Self-employed professionals in paid employment

Payroll tax and payroll tax credit

You will receive a salary from your employer and you will have to deal with payroll taxes and payroll tax credits. Payroll tax is made up of income tax and national insurance contributions and is an advance on your income tax. Before you start working for your new employer, you need to complete the Model Declaration of payroll tax data (in Dutch). In it you state whether or not you want your employer to apply the payroll tax credit to your salary. The payroll tax credit consists of a general tax credit and an employment tax credit. 

• If you claim the payroll tax credit through your employer, you will have more take-home pay each month.
• If you do not claim the payroll tax credit through your employer, it will be settled with your income tax return. So you will always receive the tax credits to which you are entitled.

Are you employed by several employers at the same time? Then you only apply for the payroll tax credit from 1 employer.

Salary in your private account

Your salary from employment is separate from your income from your business. So, have your salary deposited into your private account and not into your business account. If you also use your private account for your company, open a separate account for your salary. This way you can easily separate the different cash flows.

Higher-income tax bracket

Did your total income from your company plus your income from employment exceed €78,426 in 2025? Then you enter the higher income tax bracket of 49.50%. For income up to €78,426, lower rates of income tax apply. 

Hours criterion income tax

If you start working as an employee, you will probably have less time to devote to your own business. This can have consequences for the entrepreneur allowance. You are entitled to an entrepreneur allowance if:

• your income from your business is recognised as profit from the business.
• you work at least 1,225 hours per calendar year in your own company. 

Have you been working as a self-employed person for longer than 5 years? Then you must spend more time on your business each year than on your paid work.

Small businesses scheme 

For the delivery of many products and services, you must charge your customer VAT. If your turnover is not more than €20,000 per year, you can opt for the small businesses scheme (KOR). Then you do not charge your customer VAT, but you will also not be able to reclaim VAT on purchases and costs.

Avoid false self-employment

Do not take a job with an employer who is also your client. This can make it seem as if you are actually an employee and not a freelancer. This is called false self-employment and you must avoid it.

Agreements with your employer

Make agreements with your employer about your availability. For example:

• on which days you work
• if you may also be available for your own business on these days (to take phone calls for example)
• what assignments you may or may not accept for your own business

Include in the negotiation whether there will be a non-compete clause or a non-solicitation clause in your employment contract. Such a clause may limit your work as a self-employed professional. 

Help with reorientation

Not sure which job to look for? Then you can get help from a regional mobility team (RMT) to reorient towards paid employment. This help can consist of career advice, retraining, and practical learning. There are 35 RMTs spread throughout the Netherlands.

Paid employment next to self-employment

Is your situation the other way around: you are now in paid employment and you also want to work as a self-employed professional? That is possible, but first:

• discuss with your employer whether they allow you to work as a freelancer for other clients.
• check whether you have signed a non-compete or non-solicitation clause and, if so, what it says.
• bear in mind that because of your extra income, you can end up with a higher income tax rate. Discover what part-time entrepreneurship means.