Dutch incomes will rise by 91 euros per month on average in 2023
New tax laws favor workers in the Netherlands
Along with the tax-free travel allowance and the home working allowance, the labor tax credit will also go up in the coming year. Additionally, the minimum wage will increase, which will have an impact on Dutch benefits and allowances.
Dutch payslips increase 91 euros more per month
ADP estimates that as a result of these adjustments, employees making a gross compensation of 3.086 euros per month will see an increase in their average monthly earnings of 91 euros in the coming year. The income of people making the minimum wage in the Netherlands will increase by 10, 15%, or almost 200 euros per month.
Although Dik van Leeuwerden of ADP acknowledged that many workers would find this to be positive news, he also noted that "increasing salaries do not immediately alleviate all the financial issues" for many Dutch citizens.
Senior Vice President for Central Europe at ADP Martijn Brand recommended that businesses do more to safeguard and support the psychological, physical, and financial wellbeing of their employees. He emphasized that, among other things, "the current inflation rate and concerns about high energy prices, have a substantial impact on the mental health of both young and older personnel."
