Indian Expat Society: The Netherlands

Living

> Cost of Living

> Currency and Payment Methods

> Holidays, Festivals and Important Dates

> Public Transport

Cost of Living

Although the cost of living in the Netherlands has reportedly increased steadily in recent years, it remains lower than in many other European countries, and the Netherlands was recently reported as being one of the two cheapest countries in Europe to buy groceries, along with Germany (ACNielson, 2006). This is largely due to the market dominance of discount supermarket chains.

Restaurant and hotel bills normally include Value Added Tax and a service charge, so it is unnecessary to tip, although it is common practice to leave a small tip for good service. In the case of waiters and taxi drivers, a tip of around 10% of the bill is customary.

Along with many other European Union countries, the Netherlands adopted the Euro (€) as its monetary unit in 2002. If coming from another country where the Euro is in use, therefore, there is no longer a need for travellers or expats to exchange their currency on arrival in the Netherlands. Banknotes come in denominations of 5, 10, 20, 50, 100, 200 and 500 Euros, while coins are in denominations of 1 and 2 Euros and 1, 2, 5, 10, 20 and 50 cents (100 cents = 1 Euro).

Money in other currencies can be changed into Euros at banks, post offices or at the GWK exchange bureaus which can be found at the airports, major railways stations and in other tourist areas. There is no informal currency exchange market operating legally in the Netherlands, and all of the banks and exchange bureaus are required to use prevailing exchange rates, which should be publicly displayed. There is usually a charge for changing currency, although this may be discounted for students on provision of an international student card.

The most common methods of payment for goods and services in the Netherlands are cash and debit cards (the latter use a PIN number to authorise payment and you will often hear Dutch people ask if they can "pin" for something when wanting to pay). It is quite common for people in Holland to use cash, even for large purchases, either at the store or when the items are delivered to their home. Small purchases are sometimes made using a type of smartcard, called a chipknip or chippas, which has to be topped up with money from a bank account. Credit cards are not widely used in the Netherlands, except for some large purchases or for online payments.

Most people in Holland pay their bills by bank transfer using the giro system, or by direct debit from their bank. Bills usually have a giro form (acceptgirokaart) attached, which the recipient completes with their bank account number, signs and forwards to their bank, using the bank's own postage-free envelopes if these have been provided. The bill is then settled by the bank and the money deducted from the person's account. If a giro form is not included with the bill, it can be paid using a general form available at the bank. Additionally, anyone can use the giro system to pay their bills via the post office, even if they do not have an account there, by using cash and paying a small fee. It is also becoming increasingly more common for bills to be paid via the Internet as most Dutch banks now offer online banking facilities.

Utility bills, mortgage payments, rent and other regular payments can also be paid by direct debit (automatische overschrijving) from a bank account, following authorisation from the account holder. In order to set up a direct debit, you will be required to complete a bank instruction (machtigingskaart) authorising the relevant company to take money out of your account every month.

There are also various ways of making electronic payments between individuals in the Netherlands, such as the Way2pay e-mail payment system which has been established by ING Bank. You will be required to have a bank account and an address in the Netherlands in order to use this service.

It should be noted that when writing figures, including prices, the Dutch reverse the English convention of using commas and decimal points. For example, in Holland €1.000 means a thousand Euros and €10,50 means ten euros and fifty cents.

Annual public holidays in the Netherlands include New Year's Day, Good Friday, Easter Sunday and Easter Monday, the Queen's official birthday on 30 April, Liberation Day on 5th May, Ascension Day, Christmas Day and Boxing Day. There are also a number of additional holidays to mark local traditions and festivities in different parts of the country.

Holland's main annual festival is Carnival, held in February during the period preceding Lent. Although a national tradition, it is celebrated much more extensively in the south of the country, where many businesses close for three days of parades, singing, drinking and general merrymaking.

In April, the Queen's official birthday is marked by a holiday and by big markets held in Amsterdam and other towns and cities.

4th May sees the Remembering the Dead holiday in memory of all those Dutch soldiers and civilians who lost their lives in the Second World War, which is marked by a two-minute silence across the country at 8 p.m. Immediately following this sombre occasion, on 5th May the country celebrates Liberation Day in memory of its liberation from occupation in 1945, although it is no longer the case, as in the past, that all businesses close on this day.

