The Cost of Living in The Netherlands | International Citizens Group (2024)

Expats are flocking to the land of windmills and tulips, but how affordable is it to live there?

The Netherlands is home to one of the biggest economies in the world. Almost 95% of the population speaks English, and attractive amenities such as universal healthcare and high-speed public transportation have given the country’s citizens a high quality of life.

Many expats wonder if they can afford the cost of living in the Netherlands without breaking their budget. Fortunately, we’ve run the numbers to help you save time. So let’s explore what you can expect to pay for housing, groceries, transportation, and other everyday expenses.

Is the Netherlands Expensive?

If you’re a budget-conscious expat, one of your top priorities will likely be finding a country where you can live comfortably without worrying about your finances. If this is the case, the Netherlands might not be at the top of your list of places to consider. This is because it has the 26th-highest cost of living in the world.

However, for many foreigners, moving to a country that offers a better quality of life is just as important. If this is the case, then the land of windmills and tulips certainly delivers. Indeed, the country consistently ranks in the top 10% of the OECD Better Life Index. This rates nations based on their population’s general well-being, work-life balance, life satisfaction, and education.

Some expats feel that the higher cost of living in the Netherlands is worth the better quality of life. This is especially true given that it ranks as the fifth happiest country in the world in the 2024 World Happiness Report. A powerful local economy and lively job market help, too. As of 2024, the Netherlands’ $1.162 billion GDP puts it among the world’s top 20 economies.

Of course, a thriving economy doesn’t change the reality that it’s the 12th most expensive European country. Then again, prices in the Netherlands can feel like a bargain if you’re coming from Switzerland, Norway, Iceland, or another country with a notoriously high cost of living.

To get a better sense of affordability in the Netherlands, let’s take a look at how the country compares to the United States.

The Cost of Living in the Netherlands vs the U.S.

Sometimes, the only downside of a better quality of life is the higher cost of living that may come with it.

As mentioned, the Netherlands has the 26th-highest cost of living globally, based on data from Numbeo’s Cost of Living Index (CLI) in June 2024. The CLI explains how the cost of housing, groceries, transportation, and other key expenses differs from one country or city to the next.

According to the Index, the cost of living (including rent) in the U.S. is 16.3% higher than in the Netherlands. For example, the average rent price for a one-bedroom apartment outside of a Dutch city center is $1,300. This compares to $1,600 in the U.S. Meanwhile, a three-bedroom apartment located in a Dutch city center runs closer to $2,500. This is considerably lower than in the States, where it costs an average of $3,100.

Outside of the home, prices in the Netherlands are still cheaper than what you’ll find in the U.S. too. This is especially true when it comes to food. Dining at a Dutch restaurant is 10% less expensive than eating at a restaurant in America. Groceries are also 30% cheaper in the Netherlands.

That said, the local purchasing power in the U.S. is nearly 12% better than in the Netherlands. Therefore, if you’re relocating to the country from the States, you may discover you’re getting a little less bang for your buck at the cash register.

What Are the Most Expensive and Cheapest Places to Live in the Netherlands?

Every country has cities that cost more to live in than others. To help you find a Dutch city within your price point, here’s a roundup of the most affordable – as well as most expensive – places to live in the Netherlands.

The Most Expensive Cities in the Netherlands

While the following cities are popular with expats, they won’t be the right fit for every budget. However, you can compare each city’s CLI to New York City’s CLI of 100 to understand the relative difference in costs.

Haarlem

Haarlem is the capital of the country’s North Holland province and has the highest cost of living in the Netherlands at 70.3. Yet its charming, village-style city planning and colorful markets, cafes, museums, and green spaces can make the higher prices worth the trouble.

Families love Haarlem because crime and pollution are low. There are also several car-free neighborhoods and town squares, which is great news for those who prefer to travel by bicycle or on foot. Another benefit of living in the Netherlands’ most expensive city is that you’re less than 40 minutes from Amsterdam. This is thanks to excellent local public transit and highways.

Amsterdam

Amsterdam is the capital of the Netherlands and the “Bicycle Capital of the World.” Its cannabis culture, friendliness toward the LGBT community, and red-light district have turned it into an icon of progressive cities.

Digital nomads who work in business, finance, and IT will be pleased by the job opportunities here. Much to the delight of families and retirees, the standard of living is high. You will also discover green spaces around every corner. The only downside of this safe, open-minded city is that its CLI of 69.0 makes it the second-most expensive city (and housing market) in the Netherlands.

Maastricht

Maastricht is a vibrant cultural hub which is famous for hosting several major international festivals and events every year. A diverse population, top-tier entertainment options, and impressive 17th-century architecture make it a prime choice for creatives and young professionals who want to live in style.

This smaller city has a CLI of 66.9. The upside is that its amenities are just as excellent as what you’ll find in bigger metro centers. It’s also safe, walkable, and more affordable than Amsterdam and Haarlem.

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The Most Affordable Cities in the Netherlands

If the Netherlands’ most expensive cities exceed your budget, there are plenty of low-cost alternatives to choose from. Below are some of the more popular expat destinations to call home in the country.

Eindhoven

Eindhoven’s bustling tech center has transformed the city into the “Silicon Valley of Europe”. As a major Dutch city, it’s not only inexpensive (with a CLI of 62.7), but it also has some of the lowest rates of violent crime, hate crime, and property theft in the country.

