The 30% ruling (the "expat scheme") is the single most valuable tax break for people recruited to the Netherlands from abroad: up to 30% of your salary paid tax-free. This guide covers who qualifies, the 2026 salary norms, what it is worth in euros — and the already-announced cut to 27% in 2027.
In short: The 30% ruling lets a Dutch employer pay up to 30% of a recruited expat’s salary tax-free for up to five years, provided the taxable salary after the allowance stays above €48,013 in 2026 (€36,497 for under-30s with a master’s degree). From 1 January 2027 the rate drops to 27%, except for rulings already applied before 2024.
Moving countries costs money — travel, housing, shipping, settling in. Instead of asking you to prove those "extraterritorial costs", the Dutch tax office (Belastingdienst) lets your employer pay you a flat allowance of up to 30% of your salary completely tax-free. The remaining 70% (or more) is taxed as normal Dutch Box 1 income.
The ruling runs for a maximum of five years, reduced by any earlier periods you lived or worked in the Netherlands. Your employer must agree to apply it — it is arranged in writing between you and the employer and approved by the Belastingdienst; it is not automatic, and it does not appear on your payslip unless the application is granted.
| 2026 salary norm (taxable salary after the allowance) | Amount |
|---|---|
| Standard norm | €48,013 |
| Under 30 with a qualifying master's degree | €36,497 |
| Salary cap for the allowance (WNT/Balkenende norm) | €262,000 |
| Maximum possible tax-free allowance (30% of the cap) | €78,600 / year |
Take a gross salary of €60,000 in 2026 (including holiday allowance, before any pension contribution):
That norm limit surprises many newcomers: at €60,000 you do not get a full 30% tax-free. Run your own salary through the calculator below to see your exact split.
The scheme is being trimmed. From 1 January 2027, the maximum tax-free percentage drops from 30% to 27% for rulings first applied from 2024 onwards. Employees whose ruling was already being applied before 1 January 2024 keep 30% for the rest of their ruling period. Higher salary norms also apply from 2027 to newer rulings (the exact indexed figures are published by the Belastingdienst each year).
Practical takeaways: if you are negotiating a move, the ruling percentage that applies to you depends on when your ruling starts — and a 2026 start locks in a better rate for 2026 itself. Employers also sometimes share the benefit through a "tax equalisation" clause in the contract, so check who actually pockets the saving in your offer letter.
No — it is a joint application by you and your employer, and the employer applies it through payroll. Agree it in writing, ideally before or just after you start; applying within four months of your start date preserves retroactive effect to day one.
Generally yes — the allowance is calculated on your total Dutch taxable salary including holiday allowance and most bonuses, subject to the salary cap of €262,000 (2026). Severance pay is excluded.
Probably not: the 150 km rule requires you to have lived more than 150 km from the Dutch border for at least 16 of the 24 months before starting, which excludes almost all of Belgium and much of western Germany.
If your ruling was first applied before 1 January 2024, you keep 30% for its remaining term. If it was applied from 2024 onwards, the maximum drops to 27% from 1 January 2027.