What types of overtime exist?
The overtime system has two main types. Firstly, there is involuntary overtime. In this case, as an employer, you must provide compensatory rest and pay for the overtime worked. You are also responsible for social security contributions and advance tax levies. From April 1, 2026, there will be a permanent tax-friendly regime for the first 180 hours of overtime per year.
Additionally, there is voluntary overtime, which comes in three forms. With ordinary voluntary overtime, you do not have to provide compensatory rest, but you must pay for the overtime. As with involuntary overtime, social security contributions and advance tax levies still apply. From April 1, 2026, the tax-friendly rate will also apply to the first 180 hours of voluntary overtime per year.
The other two forms are netto-overtime and netto-overtime in the hospitality sector. These are even more beneficial: you do not have to provide compensatory rest or pay for the overtime, and you are not liable for social security contributions or advance tax levies. Furthermore, you can combine these two types with ordinary voluntary overtime, giving you extra flexibility as an employer.
Involuntary overtime
The rules for involuntary overtime today
Formalities Strict: a valid reason is required; depending on the reason, you may also need to follow an information procedure, adjust the work schedule, etc. Grant compensatory rest? Yes (exceptions may apply) Pay overtime? Yes (above certain limits) Social security contributions due? Yes Advance tax levy due? ✔️ From April 1, 2026: a favourable regime for 180 overtime hours per year:
- Exemption from advance tax levy for the employer
- Reduction of advance tax levy for the employee
Maximum number of overtime hours per year ✔️ No maximum number. Overtime must be compensated as soon as 143 consecutive overtime hours have been worked (internal limit). There are daily and weekly limits. What do the various legislative proposals provide?
The tax-friendly regime for 180 overtime hours per year will be of indefinite duration.
To have your employees perform classic, 'involuntary' overtime, you need a valid reason. The law accepts unforeseen necessity, force majeure, or an extraordinary increase in work as valid reasons. For each of these reasons, you must follow specific steps, such as informing employee representatives, notifying social inspection, or adjusting the work schedule.
Employees who perform involuntary overtime are entitled to overtime pay (above certain limits) and compensatory rest.
In the coalition agreement, the governing parties emphasise that the existing procedures and overtime will be retained.
Read more
Valid reason: 'Is it legal to have employees work overtime?'
Compensatory rest: 'How can overtime be compensated?'
Overtime pay: 'What is the overtime pay for overtime hours?'
Tax treatment of involuntary overtime: permanent extension
For overtime for which legal overtime pay is due, the tax authorities have provided a tax-friendly treatment for years. This involves a reduction of advance tax levy for the employer and a reduction of the advance tax levy for the employee.
Read more in our theme series: 'Tax reductions'
This tax-friendly regime strictly applies to 130 overtime hours per year. From April 1, 2026, this limit will be permanently raised to 180 hours per year.
Voluntary overtime
Ordinary voluntary overtime (with overtime pay)
The rules for ordinary voluntary overtime from April 1, 2026
Formalities ✔️ Flexible: a written agreement from the employee is required, which can be for a period of 12 months and is tacitly extended from April 1, 2026. Grant compensatory rest? ✔️ No Pay overtime? Yes (above certain limits) Social security contributions due? Yes Advance tax levy due? ✔️ From April 1, 2026: a favourable regime for 180 overtime hours per year:
- Exemption from advance tax levy for the employer
- Reduction of advance tax levy for the employee
Maximum number of overtime hours per year 120 overtime hours What do the various coalition agreements provide?
The tax-friendly regime for 180 overtime hours per year will be of indefinite duration.
Voluntary overtime can be performed when your employee provides their written agreement. This agreement can be concluded for twelve months and is also tacitly renewable.
The advantage of this type of overtime is that you do not have to grant compensatory rest. Many administrative obligations are also removed: you do not need to provide a reason for the overtime, you are not required to notify employee representatives or social inspection, and it is not necessary to adjust the work schedule.
