How much tax do you pay as a freelancer in the Netherlands?

As a freelancer in the Netherlands, invoices come in gross: no employer withholds tax for you. So the money in your account is not all yours. How much goes to the tax authority depends on your profit, your deductions and VAT. Here is how it works, and how much to set aside.

Tax is calculated on profit, not turnover

Dutch income tax applies to your profit: turnover minus business costs. In 2026 there are three brackets in box 1: 35.70% up to € 38,883, 37.56% up to € 79,137 and 49.50% above that. You only pay each rate over the part of your income inside that bracket, and tax credits (heffingskortingen) lower the bill considerably, especially at modest profits.

Deductions come first

Two entrepreneur schemes reduce your taxable profit before the brackets apply:

• Zelfstandigenaftrek (self-employed deduction): € 1,200 in 2026, being phased down each year. It requires the 1,225 hours criterion. Starters get an extra € 2,123 (startersaftrek).
• Mkb-winstvrijstelling (SME profit exemption): 12.7% of the profit left after the entrepreneur deductions. No hours criterion, so nearly every freelancer gets this one.

On top of income tax you pay the income-dependent healthcare contribution (Zvw): 4.85% of your profit, capped at a base of € 79,409.

VAT was never yours

The 21% VAT on your invoices only passes through your account: you collect it for the tax authority and pay it back every quarterly return, minus the VAT on your own business costs. Never count VAT as income. See the guide on filing your VAT return.

Rule of thumb: set aside 30 to 40 percent of profit

The exact amount differs per situation, but many freelancers end up around 30 to 40 percent of profit for income tax and Zvw combined. Earning mostly in the top bracket? Aim for the high end. For a precise number, the free tax reserve calculator uses the actual 2026 brackets, deductions and credits.

Move that amount to a separate savings account right after each paid invoice, together with the VAT. For the full filing process, see the guide on income tax for freelancers.

How Finq helps

Finq tracks your profit all year: every invoice and expense feeds straight into the reports, and the quarterly VAT return is prepared for you. This is general information about the 2026 rules, not personal tax advice.