Norway Tax Changes 2027: What the Budget Bill Means for Your Pay
Lower national insurance, a bigger personal allowance and indexed bracket tax. Every 2027 figure below comes from the government's budget bill and is a draft until the Storting votes in December.
Headline change
Trygdeavgift on wages, 2027 budget bill
Norway 2026 vs 2027: key tax parameters
| Parameter | 2026 | 2027 | Status |
|---|---|---|---|
| Tax on ordinary income | 22% | 22% | Draft (unchanged) |
| Personfradrag (personal allowance) | NOK 114,540 | NOK 120,180 | Draft |
| Minstefradrag (standard deduction) on wages | 46%, max NOK 95,700 | 46%, max NOK 99,550 | Draft |
| Trinnskatt step 1 (1.7%) from | NOK 226,100 | NOK 235,150 | Draft |
| Trinnskatt step 2 (4.0%) from | NOK 318,300 | NOK 331,050 | Draft |
| Trinnskatt step 3 (13.7%) from | NOK 725,050 | NOK 754,050 | Draft |
| Trinnskatt step 4 (16.8%) from | NOK 980,100 | NOK 1,019,300 | Draft |
| Trinnskatt step 5 (17.8%) from | NOK 1,467,200 | NOK 1,525,900 | Draft |
| Trygdeavgift on wages | 7.6% | 7.4% | Draft |
| Trygdeavgift on self-employment income | 10.8% | 10.6% | Draft |
| Top marginal rate on wages | 47.4% | 47.2% | Draft |
| PSA flat rate on gross salary | 25% | 25% | Draft (unchanged) |
| PSA rate if exempt from national insurance | 17.4% | Not published | Pending |
| PSA income cap | NOK 725,050 | Not published | Pending |
| Wealth tax threshold, single | NOK 1.9m | NOK 1.99m | Draft |
2027: Prop. 1 LS (2026β2027). 2026: Skatteetaten. Trygdeavgift is not charged on income up to NOK 99,650 in either year.
Take-home pay: 2026 vs 2027
| Gross salary / year | Net 2026 | Net 2027 (draft) | Difference |
|---|---|---|---|
| NOK 500,000 | NOK 389,417 | NOK 392,952 | +NOK 3,535 |
| NOK 700,000 | NOK 522,217 | NOK 526,152 | +NOK 3,935 |
| NOK 750,000 | NOK 552,997 | NOK 559,452 | +NOK 6,455 |
| NOK 1,000,000 | NOK 694,130 | NOK 702,095 | +NOK 7,965 |
TaxRavens calculation: single employee, no children, standard deductions only (minstefradrag, personfradrag), same gross in both years; 2027 uses the draft parameters. The gain jumps at NOK 750,000 because the 13.7% step now starts above that salary.
Employees
Every wage earner gains
The personfradrag rises 4.9%, faster than the 4.0% wage growth used to index the other thresholds, and the trygdeavgift cut reaches every wage earner. The bracket tax only keeps pace with wages: the 13.7% step moves from NOK 725,050 to NOK 754,050.
With a 4% raise (NOK 700,000 β NOK 728,000), take-home pay grows by about NOK 22,583 a year under the draft rules.
Company car: the benefit becomes 20% of list price plus a fixed yearly amount, from NOK 16,200 for an EV to NOK 39,700 for petrol (draft; 2026: 30% up to NOK 370,300, 20% above).
Self-employed (ENK)
Trygdeavgift 10.8% β 10.6%
Trygdeavgift on business income falls to <strong>10.6%</strong> (draft), so the top marginal rate on business income drops from 50.6% to 50.4%. Profit is still taxed at 22% plus trinnskatt; there is no flat-rate regime for freelancers, and the minstefradrag does not apply to business income.
Expats and relocants: PSA vs ordinary tax
The 25% flat rate gets relatively more expensive
Under PSA (kildeskatt pΓ₯ lΓΈnn) you pay a flat 25% of gross salary with no deductions. It covers short stays (under 183 days in 12 months or 270 days in 36 months) and the first year of tax residence, up to an income cap (NOK 725,050 in 2026; the 2027 cap is not published yet). The budget bill keeps the rate at 25% (draft) while ordinary tax falls.
By our calculation, for a single person with no other deductions, ordinary tax averages 25% at about <strong>NOK 714,000</strong> in 2027, up from about NOK 668,000 in 2026. Below that, ordinary assessment is cheaper than PSA.
Example for 2027: at NOK 600,000, ordinary tax is about NOK 140,448 against NOK 150,000 under PSA, a gap of about NOK 9,550.
Mortgage interest, travel costs and other deductions widen the gap in favour of ordinary assessment, since PSA allows none.
What is still pending
FAQ
When will Norway's 2027 tax rates be final?
When the Storting adopts the tax decisions, normally between late November and mid-December 2026. Skatteetaten then publishes the final rates and withholding tables in December.
How much less tax will I pay in Norway in 2027?
At the same gross salary and under the draft rules: about NOK 3,535 a year at NOK 500,000, NOK 3,935 at NOK 700,000 and NOK 7,965 at NOK 1,000,000 (TaxRavens calculation, single employee, standard deductions only).
Is PSA (25% flat) still worth it in 2027?
Mostly for higher earners within the cap. By our calculation, ordinary tax for a single person without other deductions stays below 25% up to about NOK 714,000 in 2027.
What changes for self-employed people in Norway in 2027?
Trygdeavgift on business income falls from 10.8% to 10.6% (draft), on top of the general cuts: a higher personfradrag and indexed trinnskatt.
