What’s Life in the Netherlands Really Like? 

Life in the Netherlands? It's pretty great. The Dutch positioned themselves as the 6th happiest country in the world according to the Human Development Index. The Dutch enjoy a high standard of living, efficient public services, and an enviable work-life balance. But don’t be fooled—it’s not all tulips and canals.

With over 17 million residents, competition for accommodation is fierce, especially in cities like Amsterdam and Utrecht. The average rental price in Amsterdam is reaching €28 per m². And while Dutch society values directness, sustainability, and cycling, you’ll need to keep pace with a few local quirks to thrive.

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Public transportation in the Netherlands is extensive and reliable, but it’s the bicycle that truly rules the roads. With an astounding 22 million bikes—more than the total population—cycling isn’t just a means of getting around, it’s a way of life in the Netherlands.

The Perks of Living in the Netherlands: What Makes It Worthwhile?

Want to upgrade your lifestyle? The Netherlands offers smarter, faster living—you’ll wonder why you didn’t move sooner:

Expats benefit from high salaries (average €3,400), plenty of English-speaking job opportunities, and top global rankings in English proficiency. Add excellent infrastructure, efficient public transport, and bike lanes for days, and you’ve got a recipe for smoother living.

Did we mention the perks? Expats can tap into healthcare subsidies, housing allowances, and the famous 30% tax ruling.

(Fun fact: The Netherlands is home to a highly international community—over 14% of the population are expats!)

Average Cost of Living in the Netherlands: What Can You Expect to Pay?

Brace yourself. Living in the Netherlands comes with a cost:

In 2020, households spent €35,000 annually (€2,917/month), and for a single person, about €1400-€1800. Rent for a 1-bedroom city apartment is €1,200–€1,800. Utilities range from €150–€250, groceries €281–€474, and health insurance starts at €130

To save on groceries, hit up budget supermarkets like Lidl or Aldi. Check out weekly action folders for discounts, and grab near-expiry food at a fraction of the cost using apps like Too Good To Go.

Dutch Salaries and Taxes: What You Need to Know to Stay Ahead

Crunching your salary numbers? Calculating your gross to net salary in the Netherlands is simple when you know how. For example, if you're earning €2,800 gross per month on a 40-hour work week, here’s what you need to know:

(Quick tip: too lazy to calculate your net pay? Use this salary calculator for the Netherlands!)

1. Start with your gross salary: €2,800

Your gross salary is the amount before taxes and deductions, which for many people can be misleading without the right context.

2. Taxes and Social Contributions (Loonheffing)

The Dutch tax system uses progressive rates. For 2024:

• Income up to €73,031: taxed at 36.93%, which includes national insurance contributions.
• Income above €73,031: taxed at 49.50%.

For your gross salary of €2,800 (€33,600 annually), this entire amount falls into the 36.93% bracket, meaning you'll pay around €1,034 in taxes and social premiums per month.

3. Dutch tax Credits

Luckily, the Dutch system also offers tax credits that reduce the amount you owe:

• General tax credit (algemene heffingskorting): maximum €3,070 annually, approximately €256 per month.
• Labour tax credit (arbeidskorting): varies by income, for €33,600 annually this equals about €3,073 per year, or €256 per month.

These credits reduce your monthly tax burden by about €512.

4. Net Salary Calculation For The Netherlands

Now, let's sum it up:

• Gross salary: €2,800
• Tax and social contributions: €1,034
• Tax credits: €512

Thus, your net salary will be:
€2,800 - €1,034 + €512 = €2,278 per month.

5. Factors That Influence Your Net Salary in the Netherlands

While this is a basic calculation, other aspects can further adjust your net income, such as:

• Pension contributions: If your employer offers a pension plan, this could slightly lower your net salary.
• Health insurance: In the Netherlands, health insurance is mandatory, typically costing around €130 per month, although subsidies (zorgtoeslag) may be available depending on your income.
• Commuting allowances or other benefits from your employer.

Is Buying a Home in the Netherlands Within Reach? The mortgage process

Buying a home in the Netherlands is possible, even for expats, but it requires careful planning. You can finance up to 100% of the property value through a mortgage, but upfront costs like transfer tax (2%), notary fees, and appraisal reports must be covered by the buyer. Additionally, expats often benefit from mortgage interest tax deductions, which can lower the effective cost of the loan.