Dutch children are enjoying a recent revival of the 11th November Trick or Treats ritual, or feast of St Martin, in which they go from house to house entertaining people with songs about St Martin, and receive goodies such as cookies or sweets in return.

The most anticipated festival of the year for children, however, is the arrival of Sinerklaas, or St Nicholas, who brings gifts on the eve of 6th December, his birthday. Considered the Patron Saint of Children in the Netherlands, this character is very similar to Santa Claus, but is believed to reside in Spain rather than the North Pole, and to have a troop of helpers with black faces, reportedly representing the Moors who were chased out of Spain in the 15th century and sought gainful employment with St Nicholas. In the Netherlands 6th December is the date when families exchange gifts, and indulge in traditional Christmas goodies such the gingerbread and marizipan-based banketstaaf. In contrast, Christmas Day is usually a day kept primarily for religious observance among churchgoers, and quiet family get-togethers. On New Year's Eve, it is traditional to call briefly on neighbours to wish them good luck for the year ahead.

Air Travel

The Netherlands' main international airport, Schipol, which is close to Amsterdam and situated 4 metres below sea level, is also the fourth busiest in Europe in terms of passenger numbers and commercial and freight traffic. In the first three months of 2007, almost 10 million passengers passed through this airport, while 374,000 tonnes of freight were handled. Schipol Airport and the Netherlands' main seaport at Rotterdam are major European transport hubs and very important major contributors to the Dutch economy. Schipol is the home of the national Dutch carrier, KLM, which operates direct routes to some 90 countries worldwide, whilst many other international airlines and a number of low-cost European airlines such as EasyJet and bmibaby also use the airport.

The area surrounding Schipol is an important business centre in which a World Trade Centre and many hotels and businesses are located, while the airport itself also includes hotels, shops, restaurants and leisure facilities. Although duty-free shopping has been abolished in Europe, the prices of many goods are subsidized by Schipol Airport to encourage sales.

Schipol has frequent and fast rail connections from the station directly underneath its arrivals hall to major cities in the Netherlands and surrounding countries. Amsterdam is only 15 minutes away by rail, Rotterdam and Utrecht can be reached in less than an hour, while Brussels, Cologne and Paris are just two, three and four hours away respectively.

There are number of regional airports in the Netherlands, including Rotterdam, Eindhoven, Maastricht/Aachen, Groningen-Eelde, Enschede and Lelystad, many of which operate some international flights as well as connections with Schipol and with other regional airports. Although domestic air travel is not widely used within the Netherlands due to the small size of the country, flights between the main airports within the Netherlands are operated by KLM, VLM Airlines and Martinair Holland (MP). It can often save time to start an international journey from a regional airport as check-in times are usually shorter than at Schipol and luggage can be checked straight through to your destination.

Rail Travel

The Netherlands has a dense railway network which connects nearly all of its cities and towns. Services are generally fast, regular and efficient, with at least one or two trains per hour on the majority of lines, and every 10 minutes or so on the lines connecting major destinations. Fast inter-city services travel between the main cities, with few stops in between, while slower stopping services (stoptreinen or "Sprinters") call at all stations on other routes. First and second class travel is available on most services. Most of the rail services within the Netherlands are operated by Nederlandse Spoorwegen (NS), although there are a number of other regional and local operators, and all use the same tariff system.

A high-speed rail service is available from Amsterdam, Schiphol, via The Hague and Rotterdam to Belgium and Paris, on the Thalys or TVG trains. Within the Netherlands, the trains travel at regular speeds through densely populated areas. It is necessary to make advance reservations to travel on these services; smoking and non-smoking, and first and second-class carriages are available, with tickets for first class travel costing around 50% extra than those for standard travel.

Currently, all rail tickets (kaartjes) must be purchased before travel either from the station ticket office or from a ticket machine on the platform, which accepts cash and bank cards, although the rail companies are now starting to accept the OV Chipkaart to purchase tickets. Season tickets and off-peak travel tickets (voordeel-urenkaart) are available at a substantial discount. For example an annual off-peak discount ticket costs €55 and provides a 40% discount for the holder and up to three travelling companions. For regular travel, tickets are available for specific routes or for the whole rail network. Inspectors often travel on the trains, or check tickets on station platforms, and heavy fines are payable by anyone caught travelling without a ticket.

