--- title: Employer of record or entity: choose before someone... description: A sponsored explainer breaks down four ways companies can employ workers in Europe: independent contractor, contractor of record, employer of record, and a... canonical: https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Employer of record or entity: choose before someone chooses for you | daily.dev og:description: A sponsored explainer breaks down four ways companies can employ workers in Europe: independent contractor, contractor of record, employer of record, and a... og:url: https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl og:image: https://api.daily.dev/og/posts/UVvH6yFtl.png og:image:alt: Employer of record or entity: choose before someone chooses for you og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Employer of record or entity: choose before someone chooses for you **[The Next Web](https://daily.dev/sources/tnw)** · 7 min read · 0 upvotes · 0 comments ## Summary A sponsored explainer breaks down four ways companies can employ workers in Europe: independent contractor, contractor of record, employer of record, and a company's own local entity. It frames the choice around three questions—duration of the engagement, the actual nature of the working relationship, and visa/sponsorship needs—citing Dutch enforcement changes (a June 2026 law creating a presumption of employment below €38/hour) as the trigger for renewed scrutiny. It includes Deel's list pricing ($49/contractor for management, $325 for contractor of record, $599 for employer of record) and real Dutch entity costs (34.25%-38.25% employer on-costs, €82.25 KVK fee, 19%/25.8% corporate tax tiers), framing the decision as a risk tradeoff rather than a pure cost comparison. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### What did the Dutch senate change about employment presumption for contractors paid under €38 an hour? In June 2026 the Dutch senate passed a law creating a presumption of employment for anyone paid below €38 an hour, shifting the burden of proof onto the hiring company rather than the worker. This follows the Netherlands resuming enforcement of its false self-employment rules in 2025 and restoring penalties in 2026, making informal contractor arrangements riskier to maintain. _Companies restructuring Dutch contractor relationships can track enforcement changes like this via daily.dev._ ### How much does Deel charge for contractor management versus contractor of record versus employer of record services? Deel's list pricing runs $49 per contractor per month for contractor management, $325 per contractor per month for contractor of record, and $599 per employee per month for employer of record across 130-plus countries, all on month-to-month contracts. The price gaps roughly track what's being bought: classification liability transfer between the first two tiers, and full legal employment plus sponsorship capability at the top tier. _Teams comparing EOR pricing against in-house entity costs can follow this kind of framework on daily.dev._ ### What does it cost to set up and run a Dutch BV entity for hiring employees? A Dutch BV requires minimum share capital of just €0.01, a one-off KVK registration fee of €82.25, and a civil-law notary, with setup typically taking one to four weeks. Ongoing costs are the larger factor: corporate income tax at 19% up to €200,000 profit (25.8% above), VAT returns, annual accounts, seven years of records, and a payroll function plus Dutch employer on-costs of roughly 34.25-38.25% of salary. _Founders weighing entity setup against vendor fees can dig into cost breakdowns like this on daily.dev._ ## Similar posts on daily.dev - [Dutch contractor rules just changed, and the bill is backdated](https://daily.dev/posts/dutch-contractor-rules-just-changed-and-the-bill-is-backdated-l4fvaxd6x) · The Next Web · 0 upvotes · 0 comments - [Multiplier employer of record: hire in 150\+ countries](https://daily.dev/posts/multiplier-employer-of-record-hire-in-150-countries-8brsp6x8c) · The Next Web · 0 upvotes · 0 comments - [Founding a Company in Germany: €9,600, 152 Days, and I Still Can't Send an Invoice](https://daily.dev/posts/founding-a-company-in-germany-9-600-152-days-and-i-still-can-t-send-an-invoice-wb5ndviak) · RUBYLAND · 1 upvotes · 0 comments - [Deel vs Remote for Product Design Organizations](https://daily.dev/posts/deel-vs-remote-for-product-design-organizations-gsjg2lxj4) · UX Planet · 0 upvotes · 0 comments - [EU employment law 2026 moved the burden of proof to you](https://daily.dev/posts/eu-employment-law-2026-moved-the-burden-of-proof-to-you-xpsj4xdbc) · The Next Web · 0 upvotes · 0 comments --- Tags: [#compliance](https://daily.dev/tags/compliance), [#remote-work](https://daily.dev/tags/remote-work) [View this post on daily.dev](https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Employer of record or entity: choose before someone chooses for you","url":"https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl"},"datePublished":"2026-08-24T13:44:07.190Z","dateModified":"2026-09-13T20:47:03.438Z","description":"A sponsored explainer breaks down four ways companies can employ workers in Europe: independent contractor, contractor of record, employer of record, and a...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/b560897a42f077341043f361775a9789?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/b560897a42f077341043f361775a9789?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"The Next Web","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"The Next Web","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/tnw","url":"https://daily.dev/sources/tnw"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"compliance,remote-work","timeRequired":"PT7M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"The Next Web","item":"https://daily.dev/sources/tnw"},{"@type":"ListItem","position":3,"name":"Employer of record or entity: choose before someone chooses for you"}]} {"@context":"https://schema.org","@type":"FAQPage","@id":"https://daily.dev/posts/employer-of-record-or-entity-choose-before-someone-chooses-for-you-uvvh6yftl#faq","mainEntity":[{"@type":"Question","name":"What did the Dutch senate change about employment presumption for contractors paid under €38 an hour?","acceptedAnswer":{"@type":"Answer","text":"In June 2026 the Dutch senate passed a law creating a presumption of employment for anyone paid below €38 an hour, shifting the burden of proof onto the hiring company rather than the worker. This follows the Netherlands resuming enforcement of its false self-employment rules in 2025 and restoring penalties in 2026, making informal contractor arrangements riskier to maintain. Companies restructuring Dutch contractor relationships can track enforcement changes like this via daily.dev."}},{"@type":"Question","name":"How much does Deel charge for contractor management versus contractor of record versus employer of record services?","acceptedAnswer":{"@type":"Answer","text":"Deel's list pricing runs $49 per contractor per month for contractor management, $325 per contractor per month for contractor of record, and $599 per employee per month for employer of record across 130-plus countries, all on month-to-month contracts. The price gaps roughly track what's being bought: classification liability transfer between the first two tiers, and full legal employment plus sponsorship capability at the top tier. 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