The Dutch national social insurance contributions (“premies volksverzekeringen”)

Dutch national insurance contributions are obligatory national insurance schemes that aim to ensure every Dutch resident against (specific) financial implications of old age, disease, exceptional medical expenses, or children. Employees covered by the Dutch social security system and paying wage tax through their employer will have the Dutch national insurance contributions withheld from their salary.

The national insurance scheme includes:

• Old Age Pensions Act (AOW);
• Surviving Dependants Act (ANW); and
• Longterm Medical Care Act (WLZ).

The levy of the national insurance contributions is integrated into the first bracket of the Dutch income/wage tax due; the premium contribution amounts are capped. The employers withhold the national insurance contributions from the employee's wages as part of the Dutch wage tax withholdings and pay these to the Dutch Tax Authorities.