Dutch WKR tax and employee gifts: the 2026 guide

The Dutch Work Cost Regulation (WKR) sets how much an employer can give employees tax-free, from a birthday token to a Christmas hamper. For 2026 the free allowance is 2% on the first 400,000 euro of fiscal wage and 1.18% on the amount above that. Stay within it and you pay no extra tax. Go over it and you owe 80% final levy on the excess. This is not tax advice; check the current figures with the Dutch tax authority or your accountant.

The main points for 2026

• Free allowance: 2% of the fiscal wage up to 400,000 euro, and 1.18% above that. The rate on the first band was raised to 2% for 2026. (source: Grant Thornton)
• Gift rule: a small token up to 25 euro including VAT does not count under conditions, provided it is not cash or a voucher and it is the kind of gesture you would also make for someone other than your employee.
• Final levy: whatever you place in the free allowance that no longer fits costs 80% final levy on the excess, paid in the following year's payroll return.

What counts as a gift under the WKR?

Almost any token of value you give as an employer falls under the scheme. Think of birthday gifts, anniversary gifts, Christmas hampers, a Sinterklaas token or a farewell present. A gift in the form of cash or a voucher is always wage and falls outside the gift rule. If in doubt whether something counts, assume "yes, unless" and book it in the free allowance.

The 25-euro rule, with an important nuance

The 25-euro rule is often explained too simply. It concerns a personal token you would also give to someone other than your employee in comparable circumstances, such as flowers for a hospital stay or a birthday. Such tokens up to 25 euro including VAT are not wage and do not weigh on your free allowance. The moment it is cash or a voucher, the rule does not apply. Recurring gifts like a Christmas hamper simply run through the free allowance.

Worked examples

A birthday token of 20 euro. Under 25 euro and not cash or a voucher. It falls under the gift rule, no final levy, and does not touch your free allowance.

A gift of 50 euro. It goes into the free allowance. If that is used up, it costs 80% final levy on the excess, so 40 euro extra tax for the employer.

A Christmas hamper of 75 euro for 50 employees. That is 3,750 euro in the free allowance. If it no longer fits, you pay 80% final levy on the part that exceeds the allowance.

How does Attentico Work track this?

Attentico Work builds a WKR overview per calendar year automatically, so you do not have to puzzle it together at year end. Per employee you see which tokens were sent with amount and date, a flag for amounts above 25 euro, a pre-calculated final levy where it applies, and an export to Excel for your accountant. The admin stays small while the attention stays large.

Frequently asked questions

Does a gift voucher fall under the WKR?

A voucher or cash amount is always wage and falls outside the gift rule. You can designate it in the free allowance, but the 25-euro rule does not apply. A physical gift up to 25 euro that you would also give privately does fall outside it, under conditions.

Does the 25-euro limit apply per occasion or per year?

Per occasion, not per year. So you may give a separate token up to 25 euro at several fitting events. Just make sure they are genuine personal tokens and not a disguised structural reward.

What happens if I exceed the free allowance?

On the amount above the free allowance you pay 80% final levy, remitted in the next calendar year's payroll return. As long as you stay within the allowance, you pay nothing extra.

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Want to handle the tokens for your team without the admin? Attentico Work remembers the birthdays, sends a card after your approval, and keeps the WKR overview for you.