Requirements
- Must be an American citizen
- Must have at least 4500 Euros (You must keep this investment for at least 4 years) to make a bank deposit
- You will also need up to another 2000 Euros for various legal fees
- Must be willing to open or have some existing company that you can create a Dutch branch for
- You don’t need a very innovative company, in fact, technically you don’t even need to submit a business plan
How to move to the Netherlands (Easily!) as an American
A little known trick available to many Americans is the Duth American Friendship Treaty. If you open a new business in the Netherlands with a minimum deposit of 4500 Euros you can obtain Dutch residency in just a few months. Dutch residency entitles you, your spouse, and any minor children to live, work, and go to school in the Netherlands. As an American you do not have to satisfy a 300 point test to prove your business is innovative or of interest to the Dutch economy or invest a more significant amount like people from other nations. Any simple online business or whatever else you can think of can satisfy this requirement.
Step-by-step guide to obtain legal residency in the Netherlands
- Go to the Netherlands
- Find a place to rent that will let you register with the Gemeente to receive your Dutch tax number (BSN or Burger Service Nummer)
- Make an appointment with the IND (Around 1300 Euros) and begin your application
- At this point you are allowed to stay up to six months while you wait for your application
- You should be allowed to work in the Netherlands (as self-employee) at this point, but you may wish to confirm while at the IND
- Submit the registration form from the IND to the Gemeente and get your Dutch tax number (BSN)
- Go online and make an appointment with the Dutch business registry, or KvK, to open your business. You will need:
- Passport, proof of address, 50 Euro Application fee, another 15 euro fee for an official extract to submit back to the IND
- Fill out the application online, if you are opening a Sole Proprietorship you can find the form here
- Write a business plan (Technically option under the Dutch-American Friendship Treaty, but still a good idea to have)
- Open a business bank account with any bank in the Netherlands and deposit 4500 Euros
- Obtain a balance sheet by a “certified bookkeeper” (between 100 and 500 Euros)
- Submit your paperback back to the IND either by mail or in-person
And then you’re officially a Dutch resident! Congratulations, you will now have full access to quality European medical and education services for you and your family.
The only downside to this approach, is obtaining Dutch residency will tie you into their complicated residency-based taxation system (See here). It is a good idea to consult a tax lawyer to determine your options. Depending on your financial situation you may still owe taxes back in America and then simply pay the difference to the Netherlands. It is also possible to count taxes paid to the Netherlands against taxes owed to the United States. However, again, I highly encourage you to consult a tax lawyer to determine what makes sense to you.