Hiring Your First Employee in the Netherlands (2026): Payroll Setup, Taxes, and Deadlines

When do you need to register as an employer (werkgever) as a ZZP’er in the Netherlands?

You must register with the Dutch tax office (Belastingdienst) as an employer before your first employee starts work, and no later than the employee’s first working day. After registration, the employer receives a payroll tax number (loonheffingennummer) and becomes responsible for withholding and reporting payroll taxes (loonheffingen) on wages.

Once a ZZP’er (zelfstandige zonder personeel) hires an employee, the ZZP’er becomes an employer (werkgever) for that employment relationship and must handle payroll taxes (loonheffingen) from day 1. Browse the [Knowledge Hub](/knowledge-hub) for more freelancer accounting guides. Hiring staff is separate from filing a VAT return (BTW-aangifte) for client invoices—see the [VAT returns for expat freelancers guide](/knowledge-hub/vat-returns-netherlands-expat-freelancer-guide). The employer must withhold taxes on wages and report them on time.

Employer registration is done with a specific form (‘Melding Loonheffingen – Aanmelding werkgever’). The Belastingdienst advises registering as soon as the start date is known, at the latest on the day the first employee begins. Registering early avoids missing payroll reporting periods and prevents delayed wage payments while waiting for employer credentials.

What payroll setup is required before your employee’s first day?

Before the first working day, set up a payroll file and collect the employee’s payroll-tax data, including whether the payroll tax credit (loonheffingskorting) applies. The employer should also prepare a payslip (loonstrook) format that itemises gross pay and deductions. This preparation reduces errors in the first wage payment and in the first payroll report.

Start by collecting the information needed for payroll withholding. A standard way is the employee form ‘Model opgaaf gegevens voor de loonheffingen’, which captures identity details and the choice to apply loonheffingskorting. Consistent data (name, address and BSN) matters because the same identifiers appear on payslips and in payroll reporting.

A payslip must be understandable and describe amounts clearly. The payslip should show the gross wage, how the wage is built up (for example base pay, allowances, holiday allowance and bonuses), and the net wage after deductions. If the statutory minimum hourly wage applies to the employee, the payslip should also show that minimum hourly wage (or the youth rate).

• Have the employee complete the payroll-tax data form (including the choice to apply loonheffingskorting).
• Record the employee’s personal details (including BSN) exactly as provided and keep them consistent across payroll documents.
• Define the pay period on the payslip (for example the month or the specific wage period) so the wage calculation is traceable.
• Issue a payslip for each wage payment and ensure the payslip itemises gross pay, each deduction, and net pay.
• List wage components on the payslip (holiday allowance, overtime, bonuses, allowances, premiums) as separate lines where they apply.
• Show the statutory minimum hourly wage (or minimum youth hourly wage) on the payslip when it applies to the employee.

When is loonaangifte due in 2026 and what happens if you are late?

The employer must submit payroll reporting (loonaangifte) and pay by the due date for the payroll period. For monthly reporting, January 2026 is due on 28 February 2026; for 4-weekly reporting, period 1 (1–25 January 2026) is due on 25 February 2026. Belastingdienst applies a 7-day grace period; after that, late or missing payroll reporting can trigger a € 83 penalty.

Use the official 2026 timetable for your reporting cycle and set calendar reminders for both filing and payment. The timetable lists one ‘uiterste aangifte- en betaaldatum’ (final filing and payment date) per month or per 4-week period. The 7-day grace period only applies if the payroll report is received within 7 calendar days after the due date; after that the standard late-filing penalty applies.

Which payroll taxes and employer contributions apply in 2026?

Dutch payroll taxes (loonheffingen) combine wage tax and national insurance contributions withheld from wages, plus several employer contributions. For 2026, the Zvw employer contribution (werkgeversheffing Zorgverzekeringswet) is 6,10% and the employee Zvw withholding is 4,85%. Employee-insurance premiums include AWf (2,74% low or 7,74% high) and Aof (6,27% low or 7,63% high).

