{"id":21162,"date":"2025-09-11T11:25:29","date_gmt":"2025-09-11T15:25:29","guid":{"rendered":"https:\/\/www.celerypayroll.com\/?p=21162"},"modified":"2025-09-23T09:02:12","modified_gmt":"2025-09-23T13:02:12","slug":"overtime-wage-exemption-in-curacao","status":"publish","type":"post","link":"https:\/\/www.celerypayroll.com\/en\/blog\/general\/overtime-wage-exemption-in-curacao\/","title":{"rendered":"New law for Curacao: Overtime Wage Exemption"},"content":{"rendered":"

As of July 1, 2025<\/b><\/span>, the National Ordinance on the Promotion of Labor Participation of Youth and Young Adults<\/b><\/span> came into effect in Cura\u00e7ao. This law introduces several new payroll-related exemptions. In this article, we focus specifically on the Overtime Wage Exemption – <\/b><\/span>what it entails, who is eligible, and how you can correctly process it in Celery.<\/p>\n

What is the Overtime Wage Exemption?
\n<\/b><\/b>The Overtime Wage Exemption applies to all employees<\/span> (not just youth and young adults) who earn up to the SVB wage limit<\/span>. In 2025, this limit is XCG 84,396 per year or XCG 7,033 per month.<\/p>\n

For these employees, the first 10 overtime hours per week<\/span> may be paid tax-free, provided you have obtained a tax ruling<\/span> from the Tax Authorities.<\/p>\n

The 10-hour limit is derived from the Employment Regulations 2000<\/span> (in Dutch: Arbeidsregeling 2000<\/i>), which states that the maximum working week, including overtime, is 50 hours (40 regular hours + 10 overtime hours). Employers are legally required to pay overtime to these employees.<\/p>\n

How to Process the Exemption in Celery
\nTo accommodate this exemption in Celery, we have made the following changes:<\/p>\n

    \n
  1. \n

    Existing overtime wage codes<\/b><\/span> (starting with 3XX) now include the word taxed<\/i> in their description. Using these codes will apply wage tax and social security contributions as before.<\/p>\n<\/li>\n

  2. \n

    New overtime wage codes<\/b><\/span> (starting with 4XX) have been added, including the word untaxed<\/i> in their description.<\/p>\n<\/li>\n<\/ol>\n

    This ensures a clear distinction between taxable and tax-free overtime wages. When entering (or importing) periodic changes, you must select the correct overtime wage code.<\/p>\n

    Celery cannot automatically determine whether overtime is taxable or tax-free because:<\/p>\n