN bank account number into which you would like the salary to be deposited.

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If you are older than 21 years old and you have worked for over 26 weeks on an Abroad Experience contract, you are entitled to build up a pension fund. Abroad Experience, as a recruitment agency, offers its employees a pension plan via StiPP (Stichting Pensionfonds voor Personeeldiensten). On a monthly basis, we send information to StiPP concerning the salary earned and the amount of hours worked by all temporary employees entitled to pension and we are then invoiced by StiPP based on that information.

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