Transitievergoeding: your redundancy entitlement
How the transition payment is calculated and when it applies.
Last updated 25 June 2026
If your employer ends your employment (or does not renew a fixed-term contract), you are entitled to a transitievergoeding (transition payment) from day 1 of employment. Formula: ⅓ monthly salary per year of service. Capped at €98,000 or one year's gross salary (whichever is higher) in 2025. Not applicable if you resign voluntarily, are dismissed for serious misconduct, or reach retirement age.
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DutchNewcomer provides tax information, not tax advice. Always consult a certified tax advisor (belastingadviseur) for your personal situation.