Danish Krone
Date Format


180 - Social Security
90 - Social Security
8.00% - Up to 50,000
40.20% - 50,000 - 524,282
56.50% - Over 524,282

Minimum Wage

No minimum wage. However, for public and private sectors, collective barganing agreement states approximately DKK 110 per hour.

Working Hours

Full time employment is 37 hours weekly.
Overtime is often compensated with additional time off in leiu of pay.


25% standard rate.


Payroll Frequency
Salaries are usually paid on monthly basis. Paydays vary from the last day of the month to the 15th of the following month.

Mandatory Benefits

Pension Fund
Private pension plans are very common, the average employer contribution can reach 15% of the pensionable salary. The pensionable earnings are calculated on the monthly base salary of January × 12,24.
Social Security
Danish social security is modest compared to most other countries; Contributions are made both by employee and employer. The average employer contributions are approximately EUR 2,000 per year per for full-time employees. The annual cost for the employee is DKK 1,080 , this amount is withheld by the employer.
Holiday Allowance
Salary is paid in 12.24 installments. Special holiday allowance accounts for the additional 0.24 as it is paid at a rate of 2%. *On September 1, 2020 a new Holiday Act is due to enter into force, which significantly will change the Danish holiday system. (Danish Holiday Act No 60 of 30 January 2018)


Termination Process
Employees are given from 1 month to 6 months notice depending on the length of their employment in the company.
Advance Notice
Under the labor law in Denmark, salaried employees are entitled to a notice period of 1-6 months, depending on the length of employment.
Severance Pay
There is no general statutory regulation on severance pay, but salaried employees who have been in continuous employment for between 12 to 17 years are entitled to a severance payment of between 1 to 3 months salary. Some CBAs also include rules on severance pay that depend on seniority.