Social Security Premiums

Key Takeaways

Dutch social security has two layers: national insurance (volksverzekeringen) paid by everyone, and employee insurance (werknemersverzekeringen) for employees only.
National insurance premiums (AOW, Anw, Wlz) are included in the loonheffing on your payslip — they are the reason the first bracket is 36.97% instead of 9.32%.
Employee insurance premiums (WW, WIA, ZW) are mostly paid by your employer — you only see a small WW contribution on your payslip.
These premiums fund pensions, disability benefits, unemployment benefits, and long-term care.
If you leave the Netherlands, you may lose entitlement to these benefits — understanding what you have been paying for helps you plan.

The Netherlands has a comprehensive social security system with two distinct layers:

Layer 1: National Insurance (Volksverzekeringen)

These cover all residents of the Netherlands — employees, self-employed, unemployed, students, retirees, everyone. They are funded through premiums included in the first bracket of income tax.

Insurance	Dutch Name	Rate (2026)	What It Funds
State pension	AOW	17.90%	Basic pension for everyone from age 67
Surviving dependents	Anw	0.10%	Benefits for partners and children after death
Long-term care	Wlz	9.65%	Nursing home care, long-term disability care
Total		27.65%

These premiums are only charged on income up to €38,441 (the first bracket). Above that threshold, you pay only income tax (no further premiums).

Layer 2: Employee Insurance (Werknemersverzekeringen)

These cover employees only and are mostly paid by the employer:

Insurance	Dutch Name	Who Pays	What It Funds
Unemployment	WW (AWf)	Employer + employee	Benefits if you lose your job
Disability	WIA/WAO	Employer	Benefits if you become too sick/disabled to work
Sickness	ZW	Employer	Benefits for pregnant employees and certain situations
Healthcare (employer contribution)	Zvw	Employer	Partial funding of the healthcare system

Good to know

Self-employed people (ZZP'ers) are not covered by employee insurance. They do not receive WW (unemployment) benefits if they lose clients, and they must arrange their own disability insurance. This is one of the key differences between employment and self-employment in the Netherlands.

National Insurance in Detail

AOW (Algemene Ouderdomswet) — State Pension

The AOW is the Dutch basic state pension. It is a pay-as-you-go system — today's workers pay for today's retirees.

Key facts:

You build up 2% of your AOW entitlement for each year you live or work in the Netherlands (between age 15 and retirement age)
50 years of residence = 100% AOW
The full gross AOW pension in 2026 is approximately €1,380/month for a single person and €950/month each for a couple
AOW is paid from age 67 (gradually increasing in future years)

For expats: If you arrived at age 30 and leave at age 45, you have 15 years of AOW build-up = 30% of the full AOW pension. You can voluntarily continue paying AOW premiums after leaving (within 10 years of departure) to increase your entitlement.

Warning

Every year you are not insured for AOW (including years you lived abroad before arriving), you lose 2% of the full pension. An expat who lived in the Netherlands for 20 years receives only 40% of the full AOW. There is no way to buy back years after the 10-year voluntary contribution window closes.

Anw (Algemene Nabestaandenwet) — Surviving Dependents

The Anw provides a benefit to your partner and/or children if you die. The premium is small (0.10%) and the benefit is modest:

Maximum benefit for a surviving partner: approximately €1,360/month gross
The partner must be born before 1950, or care for a child under 18, or be at least 45% disabled
These requirements are strict — many surviving partners do not qualify

Wlz (Wet Langdurige Zorg) — Long-Term Care

The Wlz funds long-term care for people who need continuous supervision or 24-hour nursing care:

This covers nursing homes, residential care, and some home care
At 9.65%, it is a significant premium
You are covered from the day you become a Dutch resident
The Wlz is separate from your mandatory health insurance (zorgverzekering), which covers regular healthcare

Employee Insurance in Detail

WW (Werkloosheidswet) — Unemployment Insurance

If you are made redundant (not fired for cause), you may be entitled to WW benefits:

Duration: 3 months minimum, up to 24 months maximum (depending on work history)
Amount: 75% of your daily wage for the first 2 months, then 70%
Maximum daily wage: €274.44 gross (2026), which caps the benefit at approximately €4,980/month gross
Requirements: You must have worked at least 26 of the last 36 weeks

Premium rates (2026):

Contract Type	Employer WW Rate (AWf)
Permanent contract (vast)	2.64%
Temporary/flexible contract (flex)	7.64%

The higher rate for temporary contracts incentivizes employers to offer permanent contracts. As an employee, you also pay a small WW contribution that appears on your payslip.

