Thinking of making the move to Amsterdam for work? The Dutch 30% ruling might just save you tens of thousands of euros over five years.
This tax break allows your employer to pay up to 30 percent of your gross salary completely free of income tax. If you’re a skilled professional earning €80,000 a year, that’s about €24,000 in untaxed income every year. Over five years, you could easily save more than €50,000.
The Dutch 30% ruling, or 30%-regeling, started decades ago to attract international talent. It’s still one of Europe’s most generous tax incentives, and Amsterdam expats use it a lot.
The rules have shifted lately, though. New salary thresholds and reductions are coming, so timing and paperwork now matter more than ever.
This guide will help you understand how the benefit works, who can actually get it, how to apply, and what changes you’ll need to watch for in 2026 and 2027.
How The Tax Break Works In Practice
The 30% ruling changes your payslip in a pretty big way. Your employer takes 30 percent of your agreed gross salary and pays it to you as a tax-free allowance.
That chunk is considered reimbursement for extraterritorial costs—basically, the extra expenses you face because you live and work outside your home country. Double housing costs, international school fees, moving expenses, flights back home—those sorts of things.
The remaining 70 percent of your salary gets taxed at normal Dutch rates, which can go up to 49.5 percent. Because the taxable base shrinks by nearly a third, your effective tax rate drops a lot. On a €100,000 salary, you only pay income tax on €70,000.
The savings add up quickly over five years.
Here’s something people often miss: the 30 percent comes out of your existing gross salary. Your employer doesn’t pay you extra on top. It’s just a restructuring of your pay, not a bonus.
Pension contributions also get calculated on the lower taxable amount. This might mean your retirement savings take a small hit. For most expats, though, the immediate tax savings are worth it—but it’s smart to talk this over with your employer before you sign anything.
Who Qualifies And Who Usually Misses Out
You have to meet all four conditions at once. Miss even one, and you’re out—no matter how good the rest of your application looks.
First, your employer must recruit you from abroad. The Belastingdienst says you need to get hired from outside the Netherlands or be transferred from a foreign branch.
If you already lived in the country and then found a job, you won’t qualify.
Second, you need to hit the minimum salary threshold. For 2026, your taxable salary (the 70 percent after the ruling) has to stay above about €46,107 for most workers. If you’re under 30 with a qualifying master’s degree, the bar drops to around €35,048.
These numbers change with inflation. If your salary dips below the threshold at any point, you lose the benefit.
Third, you need to have lived more than 150 kilometers from the Dutch border for at least 16 of the 24 months before your start date. Living in London or Paris is fine. Antwerp or a German border town? Not so much.
The Amsterdam Apartment Advice guide points out that the Belastingdienst checks your actual address, not your nationality.
Fourth, your application must land within four months of your first working day. Your employer is responsible for this, but if they miss it, you’re the one who loses out.
The most common reason people miss out? HR forgot or moved too slowly.
Partial non-resident tax status is another perk that comes with the ruling. You can opt to be taxed as a partial non-resident, which can shelter investments and savings in Box 2 and Box 3 from Dutch tax. A lot of people overlook this extra benefit.
How To Apply Without Losing Months Of Benefit
Your employer drives the whole application process. You just need to provide documents and keep an eye on the timeline.
Don’t assume HR knows all the deadlines. On your first working day, ask your employer if they plan to submit the request to the Dutch tax authority.
The official form is called the “Verzoek loonheffingen 30%-regeling.” Your employer submits it through the Belastingdienst’s online business portal.
You’ll need to hand over your signed employment contract, proof of where you lived before moving (things like rental contracts, utility bills, or foreign bank statements), and your diploma if you’re under 30 and applying for the lower salary threshold.
The hard deadline is four months from your start date. This isn’t a “maybe”—it’s strict.
The Dutch Supreme Court confirmed in 2016 that there are no exceptions, not even for personal hardship. If your employer submits the form late, you lose all retroactive benefit. The ruling only starts from the month the application arrives.
Processing usually takes 4 to 12 weeks. Once approved, the Belastingdienst sends a decision (a beschikking) to your employer.
Your payslip gets adjusted, and the tax-free split applies retroactively back to your start date—as long as the application was on time.
Here’s a tip: set a calendar reminder for week two of your new job and follow up with HR in writing. That email could literally be worth thousands.
Rule Changes, Limits, And Planning Ahead
The 30% ruling has been a moving target lately, and 2026 is a big transition year. If you’re making career moves based on this benefit, you’ll want to know what’s changing.
The biggest shift coming is a planned reduction from 30 percent to 27 percent in January 2027, as Grant Thornton explains.
For 2026, the full 30 percent still applies, so this year is a strategic window for expats thinking about moving. The minimum salary threshold keeps rising with inflation, so applying sooner protects you from future increases.
There’s also a cap called the “Balkenende norm.” If your gross salary goes above roughly €262,000 in 2026, the amount above that doesn’t get the tax exemption. This mostly affects senior execs and leaders in finance or tech.
Partial non-resident tax status, which shelters your worldwide savings and investments from Dutch taxes, is still available for now. Politicians have talked about changing or limiting this, so don’t assume it’ll always be around.
If you switch employers during your five-year window, you don’t get a reset. You keep whatever time is left, but you need to reapply with the new employer within three months of your new start date, as the Hoge Raad ruling states.
Plan your job changes carefully if you want to keep your tax savings.
Frequently Asked Questions
How do I qualify for the 30% ruling if I move to Amsterdam for work?
You need to get recruited from abroad by a Dutch employer, meet the minimum salary threshold, and have lived more than 150 km from the Dutch border for at least 16 of the 24 months before your start date.
Your employer also has to submit the application to the Belastingdienst within four months of your first working day.
What are the minimum salary requirements for the 30% ruling in 2026?
For 2026, your taxable salary (the 70 percent after the ruling) needs to be at least about €46,107. If you’re under 30 and have a qualifying master’s degree, the threshold drops to around €35,048.
These numbers are updated every year by the Belastingdienst.
How does the 150 km distance rule affect eligibility for the 30% ruling?
You must have lived more than 150 kilometers from the Dutch border for at least 16 of the 24 months before your job starts.
Cities like London, Paris, and Milan are fine. Border areas in Belgium and Germany usually don’t qualify.
The Belastingdienst checks your actual address, not your passport.
How long can I use the 30% ruling, and can it be extended or renewed?
The ruling lasts a maximum of five years from your first working day in the Netherlands. You can’t extend or renew it once your five years are up.
If you lived or worked in the Netherlands before, that time might get deducted from your total eligibility, as explained in this expat tax guide.
What changes to the 30% ruling apply in 2026 compared to previous years?
The full 30 percent tax-free allowance still applies in 2026. Starting in 2027, it’s expected to drop to 27 percent.
Salary thresholds have gone up a bit with inflation. The Balkenende cap limits the benefit for salaries above about €262,000.
How can I estimate my net salary with the 30% ruling using a calculator?
You’ll find plenty of online tools where you can plug in your gross salary and check how the 30% ruling affects your take-home pay.
The Payroll Calculator for the Netherlands is a handy pick.
Just enter your gross annual salary, select the 30% ruling option, and the tool spits out your estimated net income after Dutch taxes and social contributions.
