New to the Netherlands or a longer-term resident looking to get your finances organised to make the most of your Dutch life? A little planning, a few local habits and some expert coaching will soon have you in the best financial shape.
The foundation of any fitness plan is the basics, so first of all you need to establish what your monthly costs are likely to be. Alongside your rent or mortgage repayments, you’ll have to pay for health insurance, council taxes, public transport, gas and electricity, and perhaps a gym membership.
“If you are financially fit, you are able to meet all your monthly and annual payments, save some money and live the life you would like to have at that moment,” says Ame Pots, a financial health coach with ABN Amro who helps expats make the most of their money.
What costs can you expect?
ABN Amro is hosting a free webinar on October 28 to explain how to get financially fit in the Netherlands.
You will have to pay for insurance. Health insurance, for example, will cost you upwards of €160 a month from next year, and you will have to pay the first €400 of insured treatment. You can cut the monthly premium by around €25 if you raise your voluntary deductible by €500, but that means you’ll need to increase your savings so you can pay if you do fall ill. If you want supplementary insurance, such as dental coverage or extra physiotherapy, you will pay more.
By the way, the six-week window for changing health insurer kicks off in mid-November, so now might be a good time to start shopping around for a better deal.
You’ll also have to pay your local authority for waste collection and the water board for water usage. How much you pay depends on the size of your home and how many people live there, but between €250 and €450 a year is the norm in most places. If you are a homeowner, you will pay slightly more. These bills often arrive at the same time of year, in the spring, so you’ll need to make sure you have enough savings to cover them as well.
“We rarely use credit cards, and this surprises a lot of people,” Ame says.
Some bills are monthly, others come once a year
If you live in rented accommodation, you may have to pay service costs, which can range from around €50 to over €250 a month if you live in a building with a lift and lots of amenities such as co-working spaces or a gym. The monthly service fee is an estimate, and you will get a final invoice once a year. Rents also go up once a year, usually in July, by a percentage set by the government. For 2027, the increase in the non-rent-controlled sector, where most expats live, will be 4.4%.
You can keep an eye on your gas and electricity bills if you have a smart meter. If you pay too little to cover your usage, you will be invoiced for the extra costs and your monthly payment is likely to increase. If you pay too much, you’ll get the difference back.
“All this means that you need to really plan out your spending over the year,” says ABN Amro expert Ame. “For example, if you have the 30% ruling, will you still be able to meet your payments when it ends in five years’ time?”
Once you understand the costs you face, create a budget that includes fixed spending, savings and fun stuff. Remember to adjust it if your financial situation changes.
Why is banking in the Netherlands different?
“It’s important to explain to new arrivals how the financial system works in the Netherlands, because it may be very different to back home,” says Ame. “For example, we rarely use credit cards, and this surprises a lot of people from countries where they use a credit card as part of their regular spending.”
You’ll need a Dutch bank account for your salary, your rent and pretty much everything else. The Netherlands runs on digital payments, with debit cards, internet payments and payment request apps dominating how the Dutch spend their money.
“If I ask people how much they spend on rent or groceries, they often give a round number – €100 or €200 – but in practice it is more than that,” says Ame. “Once you are aware of what is really happening in your finances, you will understand how much you can actually spend each month.”
How can you improve your financial fitness?
What to know more about how to stay financially fit in the Netherlands. Join ABN Amro’s free webinar on Wednesday, 28 October, 12:00–13:00 CET. Register now