For those who prefer arts and culture to tech, the trendy Strijp-S neighborhood is the place to be for nightlife, dining, and entertainment. There are fewer green spaces here than in other Dutch cities, but you’ll still find yourself surrounded by nature as soon as you step beyond the city limits.

Rotterdam

Rotterdam is one of the world’s gold standards for fast, excellent public transport and has a CLI of just 61.1. Its famous riverwalk and lush green spaces make it a pleasure to explore on foot. If you want to live without a car and feel safe walking around at night, then this is a great option.

Rotterdam is also known for its hip art scene, stellar fine dining, low unemployment rate, and swiftly growing job opportunities. And while the cost of living is higher than what you’ll find in Groningen or The Hague, it’s still cheaper than Maastricht, Amsterdam, or Haarlem.

Groningen

This small and easygoing city in the north of the Netherlands is a favorite among Dutch people. With a CLI of 60.7, Groningen is also ideal for budget-conscious expats who want a small-town experience while living in a city center. Convenient bike and pedestrian lanes make it easy to get around, wherever you need to go.

Low crime and child-friendly parks have also earned the city a reputation for being a safe, attractive destination for families. Rainy weather is more common in Groningen than in other Dutch cities in the south. However, the friendly locals and relaxed lifestyle more than make up for it.

The Hague

A popular cosmopolitan hub where English is a dominant language, The Hague is beloved by professionals and young families alike. This walkable city has a CLI of 59.5, which is the lowest of any city mentioned in this article. Its robust local economy has been attracting multinational corporations and investors for decades.

Green spaces, museums, and options for fine dining and entertainment abound. Meanwhile, the city’s affordable, upscale neighborhoods provide plenty of housing opportunities. What’s more, you’re only a short drive from the beach and breathtaking scenic attractions.

Read About: What to Know About Moving to the Netherlands

The Average Cost of Living in the Netherlands

Once you know what to expect to pay for everyday living expenses, it becomes much easier to budget for day-to-day life. Below, we compare the cost of housing, entertainment, food, transportation, education, and healthcare in the Netherlands’ most expensive city (Haarlem) versus its least expensive city (The Hague).

Housing Costs in the Netherlands

Housing is almost always the highest expense in a person’s budget. Compared to other EU countries, the Netherlands’ housing market is relatively pricey.

The chart below provides a snapshot of the average monthly expenses in Haarlem versus The Hague. This includes rent, utilities, and a mobile phone plan.

Food and Entertainment Costs in the Netherlands

Whether you prefer to cook at home or dine out, food costs add up. This table shows what you can expect to pay for food and entertainment in Haarlem and The Hague.

Going Out

Eating In

Transportation Costs in the Netherlands

Planning on leaving your car behind? Then you’re in luck because the Netherlands is known for its efficient, high-speed public transportation and well-maintained highways.

In the Randstad region’s major cities, such as Utrecht and Amsterdam, metro and light rail networks can be found everywhere. It’s easy to find a last-minute train to nearby countries such as Belgium, Germany, and France, too. In smaller cities, however, you will likely need to rely on buses and sometimes trams to get around.

Here’s what a single person can expect to pay on average for public transportation and vehicle ownership costs in the Netherlands.

The Cost of Education in the Netherlands

Dutch public primary and secondary schools are government-funded, but parents are expected to contribute a small sum that the school uses to purchase extra supplies.

It is worth noting that the Dutch government does not supplement preschools, full- or part-time kindergartens, private childcare, or international schools in the country.

Below is an overview of the average cost of educating a child in the Netherlands:

• Monthly cost of tuition at a full-time preschool or private kindergarten
  • Haarlem: $2,500
  • The Hague: $2,020
• Annual tuition fees for an international primary school
  • Haarlem: $6,000
  • The Hague: $8,700

Read About: How to Choose the Right International School

Healthcare Costs in the Netherlands

The Netherlands has a universal healthcare system which is managed by the government and supplemented by private insurers.

All residents are legally required to take out a basic health insurance plan with a provider of their choice. Notably, foreigners entering the country must also apply for basic health insurance within four months of arriving in the country, and failure to do so can result in hefty fines. They must also have a residence permit to apply.

All basic health insurance plans are regulated by the Dutch government and must cover standard medical services such as visits to the GP or emergency hospital care. However, many expats choose to take out private health plans that offer additional coverage for secondary treatment that a basic plan doesn’t cover, such as dental, vision, and hearing aids.

There are several private health insurance plans to choose from, including the following:

U.S. citizens planning on moving to the Netherlands can also apply for the following plan:

As you might expect, the premium you pay will vary depending on the insurance provider and the level of coverage you choose. Therefore, it’s important to do your research and select the right plan to suit your needs and budget. You can read more about this in our article on health insurance in the Netherlands.

Read More: Health Insurance in the Netherlands

Can You Afford to Make the Netherlands Your Next Home?

Whether you’re new to the expat lifestyle or an experienced international citizen, finding a country and city that suits your budget is key.

However, it’s important to make sure that your budget includes more factors than just the cost of living. For instance, you’ll also need to consider the exchange rate (the Netherlands uses the euro unit of currency), banking services and fees, and income tax liability.

The Netherlands uses its residents’ worldwide income to determine how much they owe in taxes. Personal income tax returns are divided into three separate tax schedules: employment income, taxable income for substantial interest, and taxable income from savings and investment. We recommend consulting an international tax accountant for the best advice.

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