Create a free parent account for updates, availability and new reviews.

Kiddie.nl

The New Childcare Benefit System from 2029

The new childcare benefit system from 2029: no more benefit, but 96% direct reimbursement. What changes for your family? Read the concrete implications.

β€’By Rosalie Bok
The New Childcare Benefit System from 2029

Key takeaways

  • From 2029, you pay 4% yourself, regardless of income
  • No more childcare benefit via the Tax and Customs Administration
  • No more repayments due to direct government payment
  • The system takes effect on 1 January 2029
  • Childcare will not be free, but will be cheaper for higher incomes

What changes in 2029 with the childcare benefit (kinderopvangtoeslag)?

To avoid all the difficulties of the current childcare benefit (kinderopvangtoeslag) and make childcare more affordable for parents, the childcare benefit will be abolished on 1 January 2029 and replaced by a new system. The government will then pay 96% of the maximum hourly rate directly to childcare providers. This will be the same for everyone and will no longer depend on your income.

Why is the childcare benefit being abolished?

The main reason for this change is the certainty it gives parents. Many parents currently receive uncertain advance payments and run the risk of having to repay money. This leads to financial uncertainty and causes some parents to avoid the benefit altogether. In the new, simpler system, there will be no more repayments, and childcare will become cheaper for many parents. Municipalities will also have more opportunities to support working parents with lower incomes.

Will childcare be free from 2029?

No. When the new system was introduced, there was talk of free childcare, but this is a confusing term. The government will soon pay 96% of the maximum hourly rate, but most childcare providers already charge (well) above this. The difference between the maximum hourly rate and the actual fee, plus the remaining 4%, will still be paid by parents themselves. However, childcare will become cheaper for a lot of parents, particularly for higher incomes.

When does the new system take effect?

The new system is not yet final, but the Government is currently still holding to the start date of 1 January 2029. In the coming years, the benefit will already be gradually increased, so that a growing number of parents will already receive the maximum benefit of 96% before 2029.

Frequently asked questions

When does the new childcare benefit system take effect?
The new system officially takes effect on 1 January 2029. Until then, the current benefit system through the Tax and Customs Administration remains in force, with income-dependent reimbursements.
Will childcare be free from 2029?
No, childcare will not be free. All working parents pay a personal contribution of 4% of the costs. For a daycare center (kinderdagverblijf/KDV), this amounts to several tens of euros per month, depending on the number of childcare hours.
How much will I pay for childcare in 2029?
From 2029, you will pay 4% of the childcare costs yourself. The government will reimburse the remaining 96% directly to the childcare organization. This applies to all types of care: daycare center (kinderdagverblijf/KDV), after-school care (BSO), and childminder/host parent care (gastouderopvang).
Why is the childcare benefit being abolished?
The benefit is being abolished due to problems with the current system, including the benefits affair and unfair income dependency. The new system aims to make work more rewarding and reduce administrative burdens.
Do I need to do anything as a parent for the transition to 2029?
No, the transition happens automatically. You do not need to submit a new application. However, it is wise to follow communications from your childcare organization about any rate changes.

Looking for childcare?

Find and compare all childcare locations near you

Start searching