30% Ruling Salary Criterion 2024

• The salary threshold for the 30% facility will increase to € 46,107 (from € 41,954 in 2023), starting January 1, 2024.
• For employees under 30 years of age with a qualifying Master’s degree, the new salary threshold will be € 35,048 (up from € 31,891 in 2023).

The amount mentioned are the taxable salary (after applying the 30% ruling tax free allowance)

The salary thresholds should be met continuously. This implies that if the salary criterion changes for the employee (e.g. to the annual increase or becoming 30 years, then the salary criterion should be reset in the payroll to meet the new criterion).

Tips to employers:

1. Please check out in in the December payroll whether the thresholds 2023 applicable are met.
2. The tax year 2024 is important since various news rules are introduced (a cap on the amount of the 30% ruling tax free allowance and a decrease on the 30% ruling tax free percentage). It will be a good moment to review whether the fixed tax free 30% ruling allowance should be applied or that the incurred Extraterritorial Costs should be reimbursed (in general this implies additional administrative burden).  We refer to our earlier alerts in this matter in detail to understand the rules and the transitional legislation.