Treintaxis or public transport bicycles (OV-fiets) can be used on arrival at stations for onward transport to your destination. A pass must be arranged in advance for the regular use of a public transport bicycle, which are available at around 80 railways stations at a €9.50 per year and a €2.85 daily charge (for up to 20 hours use), deducted retrospectively by direct debit from your bank account.

Buses, Trams, Metros and Taxis

There are frequent and reliable bus services within Holland's cities and between the towns, with rural settlements also being connected by local bus services. However, long-distance bus services are relatively limited, with inter-city rail services generally being the preferred means of travel between major urban centres.

Within the main cities, fast Interliner bus services are in use which operate in their own lanes, have the right of way at traffic lights and have convenient stopping points which connect with other public transport services. Special Interliner tickets are required for travel on these services.

Many different companies operate bus services in the Netherlands, but a common tariff is in use on all but the city night buses and some local services. Tickets and public transport maps can be obtained from bus company ticket offices at the railways stations in larger cities in towns, or from the VVV tourist offices.
There are metro systems in Amsterdam and Rotterdam, and trams operating in several of the main cities, with these city transport services usually running from 6 a.m. to midnight.

When entering a bus, the driver will inspect your pass or stamp your strippenkaart, while trams usually have a machine onboard for you to stamp your own strippenkaart.

Taxis cannot be hailed on the street in Holland, they must be ordered in advance or hired at a taxi stand, indicated by a "standplaats taxis" sign. Taxis are metered and fares are fairly standard, although there are many private taxi firms operating. "Official" taxis can be recognized by their blue number plates. Fares can sometimes be negotiated for longer journeys. It is normal practice to give taxi drivers a small tip.

There are special types of train taxis and interliner taxis available at many rail stations and main interliner stops, which provide convenient onward travel between the public transport services and your final destination, at a lower cost than regular taxis. They are normally shared with other passengers, but fares are considerably lower than those for regular taxis, at a fixed rate of €4 per journey. Tickets must be bought in advance with your rail or bus ticket, or at the railway station on arrival, although they can be purchased at a slightly higher cost of $euro;5 from the taxi driver for return journeys. Return travel can be arranged by telephoning the national 0900 TREIN-TAXI or the local train taxi number at least half an hour in advance.

Public transport tickets

The Netherlands is currently in the process of switching from the current Strip Ticket (strippenkaart) system for travel on buses, trams and the Metro in the Netherlands to the use of the digital "OV chipkaart" transport pass for fare payment. The whole of the public transport system, including rail services, will use the chipkaart pass by the end of 2008, with fare payments by strippenkaart or other types of tickets still possible on buses, trams and metro services until 1 January 2009.

Currently, strip tickets are used for travel on buses, trams and metro services throughout the Netherlands. These are available in various multiples of strips, from 2 or 3 for a single journey up to 45 strips, and can be purchased at a range of outlets including newsagents, department stores, post offices and railways stations, or at higher prices from public transport drivers. Other types of discounted season tickets and passes are also available for regular travel on the buses, trams and metro services.

The whole of the Netherlands is divided into transport zones with standard fares corresponding to numbers of strips on the card. A single journey within one zone costs two strips, with an additional strip payable for each additional zone crossed. Most towns and smaller cities are within a single zone, while larger cities are divided into several zones. The costs of strip tickets currently range from €1.60 for a single journey within one zone, to €20.10 for 45 strips for use on multiple journeys across unlimited zones. Discounted fares are available for children and senior citizens.

When you travel on public transport, the driver stamps the relevant strips to indicate the time and zone of travel, or you do so yourself using one of the automated machines provided. Multiple journeys within the same zone are allowed on a single stamp within a specified timescale shown on the card.

The new "OV chipkaart", also often referred to as a "chipknip" is a card that has a digital chip and has to be loaded with credit in advance of travel. Cards can either be for use by one person only, with reloads made automatically from a registered bank account or topped up with cash at a rail or bus station or other outlet, or they can be purchased and loaded with cash for use by anyone, either for a single or multiple journeys. Cards can be purchased at charges ranging from €2.50 for a single journey, disposable card, to €7.50 for a five year card. Under the new system, fares are associated with the specific distances travelled rather than zones crossed, with credit being deducted from the card via a card reader as the passenger enters and leaves a public transport service.

