Tax, social security, and health insurance in the Netherlands

Income tax and wage tax

Whether and where you must pay income tax, depends on the country in which you are considered a tax resident. This is determined by various factors and differs per situation and per individual.

For Radboud University it is important to determine whether Dutch wage tax needs to be withheld on your salary.

For these reasons, the Global Mobility Advisor(s) must always assess your situation. This prevents insufficient or excessive wage tax deductions and avoids double taxation. Please complete the Tax and Social Security Assessment Form well in advance of your employment start date.

Expat scheme

The expat scheme is a tax advantage in the Netherlands for foreign employees who (temporarily) work in the country. Under this ruling, employers can pay up to 30% of an employee’s salary tax-free to cover extra costs (so-called extraterritorial expenses), such as relocation or accommodation costs.

To qualify for the expat scheme, employees must meet specific conditions. The purpose of the scheme is to attract international talent by reducing the financial burden of an international move.

Your eligibility for the expat scheme will be assessed by the HR officer of your department. If they think you will be eligible for the scheme, they will request the necessary information and documentation from you and inform you further.

For questions about the expat scheme, please contact your HR officer.

Social security 

The Netherlands has two types of social security schemes: employee insurance schemes and national insurance schemes. In principle, anyone residing in the Netherlands is covered by both schemes (a.o. unemployment benefits, the Work and Income Act (WIA), the Sickness Benefits Act, state pensions (AOW), and survivor benefits (Anw)). Whether you are considered a resident of the Netherlands depends on various circumstances and differs per individual.

For both you as an employee and Radboud University as your employer, it is crucial to determine which social security legislation applies to you, to ensure the correct payment of social security contributions.

For these reasons, the Global Mobility Advisor(s) must always assess your situation. This prevents incorrect deductions of social security contributions, or situations where you may not be entitled to certain benefits. Please complete the Tax and Social Security Assessment Form well in advance of your employment start date.

Health insurance

If you live and work in the Netherlands, you are generally required to take out Dutch basic health insurance policy. After completing the Tax and Social Security Assessment Form, you will get advice from the Global Mobility Advisor(s) on whether you need to take out Dutch health insurance. Your personal situation and preferences will determine whether you also wish to take out additional insurance.

You can compare health insurance providers and their costs on the following websites:

• Zorgwijzer
• De Consumentenbond
• Independer

Radboud University has a collective health insurance contract with VGZ Health Insurance, offering a discount to employees.

Mandatory Long-Term Care (Wlz) Assessment for PhD candidates with a grant

If you are appointed as a PhD candidate with a grant/guest, and obtain a BSN (citizen service number) upon arrival in the Netherlands, you may be required to take out a Dutch basic health insurance policy. You might also receive letters from the CAK instructing you to do so. To confirm whether this applies to you, you can request a Wlz assessment from the Sociale Verzekeringsbank (SVB) in the Netherlands. The SVB determines whether you are required to take out Dutch basic health insurance.

If you decide to take on paid employment in addition to your PhD position, you will most likely be required to take out Dutch (basic) health insurance. If you are staying in the Netherlands on a residence permit, always consult your HR officer regarding the possibilities and restrictions related to your specific permit.

Your HR officer will inform you about the situations in which a Wlz assessment is required and guide you through the application process.

Liability insurance

A liability insurance policy is not mandatory in the Netherlands but is one of the most common types of insurance. This policy covers costs in case of damage due to an accident. If you do not have liability insurance, you will need to cover such expenses yourself. Click here to read more about the liability insurance in the Netherlands
Click here to read more about other insurance options in the Netherlands.