In this guide
💡 Looking for a complete banking comparison? Read Best banking for expats in the Netherlands 2026, which covers ABN, ING, Bunq, Wise, Revolut and 5 others by expat use case.
Quick Verdict: Which Country Is Cheaper?
Bottom line: there is no single answer. The largest cost, rent, depends more on the city and neighbourhood than on the country, so compare listings for the places you are actually considering.
What this page can document: the fixed rules that shape your costs. The Dutch 30% ruling can raise your net pay considerably for up to five years. German public health insurance is salary-based and covers family members without their own income, while in the Netherlands every adult pays a flat premium. Berlin offers free Kita childcare, while Dutch parents rely on kinderopvangtoeslag. Germany’s Deutschlandticket costs EUR 63 a month.
Our advice: if you qualify for the 30% ruling, include it in your comparison, because it can make a large difference in your first years. For a family with one earner, Germany’s family health insurance and free or low-cost childcare in some states weigh heavily.
Rent and Housing: The Biggest Cost Difference
Housing is usually the largest monthly cost in both countries, and prices differ strongly per city and neighbourhood. We do not publish rent ranges, because asking rents change quickly. Compare current listings for the exact neighbourhoods and home size you need.
Rules that affect what you pay
Netherlands:
- Whether the rent is regulated depends on the home’s points under the housing valuation system: homes up to 186 points fall under regulated rents, with a maximum rent in the mid-rent segment of €1,228.07 a month for contracts from 1 January 2026. Above that, the rent is not regulated.
- For rental contracts from 1 July 2023, the deposit (borg) may be at most two months’ basic rent.
Germany:
- The rental deposit (Mietkaution) is capped by law at three times one month’s rent, excluding service charges paid as a flat rate or advance (§ 551 BGB).
Buying a Home
If you plan to buy, compare the countries’ current tax rules carefully. In the Netherlands the owner-occupied rate of transfer tax is generally 2%; eligible buyers from the age of 18 up to the age of 35 can use the one-time startersvrijstelling when the home value is no more than €555,000 in 2026. Mortgage-interest relief also has conditions, and in 2026 the deduction rate is capped at 37.56%.
For a detailed look at Dutch rents and what to expect, see our renting guide for expats.
Groceries and Daily Expenses
Aldi and Lidl operate in both countries, and the Netherlands also has supermarkets such as Albert Heijn and Jumbo. We do not publish a grocery price table, because supermarket prices change weekly and differ per chain. The most reliable comparison is your own basket: put the same products in the online shop of a supermarket near each address you are considering.
The same applies to eating out and coffee: prices depend on the city and the venue, so compare locally.
Healthcare: Two Different Systems, Two Different Price Tags
The Netherlands: Flat Premium per Adult
Every resident must have Dutch basic health insurance (basisverzekering) with a private insurer. The 2026 numbers:
- Premium: on average €157 a month (€1,884 a year) per adult in 2026, according to the Rijksoverheid; premiums differ per insurer and policy
- Compulsory deductible (eigen risico): €385 a year
- Children under 18: no premium and no deductible
- GP visits: do not count towards the deductible
Two adults therefore pay two premiums; children are free.
Germany: Salary-Based Public Insurance
Germany has public (gesetzliche Krankenversicherung, GKV) and private (private Krankenversicherung, PKV) health insurance.
Public insurance (most employees), 2026:
- Rate: the general rate is 14.6% of gross salary, plus an additional contribution set by each fund; the average additional contribution in 2026 is 2.9%
- Split: employer and employee each pay half
- Income ceiling (Beitragsbemessungsgrenze): contributions are calculated on salary up to €69,750 a year (€5,812.50 a month)
- Family insurance: spouses and children without their own income can be co-insured at no extra contribution
- Long-term care insurance: a separate contribution on top of health insurance
Private insurance: employees with a salary above the compulsory insurance limit of €77,400 a year (2026) can choose private insurance, where premiums depend on age and health.
