Third of Netherlands residents plan to save annual holiday pay; 42% planning trips
With annual holiday pay arriving for workers across the Netherlands this month, roughly one-third of residents opt to keep the extra money in savings. Meanwhile, about 42 percent of consumers plan to use the statutory bonus for a vacation, making travel the largest single expense category.
Every year, the expectation of an extra month of salary on many people's bank accounts triggers businesses to offer promotions and discounts to entice employees and benefits recipients into spending when they have more available cash. But one in three people surveyed by ING Bank said they want to set the money aside.
"And that is actually not so surprising," said ING economist Marten Van Garderen, in an interview with NOS. Amid faltering consumer confidence, a third will save their cash, and others plan to pay off debts and expenses. "People are actually less willing to spend their money."
"Think carefully about what you can and want to do with your holiday allowance," said Karin Radstaak from budget institute Nibud. She recommends setting the deferred wages in a savings account or earmarked folder right away.
"Otherwise, it ends up in a big pile, and before you know it, you've used it to go grocery shopping," she told the broadcaster.
Still, the highest percentage of people will put their extra pay towards a vacation. And clothing retail chains will try to lure these groups by selling vacation outfits, in an attempt to cut through the noise of discounts and offers for home goods, appliances, furnishings, or car dealerships.
