Hire Employees & Contractors


Compliantly hire your distributed team members in



Person working on laptop

Hiring in



isn't so simple. Borderless can help.

To hire new employees in



, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.

Borderless handles all of that for you, so you can focus on getting to work with your new team member in



while staying fully compliant with local laws and compliance.

Primary Language

Dutch, Frisian


Euro (€, EUR)

Payroll Frequency


Public Holidays

11 days

Employer Taxes


Cost of Living Index


Statutory Leave

20 days

Sick Leave

2 years

Maternity Leave

16 weeks

Important: Risks of misclassification

In many countries like



, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.

Payment Information

Minimum Wage

€ 1934 per month for employees older than 21 years

Overtime Pay

The standard working hours is Monday to Friday from 9 to 5. The average working week is 36 to 40 hours. An employee cannot work for more than 12 hours per day and not more than 60 hours per week. Overtime payment is not mandatory.

Additional Pay

Employees with children under the age of eight are entitled to up to 26 times their weekly wage in parental leave. Parental leave is available to either parent. Family leave is unpaid.

Payroll Cycle

On or before the last working day of every month, all employee payments will be made in equal monthly increments. These payments are due in arrears.

Employer Costs & Taxes

  • 5.49% - AOF laag (Disability insurance contribution) on a maximum of €59,706 EUR of taxable base
  • 6.75% - Heffings ZVW premie (Dutch health insurance contributions) on a maximum of €59,706 EUR of taxable base
  • 1,11% - Premie Whk gediff (Differentiated Premium Work Resumption Fund) on a maximum of €59,706 EUR of taxable base
  • 0.50% - Uniforme opslag kinderopvang (Uniform Childcare Allowance) on a maximum of €59,706 EUR of taxable base
  • 2.70 to 7.70% - AWF hoog (depending on contract) on a maximum of €59,706 EUR of taxable base
  • The AWf premium has a low of 2.70% in 2022 a high of 7.70% in 2022. The premium an employer must pay for the employee depends on the type of employment contract (and note that these premiums are updated each year). You pay the low premium if the contract is in writing, set for an indefinite period, and not an on-call contract.

Employee Costs & Taxes

  • 17.90% - Old Age Pension (AOW) over € 35.472 (included in income taxes)
  • 9.65% - Long Term Care (WLZ) over € 35.472 (included in income taxes)
  • 0.10% - Orphans and widow/widower pension (ANW) over € 35.472 (included in income taxes)
  • 37.07% - Income tax for up to 69,398 Euro
  • 49.50% - Income tax for over 69,398 Euro
  • 49.50% - Income tax for employees without or awaiting BSN number (anoniementarief) - tax credits not applied until receiving BSN number and retroactively applied to start date upon receiving BSN number
  • up to 2888 EUR credit - Employees are entitled to a "general tax credit" (heffingskorting) of -6.007% per euro extra gained between 21,317 EUR stopping and 69,398 EUR annually. This is to be deducted from the income taxes.
  • up to 4260 EUR credit - Employees are entitled to a "labor tax credit" (arbeidskorting), this is to be deducted from the income taxes, of:
  • Labour income Labour tax credit
  • Until € 10.351 4,541% x labour income
  • From € 10.351 to € 22.357 € 470 + 28,461% x (labour income - € 10.351)
  • From € 22.357 to € 36.650 € 3.887 + 2,610% x (labour income - € 22.357)
  • From € 36.650 to € 109.347 € 4.260 - 5,860% x (labour income - € 36.650)
  • As of € 109.347 € 0

Employment Information

Termination Process

Terminations must have a valid reason in Netherlands. For example, mutual agreement and serious misconduct.

Notice period

The notice period is determined by the employee's tenure. The maximum notice period is 4 months.

  • Up to 5 years of employment - 1 month notice
  • 5 - 10 years of employment - 2 months notice
  • 10 - 15 years of employment - 3 months notice
  • 15+ years of employment - 4 months notice

Probation Period

Probation period is determined by the length of the employment agreement and cannot be more than 2 months.

Severance Details

All employees in Netherlands are entitled to severance pay and it depends on the duration of employment.

  • 0-2 years relationship - 1 month severance
  • 2 to 4-year relationship - 2 months severance
  • more than 4 years - will depend on other parameters
Benefits of working in a country abroad

Borderless Benefits Packages in



When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:

Medical Insurance
Dental Insurance
Vision Insurance
Life Insurance
Retirement Contributions

Learn how to hire quickly and easily in



Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.

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