Are you going to buy your first house or have plans to move to the Netherlands? You can calculate the maximum amount you can borrow by using the mortgage calculator for expats.

The process typically starts by determining your borrowing capacity, followed by finding a property before finalizing mortgage terms. Key factors affecting mortgage rates include whether you choose a fixed or variable interest rate and the energy label of the house, which may lead to discounts.

Can I work in the Netherlands as a non EU citizen?

Yes, you can! As a non-EU citizen, you'll need a GVVA permit for jobs longer than 3 months or a TWV permit for shorter stays. Highly skilled migrants and specific roles like researchers benefit from streamlined applications. Employers must prove no suitable EU candidate is available and meet salary thresholds. Processing can take up to 90 days​

Official working hours in the Netherlands

In the Netherlands, standard working hours are 36 to 40 hours per week, with a daily maximum of 12 hours and up to 60 hours per week for short periods. Over 16 weeks, the average must not exceed 48 hours. After 5.5 hours, you’re entitled to a 30-minute break

How many working days are there in a year in the Netherlands?

In the Netherlands, there are typically 249 to 253 working days per year, depending on whether public holidays land on weekends. For example, 2023 had 251 working days. In the Netherlands, the standard workweek is five days. Full-time employees in the Netherlands get at least 20 days of paid leave annually.

Living in the Netherlands with a Residence Permit: The Essentials Explained

How long can you leave the Netherlands with a residence permit?

If you have a Dutch residence permit, you can leave the country for up to 6 consecutive months. Exceeding this can lead to losing your permit unless special conditions apply, such as being a highly skilled migrant, who can stay abroad for up to 8 months in a 12-month period​.

What are the limitations of a Dutch residence permit?

A Dutch residence permit requires you to maintain your main residency in the Netherlands. Being away for more than 6 consecutive months or 4 consecutive months annually over a 3-year period can lead to the permit's cancellation. Exceptions apply for specific permits, such as long-term EU residents​.

What happens if you overstay in the Netherlands?

Overstaying in the Netherlands can result in serious consequences, including a return decision and a possible entry ban. If your residence permit has expired, you may only stay for an additional 90 days if eligible for a short-stay visa. Otherwise, you must leave immediately​. 

Is Dutch Healthcare as Exceptional as They Say?

The Dutch healthcare system is considered one of the best in Europe, offering high-quality, accessible care. It’s built on a balance of market competition and government regulation, ensuring efficiency and universal coverage. Dutch healthcare consistently ranks high in terms of patient satisfaction and outcomes​.

How much does Dutch health insurance cost?

In 2024, the average cost of basic health insurance in the Netherlands is around €146 per month, totaling about €1,752 annually. This covers essential medical care like GP visits and hospital care. Additional coverage, like dental or physiotherapy, requires supplementary insurance​.

How does the Dutch healthcare system work?

The Dutch healthcare system requires all residents to have mandatory basic health insurance. This covers essential treatments like GP visits, hospital stays, and medication. Insurers must accept everyone, and premiums are standard for all ages. The government regulates care quality, and insurers negotiate care prices​.

Education in the Netherlands: Is It as Good as They Say?

Yes, Dutch education is highly regarded, consistently ranking in the top 10 globally. The system provides high-quality academic and vocational paths, serving over 80,000 international students annually. However, regional funding disparities can affect school quality. Despite this, Dutch universities excel with 9 institutions in the top 200 globally!

Discrimination in the Netherlands: The truth

Unfortunatly, about 40% of non-Western migrants in the Netherlands report facing discrimination, particularly in housing and employment. Efforts to combat this include anti-discrimination campaigns and stronger legal frameworks, yet gaps remain in enforcement and effectiveness.

Ready to start living in the Netherlands?

Finally, start your house hunt early to stay ahead of the competition! Don’t want to waste hours searching? Let Rent.nl do the work for you—get WhatsApp alerts within minutes when a new rental hits the market!

About Lieke - the Author

Lieke is in daily contact with tenants and landlords in the housing market sector. She regularly researches various issues that help Rent.nl’s clients navigate different aspects of the housing market. Kamer.nl has since become one of the largest providers of room rentals in the Netherlands. Do you have a question for Lieke? Feel free to reach out via the contact form!