Useful links:

Schiphol Airport
Tel: 0900 72 44 7465 (for general information)
Tel: 0900 0141 (for arrivals and departure information) (€ 0.40 per minute)
www.schiphol.nl

National transport information:
Tel: 0900 9292
www.9292ov.nl

OV-chipkaart information:
Tel: 0900 0980
www.ov-chipkaart.nl

Nederlandse Spoorwegen (national rail company)
Tel: 0900 9296
www.ns.nl

National Treintaxi:
Tel: 0900 8734682

Driving in the Netherlands

Holland is a relatively safe country to drive in, with a reported average rate of just 3 fatalities due to traffic accidents each day, lower than many other European countries. There is good road access into the country from Belgium and Germany and an excellent road network connecting all parts of the country. The main routes are signposted with green 'E' symbols on international highways, 'A' symbols on national highways and 'N' symbols on other main roads. Blue road signs indicate that something is allowed, while red circles show that something is forbidden. Red triangles are used to notify of particular road conditions, and yellow or orange diamond signs indicate that you have priority right of way. "Sharks teeth" symbols indicate that you have to give priority to vehicles on the road you are entering.

Driving is on the right in the Netherlands, and traffic coming from the right generally has priority, unless otherwise indicated by the road signs. Vehicles entering a roundabout also usually have right of way. When making a turn, motor vehicle drivers must give priority to cyclists and pedestrians, and drivers must also give right of way to pedestrians on zebra crossings. Where trams are in operation, these have priority over other road users.

Speed limits are 120 km/h on major highways, 80 km/h on most main roads outside towns, and 50 km/h in built up areas, unless otherwise indicated. The limits are strictly enforced and speeds are monitored by automatic police monitoring systems in many areas. There is a blood alcohol limit of 0.05, with the drink drive laws strictly enforced using random breathalyzer tests and highway checkpoints. It is illegal to use a mobile phone while driving unless it is with the use of a hands-free set.

Seat belts must be used by the driver and all front and rear seat passengers, and car seats or booster seats must be used for all children between the age of 3 and 12, unless they exceed 1.35 metres in height. Children under the age of 12 are not allowed to sit in the front seat if the car has an airbag, and or sit on an adult's lap in the front seat. Children's car seats must meet the current EU safety standards, indicated by 02.44 or 03.44 on the orange ECE sticker, and be the correct size for the weight of the child. Carrier seats should be used for babies, but not in the front seat of the car if an airbag is fitted.

Normal headlights should be used at night and when visibility is poor during the day. Front and rear fog lights can be used in rain, fog or snow when visibility is less than 50 metres.

There are clearly-marked emergency telephones (praatpalen) located at regular intervals along the main highways, which are connected directly to the emergency and assistance services for use if you have an accident or breakdown. Most Dutch drivers belong to the Dutch Touring Club (ANWB), which provides 24-hour breakdown assistance and a range of other benefits to members. These include free transport, reimbursement for the cost of overnight accommodation if necessary in the event of a breakdown, or a replacement car service.

If you have a road accident, you must complete and sign a statement on an insurance form, a blank copy of which should be kept with you at all times when driving, and the police should be notified of any form of personal injury or damage to property incurred. It is against the law to leave the scene of an accident without completing the insurance statement or notifying the policy of any damage or injury. The toll free emergency number is 112.

Traffic congestion is common in most built-up areas and on main inter-connecting routes. Parking is very limited in the main cities, especially Amsterdam, and there are policies to deter motorists from bringing their cars in, such as park-and-ride schemes. The parking regulations and charges vary between different cities and towns, but parking is generally expensive in Holland. Automatic ticket dispensers are widely used in car-parks and for roadside parking, and these usually accept either coins or the chipknip card. The ticket should be displayed on the car dashboard for inspection. In some areas, parking is restricted to residents holding permits. If you live in one of these areas you can apply for a permit from the municipal offices (gemeentehuis) or local parking authority (Dienst Parkeerzaken). The parking regulations are strictly enforced, with steep fines payable by those who break them; illegally parked cars are sometimes wheel-clamped or towed away.

