More net overtime in 2026

Which scheme is envisaged? 

From 1 April 2026, the system of voluntary overtime is expanded. The new scheme allows each employee to perform 360 voluntary overtime hours per year. These hours may be worked without additional reporting or compensatory rest.  

The first 240 overtime hours on an annual basis may be treated as ‘net overtime’. This means these hours are exempt from social security contributions for both the employer and the employee and are exempt from withholding taxes. No overtime premium is to be paid on these net overtime hours.  

From the 241st hour onwards, overtime will switch from net overtime to overtime with a premium. This premium amounts to 50% (100% if this overtime is performed on Sunday). Social security contributions are withheld on these overtime hours and withholding tax is calculated. A reduction of withholding tax for the employee and a partial exemption from remitting withholding tax for the employer also apply to these hours, under certain conditions. 

A different maximum applies in the hotel and catering sector (Joint Committee 302). In JC 302, each full-time employee may perform up to 450 voluntary overtime hours per year. The first 360 hours are net overtime. From the 361st overtime hour onwards an overtime premium is to be paid, social security contributions are withheld and withholding tax is calculated. Under certain conditions these overtime hours give the employee a reduction of withholding tax and the employer a partial exemption from remitting withholding tax. 

Do all overtime hours as of 1 April 2026 fall under the new system? 

The explanation above concerns about voluntary overtime. As the name suggests, that is overtime not imposed by the employer or by the necessities of the business. Overtime imposed by the employer is subject to strict regulation. There must be a legal basis for it, for example an imminent accident or an extraordinary increase in work. Depending on the legal basis invoked, specific notification rules require notifying the trade union delegation and the labour inspectorate. Overtime pay must be paid and compensatory rest is generally required. 

Voluntary overtime is exempt from these specific conditions, except for the payment of a premium once the employee has worked more than 240 hours of voluntary overtime. To qualify as voluntary overtime, a written agreement must be concluded between the employee and the employer in which the employee gives prior approval. Prior to the new legislation, this agreement had to be renewed every six months. As of 1 April 2026, that administrative obligation was eased. The written agreement is now valid for one year and may be tacitly renewed for an additional period of one year. The agreement may be unilaterally terminated at any time with one month’s notice. 

The legislator provides a transitional arrangement for employees who already gave their consent to perform voluntary overtime before 1 April 2026. The old agreement remains valid until the expiry of its term. Thereafter a new agreement must be concluded in accordance with the new rules. 

What changes for part-time employees? 

As of 1 april 2026, part-time employees are only allowed to perform voluntary overtime if two cumulative conditions are met:

1. They must have at least three years’ seniority with the same employer, and
2. The voluntary overtime must be performed in the context of a temporary increase in work. 

Part-time employees may only perform voluntary overtime when they exceed the full-time working-time limits. Until those limits are reached, the rules on additional hours apply to part-time employees.


You may also want to read: Amendments to various employment provisions on 1 June 2026 & New regulations on night work