A new year brings with it changes to the Dutch Childcare Allowance. Fortunately, Jos van Griensven from Blue Umbrella is here to explain.
This article provides a quick overview of the changes for 2018 made to the Dutch Childcare Allowance (Kinderopvangtoeslag) by the Dutch Tax Office. It assumes that the reader is fairly familiar with the workings of the Dutch childcare allowance system.
Dutch Childcare Allowance 2018 – What will change?
The Dutch Tax Office's childcare allowance will be higher in 2018 (if circumstances are unchanged). The maximum hourly rate reimbursed by the Dutch Tax Office will be higher, and since the hourly rate of most childcare providers exceeds the maximum rate, this means that the allowance will also be higher. In order to check your eligibility for the childcare allowance, please use Blue Umbrella's online calculator.
The following rates apply for 2018:
- Daycare: € 7.45 (€ 7.18 in 2017)
- After-school care: € 6.95 (€ 6.69 in 2017)
- Childminder (homecare): € 5.91 (€ 5.75 in 2017)
If you received childcare allowance in 2017 or if you applied for it before 15 November 2017, then the Dutch Tax Office will automatically continue it into 2018. The allowance for 2018 is based on the most recent information you have provided the tax office about childcare hours, your (estimated) gross income details, and your (and your partner's) number of working hours. If you expect significant changes to these details, please inform the Dutch Tax Office accordingly.
Childcare Allowance Calculator
The childcare allowance calculations are fairly complex. To learn how much childcare allowance you are entitled to, please check with an online allowance calculator. A free allowance calculator can be found here.
Childcare Allowance and the 30% ruling
If you benefit from the 30% ruling, please remember to use 70% of your agreed salary (as stated in your contract) as the basis for the childcare allowance calculation.
Jos van Griensven works for Blue Umbrella, supporting international residents with their tax and childcare allowance questions. For more information, contact Blue Umbrella at +31(0)204687560 or by e-mail or visit their website.