Us Netherlands Totalization Agreement

Note In addition to Dutch social security contributions covering old age, disability and survival benefits, the agreement also includes Dutch taxes covering health and health insurance benefits, unemployment benefits and family allowances. As a result, workers who are exempt from Dutch social protection under the contract do not pay social security contributions for these programmes and generally cannot receive benefits from them. If the contract frees you from Dutch coverage, you and your employer can agree to further benefit protection in Serden. If you have any questions about international social security agreements, please contact the Office of International Social Security Programs at 410-965-3322 or 410-965-7306. However, do not call these numbers if you want to inquire about a right to an individual benefit. The United States has agreements with several nations, the so-called totalization conventions, in order to avoid double taxation of income in relation to social contributions. These agreements must be taken into account in determining whether a foreigner is subject to the U.S. Social Security Tax/Medicare or whether a U.S. citizen or resident alien is subject to the social security taxes of a foreign country. If you do not agree with the decision on your entitlement to benefits under the agreement, contact a U.S. or Dutch social security office. The people there can tell you what you need to do to appeal the decision.

According to the agreement, when you work as a worker in the United States, you are generally covered by the United States, and you and your employer pay social security taxes only in the United States. If you work as a worker in the Netherlands, you are usually insured by the Netherlands and you and your employer only pay social security contributions in the Netherlands. There is a totalization agreement between the Netherlands and the United States, which gives some indication of the country to which social contributions are to be subject. When a taxpayer is sent to the Netherlands to work by a U.S. company for less than 5 years, they pay taxes in the U.S. social security system. When a tax member is hired in the Netherlands, a company in the Netherlands hires or plans to work in the Netherlands for more than five years, he pays into the Dutch system.

Print Friendly, PDF & Email