For many expats, a traditional employer-employee relationship may not be the best fit, and an increasing number of people are taking the leap to become freelancers (also known as ZZPers in the Netherlands). This is an especially popular method of working for internationals, as it fits in well with a flexible way of life, and gives you ownership over your own career.
The current freelance market in the Netherlands
Freelancing is a hot topic right now, with the impending enforcement of the DBA Act (Wet Deregulering Beoordeling Arbeidsrelaties). This regulates the relationships between self-employed individuals and the companies that they work with. The law makes it clear that it is the nature of the relationship that determines whether a person is self-employed or not, not the label on the contract.
The way this is going to be enforced is still a bit up in the air, and that is leading to a slight slowdown in the contracting of freelancers. However, the labour market in the Netherlands is currently so tight that many companies still view working with freelancers as a great option, and there are lots of opportunities available.
Typical freelance industries, clients and earnings
Freelancers in the Netherlands work in all kinds of industries. Tech is obviously a massive one, with developers often being engaged on a project-by-project basis, but all industries tend to turn to freelancers for writers, translators and other roles that make use of their language skills. Graphic designers, accountants and financial advisors are also often freelancers.
Of course, it’s not all desk jobs; many self-employed individuals perform more physical jobs, including cleaners, electricians, plumbers, and drivers. Healthcare and childcare are also often handled by freelancers.
The pay obviously varies a lot depending on the industry, the role and the experiences and qualifications of the freelancer. Some of the most specialised professions can command extremely high hourly rates; IT professionals and tax advisors, for example, charge over €100 per hour on average!
However, don’t forget why freelancers can charge so much for their time: Their hours are unreliable, and they may not know where their next job is coming from. They have to save for their tax bill and their own pension. If they take time off sick or for a holiday, no one is paying them for that. So, while these rates may seem high, not all of it goes straight into their pocket.
Why work as a freelancer?
Given the additional worries that can come with freelance work, why do people pursue it? Well, while it can be stressful knowing that you are wholly reliant on your own resources, it’s also extremely freeing.Â
You can set your own hours and choose your projects. If you want to work twice as hard in the winter so you can relax more in the summer, go right ahead! You don’t have to commute to the same office every day, and you get to meet new people and work on a wide variety of projects and topics. Many freelance jobs are also remote-friendly, meaning you can do them while sitting on a beach somewhere sunny.
Becoming a freelancer in the Netherlands
The first thing to do is check that the way you intend to work really counts as freelancing. Remember the DBA Act we explained above? You don’t want to find out a year down the line that the tax office actually considers you an employee. Top things to consider include:
How long is your contract for? Ongoing work can suggest employment.
Are you allowed to arrange your own hours? If not, it is unlikely that the tax office will consider you a freelancer.
If you have to join all the company team meetings and show up in the office, then watch out. That’s a level of integration into the company that is not usual for a freelancer.
If you have to physically do the work yourself and can’t subcontract tasks, you are an employee, not a freelancer.
How are you paid? Getting a regular monthly amount suggests employment, whereas sending monthly invoices implies freelancing.
Do you have, or are you actively seeking, other clients? Working for just one employer means it is unlikely you are a true freelancer.
If you’re sure you are ready to be a freelancer, here are the next steps.
Register with the KvK
The KvK is the Chamber of Commerce in the Netherlands. You must register here and pay a one-time fee. The KvK then passes your details onto the tax office, which will send you a VAT ID number and VAT tax number (BTW nummer) within the next two weeks.
Choose a business structure
Being a ZZPer isn’t actually a formal business structure. You will have to choose the business type that suits you best. Most freelancers opt for sole proprietor (eenmanszaak) or a private limited company (B.V.).
The structure you choose will depend on the amount of business you expect, how you want to arrange your taxes and whether you intend to employ others or not. The Dutch government’s business website has a great tool to help you choose the right structure for you.
Protect yourself
When you work for yourself, there are several benefits that you no longer automatically receive. It’s important to consider investing in these to protect yourself now and in the future.Â
Consider taking out an AOV policy (disability insurance for the self-employed). By paying a small monthly amount, you can protect your income in case of an accident or illness, as well as access assistance for things like work reintegration.
You should also consider taking out liability insurance. This will cover you if you break something at a client’s property or if a client suffers financial losses due to incorrect advice from you. There are several different types of liability insurance, depending on the type of work you do and the damages that are most likely to be incurred, so choose carefully.
Finally, make sure you arrange a pension plan and pay into it regularly. You do still build up your state pension (AOW) while you are self-employed in the Netherlands, but this is not generally considered a sufficient sum to live on in old age. Employers usually contribute to a separate, private pension for the staff on their payroll, but as a freelancer, you will have to arrange this yourself.
How to find freelance projects
There are two main ways to find freelance work in the Netherlands: Use specific freelancer platforms and good old-fashioned networking.
Freelancer platforms
There are platforms out there specifically designed to help connect freelance workers with those seeking freelancers. They can be extremely specific, such as a portal only for web developers or graphic designers, or broader, such as for IT professionals in general or handymen of all stripes.
These portals will usually charge a fee to one of their clients; either the freelancer looking to create a profile, or the client looking to advertise their open role they are hoping to fill with a freelancer. If it’s one that is asking you to pay, make sure they are offering something more than just a place to advertise yourself, as there are plenty of places where you can do that for free.
Networking
No one starts their own business because they love sales, but selling yourself will always be a big part of freelancing. The Dutch are extremely fond of networking, and word of mouth is a surprisingly good way of getting business.
Using LinkedIn can work, especially for white collar professions, but for the best results, you need to get yourself into a room with people. There are often industry meet-ups and Friday afternoon borrels that you can attend. Get yourself some business cards and put yourself out there.
Undutchables has been helping expats find work in the Netherlands for almost three decades. Now, they are opening up their expertise and network to freelancers too, with their online freelancer project platform U-Connect. Register for free and start finding the clients and projects you want.