1. Holding or operating company & employee
The director is employed by the holding or operating company (B.V.) and is therefore on its payroll. This B.V. pays salary to the employee (the director) and pays payroll taxes based on the payroll return prepared by The Bookie. In short:
The Bookie prepares the payslip for the DGA of the B.V. (holding or operating company) and files the payroll tax return with the Dutch Tax Authority. We do this within the same month.
The B.V. pays the salary to the DGA (personal account) and pays the payroll taxes to the Tax Authority based on the information provided by The Bookie. This may be done in the following month.
Since these tasks must be carried out every month, we recommend setting a recurring reminder at the end of each month. This helps you avoid missing deadlines and receiving fines.
2. Holding, operating company & employee
The idea here is that the holding “leases” the director to the operating company and invoices for this.
The director is employed by the holding and is therefore on its payroll. The holding pays the salary and payroll taxes based on the payroll return prepared by The Bookie. In short:
The entrepreneur sends an invoice from the holding administration to the operating company administration.
The operating company pays this invoice and records it in its administration.
The Bookie prepares the payslip for the DGA of the holding and files the payroll tax return with the Tax Authority.
The holding pays the salary to the DGA (personal account) and pays payroll taxes based on the information provided by The Bookie.
Again, since these are monthly tasks, we recommend setting a recurring reminder to avoid missing deadlines and fines.
Frequently asked questions
I can’t pay my salary this month, what now?
Always pay the payroll taxes to the Tax Authority. This is money you owe after filing the payroll return. You can postpone paying your salary by (for example) one month.
Can I lower my DGA salary?
There is a “customary salary scheme” which requires you to pay yourself at least a minimum amount considered market-based. This amount changes annually.