Managing workforce data in the Netherlands comes with distinct regulatory demands. When onboarding new hires or updating employee information, HR and payroll teams must capture specific Dutch compliance details—most notably payroll tax credit choices (Loonheffingskorting), expat tax status (30% Ruling), and commuting details for travel allowances (Reiskostenvergoeding).

Because standard global HCM platforms lack out-of-the-box fields for these specific Dutch requirements, organizations frequently rely on manual workarounds such as PDF forms, emails, and offline spreadsheets. This disjointed process creates administrative bottlenecks, introduces human error, and poses data security risks.

Streamlining Dutch Workforce Data with Configurable Local Fields

Configurable Local Fields (CLF), built natively on the Workday platform, embeds country-specific data collection directly into standard Workday business processes like Onboarding or Personal Information Changes.

Here is how CLF specifically addresses core payroll fields:

1. Payroll Tax Credit Selection (Loonheffingskorting)

• The Challenge: In the Netherlands, employees must state whether their employer should apply the payroll tax credit. Miscollecting this choice or effective date can result in incorrect tax withholding and payroll corrections.

• The CLF Solution: Present employees with controlled picklists and clear localized guidance during onboarding inside Workday. Employees indicate their choice directly in their Workday Inbox task, establishing an accurate, auditable baseline for payroll.

2. The 30% Expat Tax Facility (30%-regeling)

• The Challenge: Tracking eligible expat employees receiving the tax-free allowance facility requires distinct tracking in HR records. Handling this outside Workday disrupts global reporting and integration pipelines.

• The CLF Solution: Capture 30% Ruling status, start dates, and end dates directly in localized custom fields. Field visibility can even be dynamically controlled based on calculated worker criteria.

3. Commuting Distance & Transportation Mode (Reiskosten & Vervoersmiddel)

• The Challenge: Dutch tax rules allow for tax-free commuting allowances based on distance (in kilometers) and mode of transport (e.g., Bike, Car, Train). Collecting unstructured data leads to calculation errors in payroll engines.

• The CLF Solution: Utilize structured input fields—such as numerical distance entries paired with transportation picklists (Bike, Car, Train, Walk)—to collect exact commuting metrics at entry.

4. Multilingual & Native User Experience

• The Challenge: Dutch employees expect localized task pages in their native language.

• The CLF Solution: CLF dynamically adapts page headers, field labels, descriptions, and error messages into Dutch (or English) based on the logged-in user’s locale setting in Workday.

Direct PECI Integration to Local Payroll

Data collected via CLF is readily available in Workday Payroll Effective Change Interface (PECI) templates using Calculated Fields. Calculated Fields check that the Enter Local Fields business process is Successfully Completed before passing the data, ensuring incomplete or unapproved entries never reach your local  payroll provider.

Key Advantages:

• Zero Offline Data Chasing: Replace paper forms and emails with secure Workday Inbox tasks.

• Front-End Data Accuracy: Catch entry errors instantly using RegEx rules and picklists.

• Fully Auditable Security: Built on Workday Extend, every entry is cancellable, rescindable, and tracked in Workday's Business Process Framework.

• Rapid Time-to-Value: Deploy quickly inside your tenant with no external infrastructure dependencies.

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