Key takeaways
Not every employee in the Netherlands automatically receives a 13th month salary. Entitlement depends on the employment conditions that apply to your situation, such as a collective labor agreement (CAO) or employment contract.A 13th month salary and a year-end bonus are not always the same. A 13th month salary is typically linked to an extra month's pay, while a year-end bonus may be calculated differently.Employees with temporary contracts may also be entitled to a 13th month salary or year-end bonus, depending on the employment conditions that apply to their role.The net amount of a 13th month salary may differ from your regular net salary because special tax rules apply to additional payments.When comparing jobs, look beyond the 13th month salary. Your total compensation package, including annual salary, holiday allowance, bonuses and benefits, gives a more complete picture.
At the end of the year, many employees look forward to receiving a year-end bonus or 13th month salary. But is an employer in the Netherlands required to pay a 13th month salary? Who is entitled to it, how is it calculated and when is it paid?
In this article, we answer 13 frequently asked questions about the 13th month salary in the Netherlands.
What is a 13th month salary in the Netherlands?
A 13th month salary is an additional payment on top of an employee's regular salary. When the payment is equal to an extra month's salary, it is generally referred to as a "13th month salary".
A 13th month salary is not the same as a performance bonus that depends on individual achievements or company results.
What is the difference between a 13th month salary and a year-end bonus?
The terms 13th month salary and year-end bonus are often used interchangeably, but they do not necessarily mean the same thing.
A 13th month salary is usually linked to an employee's monthly salary. A year-end bonus may be determined in a different way, for example through agreements in a collective labor agreement (CAO).
The exact rules can therefore differ by employer and sector.
Is a 13th month salary mandatory in the Netherlands?
No. There is no general rule that automatically gives every employee in the Netherlands the right to a 13th month salary.
However, entitlement may arise from the employment conditions that apply to you, such as a collective labor agreement (CAO) or your employment contract.
If your CAO includes agreements regarding a 13th month salary or year-end bonus, those agreements determine your entitlement. Always check your employment contract and CAO to understand which rules apply to your situation.
What conditions may apply to a 13th month salary?
Specific conditions may be attached to a 13th month salary or year-end bonus.
The exact requirements depend on the scheme that applies to your situation. Conditions may relate to:
the period during which you have been employed;the way the payment is calculated;what happens if you join or leave the company during the year.
Do not only check whether you are entitled to a 13th month salary, but also review the conditions included in your employment contract or CAO.
Why do employers offer a 13th month salary?
If a 13th month salary is not required under a CAO or other agreements, an employer may choose to include it as part of a broader compensation package.
For employees, it is important to look beyond this single benefit. A 13th month salary can be attractive, but it does not by itself determine the financial value of a role.
Instead, consider your total annual compensation package, including salary, holiday allowance, bonuses, a possible 13th month salary or year-end bonus, and other benefits.
Did you know? A 13th month salary is only one part of your total compensation package. Use the Robert Half Salary Guide to compare gross salaries and employment benefits for different roles across the Netherlands.
Who is entitled to a 13th month salary in the Netherlands?
Not every employee automatically qualifies for a 13th month salary. Whether you are entitled to one depends on the agreements and employment conditions that apply to your role and employer.
In addition, differences in compensation must comply with Dutch equal treatment rules. Employees performing equal or equivalent work should receive equal compensation. This includes not only salary, but also bonuses, allowances and other benefits.
The EU Pay Transparency Directive also promotes equal pay for equal work. The Netherlands is currently working on legislation to implement these requirements into Dutch law.
Am I entitled to a 13th month salary if I work on an interim or flexible contract?
Working on an interim or other flexible contract does not automatically exclude you from receiving a 13th month salary.
In the Netherlands, employees working under flexible employment arrangements are generally entitled to the employment conditions that apply to their role and employer. Whether you actually receive a 13th month salary or year-end bonus depends on the specific agreements set out in your employment contract, collective labor agreement (CAO) or other applicable employment conditions.
If you work through an employment agency, payroll provider or another flexible employment arrangement, it is important to check which employment conditions apply to your situation and whether they include a 13th month salary or year-end bonus.
Am I entitled to a 13th month salary if I join or leave during the year?
This depends on the rules that apply to your specific 13th month salary or year-end bonus scheme. The relevant conditions are usually described in your employment contract or CAO.
If you start or leave employment during the year, review the rules carefully before assuming that you will receive either the full amount or no payment at all.
Why is the net amount lower than my regular salary?
Taxes and social contributions are deducted from a 13th month salary. Special tax rules apply to additional payments, which means the net amount you receive may differ from your regular monthly take-home pay.
The exact tax impact depends on your taxable income and personal circumstances, so a single fixed percentage cannot accurately predict the outcome for every employee.
Whether a 13th month salary is also included in pension calculations depends on the pension scheme that applies to you. If you are unsure, contact HR or your pension provider.
How is a 13th month salary calculated?
There is no universal formula for calculating a 13th month salary in the Netherlands.
The amount depends on the arrangements applicable to your situation. A 13th month salary may be linked directly to your monthly salary, while a year-end bonus may be calculated in a completely different way.
If you want to know the exact amount, check your employment contract, CAO or ask your HR department.
When is a 13th month salary paid?
The payment date depends on the agreements that apply within your company or sector.
Although the terms 13th month salary and year-end bonus suggest payment at the end of the calendar year, there is no single payment date that applies to all employees in the Netherlands.
Check your employment contract, CAO or salary information to find out when your payment is scheduled.
Is a salary package including a 13th month payment always better?
Not necessarily. If you are comparing two jobs or job offers, do not focus only on the monthly salary or the presence of a 13th month salary
Instead, compare the entire annual compensation package, including:
gross annual salary;holiday allowance;a possible 13th month salary or year-end bonus;performance-related bonuses;other employment benefits.
Pay transparency is also becoming increasingly important. Proposed Dutch legislation relating to the EU Pay Transparency Directive aims to provide candidates with more information about salary ranges and starting salaries during the recruitment process.
Does a 13th month salary depend on company performance?
Not automatically. A 13th month salary is generally not the same as a performance bonus linked to individual performance or company results.
If you are entitled to a 13th month salary or year-end bonus, the applicable agreements will determine how it works. Performance-based bonuses may be governed by separate rules and conditions.
If you are unsure, check your CAO, employment contract and any bonus policy that applies to your role.
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Want to know how your salary and total compensation package compare to the Dutch labor market? Have a look at the Robert Half Salary Guide for insights into salaries by role, current compensation trends and developments in the Dutch labor market.
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