Service Costs Explained
Dear resident,
In addition to the base rent, your monthly rent statement also includes an amount for service costs. Many residents aren't entirely sure what this amount covers, how it is calculated, or what happens during the annual settlement. In this guide, To Be At takes you step by step through everything you need to know about service costs: what they are, how the advance payment and the annual settlement work, what rights you have, and where to go with questions or objections. At the end, you'll find an overview of the most frequently asked questions.
We hope this guide contributes to greater clarity and confidence. If you still have questions after reading it, we are happy to help you personally.
1. What exactly are service costs?
Service costs are the costs of services and facilities you receive in addition to simply living in your apartment. Think of things you don't use only for yourself, but share with the other residents of the building: cleaning the entrance, stairwells and corridors, maintenance of the lift, lighting in shared areas, the green roof garden or surrounding outdoor areas, and possibly items such as gas, water and electricity for shared installations.
The principle is simple: you contribute to the actual costs incurred to keep the building clean, safe, functional and pleasant to live in. To Be At does not make a profit on these costs. Dutch law (Article 7:259 of the Civil Code) requires landlords and managers to keep these costs reasonable and to fully account for them every year.
An important distinction to keep in mind:
Advance payment for service costs: the amount you pay in advance each month, as an estimate of the costs for the whole year.
Actual service costs: the costs actually incurred by the end of the year, based on invoices, contracts and consumption.
Annual settlement (jaarafrekening): the comparison between what you paid in advance (the advance payment) and what was actually spent. The difference is settled with you.
2. How is the monthly advance payment determined?
At the start of your tenancy agreement, or when it is adjusted, an estimate is made of the costs needed for the shared services in the building over the coming year. This estimate is based on:
costs from comparable previous years (historical consumption and cost data);
current contracts, for example with the cleaning company, the lift maintenance provider or the energy supplier;
expected price increases, such as collective labour agreement (CAO) wage indexation in the cleaning sector or indexation of energy tariffs;
the way these total costs are divided across all apartments in the building, usually based on floor area, number of rooms, or an equal share per unit (depending on what has been agreed in your tenancy agreement).
The advance payment you pay each month is therefore an estimate, not a fixed amount. Only after the end of the year does it become clear what the actual costs were — and that's what the annual settlement is for.
3. What is included in service costs?
Costs that may be charged as service costs must be reasonable, actually incurred, and relate to services from which you, as a resident, benefit. In a residential building such as yours, this typically includes:
Cleaning and maintenance of shared areas Regular cleaning of the entrance, corridors, stairwells, lifts, bicycle storage and any shared outdoor areas such as a roof garden. This is carried out according to a fixed cleaning schedule, with agreements on frequency and quality.
Lift and technical maintenance Periodic maintenance, inspections and any call-out services for the lifts and other technical installations that benefit the building as a whole.
Energy and water for shared areas Lighting in the lobby, corridors and parking garage, and any water or energy use for shared facilities (note: this is different from your personal energy bill for your own apartment).
Green space maintenance Upkeep of any green roof gardens, planting and outdoor areas.
Window and façade cleaning Periodic cleaning of the building's exterior glass, especially on the ground floor and first floor, where this is clearly visible to residents and passers-by.
Waste management Management of the waste storage area, including making sure containers for general waste, plastic/metal/drink cartons (PMD), paper and glass are put out on time.
Management costs A (limited) fee for the administrative handling of the service costs themselves, such as preparing the annual settlement. These costs are subject to a statutory maximum and must be itemised separately.
What is not included in service costs are costs related to the general maintenance of the building as a whole (such as major roof or foundation works) — these costs are for the account of the owner/landlord and may not be passed on to you.
4. How does the annual settlement work?
Once a year, To Be At prepares an annual settlement (jaarafrekening). This makes the following clear:
The total actual costs for the building over the past year, broken down by cost category (cleaning, lift, energy for shared areas, etc.), supported by invoices and contracts.
The allocation key: how these total costs are divided among all residents of the building (for example, based on floor area).
Your share of these actual costs.
The advance payments you made over the past year.
The difference between your share of the actual costs and the advance payments you made.
If you paid more in advance than your actual share, you will receive the difference back. If you paid less than your actual share, you will be asked to pay the difference.
When will you receive the annual settlement? By law, landlords and managers are required to send the annual settlement within six months of the end of the calendar year. The settlement for 2025 must therefore reach you by 30 June 2026 at the latest. To Be At aims to comfortably meet this deadline, so you have plenty of time to review the settlement.
