Comment by vitus

> Saver: $1k salary is $500 take home pay (50% marginal tax of last bit of income). 0% interest rate at the bank. You pay a 2% effective wealth tax per year.

Wait, what? Under that tax regime, you might as well squirrel away that money under your mattress; you'd at least have the equivalent of $300 left after 40 years.

Apparently there was a ruling by the Dutch supreme court equivalent (the Hoge Raad) last year that if your actual return is lower than the notional return (assumed ~6%), then you're supposed to be taxed on your actual return.

https://www.belastingdienst.nl/wps/wcm/connect/en/income-in-...