If it seems too good to be true, it probably Is

This is a difficult post to write, mostly because it is fraught with so much uncertainty.

We moved to the Netherlands for a 2 year adventure. We fell in love with the expat lifestyle, the adventure of living in a new country, befriending people from around the world, and traveling across the continent. When 2 years were coming to an end, we knew we wanted more. We bought a house with the expectation to stay another 3+ years. Big decision time was going to come after 8 years, when we would lose the "30% ruling" tax advantage which is given to "highly skilled migrants" who fill certain, needed roles in the Netherlands. At that point, Pete would start paying tax on his full paycheck (not just 70%), we would start paying tax on the kid's tuition and fees at ISA and our assets in America would start being taxed around 1.5% yearly. This financial hit would likely be the thing that would send us home. In our minds, 8 years was the perfect amount of time to be gone. Jude would be 8, Maeve 6, a good time to put down roots in a "forever" home. And God willing, America would be headed in a better direction (sensible gun laws, more compassion for immigrants, universal healthcare- a girl can dream).

The government that was voted in last year announced that they would be revisiting the 30% ruling, and while there were stirrings that the program might be shortened to 5 years, we felt safe that those of us who came with the promise of the ruling for 8 years (and 10 for those here before 2012) would have that promised honored. After all, that is what happened when the ruling went from 10 years to 8, people were grandfathered in.

So imagine our shock and sadness to learn on our second to last day in Sicily that the government has decided to shorten the duration of the 30% ruling to 5 years and NOT grandfather people in effective January 1, 2019.  This was announced prematurely to give people time to "prepare" as the law will not signed in until September.

Where does this leave us? The million dollar question. Or rather the 293 million dollar question (supposedly the amount of tax revenue the government will get by enacting this change). We are nearing the end of year 4 and are are not mentally prepared to move in 1 years time. Our kids were supposed to get free schooling until they were 6/8 and we were supposed to have 4 more years of this amazing lifestyle. I know what you are probably thinking, "would you like some cheese with that whine?" Yes, and make it French while you're at it. Or what I've been thinking since we moved here, if it seems too good to be true, it probably is.

This will be a financial hit that we're not sure we can take. When Maeve starts school in the fall, I planned to work more with the hopes of saving money again, but my earnings would just go towards making up the loss. And that is if I can work more as my remote job choices are limited and complicated by the time change.

Apart from thinking about the financial burden of this change, we are left with a feeling that we cannot trust the Dutch government. To have made a promise (albeit with the fine print- "this is subject to change") and then renege is so unfair and so un-Dutch. We have the growing feeling that we as expats are not really wanted in this country. That we are wanted for a short time to bring in money and expertise and then better if we go back to where we came from. A few weeks before this news, an article was published about expat kids flooding local schools and I was really offended by the tone of the article. I have always struggled with whether we should be called expats or immigrants and feel that more acutely now. I held the Dutch government in such a high regard and feel rather shattered by this.

Pete's school has been very proactive with this, informing us months ago that this could happen, working with lobbyists to try to change the retroactivity part of this. We have homework to do, calls with our tax people, our mortgage broker, HR. We need to find out the bottom line of what this will do to our finances so we can make a decision about our future.

While we have been wallowing in this news, we are not alone. There are apparently 60,000 expats here who this will affect. And this is a group of smart, "highly skilled migrants" from around the world. The government chose the wrong group of people to F with! In the days following the news, facebook groups were formed, petitions were created. A few amazing people have taken the lead with planning a strategy for those of us affected by this to take a stand. There are committees forming, money is being raised and I am feeling hopeful (because I can't stand the alternative). I feel energized being part of a grass roots movement for change (even if the movement is all about expats not wanting to get screwed out of millions of dollars).

That was long and that is all for now. Stay tuned for updates and please, if you feel this change is unfair and want to help, click here to sign the petition and spread the word!