How much income tax for ZZP

How to calculate your income tax as a self‑employed (ZZP)

1) Determine your turnover excluding VAT. This is everything you invoice to clients, without the VAT you remit.

2) Deduct your business expenses. Think of laptop, phone, workspace, insurance, travel expenses and marketing. The result is your profit before entrepreneurs’ deductions.

3) Check whether you are considered an entrepreneur for income tax and whether you meet the hours criterion. This determines whether you are entitled to entrepreneurs’ deductions such as the self‑employed deduction and the start‑up deduction.

4) Apply the self‑employed deduction if you meet the hours criterion. If you have just started and meet the conditions, you may also qualify for the start‑up deduction. These reduce your profit.

5) Deduct other entrepreneurs’ deductions where applicable, such as the co‑working partner deduction or the fiscal retirement reserve (if still relevant for your year) and investment allowance schemes such as KIA, MIA/Vamil or EIA.

6) Calculate the SME profit exemption (MKB‑winstvrijstelling). This is a percentage of your profit after entrepreneurs’ deductions. The exemption reduces your taxable profit in box 1.

7) You now arrive at your taxable profit in box 1. Apply the progressive income tax to this amount according to the current brackets and rates.

8) Deduct the tax credits from the calculated tax. The most important are the general tax credit and the labour tax credit; both depend on your income.

9) Calculate the Health Insurance Act (Zvw) contribution separately. As a self‑employed person you pay an income‑related premium on your profit (up to an annual maximum). This is separate from income tax but does affect how much you pay in total.

10) Take your personal situation into account. Think of mortgage interest deduction, partner income, other income (for example wages) or box 3 assets. These factors can increase or decrease your final tax burden.

Practical tip: Work with an annual forecast and set aside a percentage of your profit monthly for taxes and Zvw. This way you won’t face surprises with your provisional assessment for entrepreneurs.

Income tax rates and brackets

The Netherlands uses a progressive system in box 1. You pay a lower rate on the first income bracket and higher rates as your taxable income rises. The thresholds and percentages change almost every year. Different rates also apply once you have reached the state pension age (AOW).

In practice, this means part of your profit falls in the first bracket and the remainder (depending on your income) in higher brackets. Because the entrepreneurs’ deductions and the SME profit exemption reduce your taxable profit first, you generally pay less tax than if you were not an entrepreneur with the same revenue.

Note: rates and bracket thresholds differ per year (for example 2025 and 2026) and can change due to government policy. Always check the current figures or have your calculation reviewed by an adviser, especially if you expect large deviations in revenue or costs.

Frequently asked questions about how much income tax for ZZP

How much income tax do you pay as a self‑employed (ZZP)?

You pay income tax on your taxable profit after entrepreneurs’ deductions and the SME profit exemption. Because of the progressive system and your tax credits, this varies. Roughly count on 25 to 45 percent of your profit for income tax and Zvw combined, depending on your income level and deductions.

Is the first €30,000 tax‑free for self‑employed (ZZP)?

No. There is no fixed tax‑free amount for self‑employed people. However, the self‑employed deduction, any start‑up deduction, the SME profit exemption and tax credits reduce your final tax. With a low profit you may sometimes pay (almost) nothing, but that is due to deductions and credits, not a fixed exemption.

How much income tax with €50,000 profit?

That depends on your deductions and credits. Indicatively, you often end up between about 28 and 35 percent of profit for income tax plus Zvw combined. If you meet the hours criterion and qualify for entrepreneurs’ deductions, your effective percentage is usually at the lower end of that range.

What percentage should I set aside for tax as a self‑employed (ZZP)?

As a rule of thumb: with profit up to €30,000 about 25 to 30 percent, around €50,000 30 to 35 percent and from €80,000 38 to 45 percent. This includes Zvw and depends on your deductions. Set this aside monthly to avoid shortfalls.

When do you pay income tax as a self‑employed (ZZP)?

You file an income tax return annually for the previous year. Via a provisional assessment you can pay in advance monthly or quarterly. Final payment follows after the assessment; you can usually pay in instalments. The Zvw contribution is settled together with your income tax.

Let Profinancials calculate it for you

No appetite for guesswork? Profinancials takes care of your income tax return, VAT returns and bookkeeping in one all‑in package from €95 per month. You upload your receipts, we do the rest and give proactive advice. For self‑employed (ZZP) and sole proprietorships in the Eindhoven region and beyond. Contact us for a no‑obligation calculation and personal advice.

Would you like personal help with your profit calculation and deductions? Choose our bookkeeper for self‑employed (ZZP) or schedule an income tax advice session for a targeted calculation and optimisation. Do you have a complex situation or live in the region? Our tax advisor Eindhoven will be happy to help.