Cost Comparison by Salary
The German column below is the employee’s share of GKV health insurance at the general rate plus the average additional contribution: (14.6% + 2.9%) ÷ 2 = 8.75% of salary, up to the €69,750 ceiling. It excludes long-term care insurance. The Dutch column is the average 2026 premium of €157 × 12 = €1,884, excluding any deductible you use.
| Gross salary | Netherlands (average premium/year) | Germany GKV (employee share/year) |
|---|---|---|
| EUR 40,000 | EUR 1,884 | EUR 3,500 |
| EUR 55,000 | EUR 1,884 | EUR 4,812.50 |
| EUR 70,000 | EUR 1,884 | EUR 6,103.13 (ceiling reached) |
| EUR 90,000 | EUR 1,884 | EUR 6,103.13 (ceiling reached) |
For a single employee, the flat Dutch premium is lower at each of these salaries. The German model has one major advantage for families: a partner without their own income and children can be co-insured, while in the Netherlands each adult pays their own premium.
Transportation
Public Transport
Germany’s Deutschlandticket costs €63 a month from January 2026 and covers regional public transport nationwide: buses, trams, U-Bahn, S-Bahn and regional trains.
In the Netherlands you pay per trip with the OV-chipkaart or a bank card (OVpay), or buy a subscription from a transport operator such as NS or your city’s operator. Check the operator’s website for the fare of your regular route.
Cycling
The Netherlands has an extensive cycling network with separate cycle paths, and cycling is an everyday way to get around many Dutch cities. Check the cycle routes from your address to your work before you choose where to live.
Car Costs
In the Netherlands, buyers of a new car pay BPM (a purchase tax on passenger cars), and owners pay motorrijtuigenbelasting (road tax). Germany charges Kfz-Steuer on car ownership. Compare the full cost for the car you want, including insurance and parking in your city.
Taxes and Net Salary: Where the Real Comparison Happens
We have a full breakdown of the Dutch tax system for expats; here is the head-to-head on the rules.
Income Tax Rates (2026)
Netherlands (box 1, below state pension age):
- 35.75% up to €38,883
- 37.56% from €38,883 to €78,426
- 49.50% above €78,426
The Dutch rates in the first two brackets include the national insurance contributions (volksverzekeringen), and your tax is reduced by tax credits (heffingskortingen).
Germany:
- No income tax on taxable income up to the basic allowance (Grundfreibetrag) of €12,348 in 2026
- Progressive rates from 14% rising to 42%, with a top rate of 45% for the highest incomes
- Solidarity surcharge (Solidaritätszuschlag): 5.5% of the income tax, and only charged once your income tax exceeds €20,350 (€40,700 for joint assessment) (§ 3 and § 4 SolzG)
- Church tax, a surcharge on income tax (§ 51a EStG), if you are a registered member of a church that levies it
- Social security contributions (pension, unemployment, health and long-term care) come on top
The 30% Ruling: The Biggest Tax Advantage
Under the Dutch expat scheme (30% ruling), an employer can pay a qualifying incoming employee a tax-free allowance for extraterritorial costs:
- 2026: at most 30% of the salary including the allowance, for at most 5 years
- Salary norm 2026: the taxable salary excluding the allowance must be more than €48,013 (€36,497 for employees under 30 with a qualifying master’s degree)
- Maximum allowance 2026: €78,600, reached at a salary of €262,000 or more
- From 2027: the maximum drops to 27%
Example from the Belastingdienst: with a salary of €70,000 including the allowance, the tax-free allowance can be at most 30% × €70,000 = €21,000. The salary excluding the allowance is then €49,000, which is above the salary norm.
Net Salary: Run Your Own Numbers
A net salary comparison depends on tax credits, social contributions, church membership, health insurance and your household, so we do not publish a single net figure. Use our salary checker for the Dutch side, including the 30% ruling, and the official German wage tax calculator (Lohnsteuerrechner) of the Bundesfinanzministerium for the German side.
For a broader look at what expats earn in the Netherlands, check our salary guide.
Transferring Money Between Countries
Transfers in euros between a Dutch and a German account go through SEPA. If you also convert other currencies or send money to family outside the eurozone, compare the total cost, including the exchange rate, before you send.
Compare Wise’s transfer costs →
Wise shows its fee and exchange rate before you confirm a transfer. Our guide to opening a bank account in the Netherlands covers Wise alongside traditional Dutch banks.
Childcare and Education
If you have children, this category can make or break your budget.
Childcare Costs
Netherlands:
- Providers set their own hourly rates
- Kinderopvangtoeslag (childcare benefit) for parents who both work or study: in 2026 calculated up to a maximum hourly rate of €11.23 for daycare and €9.98 for after-school care (BSO)
- Households with a joint income up to €56,412 receive 96% of the cost up to those caps; the percentage falls as income rises, and anything above the cap is not subsidised
Germany:
- Kita fees are set by the states and municipalities
- Berlin: childcare in a Kita is free of charge; parents pay a meal contribution of €23 a month, and a Kita may charge optional extras of up to €100 a month (berlin.de)
For families in Berlin, free Kita childcare is a clear cost advantage over paying the Dutch parental share. For other German cities, check the local fee rules.
