Overview of Payroll in Belgium

Overview of Payroll in Belgium

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  • learning hour's


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Even if payrolls in Belgium are outsourced, it is still the employer’s responsibility to ensure all legal employer obligations are met, namely:

  • Withholding payroll taxes: When employing personnel in Belgium, employers must operate a form of PAYE known as Professional Withholding Tax (PWT).These payroll taxes must be withheld on every salary payment, and constitute an advance on the employee’s final personal income taxes. The amount of the PWT is based on the height of the employee’s gross salary and on his/her personal circumstances.
  • Processing social security contributions:Trough the payroll the National Office for Social Security collects both employer and employee social security. The exact amount of these contributions depend on the factual situation of both the employee and the company.
  • Drafting and keeping social documents: Belgian authorities require a range of social documents to be kept both during employment and upon termination. It is important for employers to fully understand these requirements and the various types of filing.
  • Complying with Belgian employment legislation: It is essential that employers are aware of their obligations regarding minimum wages, mandatory fringe benefits, working time limitations, types of leave and suspension of labour contracts, termination rules, etc.

Who is this course for?

This course is aimed at those Payroll & HR Professionals who are processing or managing Vendors who process Payrolls in Belgium and need to have an understanding of the legislative and legal requirements involved.

What will you achieve?

Having attended this course delegates will have confidence that they understand the fundamentals of payroll processing in Belgium, are clear about employer obligations including those for Belgian residents and non-residents, know what they need to do on a periodic and annual basis, can answer employee queries and check payslips.

Even if payrolls are outsourced it is still the employers responsibility to ensure all obligations are met and that income tax and social security are correctly processed. This course not only gives you the information you need to be compliant but also ensures you know exactly what information should be given to a payroll provider and the various tasks they should be completing on your behalf.

Course Trainers

  • Julie

    Senior Legal Consultant

    Thanks to her many years of practical experience, first as a lawyer and now as a Legal Consultant, she has extensive legal knowledge that allows her to provide specific advice to employers on a wide range of employment and social security related subjects. Our trainer delivers pragmatic solution-oriented and tailored advice. She advises both SMEs and large companies and has extensive experience in advising English- and French-speaking companies. She also regularly gives trainings on various employment related topics.

What will be covered?

Introduction to Belgium:

  • Country overview
  • Business culture
  • General employment law principles

Start of employment:

  • Formalities for new employer in Belgium
  • DIMONA / LIMOSA declarations
  • Employment Contract:

  • Language
  • Types of labour agreements (blue collar
  • white collar
  • fixed term
  • part-time
  • students
  • agency workers
  • etc.)
  • Content
  • General obligations of both parties
  • Working time and rest periods
  • Employment Contract:

  • Personnel register
  • Payslips
  • Individual accounts
  • Work regulations
  • Salary and benefit:

  • How to determine the basic salary package?
  • Minimum Wage
  • How to determine the basic salary package?
  • Minimum wage
  • mandatory salary components at sectoral level
  • mandatory salary components at national level
  • additional non-mandatory benefits
  • Overview of most common fringe benefits incl. their fiscal and social security treatment (e.g. meal vouchers
  • company car
  • cost allowances
  • benefits in kind)
  • Payroll processing
  • Wages paid for Annual Leave:

  • Single holiday pay = normal wage an employee receives for taking a legal holiday considered as wage
  • Double holiday pay = additional holiday allowance
  • NOT considered as protected wage cf. remuneration act
  • Social Security:

  • Employees contributions
  • Employers contributions
  • Exemptions and reductions
  • Payment of social security contributions
  • Source Income Tax:

  • Scales of source income tax
  • Professional Withholding Tax
  • Tax free sums and reductions
  • Types of Leave during Employment:

  • Annual holiday
  • Public holidays
  • Illness
  • Maternity leave and protection § Paternity leave
  • Short justified absences (Klein Verlet / Absence Justifiée) § Other
  • Termination of Employment:

  • Termination in mutual agreement
  • Force majeure
  • Formalities
  • Notice Period
  • Indemnity in lieu of notice
  • Dismissal for serious cause
  • Protected employees
  • Statutory termination entitlements
  • unreasonable dismissal
  • Summary
    A course delivering to delegates the fundamentals of payroll processing in Belgium and the specific range of documents and filing required to avoid penalties. Knowledge to keep your company compliant and up to date with the tasks a payroll provider must carry out on your behalf.