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Benefits & Allowances in the Netherlands

Benefits & Allowances in the Netherlands

The Dutch government provides several kinds of financial contributions for citizens and residents in the Netherlands, mostly via the Belastingdienst (Dutch tax office). The benefit (toeslagen) system is designed to support people on low incomes by helping them cover basic living costs such as rent, health insurance, childcare and raising children.

Below is an overview of the different benefit schemes. The amount you receive for each benefit depends on your specific circumstances.

The most common Dutch benefits & allowances

Here are the most common allowances you can receive in the Netherlands:

Healthcare allowance (Zorgtoeslag)

Residents in the Netherlands are required to take out basic Dutch health insurance. Since this can be quite costly, the government offers healthcare allowance to support those who need it. 

Rent benefit (Huurtoeslag)

Depending on where you live, renting a property in the Netherlands can be a bit pricey. However, people with lower incomes can apply for rent benefit.

Child benefits

There are several types of child benefits in the Netherlands:

Children’s allowance (kinderbijslag)

The children's allowance (kinderbijslag) is meant to help cover the costs of raising children.

Child benefit (kindgebonden budget)

The child benefit (kindgebonden budget) is meant to cover costs such as children’s clothing, food and school expenses

Childcare benefit (kinderopvangtoeslag)

If you are a working parent, you might be interested in the childcare benefit (kinderopvangtoeslag). This benefit covers part of your childcare costs and is calculated on an hourly basis.

Unemployment benefit (WW uitkering)

Have you been working in the Netherlands for at least 26 of the last 36 weeks, and will you be unemployed soon? You might be eligible for unemployment benefit (WW uitkering)

Dutch tax benefits

Additionally, there are two tax breaks that many expats could be eligible for:

General tax credit (algemene heffingskorting)

The general tax credit (algemene heffingskorting) is a tax break on your income tax. The amount you are entitled to depends on your income level.

Labour tax credit (arbeidskorting)

Every working person in the Netherlands is entitled to receive the labour tax credit (arbeidskorting or loonheffingskorting).

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