30% Ruling Netherlands 2026: Salary Thresholds, Rules & 2027 Changes

By ExpatMoneyEU Research Team · Reviewed by the ExpatMoneyEU editorial team · Published 18 October 2026 · Updated 18 October 2026

The 30% ruling (30%-regeling) is the Netherlands' flagship tax break for highly skilled migrants — and one of the most valuable expat tax schemes in Europe. In simple terms: if you qualify, your employer may pay 30% of your gross salary as a tax-free allowance for the extraterritorial costs of working in the Netherlands. On a €70,000 salary, that's worth roughly €700–900 extra net per month.

The scheme is administered by the Belastingdienst (Dutch tax authority), applied for by your employer (not you directly), and the rules tighten almost every year. This guide covers the 2026 rules as published, plus the confirmed 2027 change. Tax thresholds below reflect the figures published for 2026 — confirm them against the Belastingdienst before making decisions.

2026 salary thresholds

Important nuance: the threshold applies to your taxable salary — i.e., the 70% portion after the ruling is applied. In practice, if your gross salary is €70,000, the taxable base is €49,000, which clears the €48,013 bar. Payroll providers run this calculation, but it's worth understanding so a borderline offer doesn't surprise you.

Eligibility checklist: do you qualify?

All of these must be true:

1. Recruited from abroad or transferred. You were hired from outside the Netherlands (or assigned by a foreign employer to a Dutch entity).
2. The 150km rule. For at least 16 of the 24 months before your Dutch employment started, you lived more than 150 kilometres from the Dutch border as the crow flies. Living in Brussels or Aachen doesn't count; living in most of Germany, France or the UK does.
3. Specific expertise. Your role requires expertise scarce on the Dutch labour market — in practice this is assessed via the salary threshold, not a separate skills test, for most employees.
4. Salary threshold met (€48,013 / €36,497 as above).
5. Valid employment. You work for a Dutch employer (or a foreign employer with Dutch payroll withholding) that is registered as a withholding agent.

Common disqualifiers: being hired while already living in the Netherlands (the 150km rule fails), starting work more than 4 months before the application, and salary packages structured so the taxable base dips under the threshold.

The 4-month rule: timing is everything

Your employer must file the 30% ruling application with the Belastingdienst within 4 months of your first working day in the Netherlands. File in time and the ruling applies retroactively from day one. File late and it applies only from the month after the application — the missed months are gone forever.

In practice: raise it with your employer before you sign, or at the latest in your first week. Good Dutch employers handle this routinely; smaller companies sometimes need a nudge. The Belastingdienst decision typically takes 8–16 weeks, and the benefit is applied via payroll once granted.

How much is it actually worth? A worked example

Take a €75,000 gross salary in 2026 (illustrative Dutch tax math — individual situations vary):

The ruling lasts a maximum of 5 years (reduced from 8 in 2019), minus any time already spent in the Netherlands. If you change employers, the ruling transfers — but the new employer must file a new application within 3 months, and you must still meet the conditions.

The 2027 change: from 30% to 27%

The Dutch government has confirmed the scheme will be scaled back: from 2027 it becomes a 27% ruling. The mechanics stay the same — tax-free allowance on the same salary base, same 150km rule, same thresholds (indexed) — but the allowance drops from 30% to 27% of salary.

What this means in practice:

• If your ruling is already granted, transitional rules have historically protected existing holders — but confirm your specific grant letter and watch the final legislation.
• If you're negotiating an offer for a 2026 start, getting the application filed under the 30% regime is worth real money versus starting in 2027.
• Salary-threshold math doesn't change — only the percentage.

Special cases worth knowing

• PhD graduates & young masters: the reduced €36,497 threshold is designed for you — but the degree must be assessed as equivalent to a Dutch WO master's if earned abroad.
• Part-time work: the salary threshold is not pro-rated. A part-time salary must still clear the full €48,013 bar.
• Freelancers / ZZP: the ruling applies to employees. Genuine freelancers don't qualify — though some use a payroll umbrella (payrolling) structure; get advice before relying on this.
• Partners: the ruling is per-employee. A working partner must qualify independently.
• Leaving the Netherlands: the ruling ends when Dutch employment ends. Short assignments abroad for the same employer are generally fine.

For the banking side of your Dutch move, see our best bank accounts in the Netherlands for expats, and for getting paid across borders our money transfer guide.

How the employer's application works

You can't apply yourself — your employer files with the Belastingdienst using your employment details, salary and start date. What you can do is make it frictionless:

1. Before signing: confirm in writing that the employer will apply for the 30% ruling and whether the benefit is passed to you in full (most employers do; some split it — negotiate this).
2. Week one: provide your passport, employment contract and proof of your previous foreign address (the 150km evidence).
3. Within 4 months: employer submits the application. Ask for confirmation it's filed — don't assume.
4. 8–16 weeks later: the Belastingdienst issues its decision; payroll applies the ruling retroactively to your start date if filed on time.

Bonuses, holiday pay and the 30% ruling

The 30% tax-free allowance applies to your total salary package — including holiday allowance (vakantiegeld), 13th month and bonuses — up to the €262,000 cap. That makes timing valuable: a signing bonus paid in your first Dutch year gets the 30% treatment too. Stock options and RSUs are more complex (vesting schedules interact with the ruling period), so get advice if equity is a big part of your package. And remember: the ruling covers employment income, not investment income — your Box 3 wealth tax position is unaffected.