Dutch employee salary is taxed under Box 1. The calculator starts from gross salary, adjusts for holiday allowance and employee pension contribution, then calculates gross Box 1 tax across three brackets. That tax is then reduced by the general tax credit (algemene heffingskorting, AHK) and the labour tax credit (arbeidskorting, AK) — both income-dependent credits that materially reduce the tax bill at mid-range salaries.
In 2026 the first bracket rate is 35.37% on income up to €38,441. The second bracket applies 37.97% up to €76,817. Income above that is taxed at 49.50%. The AHK is worth up to €3,496 and phases out at higher incomes; the AK reaches up to €5,599 and phases out above approximately €44,000. Together they can cut the effective bill by up to €9,000 at typical employee salaries.
Holiday allowance (vakantiegeld) is a statutory minimum of 8% of gross salary, paid once a year, usually in May. Most Dutch salary advertisements quote the gross monthly salary excluding this allowance. If your salary is quoted excluding holiday allowance, select “Excluded — add 8%” and the calculator adds it to the gross annual base before tax.
An employee pension contribution has two simultaneous effects: it reduces the taxable wage (lowering the tax bill) but also reduces take-home pay directly because the money leaves the payslip. This is why simple salary tools that ignore pension often overstate real net pay. Enter your actual employee contribution percentage or a fixed annual amount for an accurate estimate.
In standard Dutch employment the employer pays the income-related health insurance levy (inkomensafhankelijke bijdrage Zorgverzekeringswet, Zvw) directly. This means most employees do not see a separate Zvw deduction on their net payslip. The “Standard” mode in this calculator reflects that: no employee-side Zvw deduction is applied.
A smaller group — including directors with a substantial interest (DGA), freelancers and some special arrangements — must pay the Zvw contribution themselves. For these cases, select “Special case” and the levy will be calculated at 5.65% of taxable income up to the applicable cap.
The most significant change from 2025 to 2026 is the reduction of the first bracket rate from 36.82% to 35.37% — a 1.45 percentage point cut. The maximum AHK rose from €3,362 to €3,496 and the maximum AK increased from €5,158 to €5,599. Together these changes mean most employees see a higher net salary in 2026 at the same gross salary, particularly those earning between €30,000 and €70,000.
2027 figures in this calculator are preview only, based on indicative parameters. They are not final and should not be used for payroll planning.
Use this calculator when evaluating a job offer to convert gross to net, when deciding how much to contribute to pension and quantify the tax saving, when comparing 2025 and 2026 take-home pay at your salary level, or when planning relocation to the Netherlands and estimating real purchasing power from a quoted salary.
For the 30% ruling — which allows qualifying internationally recruited employees to receive up to 30% of their salary tax-free — use the 30% Ruling Calculator instead.
Real payslips can differ because of CAO-specific pension rules and employer top-ups, bonuses and 13th month salary treated differently on payroll, lease car (bijtelling) adding to taxable wage, and payroll timing details. This calculator is a structured payroll-style estimate, not a payroll replacement.