30% Ruling Netherlands 2026: How Much Do You Actually Save?

The 30% ruling is the Netherlands' most famous tax perk for expats. It lets qualifying skilled migrants exclude 30% of their gross salary from income tax. But how much does that actually save you in 2026, after the recent changes? Let's break it down with real numbers.

What you actually save

At a typical tech salary of €70,000, the 30% ruling puts an extra €542 in your pocket every month — that's €6,500/year.

Who qualifies in 2026?

You must meet all of these criteria:

• Recruited from abroad — you must have been hired from outside the Netherlands, or transferred by your employer
• Minimum taxable salary of €48,013 in 2026 (or €36,490 if you're under 30 with a qualifying Dutch or equivalent master's degree)
• Lived 150+ km from the Dutch border for at least 16 of the 24 months before starting work in NL
• Specific expertise not readily available in the Dutch labor market (assessed by salary threshold)

What changed in 2024-2026

The ruling has been reduced from its original generosity:

• Duration capped at 5 years (was unlimited, then 8 years). Effective for new applications since 2024.
• Step-down introduced (2024): First 20 months: 30% exempt. Next 20 months: 20% exempt. Final 20 months: 10% exempt. This applies to new applications from January 2024.
• Existing holders who started before 2024 may still enjoy the full 30% for their remaining eligible period.

How the math works

Let's walk through a €70,000 gross salary:

1. 30% of €70,000 = €21,000 → this is your tax-free "extraterritorial costs" allowance
2. Taxable salary = €70,000 - €21,000 = €49,000
3. This €49,000 is taxed at standard Dutch rates (35.75% on first €38,883, then 37.56%)
4. Your total tax bill is roughly €17,400 instead of €23,900
5. Net gain: ~€6,500/year

Note: the minimum salary requirement (€48,013) is based on your taxable salary after the 30% exemption. So your gross salary must be at least €48,013 / 0.70 = €68,590 — unless you qualify for the reduced threshold.

Is the 30% ruling worth moving for?

Absolutely, if you're earning €60,000+. The savings are substantial and compound over 5 years. At €80,000 gross, you'll save approximately €39,000 over the full 5-year period (accounting for the step-down). That's a significant boost, especially in the first two years.

However, don't choose the Netherlands solely for the tax benefit. The Netherlands has excellent infrastructure, English is widely spoken, and quality of life is high — but housing costs are steep (especially in Amsterdam and Utrecht) and the weather won't win any awards.