A raft of new laws will come into effect on January 1, 2024. Here’s a round up of some of the changes likely to affect you.
Work and income
Income tax
The lower rate of income tax will rise slightly from 36.93% to 36.97% for incomes up to€75,518 (in 2023: € 73,031). The upper rate remains 49.5%. Salary processor ADP says most workers will have more money to spend next year, when changes to taxes and other premiums come into effect.
For someone earning almost €3,400 gross per month, the modal salary according to ADP, will be some €79 a month better off from January. Those earning just under €7,000 a month gross will have €76 a month more in disposable income.
Freelancers tax break
The special tax-free allowance for the self employed will be cut from € 5,030 to €3,750. By 2027, it will have been reduced to €900.
30% ruling
No changes are planned for existing claimants, but new arrivals to the Netherlands will face new rules. Companies will no longer be able to provide unlimited tax-free reimbursement of the extra costs employee incur due to moving to the Netherlands via the 30% ruling. In addition, the percentage will be reduced step by step from 30% to 10% over five years.
Minimum wage to rise
The minimum wage for the over 20s will go up by 3.75% to €13.27 per hour and the same hourly rate will now apply to all adults earning the minimum wage – there used to be a slight difference whether people worked 36, 38 or 40 hours a week
Social security benefits, pensions rise
All social security benefits, child benefits and the state pension will rise in line with inflation. The state pension age rises from 66 years and 10 months to 67.
Childcare prices can go up
The maximum prices for childcare and after school care will rise by the standard 6% plus 2.95%, taking an hour of daycare to €10.25 and after school care to €9.12.
Travel expenses
The maximum payable in untaxed travel expenses will rise from 21 cents per kilometre to 23 cents. Companies will also be able to give staff a public transport card without it being considered a taxable perk.
Changes for businesses
Find out more about changes for employers in January via this special government website, in English.
Other taxes and premiums
Energy price ceiling disappears
The price ceiling covering average gas and electricity use, which was brought in to offset the impact of soaring prices, will disappear from January 1. Low income households will still be able to apply for extra help from the Noodfonds Energie. Households will get a standard €28.31 cut energy taxes.
Taxes rise on soft drinks, fruit juice and plant-based milks
The tax on soft drinks, including plant-based dairy products, will rise to 26 cents a litre, adding a few cents to the cost. The tax on mineral water is being abolished.
Flying to become more expensive, petrol taxes frozen
The tax on airline tickets will rise from €26.43 to €29.05. The tax on petrol, LPG and diesel remain unchanged at 79 cents, 19 cents and 52 cents respectively.
Higher taxes on beer and cigarettes
A packet of 20 cigarettes will rise in price to around €10 per box. The excise duty on wine and other alcoholic beverages will increase by 8.4%.
Healthcare premiums rise
Premiums have risen this year again – by an average of just over €9 per month – but you still have a few days to save money by moving to a new insurer, cutting back on supplementary insurance or making a few tweaks to your current policy.
Interest rates on student loans will rise
Students who left university five years ago will now have to pay 2.56% interest on their loans, up from 0.46%.
New legislation
No single-use plastics in offices
Offices and companies will no longer be allowed to provide throwaway plastic cups and other disposal items in canteens and coffee corners, but the government said last monthenvironmental inspectors will not check up on compliance following the general election.
No mobile phones in school
Mobile phones will be effectively banned in secondary schools from January but there are no centrally-agreed rules and it will be up to the schools themselves how to implement the ban. A similar ban will come into effect in primary schools and in special education from the start of the next school year.
No flavoured vaping
Flavoured liquids for e-cigarettes such as cherry or bubblegum may no longer be sold, as a measure to stop youngsters taking up the habit. Shops will only be allowed to sell tobacco scented liquids for smoking and health ministry inspectors will start carrying out checks immediately.
Doxing becomes a criminal offence
The practice of sharing people’s private information online in order to intimidate them becomes a criminal offence, with a maximum jail term of two years or a fine of up to €22,500.
Pick a name
New parents will be able to give their offspring a combination of both parents’ names. Children born between 2016 and now will also be able to add their other parent’s surname to theirs.
Tougher punishments for animal abuse
Officials will be given more leeway to close down companies where animal welfare is under threat and introduce bans on keeping animals altogether. The maximum jail term for animal abuse goes up to five years.
Housing
National mortgage guarantee
The maximum cost of a home which can be covered via the guarantee scheme goes up to €435,000, or €461,000 if the buyer plans to invest in energy saving measures.
Borrowing limits
It will become easier for single people to borrow more money for a mortgage and to borrow more money to pay for energy saving measures. In addition, the under-35s who buy a property for the first time will not have to pay transfer tax if their new home costs up to €510,000, up €60,000 on the current limit.
Rent increases
The maximum rent increase for most tenants in the social housing sector will be 5.8% from July, or 5.3% if their landlord is a housing corporation. The figure is based on average pay rises this year. High earners will face higher increases in a effort to encourage them to move to the non-rent controlled sector.
Those renting in the “free sector”, will face a 5.5% rise, if the rent increase is due before May. This is based on inflation plus 1%. After that, new rules may apply.
Social housing
The maximum rent payable in the rent controlled sector is €879.66 from January 1, 2024, based on the points system. To qualify for social housing, single people may earn no more than €47,699 a year, couples €52,671. The maximum housing benefit payable is rising by €34 per month.
source: Dutchnews.nl
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