Amongst all the cheer of the end of the year, it is also the time the IND and Belastingdienst publish their respective indexed salary norms for the next year. Below is an overview of the new salary criteria the IND will apply to immigration applications for Highly Skilled Migrants and EU Blue Card Holders in 2025 as well as of developments in the regulations surrounding the 30% ruling:
Salary criteria for highly skilled migrants
The IND raises the salary criteria for highly skilled migrants by a few percent every year. The following salary criteria apply for 2025:
Highly skilled migrant
- aged 30 or older: € 5,688
- under the age of 30: € 4,171
- reduced salary criterion HSM: € 2,989
European Blue Card
- regular: €5,688
- reduced salary criterion EBC: € 4,551
The above salary criteria are exclusive of holiday allowance; any 13th month and/or other allowances may only be taken into account if they have been contractually agreed upon and are paid out monthly to the employee’s bank account.
Regardless of the arrival and start date in the Netherlands, if an immigration application / extension is submitted in 2024, the current 2024 salary norms still apply.
30% ruling
One of the conditions to qualify for the 30% ruling is a ‘specific expertise’ in the form of a minimum annual salary in the Netherlands. With all the discussions around the 30% ruling and other tax regulations, the indexed salary norm for 2025 has not yet been made final. The preliminary salary thresholds for employment agreements with a start date in 2025 are :
- For employees aged 30 or older: €46,660 (up from €46,107 in 2024)
- For employees under the age of 30 with a master’s degree*: €35,468 (up from €35,048 in 2024)
- Moreover, the gross salary over which the 30% ruling can be applied is capped at €246,000 in 2025
The above gross annual salary includes contractually agreed holiday allowance, 13th month and/or bonus, but excludes the tax-free allowance.
* The Dutch Tax Authorities NUFFIC evaluate foreign diplomas to ensure they match the equivalent of a Dutch master’s degree. If a foreign diploma does not qualify, the 30% ruling may still be applicable, but the higher salary criterion will apply. A diploma evaluation by NUFFIC can be time consuming to obtain with a processing time of minimum 4-6 weeks. The fee for a credential evaluation is €149.
If the above salary is ultimately not achieved over the year, the 30% ruling is withdrawn for the entire year and will not be granted again. It is also important to keep an eye on the age of the employee. If an employee turns 30, the higher salary criterion mentioned above will apply from the month following the month in which the employee had his or her birthday.
Reversal 30/20/10 rule
Earlier, we informed you that, on Budget Day (or ‘Prinsjesdag’), the Dutch cabinet announced their plans for changes to the 30% ruling, consisting of several steps:
- The reductions introduced per 1 January 2024 gradually lowering the 30% to 20% and ultimately 10% will be revoked.
- The ruling will go back to (a maximum of) 30% for 2025 and 2026 without gradual reductions.
- Per 1 January 2027, the benefit will be reduced to (a maximum of) 27% during the whole validity period of the ruling.
- Transitional rules will be applied for employees who already applied the 30% ruling before 2024: the cabinet proposes that they will keep the 30% and the former salary norms (with annual indexation) for the whole validity period of their ruling.
Unfortunately, there is therefore still unclarity about the 2025 Tax Plan, so there is still no definitive news to be shared on the above. We will inform you as soon as these plans are made final or changed.
If you have any questions based on the above, please do not hesitate to contact us.
