Netherlands · 2025
Netherlands Income tax calculator
Work out the Box 1 income tax and national insurance due on a taxable annual income in the Netherlands for the 2025 calendar year. Box 1 is the progressive schedule that covers employment income, pensions and the owner-occupied home. The result is the combined inkomstenbelasting plus premie volksverzekeringen, after the general tax credit (algemene heffingskorting). It assumes you are below AOW state-pension age.
| Taxable Box 1 income | € 45.000,00 |
| Tax + national insurance before credits | € 16.227,88 |
| General tax credit (algemene heffingskorting)Deducted from the tax due, not from income | € 2.016,44 |
| Income after tax | € 30.788,56 |
How it works
- Box 1 income is taxed in three brackets: 35.82% on the part up to EUR 38,441, 37.48% on the part from EUR 38,441 to EUR 76,817, and 49.50% on anything above EUR 76,817.
- The first bracket rate already contains national insurance (volksverzekeringen: AOW, Anw and Wlz), so those are not a separate deduction on top.
- The general tax credit (algemene heffingskorting) of up to EUR 3,068 is then subtracted. It is the full amount up to EUR 28,406 of income, then reduces by 6.337% of income above that, reaching zero at EUR 76,817.
- The labour tax credit (arbeidskorting) further reduces the tax for people with employment income, but it depends on labour income specifically and is not applied here.
Worked example
A taxable Box 1 income of EUR 50,000 in 2025, below AOW age is taxed at EUR 38,441 x 35.82% plus EUR 11,559 x 37.48%, giving EUR 18,101.88 of tax and national insurance before credits. The general tax credit at this income is EUR 1,699.59, so the income tax and national insurance due is EUR 16,402.29 (before any labour credit).
Frequently asked questions
Does this include national insurance contributions?+
Yes. The first bracket rate of 35.82% already includes the volksverzekeringen (AOW, Anw and Wlz). The figure shown is the combined income tax plus national insurance, not income tax alone.
Why is the labour tax credit (arbeidskorting) not applied?+
The labour tax credit depends on your labour income specifically and can be substantial for employees, which would reduce the amount due. This calculator takes a single taxable-income figure and applies only the universal general tax credit, so it suits pension or mixed income. For an employee take-home figure, use the salary calculator.
What if I am at or above AOW state-pension age?+
Then the 17.90% AOW premium is not levied, so the first-bracket rate drops to 17.92% and the bracket ceiling differs by birth year. This calculator assumes you are below AOW age and does not model the pensioner rates.
Is this Box 1 only?+
Yes. Box 2 (substantial shareholdings) and Box 3 (savings and investments) are taxed under separate schedules and are not included here.
Sources
- Table 1: Brackets for wage tax/national insurance contributions 2025 · Belastingdienst (Netherlands Tax Administration)
- Netherlands - Individual - Taxes on personal income · PwC Worldwide Tax Summaries
- The most important rates, amounts and percentages for 2025 · Belastingdienst (Netherlands Tax Administration)
Last updated: 2025-01-01 · Applies to 2025
This is an estimate for general guidance, not financial, tax, legal or medical advice. Figures can change and individual circumstances vary. Always confirm with the official sources listed before making decisions.
- Below AOW state-pension age. Combined income tax plus national insurance (volksverzekeringen).
- Applies the general tax credit (algemene heffingskorting) only. The labour tax credit (arbeidskorting) is not applied, so for employment income the actual amount due is lower.
- Takes taxable Box 1 income as the input; deductible items (such as mortgage interest) are assumed already removed. Excludes Box 2 and Box 3.
Reviewed by Vikas Dulgunde.