How Dutch income tax works in 2026
Your salary is taxed in box 1 in three brackets. The first bracket combines income tax and national insurance. Two tax credits then lower the bill: the general tax credit (algemene heffingskorting), which shrinks as you earn more, and the labour tax credit (arbeidskorting), which rewards working.
| Taxable income | Rate |
|---|---|
| Up to €38,883 | 35.75% |
| €38,883 to €78,426 | 37.56% |
| Above €78,426 | 49.5% |
- General tax credit: up to €3,115, reduced by 6.4% of income above €29,736.
- Labour tax credit: up to €5,685, phased out between €45,592 and €132,920.
With the 30% ruling
If you were recruited from abroad and earn above the salary norm, your employer can pay 30% of your salary tax-free. The calculator applies the salary norm and the cap exactly as the Belastingdienst does. Check whether you qualify, and how many years you have left, with the 30% ruling checker.
Getting paid from abroad, or sending money home
Dutch banks charge a margin on currency conversion. Most expats use Wise to move salary between euros and their home currency at the real exchange rate.