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What happens when a student contract exceeds the maximum hours allowed on Salary.lu?

This article explains how to configure a school vacation student contract on Salary.lu, how the 346-hour annual limit applies, and how to manage the transition to a standard fixed-term contract (CDD) when the limit is approached.


Understanding the school vacation student contract


The 346-hour annual limit applies only to the school vacation student contract (contrat d'occupation pour élèves et étudiants pendant les vacances scolaires), a specific contract type valid exclusively during official school holidays. It does not apply to other types of employment contracts a student may have outside of vacation periods.


If your student is working outside of school vacation periods, a different contract type applies (either a CDD étudiant with a 15-hour weekly limit, or a standard CDD). The 346-hour rule does not apply in those cases.


Hour limits for school vacation contracts


Student vacation contracts in Luxembourg are limited to 2 months or 346 hours per calendar year (January 1 – December 31), even across multiple contracts or employers. The 346-hour cap is the binding limit.


How weekly hours affect the duration of work


The weekly working schedule determines over how many calendar months the 346 hours can be spread:


  • 40 hours per week (full-time): The student reaches 346 hours after about 2 months of work (≈ 8.65 weeks)
  • 20 hours per week (half-time): The student reaches 346 hours after about 4 months of work (4 × 86.5 hours = 346 hours)
  • Less than 20 hours per week: The 346 hours can be spread over an even longer period, as long as it remains within the same calendar year


The maximum daily working time is 8 hours, and the maximum weekly working time is 40 hours.


Salary.lu does not automatically prevent you from exceeding the 346-hour limit. You must monitor cumulative hours manually for each student to stay compliant.


When the 346-hour limit is approached


Before reaching the 346-hour limit, you must terminate the vacation contract and create a standard CDD if you wish to continue employing the student.


Step 1: Terminate the existing vacation contract


  1. Log in to your Salary.lu account
  2. Navigate to the employee's profile
  3. Go to the "Contracts" tab
  4. End the current vacation contract before the limit is exceeded


Step 2: Create a new standard CDD contract


  1. In the employee's profile, go to the "Contracts" tab
  2. Create a new fixed-term employment contract (CDD classique)
  3. Under "Employment type", select the standard CDD option (not "Student")
  4. Set appropriate start and end dates
  5. Configure the wage according to standard employment rates
  6. Click Update to save


The transition to a standard CDD must be completed before exceeding the 346-hour limit, not after.


Key differences when switching to a standard CDD


Working time

  • Outside school vacations, the standard CDD applies (no specific weekly cap from the student-contract regime)
  • During school holidays, working time can still go up to 40 hours per week


Contract terms

  • CDD contracts can be renewed more than twice within a maximum total duration of 5 years (60 months)
  • No automatic conversion to a permanent contract (CDI) even after 24 months


Wage and tax implications

  • The salary must not be lower than the social minimum wage, adjusted according to age
  • Income is subject to tax deducted at source — the student must provide a tax card
  • Standard social security contributions apply (health, pension, accident, dependency)


Impact on family benefits


Students who work more than 4 months in a school year may lose entitlement to family benefits if their gross monthly income equals or exceeds the social minimum wage during that period.

If switching to a standard CDD:


  • Report the change to the Caisse pour l'avenir des enfants (CAE / Zukunftskeess)
  • Provide copies of all payslips for the year
  • Family benefit payments may be suspended during active employment periods exceeding the threshold


Managing the transition on Salary.lu


Monitor hours regularly

  • Track cumulative hours throughout the year for each student
  • Plan contract transitions before the 346-hour limit is reached


Document the change

  • Generate final payslips for the vacation contract
  • Create proper documentation for the new CDD contract
  • Ensure the tax card is uploaded for the new contract


Coordinate with authorities

  • Verify compliance with ITM (Inspection du Travail et des Mines) regulations
  • Check family allowance implications with the CAE / Zukunftskeess


For specific situations or confirmation, contact the ITM directly, as they provide authoritative guidance on employment law compliance.

Updated on: 02/06/2026

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