The 30% Ruling in 2026: What South Africans Should Expect
Change Is Coming, But Opportunity Remains
The 30% ruling has long been a valuable financial advantage for South Africans moving to the Netherlands. From 1 January 2026, some important changes take effect. While these updates mean the scheme won’t be as generous as before, it’s still one of the strongest expat tax benefits in Europe — and with the right planning, South Africans can continue to benefit significantly.
📉 What Will Change in 2026
End of Partial Non-Resident Status
The partial non-resident tax status will be phased out in 2026. In practice, this means that South Africans with investments, retirement savings, or property abroad will need to declare them under Dutch tax law. Yes, this adds an extra layer of financial responsibility — but it also makes the tax system simpler and more transparent in the long run. (Source: Business.gov.nl)
📊 Looking Ahead: 2027 and Beyond
One confirmed change is that the allowance will shrink from 30% to 27% in 2027. That means slightly less take-home pay, but even at 27%, the benefit remains significant compared to other European countries. For example, many nations don’t offer any comparable tax break for incoming talent.
🤔 Possible Proposals Still in Play
The Dutch government has signalled other potential adjustments, though nothing is final yet. These include:
Raising salary thresholds – This could make it harder for younger or mid-level professionals to qualify.
Narrowing eligibility – Limiting the ruling to sectors with proven talent shortages. For South Africans in IT, engineering, and finance, this could work in your favour since these industries remain in demand.
These possibilities mean it’s important to stay informed and approach relocation with realistic expectations.
🌍 What It Means for South Africans in 2026
Moving to the Netherlands in 2026 will feel different compared to just a few years ago. The days of fully maximising the 30% ruling are over, but the system is still designed to support highly skilled migrants.
For South Africans, this means plan long-term: The upcoming 2027 reduction to 27% should be factored into your savings and financial goals.
✅ Practical Tips
Ask upfront what costs your employer will cover and get it in writing.
Consult a tax advisor before moving — especially if you have assets in South Africa.
Keep perspective: Even with the changes, the Netherlands still offers higher salaries and better job opportunities than many alternatives.
Stay informed: Follow updates from IND and Business.gov.nl.
Use the expat community: South Africans already in the Netherlands can provide first-hand advice on navigating these changes.
Conclusion: Less Generous, Still Valuable
The end of partial non-resident status will take some shine off the benefit. But it’s not all bad news: the ruling remains a meaningful financial advantage, and the Netherlands continues to actively seek skilled South Africans to fill critical roles.
By approaching the move with realistic expectations, solid financial planning, and good negotiation, South Africans can still make the most of this opportunity and build a rewarding career in the Netherlands.
