Customary salary

Customary salary is the Dutch tax concept requiring many DGAs to take a salary that is reasonable for their role.

What it means in Dutch business

It connects owner income, payroll tax, company cash and the explanation of why the director-major shareholder was paid that amount. For The Polder reader, the term is useful when it explains what must be checked in the Dutch file, who carries responsibility and how a public rule or signal reaches daily business decisions.

Why it matters

It connects owner income, payroll tax, company cash and the explanation of why the director-major shareholder was paid that amount.

Where readers see it

  • DGA payroll
  • salary decisions
  • tax files
  • company cash
  • Box 2 planning

In practice

  • DGA payroll
  • salary decisions
  • tax files
  • company cash
  • Box 2 planning

What to check

  • Which return, assessment, invoice, ledger entry or calculation uses Customary salary.
  • Which date, rate, threshold or valuation changes the outcome.
  • Whether the company file separates sales, cash, tax and private money clearly.
  • Which document would explain the position if Belastingdienst asked tomorrow.

Common mistake

Customary salary is not just a fixed number. The file must explain why the salary makes sense for the work and company situation.

The Polder reading

The Polder reads Customary salary through Ledger & Tax: not as loose terminology, but as a way to connect DGA payroll, salary decisions, tax files to the decision a company, adviser or public authority has to defend.

Related terms

  • DGA
  • BV
  • loonheffing

Related Polder columns

Last updated by The Polder Dictionary on 2026-06-07T16:12:35+00:00.