Holiday Allowance (Netherlands)
Updated November 2026 · Free · No sign-up
Calculate vakantiegeld — the Netherlands’ statutory 8% holiday allowance on gross annual wages, typically paid each May, taxed at the (higher-feeling) special rate, and prorated in every final settlement.
Quick answer: Vakantiegeld = 8% of gross wages earned June-May (or the employer’s reference year), paid at least annually — May tradition. €4,000/month → €3,840/year gross allowance. Taxed via the bijzonder tarief (special rate) — withheld harder than regular salary, reconciled at your return.
The Rules (Wet Minimumloon en Minimumvakantiebijslag)
| Rate | Minimum 8% of gross wages (CAOs sometimes more; above 3× minimum wage, waivable by agreement) |
| Base | Gross salary incl. regular allowances/commissions — excl. overtime historically (post-2018: OT counts for minimum-wage-level workers), one-off bonuses, expenses |
| Payment | At least once a year — May (with June salary at latest) by overwhelming custom; all-inclusive monthly payment is allowed if contracted explicitly |
| Exit | Accrued vakantiegeld since the last payout always pays in the final settlement |
| Tax | The special rate (bijzonder tarief — your marginal rate + adjustment %) withholds more than monthly salary — the famous "why is my vakantiegeld so taxed" May question; the annual return levels it |
Worked Example
€4,000/month, full year: 8% × 48,000 = €3,840 gross → at a 49.5% special rate, ~€1,940 net lands in May. Leaving in September: the June-September accrual (~€1,280) rides the final payslip.
Cousins and Confusions
Vakantiegeld (money) ≠ vakantiedagen (the 20+ statutory leave DAYS) — separate entitlements; the allowance pays ON TOP of normal salary during leave. The Belgian pécule de vacances, Austrian/German 13th/14th structures, and Australia’s 17.5% leave loading are the relatives — the Dutch flat 8%-on-everything is the cleanest design.
Checks
All-in hourly rates (common in hospitality/flex work) must ITEMIZE the 8% — unitemized all-in pay fails the WML; payslips show the reserve. Sick? Vakantiegeld accrues over sick pay too. The CAO may shift the reference year/percentage — check yours. Claims: wage claims run 5 years back in NL.
Frequently Asked Questions
How much is Dutch holiday allowance?
Minimum 8% of gross annual wages, paid at least yearly — May by custom; CAOs can set more, and above 3× minimum wage it’s theoretically waivable by written agreement.
Why is vakantiegeld taxed so heavily?
It withholds at the special rate (your marginal band + an adjustment), which overshoots for many — the annual income-tax return reconciles the difference.
Do I get it when I leave mid-year?
Yes — accrued allowance since the last payout is a mandatory final-settlement line.
Does overtime count in the 8%?
Since 2018, overtime pay counts toward the base for workers around the minimum-wage level; above it, contract/CAO terms govern.
Is holiday allowance the same as holiday days?
No — vakantiegeld is money (8%), vakantiedagen are the 20+ statutory leave days; you get both.
✓ Formula verified • Last updated: November 3, 2026