ADP, a Dutch payroll service provider, calculates that net payroll will increase for most Dutch employees next year. Thus, by 2024, people with an average salary close to €3,400 will increase their net income by about €80 per month.
The increase in net wages is mainly due to an increase in tax credits, i.e., income-related tax deductions. This is enough to make up for the fact that the first tax rate will be slightly ** (0.) next year04%).
The largest increase in net wages was for employees who worked 40 hours and earned the minimum wage. Compared to this year, they will earn 267 euros more per month. This is because a new statutory minimum hourly wage will be implemented next year.
At present, the total minimum wage is still based on a 36-hour work week, the so-called minimum monthly wage. This is a disadvantage for people who work 40 hours as they earn slightly less per hour. This will change from next year, and they will notice this prominently in their net pay.
There is no purchasing power.
The calculation of the ADP does not take into account pension premiums and supplementary insurance. Special changes, such as promotions or reduced working hours, are also excluded.
Although people's net income will increase next year, it doesn't mean that their purchasing power will increase next year. "For example, employees also have to look at health insurance, supermarkets** and the increase in council tax next year, which we don't calculate." ”
This article is compiled by the Sino-Dutch Business Daily, *Please indicate the source!