Driving Licences

In general, any person who is resident in the Netherlands for at least 185 days in a year is required to have a Dutch drivers licence in order to drive a motor vehicle there. However, some foreign-issued licences can be used to drive in the Netherlands for a specified period of time or can be exchanged for a Dutch licence with no need to take a Dutch driving test. Diplomatic representatives and consular staff and their family members, as well as foreign nationals who benefit from the 30% tax ruling in the Netherlands, are also eligible to exchange their own foreign-issued licence for a Dutch licence, regardless of where their own licence was issued. In other cases it is necessary to take a Dutch driving test in order to obtain a licence to drive in the Netherlands, although an accelerated version of this is available for people who already hold a foreign driving licence. International licences cannot be exchanged for Dutch licences. You must be 18 years of age or over to drive in the Netherlands.

Anyone who holds a valid Dutch residence permit and has a licence issued in any of the countries specified on the Government's driving licence website (www.rijbewijs.nl/nl/english.asp), including most EU/EEA countries, can exchange their own licence for a Dutch licence without taking a test. Additionally, certain categories of driving licences issued in a number of other countries specified on the driving licence website, including various Asian countries such as Japan and Singapore, can be exchanged for the corresponding category of licence in the Netherlands.

The procedure for exchanging a valid foreign-issued licence, which must have been issued when the licence holder had residence status in the issuing country, is to complete a confirmation of identity form (uittreksel bevolkingsregister), a health declaration form (eigen verklaring) and an exchange application form, all of which are available from the municipal offices. These should then be submitted to the Central Office for Motor Vehicle Driver Testing (CBR). If the initial application is approved, the CBR will issue a "certificate of fitness" which should be submitted to the municipal office along with the foreign-issued licence, two passport photos, the exchange form and any other relevant documentation such as evidence of eligibility for the 30% tax ruling. Some foreign-issued licences and other documents may need to be translated by an approved translator. An applicant is not allowed to drive in the Netherlands until their Dutch licence is issued, a process which normally takes at least five days.

Non-EU issued licences are generally returned to the holder's country of origin, unless they have strong grounds for needing to retain them. EU-issued licences, those belonging to diplomatic representatives and their staff, and to people benefiting from the 30% tax ruling, are returned to the individuals concerned at their address in the Netherlands.

People holding licences which cannot be exchanged for a Dutch licence are required to take a driving test at the CBR. An accelerated test is available for Category B (passenger car) licence holders which takes into account their previous driving experience, but if this is failed the person will subsequently be required to take a regular Dutch driving test, consisting of a theory and a practical examination. The holders of other categories of driving licences are also required to take a full Dutch driving test in order to obtain a Dutch licence. It may also be necessary for driving test applicants to obtain a "certificate of fitness" in order to obtain a Dutch licence.

Car Ownership

If you are going to be living in the Netherlands and wish to drive there, you may want to consider whether to take your own car with you or buy a new car in the Netherlands. Your decision is likely to depend on the length of time you plan to live in the Netherlands.

The list prices of cars in the Netherlands are relatively low compared with other European countries, but the taxes imposed on new cars are extremely high at up to 45% of the list price, and are not refundable if you move within the EU. It might save you money to buy a new car in the Netherlands while you are still living in another country, so that you can benefit from the lower list price but will not have to pay the taxes. Cars can also be purchased in the Netherlands for duty-free export outside the EU within 30 days, although import duties may be payable in the destination country. New cars which are exported to another EU country are generally liable for VAT in the country of destination, although the VAT paid at the time of purchase in the Netherlands may be partly refunded.

Alternatively, if you are moving to the Netherlands from a non-EU country and wish to bring your own car with you, the vehicle may be exempt from customs duty if you have lived outside the EU for at least the preceding twelve months and have personally owned the vehicle for a minimum of six months. If you bring the car to Holland under these conditions, it cannot be sold within twelve months, otherwise the tax and possibly an additional fine will become payable. This will also apply if the car is stolen or is badly damaged and sold as scrap.

When you buy a new car in the Netherlands, it will have a vehicle registration certificate (kentekenbewijs), consisting of Part 1 (deel I) and Part 2 (deel II). Part 1 includes technical information relating to the vehicle itself, such as brand, model and registration number, while Part 2 represents proof of ownership of the vehicle and consists of the name address of the current owner. Some older cars also have a Part 3 confirming proof of ownership prior to 1996. When buying a car it is important to ensure that the registration certificate is handed over and includes all relevant parts. Transfer of ownership is usually arranged by the dealer who sells the car or by the new owner by completing and submitting the relevant form at the post office.

