What every line on your Dutch loonstrook actually means

The numbers on a Dutch payslip rarely match what you expected, and the gap between gross salary and what lands in your bank account can be substantial. The deductions cover several systems at once: income tax, state pension, long-term care, and disability insurance all appear on the same document.

Bruto loon

Your gross salary, the number in your contract. Everything else on the payslip is calculated from this figure. Some employers also add benefits-in-kind here, such as a company car or housing allowance, which increases your taxable bruto even if no extra cash changes hands.

Loonheffing

The largest single deduction on most payslips. Loonheffing combines income tax (inkomstenbelasting) with premiums for three national insurance schemes (volksverzekeringen): AOW (state pension), ANW (survivor benefits for dependants), and Wlz (long-term care).

Dutch income tax uses two brackets. The lower rate covers most salaried incomes; the higher rate applies above a threshold that changes each year (the Belastingdienst website has the current figures). Each month is calculated as if your salary were one-twelfth of your annual income, so bonuses and one-off payments are taxed at a higher effective rate even if your annual total stays in the lower bracket. You can reclaim any overpayment by filing a belastingaangifte at the end of the year.

If your employer administers the 30%-ruling on your behalf, your taxable basis drops to 70% of your salary. This is why two colleagues with the same bruto loon can end up with quite different loonheffing figures.

Vakantiegeld

Dutch law requires employers to pay at least 8% of gross annual salary as holiday allowance. Most accumulate it monthly and pay it out in May or June as a lump sum, which makes those months noticeably larger than usual. Some employers pay it monthly instead. Both approaches are legal, and both must total at least 8% of your annual bruto.

Pensioenpremie

In most sectors governed by a collective labor agreement (cao), pension participation is mandatory. Your employee contribution (typically 4 to 8% of salary) is deducted monthly. Your employer also contributes, often at a higher rate, though their portion does not always appear on your payslip.

WIA, WW, and ZVW

WIA (Wet werk en inkomen naar arbeidsvermogen) is disability insurance. If you become unable to work due to illness or injury, WIA provides income replacement after two years of sick pay from your employer. The WIA premium is paid entirely by your employer via the Werkhervattingskas (Whk) levy, so it does not appear as a deduction on your payslip. Some collective agreements (cao) include a small supplementary WGA-hiaatverzekering contribution from the employee, but this varies by sector and is not standard.

WW is the werkloosheidswet, or unemployment insurance. If you are made redundant through no fault of your own, WW pays a portion of your previous salary for up to 24 months, depending on your work history in the Netherlands.

ZVW (Zorgverzekeringswet) appears on some payslips as werkgeversbijdrage ZVW, the employer's statutory contribution to the healthcare system. This is money your employer pays on top of your salary, not a deduction from it. You pay your own health insurance separately to a private insurer each month.

Reiskostenvergoeding

If your employer reimburses commuting costs, this line is added to your net pay after the tax calculation. The Belastingdienst sets an annual tax-free rate per kilometre for car and bike commutes. Because it is added post-tax, it does not affect your loonheffing.

Jaaropgave

At the start of the following calendar year, your employer sends a jaaropgave, an annual summary of all salary and loonheffing from the previous year. This is the document you need to file your belastingaangifte. If you change employers mid-year, ask HR for the jaaropgave for your time there; you will need one from each employer when you do your taxes.

Two things worth checking each month

Your bruto loon should match what was agreed, especially after a pay review. And your loonheffing should be broadly consistent from month to month. A sudden increase without a salary change can mean the Belastingdienst issued a correction to your employer, or that a one-off payment bumped your effective rate that month.

If something looks off, ask HR for the salarisspecificatie and ask specifically which line changed and why. That conversation is usually resolved in minutes; asking for a general walk-through tends to take much longer.

Practice the vocabulary

TikTaal's free loonstrook scenario covers these terms in context: reviewing a payslip with a colleague, asking HR about a deduction, and following their explanation. Every Dutch word is clickable for audio and a translation. No login required.