What Is the 30% Ruling? | DutchTaxGuide

Key Takeaways

The 30% ruling allows highly skilled migrants to receive up to 30% of their salary tax-free.
Since 2024, the ruling follows a 30/20/10 structure over 5 years (60 months total).
You must be recruited from abroad and meet minimum salary requirements.
The tax-free amount is capped at the WNT norm (€262,000 salary cap in 2026).
The ruling also allows you to opt for partial non-resident taxpayer status, which can exempt you from Box 2 and Box 3 tax on non-Dutch assets.

How the 30% Ruling Works

The 30% ruling (30%-regeling) is a Dutch tax benefit designed to attract highly skilled workers from abroad. It compensates for the extra costs of living in a foreign country (extraterritorial costs) such as:

Higher housing costs
Language courses
Travel to your home country
Cost of maintaining social connections abroad

Instead of requiring you to prove these actual costs, the government allows a blanket tax-free allowance of up to 30% of your employment salary.

Practical Example

Say your gross annual salary is €75,000:

Without the 30% ruling: Your entire salary is taxed as Box 1 income.
With the 30% ruling: €22,500 (30%) is paid tax-free. Only €52,500 is taxed.

The difference can be €5,000–€15,000+ per year in tax savings, depending on your salary.

Tip

Use our 30% Ruling Calculator to see exactly how much you would save based on your specific salary.

The 30/20/10 Transition

Since January 1, 2024, the 30% ruling has been restructured into three phases:

Phase	Duration	Tax-Free Percentage
Phase 1	First 20 months	30%
Phase 2	Next 20 months	20%
Phase 3	Final 20 months	10%

The total duration remains 60 months (5 years), but the benefit decreases over time.

Good to know

Transitional rules apply for people who already had the 30% ruling before January 1, 2024. These individuals may continue under the old rules (30% for the full duration) depending on when their ruling was granted.

The WNT Cap

The tax-free allowance is capped at the WNT norm (Wet Normering Topinkomens — the public sector salary cap). In 2026, this cap is €262,000.

This means:

Maximum 30% tax-free allowance: €78,600 per year (30% × €262,000)
If your salary exceeds €262,000, the excess above the cap is fully taxed

For most expats, this cap has no effect — it only impacts very high earners.

Minimum Salary Requirements

To qualify for the 30% ruling, you must earn at least:

Category	Minimum Taxable Salary (2026)
Standard	€46,107
Under 30 with qualifying master's degree	€35,048
Scientific researchers	No minimum

Warning

The minimum salary is your taxable salary, which means the salary BEFORE the 30% is deducted. If you earn €46,107 gross, your taxable salary after applying the 30% ruling would be €32,275 — but the threshold is checked against your pre-ruling salary.

Partial Non-Resident Taxpayer Status

One of the most valuable — and often overlooked — benefits of the 30% ruling is the option to be treated as a partial non-resident taxpayer (partieel buitenlands belastingplichtige).

This means:

Box 1: You are taxed normally as a Dutch resident (no difference).
Box 2: You are only taxed on Dutch substantial interests, not foreign ones.
Box 3: You are only taxed on Dutch real estate. Foreign bank accounts, investments, and other assets are exempt.

For expats with significant savings or investments abroad, this can save thousands of euros per year in Box 3 wealth tax.

Warning

The partial non-resident status is a separate election you make on your tax return. It is not automatic — you must actively choose it each year. Be aware that choosing partial non-resident status also means you cannot claim certain deductions available only to full residents.

How Long Does the Ruling Last?

The 30% ruling lasts a maximum of 60 months (5 years) from the start of your Dutch employment. The duration is not extended if you:

Change employers (though you can transfer the ruling to a new employer within 3 months)
Take a career break
Temporarily leave the Netherlands

Any time spent working in the Netherlands before the ruling was granted counts toward the 60-month period.

Who Is This For?

The 30% ruling is designed for:

Expats recruited from abroad to work for a Dutch employer
International transfers — employees moved to the Netherlands by their multinational
Knowledge migrants (kennismigranten) with specialized skills
Scientific researchers at Dutch research institutions or universities

It is NOT for:

Dutch nationals returning to the Netherlands (with some exceptions for those who lived abroad for 25+ years)
People who moved to the Netherlands on their own and then found a job
Self-employed workers (ZZP/freelancers) — unless through a BV structure

Common Mistakes

Not applying within 4 months — The application must be submitted within 4 months of your first working day for retroactive effect.
Forgetting partial non-resident status — This is a separate election and must be claimed on your tax return.
Not transferring when changing jobs — You have 3 months to transfer the ruling to a new employer.
Ignoring the 30/20/10 transition — Plan your finances knowing the benefit decreases.