Schools
In the Netherlands public and bijzonder schools charge no tuition. The Netherlands has government-funded Dutch international schools and private international schools; see our school guide for families for fees and eligibility. For Germany, check the international schools in your target city.
Utilities and Energy
We do not publish a utilities price table, because energy, water, internet and mobile tariffs change and depend on your supplier and home. Compare offers for your address with your expected consumption. For the Netherlands, our energy contract switching guide explains the rules and the steps.
Quality of Life: Beyond the Numbers
Cost of living is only half the picture.
Work Culture
Both countries have legal rules on working hours and holidays. In the Netherlands, employees of employers with at least ten employees can ask to adjust their working hours, working times or workplace under the Flexible Working Act (Wet flexibel werken), after at least 26 weeks in service. Ask your future employer about working hours, part-time options and holidays, because these differ per employer and sector.
Language and Social Life
Everyday situations such as dealing with the authorities, seeing a doctor or joining a sports club are easier with some knowledge of the local language in either country. Consider the language question for your whole household, not only for your job.
For tips on settling into the Netherlands, see our guide to the best cities for expats.
Housing Setup
What is included in a rental home, such as a kitchen, flooring or light fittings, differs per home in both countries. Check the listing and the inventory before you sign, because buying a kitchen or flooring adds to your moving costs.
Overall Comparison: What to Put in Your Own Table
Build your own monthly comparison for the two cities you are considering:
| Category | What to use |
|---|---|
| Net salary | Your actual offers; Dutch salary checker (with or without the 30% ruling) and the German Lohnsteuerrechner |
| Rent | Current listings for the neighbourhood and home size you need |
| Groceries | The same basket in a supermarket near each address |
| Health insurance | Netherlands: premium per adult (on average €157 a month in 2026); Germany: 8.75% of salary up to the ceiling as the employee share at the average additional contribution |
| Transport | Deutschlandticket €63 a month; in the Netherlands the fare or subscription for your route |
| Childcare | Netherlands: provider rate minus kinderopvangtoeslag; Germany: the local Kita fees (free in Berlin, meal contribution €23) |
| Utilities | Offers for your address |
Add a partner or children to the calculation separately: in Germany a partner without income and children can be co-insured in the GKV, while in the Netherlands each adult pays a premium and children are free.
Which Country Is Better for Expats? The Editorial Assessment
The decision can be framed around these measurable trade-offs.
The Netherlands may fit better if:
- You qualify for the 30% ruling. Up to 30% of your salary tax-free in 2026 (27% from 2027), for at most 5 years, can make a large difference to your net pay.
- You are a single earner without dependants. The flat Dutch health insurance premium is lower than the German employee share at the salaries in the table above.
- Your employer and daily life run largely in English. Check this for your specific employer and city.
Germany may fit better if:
- You do not qualify for the 30% ruling. Then the comparison rests on salary, rent and the other costs alone.
- You have a partner without income or children. Family insurance in the GKV and free or low-cost Kita childcare in some states, such as Berlin, can save a lot.
- You travel by public transport across regions. The Deutschlandticket covers regional transport nationwide for €63 a month.
- You plan to stay long-term. The 30% ruling lasts at most 5 years, so compare your costs after it ends as well.
For a broader look at your finances as a new arrival, see our guide to the best bank accounts for expats and our full Netherlands cost of living breakdown.
Final Thoughts
If you qualify for the 30% ruling, include it in your comparison: for up to five years it can leave you with considerably more net pay in the Netherlands. If you are a family with one earner, German family health insurance and free or low-cost childcare in some states weigh heavily.
Start by running the numbers for your specific salary, family size and target city. And remember that the salary and tax setup you agree before signing the contract, including whether your employer applies the 30% ruling, can matter as much as the choice of country.
For more on building your financial life in the Netherlands, check out our complete guide to the Dutch tax system and the Netherlands vs UK comparison if you are weighing other options.
Frequently Asked Questions
Is the Netherlands more expensive than Germany?
