By far the majority of workers will have higher take-home pay in January because of lower taxes and pension premiums, social affairs minister Wouter Koolmees told parliament on Wednesday.

People claiming welfare benefits will also have more money at their disposal, the minister said.

2018 will be the fifth year in a row in which average spending power increases, Koolmees said in his briefing.

However, people with a private pension in addition to their AOW state pension will notice a small drop in income. This is because pension payouts are not being increased but the income-related health insurance payment has gone up, the minister said.

Nevertheless, three-quarters of pensioners will still have more to spend next year because of other income adjustments, the minister said.

Double income families with or without children will benefit most, as will single people on twice the average salary and single parents doing minimum wage jobs, Koolmees said.