All vehicles which are more than three years old must undergo an annual technical test (Algemene Periodieke Keuring or "APK"), carried out by RDW-approved testing centres. The RDW or Centre for Vehicle Technology and Information (Rijksdienst voor Wegverkeer) is the Dutch body with responsibility for ensuring that all motor vehicles meet the required standards for use in the Netherlands. The RDW also conducts random testing of vehicles. There is no fixed price for the APK test and prices vary considerably. It is possible to appeal against the outcome of a test and submit a request to the RDW for a retest.

Motoring-related Taxes

The BPM (Bijzondere Verbruiksbelasting van Personenauto's) tax is payable by the first owner of a new car or motorcycle or one imported to the Netherlands from another country, in order to register the vehicle in their name. The vehicle must be approved for use in the Netherlands by the Vehicle Technology and Information Centre (Rijksdienst voor Wegverkeer or 'RDW'), which involves submitting the vehicle for testing to an approved RDW centre, along with relevant documentation including the registration certificate and a certificate of conformity to EU standards if necessary. Once received from the RDW, the BPM certificate of approval must be sent to the relevant section of the Tax Office which calculates the amount of tax payable, including the BPM as well as any VAT and import duties, and will issue the Dutch vehicle registration certificate (kentekenbewijs) once these are paid.

All owners of passenger cars, delivery vans with a maximum allowed loaded weight of 3,500 kg and motorcycles are also required to pay road tax on an ongoing basis, from the data of purchase or transfer of ownership of the vehicle. The bills are sent out automatically by the Central Office for Motor Vehicle Taxes and you can opt to pay either on an annual basis or by four three-monthly installments. The tax rates are determined by the type of vehicle, any modifications made to it, and the type of fuel used and vary by different provinces of the Netherlands. Additional taxes are payable for trailers whose maximum permitted weight is in excess of 750 kg, but not for static or collapsible caravans. A refund may be made if you sell the vehicle within a period for which the road tax has already been paid. If you are unable to use the vehicle for an extended period, for example if you are living temporarily in a different country, the road tax is still payable, but for periods of more than three months you can apply for a suspension of the registration certificate for a fee, during which time you will not be allowed to drive the vehicle and road tax will not be charged. The tax will become payable for the entire period if the suspension is ended within three months. If the vehicle is taken out of the Netherlands for good, you must notify the RDW or the customs authorities in order to have the Dutch registration certification terminated, and may receive a refund of road tax.

Insurance

It is illegal to drive without insurance - you can call any number of insurance companies who will insure you immediately until the forms and paperwork are organized. W.A. (Wettelijke Aansprakelijkheid) is the minimum legal requirement.

Additional insurances include:
Passenger insurance - Ongevallen Inzittendenverzekering - covers passengers irrespective of blame.
Motor vehicle legal assistance - Rechtsbijstandverzekering - covers the legal costs of an insurance claim.
Verkeers Rechtsbijstandverzekering - this covers legal costs for the driver + whole family for legal disputes involving all forms of transport (land, sea and air).

Useful contacts

Ministry of Traffic, Public Works and Water Management (Ministerie van Verkeer en Waterstaat)
Website: http://www.verkeerenwaterstaat.nl/

Centre for Vehicle Technology and Information (RDW)
Head Office, Zoetermeer
Europaweg 205
PO Box 777
2700 AT
Zoetermeer
Telephone: 0900-07 39
Email: info@rdw.nl
Website: http://www.rdw.nl/

Central Bureau Rijvaardigheidsbewijzen (CBR)
Website: http://www.cbr.nl/
Driving licence website: http://www.rijbewijs.nl/

Central Office for Motor Vehicle Taxes (Centraal Bureau Motorrijtuigen-belasting)
PO Box 9047, 7300 GJ Apeldoorn
Telephone: 0800 0749
Website: http://www.belastingdienst.nl/

The Royal Dutch Touring Club (ANWB)
PO Box 932000 BA The Hague
Wassenaarseweg 220, 2596 The Hague
Telephone: 0800 0503
Website: http://www.anwb.nl/