Tip

If you are an expat on a temporary contract and you lose your job, you may be entitled to WW benefits — but only if you remain in the Netherlands and actively seek work. If you return to your home country, you can export your WW benefits for up to 3 months under EU rules (for EU/EEA citizens). Non-EU citizens generally cannot export WW.

WIA (Wet Werk en Inkomen naar Arbeidsvermogen) — Disability Insurance

If you become too sick or disabled to work after 2 years of illness (your employer pays the first 2 years), WIA provides income:

WGA (Werkhervatting Gedeeltelijk Arbeidsgeschikten): For partially disabled workers (35–80% disabled)
IVA (Inkomensvoorziening Volledig Arbeidsongeschikten): For fully and permanently disabled workers (80%+ disabled)

IVA pays 75% of your last salary (capped). WGA pays a declining benefit that depends on your remaining earning capacity.

ZW (Ziektewet) — Sickness Benefits

The ZW covers situations where your employer does not pay sick leave:

Temporary agency workers
Workers whose contract ends during illness
Pregnant employees (maternity leave pay)

Most regular employees do not directly interact with the ZW — your employer pays your salary during illness (70–100% depending on your CAO).

Zvw (Zorgverzekeringswet) — Healthcare Insurance Contribution

Your employer pays a 6.57% contribution toward the healthcare system on top of your salary. This is separate from the health insurance premium you pay directly to your insurer (~€140–160/month).

You do not see this on your payslip — it is entirely an employer cost.

How Premiums Appear on Your Payslip

What You See	What It Contains	Approximate Amount
Loonheffing	Income tax + AOW + Anw + Wlz combined	25–45% of taxable wage (varies by income)
WW-premie (or AWf)	Your employee share of unemployment insurance	Small amount (varies)
That's it

Everything else (employer WW, WIA, ZW, Zvw) is paid by your employer and does not appear as a deduction on your payslip.

Good to know

This is why Dutch payslips look deceptively simple. The loonheffing bundles income tax and national insurance into one line. And most employee insurance costs are invisible because the employer pays them. Your total social security cost is much higher than what appears on your payslip.

What Happens When You Leave the Netherlands?

Understanding your social security entitlements matters when you emigrate:

AOW Pension

You keep whatever you have built up (2% per year of residence)
The pension is paid worldwide from age 67
You cannot build up more once you leave (unless you voluntarily continue within 10 years)

WW Benefits

You can only claim if you stay in the Netherlands and seek work
EU citizens can export benefits for up to 3 months
After leaving, the entitlement expires

Healthcare (Wlz/Zvw)

Coverage ends when you deregister from the Netherlands
You must arrange healthcare in your new country of residence

Disability (WIA)

If you are receiving WIA benefits, they can generally be paid abroad
If you leave while employed (not disabled), you lose future WIA protection

Tip

Before leaving the Netherlands, request an overview of your AOW build-up from the Sociale Verzekeringsbank (SVB) at svb.nl. This tells you exactly how much state pension you will receive. Also check whether voluntary continuation of AOW premiums is worthwhile — for many expats, the cost-benefit analysis is favorable.

If you work in multiple EU/EEA countries, an A1 certificate determines in which country you pay social security. The general rules:

You pay in the country where you work
If you work in two countries, you typically pay in your country of residence (if you work at least 25% there)
The A1 certificate prevents double social security payments

Your employer or the SVB can apply for an A1 certificate. It is essential for cross-border workers and posted workers.

Common Mistakes

Assuming national insurance premiums are a separate line on your payslip — They are bundled into loonheffing. You will not see "AOW premium" as a separate deduction.
Not understanding the AOW gap — Years spent outside the Netherlands (including before you arrived) reduce your AOW pension by 2% each. Many expats are surprised by a low state pension in retirement.
Thinking ZZP'ers have the same coverage as employees — Self-employed people have no WW, no WIA, and no ZW coverage. If you switch from employment to freelancing, you need to arrange your own safety net.
Ignoring voluntary AOW continuation — When you leave the Netherlands, you have a limited window to continue paying AOW premiums voluntarily. Missing this deadline is irreversible.
Confusing Wlz with health insurance — The Wlz premium (on your payslip, inside loonheffing) funds long-term care. Your regular health insurance (zorgverzekering) is a separate monthly premium you pay to an insurer.