What is Box 1 tax in the Netherlands?

Box 1 is the Dutch tax box for income from employment and home ownership. The rate includes both income tax and national insurance premiums (volksverzekeringen). The first bracket rate of 35.82% consists of approximately 9.32% income tax and 26.50% national insurance.

How does the 30% ruling affect my taxes?

With the 30% ruling, 30% of your salary is paid as a tax-free expense allowance. This means you only pay Box 1 tax on 70% of your salary, significantly reducing your effective tax rate. The benefit phases down: 30% for months 1-20, 20% for months 21-40, and 10% for months 41-60.

Why is my effective tax rate lower than the bracket rate?

Your effective tax rate is lower than the bracket rate because of tax credits. The general tax credit and employment credit together can reduce your tax by up to €7,000+ per year. Additionally, income is taxed progressively — only income above the first bracket threshold is taxed at 49.50%.

Updated March 2026

Dutch Salary & Tax Calculator 2026

Calculate your take-home pay after Dutch income tax, national insurance, and tax credits. Includes 30% ruling and fiscal partner toggle.

Gross Annual Salary (€)*

30% Ruling appliesTax on 70% of salary only

Fiscal partnerPartner with no/low income

2026 Dutch Tax Brackets (Box 1)

Income bracket	Combined rate	Includes
Up to €75,518	35.82%	9.32% tax + 26.50% national insurance
Above €75,518	49.50%	49.50% income tax only

General tax credit 2026

≤ €3,362

Phases out for income above €24,813. Reduces to €0 above €75,518.

Employment tax credit 2026

≤ €4,585

For employed persons. Phases in and then out with higher income.

Frequently Asked Questions

What are the Dutch income tax rates for 2026?▼

Box 1 has two brackets: 35.82% on income up to €75,518 (includes national insurance), and 49.50% above. The effective rate is lower due to tax credits — see the calculator breakdown.

What is included in the 35.82% first-bracket rate?▼

The 35.82% consists of ~9.32% income tax and ~26.50% national insurance premiums (volksverzekeringen: AOW pension, Anw survivor benefit, Wlz long-term care). Only the income tax portion applies to the second bracket.

How does the 30% ruling change my tax?▼

With the 30% ruling, you pay Box 1 tax on only 70% of your salary. A €90,000 salary is taxed as if it were €63,000, saving thousands per year.

What are Dutch tax credits?▼

Tax credits directly reduce your tax bill. The general tax credit (max ~€3,362) and employment credit (max ~€4,585) together can reduce annual tax by over €7,000.

Does the calculator include employee insurance?▼

No — employee insurance (WW unemployment, WIA disability) is generally paid by the employer, not deducted from your salary. Holiday allowance (8% vakantiegeld) is also not included — add 8% to your gross for a more complete picture.

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