What is the transition payment (transitievergoeding) in 2026?
The transition payment (transitievergoeding) is a statutory dismissal payment to which you are entitled if your employer terminates the employment contract or does not extend it — regardless of your years of service (Article 7:673 Dutch Civil Code (BW)). Since 1 January 2020, this is calculated from the first day of your employment and amounts toone third monthly salary per year worked, pro rata by days.
How do I calculate my transition payment (transitievergoeding)?
The formula is simple:
Transition payment (transitievergoeding) = (gross monthly salary × 1/3) × (years of service in months / 12)
The term “gross monthly salary” includes the basic salary plus fixed allowances, holiday allowance, a thirteenth month and the average bonus over the last three years. Variable pay and end-of-year payments are taken into account if they are structural.
Calculation examples for different years of service
| Years of service | Monthly salary (gross) | Transition payment (transitievergoeding) |
|---|---|---|
| 2 years | € 3.000 | € 2.000 |
| 5 years | € 3.500 | € 5.833 |
| 10 years | € 4.000 | € 13.333 |
| 15 years | € 4.500 | € 22.500 |
| 20 years | € 5.000 | € 33.333 |
| 30 years | € 5.500 | € 55.000 |
What is the maximum in 2026?
The statutory maximum is in 2026€ 98.000, or one gross annual salary if that is higher. The cap is indexed annually by the Ministry of Social Affairs and Employment. If you earn €120,000 per year, then your maximum is €120,000 — not €98,000.
When am I not entitled to a transition payment (transitievergoeding)?
In three situations:
- summary dismissal (ontslag op staande voet)due to seriously culpable conduct (ernstig verwijtbaar handelen) on the part of the employee
- Termination by mutual consentwhereby you explicitly waive (note: this can turn out financially disadvantageous — have a lawyer check the settlement agreement (vaststellingsovereenkomst))
- Pensionable age reachedbefore end of employment
Do I also get a transition payment (transitievergoeding) upon termination of the contract after illness?
Yes, even after 104 weeks of illness. Since 2020, the employer can via theCompensation Scheme for Transition Payment (transitievergoeding) in Case of Illnessreclaim the paid-out compensation from the UWV. That removes the financial obstacle — if the employer refuses compensation because of “too expensive after illness”, that is legally untenable.
How do I claim my transition payment (transitievergoeding)?
In most cases, the employer pays automatically. If that does not happen, you send a registered letter with the calculation and a payment term of two weeks. If payment is still not made, you can then proceed tothree monthsafter termination of the employment relationship, file a request with the sub-district court (Article 7:686a(4) Dutch Civil Code (BW)).