These changes will affect your budget. This is how the Norwegian wallet will change in 2026

Many of the modifications concern income taxes. Raising the tax-free allowance and the so-called basic tax deduction means lower tax for people with low and medium incomes. The social security contribution will also be reduced, resulting in higher net pay.

At the same time, tax rates for the highest income brackets will increase, affecting those earning over NOK 1 million per year. The deduction limit for individual retirement savings will also be raised.

Families with children will feel changes in tax deductions. The maximum deduction amount for one child has been reduced from NOK 25,000 to NOK 15,000. For each additional child, the deduction has been lowered from NOK 15,000 to NOK 10,000. An exception is provided for parents of children over 11 years of age who require special care.

According to the government, the change is related to previous reductions in the prices of nurseries, kindergartens, and after-school care. The effects of this decision will only be visible when filing taxes.

The changes will also affect the costs of energy, transport, and healthcare. The threshold price for energy eligible for state support will be raised, meaning higher bills during the most expensive hours.

The rules for VAT exemption on new electric cars will also change, making more expensive models about NOK 50,000 pricier. Co-payments for some healthcare services, reimbursed medicines, and care services will also increase.

The new regulations also change the rules regarding working age. The general age limit will be raised from 70 to 72 years, and many internal company limits will be abolished. The change does not impose an obligation to work longer, but more people will have the opportunity to do so.

In practice, this means more years of employment and further accrual of pension contributions. These changes will come into force along with other regulations at the beginning of 2026.