It depends on the city, your household and your salary. Rent differs more between cities than between the two countries, so compare the specific cities you are considering. On the fixed costs this page can document, the differences run both ways, for example public transport (Germany's Deutschlandticket costs EUR 63 a month in 2026) and health insurance (a flat Dutch premium of on average EUR 157 a month per adult versus a salary-based German contribution).
How much is rent in Amsterdam vs Berlin in 2026?
We do not publish a rent range because asking rents change quickly and differ per neighbourhood. Compare current listings for the exact neighbourhoods and home size you need. In the Netherlands, check whether a home falls under the regulated rent rules: homes up to 186 points are regulated, with a maximum mid-rent of EUR 1,228.07 a month for contracts from 1 January 2026.
Is healthcare cheaper in Germany or the Netherlands?
It depends on your salary and household. In the Netherlands every adult pays a flat premium to an insurer (on average EUR 157 a month in 2026, according to the Rijksoverheid) plus a compulsory deductible of EUR 385; children under 18 pay no premium. In German public insurance (GKV) the contribution is a percentage of salary: the general rate is 14.6% plus an average additional contribution of 2.9% in 2026, split between employer and employee, up to an income ceiling of EUR 69,750 a year. Family members without their own income can be co-insured in the GKV. For a single higher earner the flat Dutch premium is usually lower than the German employee share; for a family with one earner the German model can work out cheaper.
Are groceries cheaper in Germany?
We do not publish a price comparison, because supermarket prices change weekly and differ per chain. Both countries have discount supermarkets (Aldi and Lidl operate in both). Compare the same basket in the supermarkets near the address you are considering.
Which country has higher salaries for expats?
Gross salaries depend on the role, sector and employer, so compare actual offers. Net pay differs because of the tax systems. In the Netherlands, an employer can pay qualifying incoming employees up to 30% of their salary tax-free under the expat scheme (30% ruling) in 2026, for at most 5 years; from 2027 the maximum drops to 27%.
Does the 30% ruling make the Netherlands cheaper than Germany?
It can make a large difference to net pay. In 2026 the employer can pay up to 30% of salary tax-free; on a salary of EUR 70,000 including the allowance, that is at most EUR 21,000, provided the salary excluding the allowance stays above the EUR 48,013 salary norm. The maximum tax-free allowance in 2026 is EUR 78,600, and from 2027 the percentage drops to 27%. Whether that outweighs differences in rent and other costs depends on your city and household, so run your own numbers.
Is childcare more expensive in the Netherlands or Germany?
In Berlin, childcare in a Kita is free of charge; parents pay a meal contribution of EUR 23 a month (berlin.de). Kita fees in other German states are set locally. In the Netherlands, providers set their own rates and parents who both work or study receive kinderopvangtoeslag: in 2026 up to 96% of the cost up to a maximum hourly rate of EUR 11.23 for daycare, for households with a joint income up to EUR 56,412, with the percentage falling as income rises.
Which country is better for expats who don't speak the local language?
There is no single measure. Compare how much English your employer, your city and the services you need use. For settling in the Netherlands, see our guides on integration and the best cities for expats.
Are energy costs higher in the Netherlands or Germany?
We do not publish an energy price comparison, because tariffs change and depend on your supplier, contract and home. Compare offers for your address with your expected consumption; our Dutch energy contract guide explains how to do that in the Netherlands.
Can I use Wise to transfer money between the Netherlands and Germany?
Transfers in euros between Dutch and German accounts go through SEPA, which your bank may already offer at no or low cost. Wise is useful if you convert other currencies (GBP, USD, INR) to euros or send money outside the eurozone; Wise shows its fee and exchange rate before you confirm a transfer.
Is public transport cheaper in Germany?
For frequent travellers it can be. Germany's Deutschlandticket costs EUR 63 a month in 2026 and covers regional public transport nationwide. In the Netherlands you pay per trip with the OV-chipkaart or OVpay, or take a subscription from a transport operator such as NS; check the operator's site for the fare of your route.
Which country has a better quality of life for expats?
There is no objective answer. The trade-offs on this page, such as the 30% ruling, family health insurance and childcare, plus your own priorities for language, work culture and housing, decide which fits better.
Are housing deposits higher in the Netherlands or Germany?
In the Netherlands, for rental contracts from 1 July 2023 the deposit (borg) may be at most two months' basic rent. In Germany, the law caps the rental deposit (Mietkaution) at three times one month's rent, excluding service charges paid as a flat rate or advance (§ 551 BGB).