The exact wage tax and national insurance withholding depends on the employee’s wage and which payroll tax table applies. Employers usually rely on payroll software or the official Belastingdienst tables to calculate the withholding per pay period. In budgeting, treat employer contributions (for example Zvw and employee-insurance premiums) as additional costs on top of gross salary—separate from deductible business costs such as equipment or travel in the [deductible expenses guide](/knowledge-hub/deductible-expenses-freelancers-netherlands).

What is the Dutch minimum wage in 2026 and how does it affect salary offers?

From 1 January 2026, the statutory minimum hourly wage for employees aged 21+ is € 14,71 gross per hour, with lower youth rates for ages 15–20. Pay must meet the relevant hourly minimum for each hour worked, including during a trial period (proeftijd). Trial periods are capped: up to 1 month for fixed-term contracts longer than 6 months but shorter than 2 years, and up to 2 months for permanent contracts.

Use the statutory hourly minimum wage as the floor for wage offers, especially if working hours vary by week. The minimum hourly wage is indexed twice per year (1 January and 1 July), so check the current official table before updating contracts. If an employee is paid below the statutory hourly minimum, the employee can claim the difference retroactively and the employer may need to correct payroll reporting.

Trial periods must be agreed in writing and cannot exceed the legal maximum. A trial period is not allowed for contracts of 6 months or shorter. For a fixed-term contract longer than 6 months but shorter than 2 years, the trial period can be up to 1 month. For a permanent contract, the trial period can be up to 2 months.

• Check the employee’s age and apply the correct statutory hourly rate (21+ or youth rate).
• Define working hours clearly (for example 32 hours/week) so the hourly minimum can be tested each pay period.
• Update wage rates on 1 January and 1 July when the statutory minimum hourly wage changes.
• Agree any trial period in writing and stay within the legal maximum for the contract length.
• Do not use a trial period for a contract of 6 months or shorter.
• Keep salary offers and payslips aligned with the statutory hourly minimum wage.

What paid time off and holiday allowance are legally required?

An employee’s statutory paid vacation entitlement is at least 4 times the number of hours worked per week (for example 25 hours/week gives 100 vacation hours per year). Employees also have a legal right to holiday allowance (vakantiebijslag) of at least 8% of gross annual salary. Holiday allowance is commonly paid once per year (often May or June) or can be paid in instalments if agreed.

Vacation entitlement is calculated in hours, not days, so part-time employees still receive at least 4 weeks of paid leave per year based on weekly hours. During vacation, the employer must continue paying wages. Track accrued and used vacation hours in the payroll process so the balance is transparent to both employer and employee.

Holiday allowance is a separate legal right and is at least 8% of gross annual salary. Employers should define in the employment contract whether holiday allowance is paid annually or spread out, and show it clearly on payroll documentation to avoid disputes about what is included in base pay.

• Calculate statutory vacation as 4 × weekly working hours (for example 40 hours/week → 160 hours/year).
• Record vacation entitlement and remaining balance in hours, not only in days.
• Continue paying wages during vacation, as vacation is paid leave.
• Budget holiday allowance at a minimum of 8% of gross annual salary.
• Agree the payout moment for holiday allowance (annual lump sum or instalments) in writing.
• Show holiday allowance clearly in payroll documentation so it is not confused with base salary.

How much salary must you pay during sick leave, and for how long?

During sickness, an employee must receive at least 70% of salary in the first year of illness, and at least the statutory minimum wage during that first year. An employer must continue paying salary for up to 2 years (104 weeks) while employer and employee work on reintegration. A collective labour agreement (cao) or contract may require higher percentages than 70%.

Budget sick-leave risk as part of the total cost of employment. In practice, employers often insure part of the wage-continuation risk, but the legal minimum still applies. The first year includes a minimum-wage floor, while the second year can have different rules depending on the contract and applicable cao. Keep payroll reporting consistent during sick leave so wage payments and withholdings remain correct.