Section 4
Income & Taxation
Base weekly income comes from your chosen Tax Level. Level 5 is the default at 50,000 Currency per week. All amounts in this book are in “Currency,” your nation's own money as reflected in your NationStates stats.
Weekly income, Stability and War Support are applied together at the start of each week. Switching tax levels costs 1 action and takes effect the following week.
| Tax level | Weekly income | Stability (weekly) | War Support (weekly) |
| Level 1 | 10,000 | +5 | +4 |
| Level 2 | 20,000 | +4 | +3 |
| Level 3 | 30,000 | +3 | +2 |
| Level 4 | 40,000 | +2 | +1 |
| Level 5 (default) | 50,000 | 0 | 0 |
| Level 6 | 60,000 | −2 | −5 |
| Level 7 | 70,000 | −4 | −7 |
| Level 8 | 80,000 | −6 | −10 |
| Level 9 | 90,000 | −7 | −12 |
| Level 10 | 100,000 | −9 | −15 |
Vassals and territories
- Vassals pay 25% of their weekly income to their suzerain.
- Territories pay 50% of their weekly income to their suzerain.
Order of deductions within a turn
Weekly income is added at the start of the week. Daily deductions are removed each turn, mandatory costs before voluntary ones.
- Mandatory game costs: fort upkeep, ship and yard upkeep, colony administration, vassal transfers.
- WBO maintenance fees and interest.
- Loan amortization payments.
- Voluntary payments: donations, propaganda.
- Player-initiated withdrawals.
Debt, recession and depression
Daily costs can push your treasury below zero. The amount below zero is your debt. Debt triggers an event: your economy is in trouble, and things stop going well for you until you pay it off.
| State | Trigger | Daily effect | Event score |
| Recession | Treasury below zero | −2 Stability and −2 War Support every day | +10 Negative Score |
| Depression | Debt larger than 2 weeks of your income | −5 Stability and −5 War Support every day | +25 Negative Score |
- The Stability and War Support losses repeat every day until the debt is cleared. Nothing stops them but paying.
- A recession ends the day the treasury is back at zero or above. A depression drops back to a recession once the debt is under 2 weeks of income.
- You must do whatever it takes to get out of debt. Raise taxes, cut spending, sell goods, or borrow.
- You may borrow from other players on any terms you both agree to. You may also take a WBO loan, but only if you hold enough banked balance as collateral (Section 7).
Daily costs stay under weekly income, so debt only appears through poor planning, war or a lost income source. It is meant to punish careless balancing. The thresholds above are the default. The GM may adjust them.
Section 6
The Ceiling, the Bank & Colonies
Every nation has an Economic Ceiling, the largest treasury its economy can hold before idle money stops being productive. The ceiling is not fixed, and you can raise it.
The Economic Ceiling and Stagnation
Your ceiling is set by the GM at game start from your NationStates stats and updated weekly. It rises as your nation develops, as you buy the National Bank, and as you expand your colonial holdings.
When your treasury exceeds your ceiling, Stagnation triggers:
- Income growth slows by a GM-set percentage based on the size and duration of the overflow.
- Project build times lengthen and fort build costs rise slightly.
- Upkeep and import costs rise modestly.
Stagnation is a penalty for hoarding, not a redistribution. Spend, deposit into the WBO, or invest before it hits.
The National Bank
Your NationStates stats are not the only path to a higher ceiling. The National Bank levels the field for newer or smaller nations.
| Cost | 600,000 Currency, one time, non-refundable. |
| Effect | Permanently adds 25% of your ceiling at the time of purchase. The bonus is a fixed flat amount and does not compound. |
| Limits | One purchase per nation. Applies immediately. Only sovereign nations may buy it. |
Ceiling at purchase: 400,000. Bank bonus: 400,000 × 0.25 = +100,000, permanently. New ceiling: 500,000.
Later your stats rise and your base ceiling becomes 480,000. Your total is 480,000 + 100,000 = 580,000. The bonus stays at 100,000.
Colonies
Colonies raise your ceiling continuously for as long as you hold and administer them, at the cost of upkeep and political risk. Colonisation needs a military presence and money. You cannot simply declare territory colonial.
- The territory must be unclaimed land, land won with war LETs, or land beyond your starting borders granted by moderator adjudication.
- Pay a one-time Colonisation Fee of 200,000 per colony.
- Declaring a colony costs 1 action. It becomes active the following turn.
Ceiling bonus
| Colony size | Bonus per km² | Example |
| First 10,000 km² | +3 | 10,000 km² = +30,000 ceiling |
| Beyond 10,000 km² | +1 | 50,000 km² = 30,000 + 40,000 = +70,000 ceiling |
Administration upkeep
500 per day for the first 10,000 km², plus 200 per day for each additional 10,000 km² or part of one.
| Colony size | Ceiling bonus | Daily upkeep | Weekly upkeep |
| 10,000 km² | +30,000 | 500 | 3,500 |
| 25,000 km² | +45,000 | 900 | 6,300 |
| 50,000 km² | +70,000 | 1,300 | 9,100 |
| 100,000 km² | +120,000 | 2,300 | 16,100 |
Colonial income
All income from colony-sourced resources takes a 0.85× Colonial Efficiency Modifier, applied after all trade route calculations. Colony trade income equals standard trade route income × 0.85.
Political status
Autonomy depends on distance and control. Colonies are usually overseas, far from the suzerain, so they run with more freedom. Territories are usually close to home and sit under tighter control. Vassals are subjugated players or states that keep their own government.
| Status | Autonomy | Tribute to suzerain | Notes |
| Vassal | Highest | 25% of weekly income | Ceiling bonus no longer applies. Standard vassal rules. |
| Colony | High (usually overseas) | None | Full ceiling bonus. Administration upkeep. Colonial modifier applies. |
| Territory | Lowest (usually nearby) | 50% of weekly income | Ceiling bonus still applies. Reduced administration burden. The only status that can be incorporated. |
Liberty Desire
- Raising vassal taxes or prolonged neglect increases Liberty Desire.
