Berlin vs Amsterdam: Cost of Living Comparison
Both cities are magnets for tech workers and international professionals — but Berlin and Amsterdam have very different costs of living and tax systems.
Berlin vs Amsterdam: a tale of two cities
Berlin and Amsterdam are two of Europe's most popular destinations for English-speaking expats and remote workers. Both have thriving tech and startup scenes, excellent public transport, and a high quality of life. But when it comes to how far your salary stretches, they are quite different propositions.
Berlin has long been considered one of the most affordable major European capitals. While rents have risen significantly over the past decade, they remain notably lower than Amsterdam. A 1-bedroom apartment in central Berlin typically costs around €1,200 per month, compared to €1,800 or more in Amsterdam's city centre.
Taxes: Germany vs the Netherlands
Both countries have progressive income tax systems, but the Netherlands is known for its steep marginal rates. However, the Dutch "30% ruling" can significantly reduce the tax burden for qualifying international workers for up to five years — something worth researching if you're relocating to Amsterdam from abroad.
Germany's tax system is similarly progressive. Effective rates depend on your specific income, filing status, and deductions. The figures in this calculator use simplified effective rates and should be treated as a rough guide.
Which city gives you more money left over?
For most salary ranges, Berlin comes out ahead of Amsterdam on monthly leftover income. The lower rent is the primary driver — even though the Dutch tax system can be offset by the 30% ruling, the base rent difference is significant. For a €60,000 salary, Berlin typically leaves you with several hundred euros more per month than Amsterdam.
Of course, salary levels differ between the two cities too. Amsterdam, particularly in finance and enterprise tech, often pays higher gross salaries, which can change the equation. Always compare the full picture: gross salary, effective tax, rent, and living costs together.
Living costs beyond rent
Day-to-day living costs — groceries, dining out, transport, leisure — are broadly similar in Berlin and Amsterdam, though Amsterdam tends to be slightly more expensive overall. Both cities have excellent public transport that makes car ownership unnecessary for most residents, keeping transport costs relatively low compared to cities in the US or Australia.