Financial benefits employees Netherlands

22.11.23

Financial benefits for employees in the Netherlands: Kindgebonden and Kinderopvangtoeslag budget

As a DB Work professional who has an employment contract in the Netherlands and has a family in this country or in your home country, it is crucial to understand the financial aspects and benefits available to employees. 

Thus, parents employed in the Netherlands need to know about two important additional benefits that they can apply for from the authorities and which will represent significant financial support - the 'Kindgebonden Budget' and the 'Kinderopvangtoeslag'.    

The DB Work team will explain in this article what the two financial aids are and what the conditions are for obtaining them.

Kindgebonden budget: additional financial support for child benefit   

What is the Kindgebonden budget? The Kindgebonden Budget or 'Child Budget' is a supplementary child benefit that can be claimed by anyone who is legally employed in the Netherlands and has children, regardless of whether they are in the Netherlands or in their home country. This allowance varies according to the family's annual income and the number of children. The main purpose of this financial support is to contribute to the additional costs associated with raising and caring for children.    

How does the Kindgebonden budget work? The budget is granted in the form of an allowance and is calculated on the basis of criteria such as income, number of children and their age. The lower the family's income, the higher the Kindgebonden Budget. The Kindgebonden budget is only a supplement to the child benefit, so you must first claim Kinderbijslag (Dutch child benefit for minor children).  

Both child benefit and child allowance supplement can be claimed for any minor child in the country. Therefore, even if you receive benefits for your children in your home country, you are entitled to claim child benefit and supplement in the Netherlands.     

In 2023, the conditions for this allowance include: 

  • you receive Dutch child benefit Kinderbijslag from the Social Security Board (SVB) 
  • you and your second parent do not have a high combined income (up to approximately EUR 49 000 per year) 
  • at least one parent has Dutch nationality or is legally working in the Netherlands.   

 

In 2023, the maximum amount of this allowance supplement is:

  • 1150 euros for a child / year.
  • 2050 euros for two children / year.
  • 2335 euros for three or more children / year. 

 

You should also know that it is possible to request a child budget (Kindgebonden Budget) up to 12 months in advance. This can be done by applying before 31 August of the year following the year for which you are claiming the budget.   

Kinderopvangtoeslag: Reimbursement of expenses for the care of young children   

What is Kinderopvangtoeslag? The Kinderopvangtoeslag is another important financial benefit offered to parents: it consists of a financial reimbursement for parents to reduce the costs of caring for young children during working hours. Basically, the Kinderopvangtoeslag is a financial support for the care of children in pre-school institutions (crèches and kindergartens).   

How does Kinderopvangtoeslag work? To qualify for Kinderopvangtoeslag, parents must meet certain criteria, primarily that they must be in employment or education.    

It is important for DB Work professionals working in the Netherlands to find out in detail about eligibility and the procedures for applying for Kinderopvangtoeslag. Here are the conditions you need to meet in order to claim this benefit:  

  • You work in the Netherlands and your child must be registered at the same address as you.
  • The child for whom you wish to receive financial assistance has not completed primary school 
  • The child attends a pre-school registered with the municipal office -Your partner is employed or in education. 

 

The amount of Kinderopvangtoeslag is calculated personally and depends on the family's income, but any amount can make a significant difference in managing the expenses associated with bringing up and educating children in a Dutch environment.   

In conclusion, the Netherlands offers a wide range of financial benefits to support families, especially those with children. The Kindgebonden and Kinderopvangtoeslag are two essential components of this system, helping to create an environment conducive to work-life balance for foreign professionals and their families.

Do you have experience in the naval, industrial, logistics, or construction field? Here are the advantages you can enjoy if you work in the Netherlands with a DB Work contract:

 

Learn more about the benefits offered by DB Work contracts! Send your updated CV to job@dbwork.com, and our recruiters will get back to you as soon as possible.