The total number of ordinary voluntary overtime hours that an employee may perform per year is 120 hours. This number consists of two parts: 100 hours according to the Labour Act and 20 additional hours added in 2019 via collective agreement no. 129 of the National Labour Council.
As with involuntary overtime, you are liable for overtime pay, and you can also benefit from the tax-friendly regime mentioned earlier.
Voluntary netto-overtime (netto and without overtime pay)
The rules for netto-overtime from April 1, 2026
Formalities ✔️ Flexible: a written agreement from the employee is required, which can be for a period of 12 months and is tacitly extended from April 1, 2026. Grant compensatory rest? ✔️ No Pay overtime? ✔️ No Social security contributions due? ✔️ No (gross = net) Advance tax levy due? Maximum number of overtime hours per year 240 hours, to be combined with a maximum of 120 ordinary voluntary overtime hours.
What do the various legislative proposals provide?
A doubling to 240 netto-overtime hours without overtime pay, for indefinite duration. This can be combined with 120 ordinary voluntary overtime hours with overtime pay.
This means that 240 voluntary overtime hours can be performed, offering the following advantages:
- No compensatory rest
- No overtime pay
- No social security contributions or advance tax levy (gross = net)
- A written agreement with the employee suffices as a formality
As with ordinary voluntary overtime, you do need a written agreement from your employee.
In combination with the ‘ordinary’ voluntary overtime, employees can perform a total of 360 voluntary overtime hours from April 1, 2026:
- 120 ordinary voluntary overtime hours with overtime pay, with possible application of the tax-friendly regime (see above)
- 240 netto-overtime hours for which you do not pay overtime (gross equals net)
Netto-overtime in the hospitality sector
The rules for netto-overtime in the hospitality sector from April 1, 2026
For which employees? Full-time employees Formalities ✔️ Flexible: a written agreement from the employee is required, which can be for a period of 12 months and is tacitly extended for employers with a white register from April 1, 2026. Grant compensatory rest? ✔️ No Pay overtime? ✔️ No Social security contributions due? ✔️ No (gross = net) Advance tax levy due? Maximum number of overtime hours per year
- 360 hours if registered in a cash system (GKS)
- 300 hours without GKS
What do the various legislative proposals provide?
360 netto-overtime hours and additionally 90 ‘ordinary’ voluntary overtime hours for employers with a white register.
Read more: 'Overtime in the hospitality sector'
The coalition agreement aims to increase the existing voluntary overtime in the hospitality sector from 360 to 450 voluntary overtime hours. For those additional 90 voluntary overtime hours, you will be liable for overtime pay, social security contributions, and advance tax levies. This applies to employers with a white register.
For those without a white register, the 300 netto-overtime hours remain applicable. Additionally, they can have 120 voluntary overtime hours with overtime pay, social security contributions, and advance tax levies performed.
Reserved for full-time employees
Overtime only occurs when full-time working hours are exceeded. These limits vary depending on the sector and the working regime that applies in your company. However, it is currently possible for part-time employees to also exceed these limits in some cases, for example, if they work 10 hours in a day. Additionally, a part-timer may occasionally exceed the overtime limit on a weekly basis.
The coalition agreement wants to reserve the use of voluntary overtime primarily for full-time employees. Part-time employees may only use it if they have already worked part-time for at least three years and provided there is a temporary increase in work.
If your part-time employee already has an agreement to work voluntary overtime on 1 April 2026, they can continue to do so, even if they have not worked part-time for three years yet. It is advisable to check whether you have already made an agreement with those employees. If not, please make one before 1 April 2026.
What does this mean for you?
The various legislative proposals still need to be discussed and voted on. Once they are final, you will find updates on Lex4You.
In the meantime, you can continue to apply the tax-favourable overtime (both involuntary and voluntary), recovery overtime, and netto-overtime in the hospitality sector until 31 March 2026. You can do this by entering the correct codes in your payroll tool.
If you want to use voluntary overtime, ensure you have a written agreement with your employee. You can contact your Securex Legal Advisor for assistance with this.
