Denmark

Last Update by Katie, 30 May 2024

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Exchange Rate

13 Jun 2024

 

Cost of Living

Indicative value for a working adult in a city: Copenhagen

Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff

Living Requirement Indicative Amount (DKK)
McDonalds Set Meal 100
Monthly Train and Bus Tickets 670
3 Bedrooms Rental (City Center) 28,980
3 Bedrooms Rental (Outskirt) 15,056

Current Inflation Rate

0.80%

Wage

Minimum Wages

  • No statutory minimum salary in Denmark

Median Salary

Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.

Job Level Monthly Salary (DKK)
Entry-Level
Fresh Graduate
3,000
Mid-Level
5 Years
4,000
Experienced & Managerial Level
10 Years
6,000
Specialized & Senior-Level
15 Years
9,000+

Annual Salary Growth

5.7%

Statutory Contribution

Country Level

Type Employer Rates Employee Rates Notes
Social Security (ATP) 198 DKK per month 99 /month All staff working at least 117 hours per month
Education Program (AUB) 232.60 DKK per month - Apprentices & those on vocational training
Workplace Injury Scheme (AES) 18-430 DKK per month - All staff
Maternity Leave Fund (Barsel) 112.50 DKK per month - All staff
Danish Labor Market Fund (AFU) 48 DKK per month - All staff
Occupational injury insurance (FIB) 592 DKK per month - All staff
Annual leave/ Holiday Allowance 1% paid in May & August - All staff

Other Benefit

Other common employment benefits in Denmark include:

  • Mobile Phone & Internet allowance: Roughly 250 DKK per month
  • Additional Annual Leave: 1-5 days per year
  • Additional pension contributions: 5%-10% per month

Income Tax

Residents

  • Tax period: 1st January- 31st December
    Filing start date: November

Country Level

Taxable Income Rate
National Tax Bottom Tax: 12.01% of salary 49,700 DKK
Top Tax: 15% of salary exceeding 588,900 DKK after a deduction of 8% labour market tax
Municipal Tax (Varies per region): < DKK46,800 25% (average)
Church tax (Varies per region): DKK552,500+ 0.92% (approx)
Labour Market Tax (AM) 8%

Non-residents

  • Tax is the same for non-residents as it is for residents

Working Hours

Statutory

37 hours
8 hours a day, 5 days a week

Typical practice

40 hours
Monday - Friday

Overtime

A work week should not exceed 48 hours, including overtime and more than 37 hours must be included in the contract

  • For the first 3 hours: 1.5 times the regular rate
  • Subsequent hours, holidays, or Sundays: 2 times the regular rate

Employment Contract

Permanent

Probation

Up to 3 months

Termination

  • Notice during probation:
    -14 days’
  • Notice after probation:
    - >6 months service: 1 month for employee and employers
    - 6 months – 3 years service: 1 month for employees, 3 months for employers
    - 3-6 years service: 1 month for employees, 4 months for employers
    - 6-9 years service: 1 month for employees, 5 months for employers
    - 9+ years service: 1 month for employees, 6 months for employers
  • Severance:
    - 12-17 years' service: 1 month
    - 17 years+ years' service: 3 months

Public Holiday

10 days

Country Level

Date Name
01 Jan New Year's Day
28 Mar Maundy Thursday
29 Mar Good Friday
31 Mar Easter Sunday
01 Apr Easter Monday
26 Apr General Prayer Day
09 May Feast of the Ascension of Jesus Christ
19 May Pentecost
20 May Whit Monday
05 Jun Constitution Day
25 Dec - 25 Dec Christmas Day
26 Dec Second Day of Christmas
31 Dec New Year's Eve

Leave

Leave Type Entitlement Notes
Annual Leave 25 working days All staff
Maternity Leave 52 weeks Expectant mothers who have 13 weeks service
Paternity Leave 2 weeks Expectant fathers that have 13 weeks service
Parental Leave 32 weeks All staff
Sick Leave 30 working days Staff with 8 weeks service that worked more than 74 hours
Staff must work 240 hours+ within 6 months

Reference

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