Adjustment of the advance payment If it turns out that the actual costs are structurally higher or lower than the advance payments made, To Be At may decide to adjust the monthly advance payment for the current or coming year. This is always explained alongside the annual settlement, including a new budget and the calculation of the new advance amount, along with the date on which the adjustment takes effect. An adjustment to the advance payment therefore never happens "out of the blue" without justification.
5. Your rights as a resident
As a tenant, you have a number of important, legally protected rights when it comes to service costs:
The right to an annual, itemised settlement (Article 7:259 of the Dutch Civil Code). The settlement must clearly show, per cost category, what the costs were, how they were divided, and what this means for you.
The right to a reasonable amount, without any profit margin. The landlord or manager may not make a profit on service costs; only the actual costs incurred (plus a limited, statutorily capped management fee) may be charged.
The right to object. If you disagree with the settlement, you can first raise this in writing with To Be At, and if that doesn't lead to a resolution, refer the matter to the Huurcommissie (Rent Tribunal).
6. Disagree with your settlement? Here's how it works
Step 1 — Contact To Be At first Do you have doubts about an amount, a cost item you don't understand, or do you feel something isn't right? Feel free to send us a message (by phone or email) with your question or objection. Often, uncertainties can be resolved simply with extra explanation or by reviewing the underlying invoices, which you are always entitled to see.
Step 2 — The Huurcommissie If you and To Be At cannot reach an agreement, you can have the annual settlement reviewed by the Huurcommissie (Rent Tribunal). This is an independent body that assesses disputes about rent and service costs. The Huurcommissie:
investigates whether the level of the service costs is reasonable;
requests the underlying information and the tenancy agreement from the landlord/manager;
issues a binding ruling on the dispute.
A request to the Huurcommissie can be submitted up to two years after the deadline by which the settlement should have been sent. For the 2025 settlement (deadline 30 June 2026), you can therefore submit a request up to and including 30 June 2028. The fee for tenants is €25, and this amount is refunded if the Huurcommissie rules (partly) in your favour.
More information about your rights as a tenant can also be found on the website of the Rijksoverheid (Dutch central government) and the Woonbond, the national tenants' association.
Frequently Asked Questions (FAQ)
Why do I pay service costs if I don't use certain facilities, such as the roof garden? Service costs are charged for facilities that serve the building as a whole, even if you personally make little use of them. Just like other shared costs of a residential building (such as the entrance or stairwell), everyone indirectly benefits from a well-maintained, clean building — which also contributes to the value and liveability of your own home.
Is the landlord or manager allowed to make a profit on service costs? No. Service costs may only cover the costs actually incurred, possibly supplemented by a limited, statutorily capped management fee for administrative handling. If you're concerned this isn't the case, you're always entitled to inspect the underlying invoices.
I haven't received the annual settlement yet. What should I do? By law, you must receive the annual settlement within six months of the end of the calendar year (i.e. by 30 June at the latest for the previous year). If you haven't received it within that period, please contact To Be At. If a settlement is structurally not provided, the Huurcommissie can, as a last resort, determine a reasonable amount itself.
I have to pay extra — do I have to pay it all at once? An additional payment resulting from the annual settlement is in principle settled as a single amount.
Can my monthly advance payment just go up out of nowhere? No. An adjustment to the advance payment only happens based on the annual settlement and is always supported by a budget and the calculation of the new advance amount, including the date it takes effect. You will receive this explanation together with the settlement.
What's the difference between "base rent" and "service costs"? Does the Huurcommissie look at both? The base rent is the price for the use of your home itself; the service costs are a fee for additional services and facilities. The Huurcommissie assesses both, but through separate procedures: the reasonableness of the base rent is assessed separately from the reasonableness of the service costs.
Do I always get money back with the annual settlement? Not necessarily. Whether you receive money back or have to pay extra depends on whether the actual costs for the year were higher or lower than the total of your advance payments. Both situations occur and are not, by themselves, a sign that something is wrong.
How long do I have to object to a settlement? You have up to two years after the deadline for sending the settlement to submit a request to the Huurcommissie. For the 2025 settlement (deadline 30 June 2026), that means you have until 30 June 2028.
If you have any further questions about your service costs or the settlement after reading this guide, please don't hesitate to contact To Be At. We're happy to help.
To Be At