- Donations reduce it by 1 per 5,000 Currency spent.
- Above 70 it can trigger revolts, independence requests or territorial collapse at moderator discretion.
- Mitigations: donations, puppet treaties and embedded advisers (Section 19).
- Liberty Desire must reach 0 before a Territory can be incorporated (see Incorporation below).
Revolts and independence
Liberty Desire is a number from 0 to 100. The higher it climbs, the more openly a subject pushes back.
| Liberty Desire | State | Effect |
| 0 to 29 | Loyal | No penalty. Incorporation becomes possible at 0 for a Territory. |
| 30 to 49 | Restless | Tribute is delivered late. −5% of the subject's income to the suzerain. |
| 50 to 69 | Defiant | The subject may ignore one suzerain order per week. The suzerain's Stability loses 3 per week while an order is ignored. |
| 70 to 89 | Revolt risk | Each week the GM rolls a d100. A roll at or under the Liberty Desire is an uprising. |
| 90 and above | Breaking point | An uprising happens automatically and the subject may declare independence. |
- Uprising. The subject's Stability falls by 15, its garrison is treated as hostile, and the suzerain must answer with force (Section 15) or concessions (donations, lower taxes).
- Declaration. A player subject posts a declaration of independence. The suzerain has one turn to accept, refuse or negotiate. A non-player region is run by the GM.
- War of independence. If refused, the revolt is a war. The subject fights with its own levies, and the suzerain may not use the Territory's own garrison against it. Other nations may join either side under their treaties (Section 24).
- Outcome. If the subject wins, or the suzerain agrees, the subject becomes independent: Liberty Desire resets to 0, all tribute ends and the land leaves the suzerain's Area. If the suzerain wins, the subject stays and its Liberty Desire drops by 20, but its Stability stays low until events and infrastructure repair it.
Playing as a vassal, colony or territory
A player subject stays a full player. It keeps its own treasury, actions and RP, and it keeps its government and ideology.
- Orders. The suzerain may issue one binding order per week. It must be reasonable for the status: a Vassal can refuse an order that threatens its survival, a Territory cannot refuse. Refusing raises Liberty Desire by 5.
- Wars. A subject may not declare war on its own. If the suzerain goes to war, a Territory joins automatically, a Colony joins at the suzerain's call, and a Vassal may choose, at the cost of −5 Liberty Desire if it joins willingly and +10 if it is forced.
- Treaties. A Vassal may sign treaties with third parties only with the suzerain's consent. A Colony or Territory may not sign any.
- Tribute. Paid weekly according to the status table above. Falling behind raises Liberty Desire by 5 per missed week.
- Regaining independence. By revolt as above, by agreement with the suzerain, by a Global Treaty (Section 25), or by being freed at a peace table (Section 20).
- Covert action. A subject may run covert operations against its own suzerain (Section 19). Discovery counts as an uprising.
Incorporation
Incorporation is full annexation. A suzerain cannot simply swallow a subject. The subject must first be brought down to Territory status, its Liberty Desire must be driven to nothing, and its people must then agree in a vote.
- Bring it down to Territory. A Vassal or Colony becomes a Territory by agreement between the players, or through LETs at the peace table (Section 20). Only a Territory can be incorporated.
- Bring Liberty Desire to 0. Use donations and the other mitigations above. Incorporation is not possible while any Liberty Desire remains.
- Trigger the Referendum. The suzerain spends 1 action to call a Referendum event. The GM runs it and decides the result, weighing the Territory's Stability, its recent treatment and how much was spent winning it over.
- The vote. If the population votes yes, the Territory is incorporated and annexed in full into the suzerain. If it votes no, it stays a Territory and its Liberty Desire rises at the GM's discretion.
Referendum score
The chance of a yes vote starts at 50%. Add or subtract the modifiers below, keep the total between 5% and 95%, then the GM rolls a d100. A roll at or under the total is a yes. Liberty Desire must already be 0.
| Factor | Condition | Modifier |
| Territory Stability | 70 or more / 40 to 69 / under 40 / under 20 | +10 / 0 / −10 / −20 |
| Time as a Territory | 3 or more weeks / 8 or more weeks without a revolt | +5 / +10 |
| Tax level paid | Level 1 to 4 / Level 5 to 7 / Level 8 or higher | +5 / 0 / −10 |
| Investment | Each 20,000 spent in the Territory in the last 4 weeks (maximum +10) | +2 |
| Economy | Recession / Depression. An active trade route or new infrastructure there adds +5 | −5 / −10 |
| Culture and faith | Same / mixed / different | +10 / 0 / −10 |
| Government and ideology | Same ideology / opposed ideology | +5 / −10 |
| Military presence | Occupation garrison still in place | −5 |
| Rival interference | Per covert operation or bribe by another player (maximum −15) | −5 |
| Suzerain's standing | Suzerain Stability 70 or more / under 40 | +5 / −5 |
| Past treatment | GM judgment of earlier events, promises and broken terms | −10 to +10 |
After incorporation
Incorporation does not mean complete direct control. The land and its people become part of the suzerain's own Area and tax base, and tribute ends, but the region is not quiet.
- If it was a player: that player stays in the game and may still try to break free using covert tactics and a revolutionary movement (Section 19).
- If it was not a player: the region begins with relatively low Stability and is in unrest. The suzerain must work to stabilize it fully, through events and by building infrastructure. The GM sets the starting Stability and the events that apply.