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An employment contract is a binding agreement between an employer and an employee that defines the terms of the employment relationship. The contract outlines the rights and obligations of both parties. It can be written or verbal, but in Denmark, the law requires certain terms to be documented in writing if the working hours exceed three hours per week on average over four consecutive weeks and if the employment lasts longer than a month.You might ask yourself, "What is an employment contract, and what does it mean for me to have one? What could go wrong without one?"A written employment...

The Danish Salaried Employees Act (Funktionærloven) outlines a range of rights and responsibilities for both employers and employees, ensuring clear rights and protections for salaried employees in the Danish labor market.What is a salaried employee, and what is the Danish Salaried Employees Act?The term "salaried employee" originates from Danish labor law and is typically used to distinguish salaried employees from other groups performing manual or physical labor. Examples of salaried positions include office assistants, secretaries, financial staff, salespeople, engineers, and IT specialists.In Denmark, the working conditions of salaried employees are regulated by the Salaried Employees Act. Being employed under this...

What is an Annual Tax Statement?The annual tax statement is a summary of your income, deductions, and taxes for a given calendar year. In Denmark, the tax authorities (Skattestyrelsen) manage these statements. The annual tax statement shows what you’ve earned and what you’ve paid in taxes during the year. It also reveals if you’ve paid too much or too little in taxes, determining whether you’ll receive a refund or owe additional payments.When is the Annual Tax Statement Ready and Where Can I Find It?When the annual tax statement is ready (in March), you’ll receive a notification in your digital mailbox...

Most people pay A-tax on their wages, but everyone has a personal allowance that is tax-free. This amount is divided across the 12 months of the year and deducted from wages before taxes are calculated. Employers calculate an individual's A-tax and ensure it is paid to the tax authorities (Skat).If you run your own business, work freelance, or earn income through honorariums, you pay B-tax. In this case, you must report your B-income to Skat and pay the necessary taxes on your earnings yourself. How much can you earn before paying income tax in Denmark ?In 2025, the tax-free amount...

Summary:Nordic citizens can work and settle in Denmark without taking additional steps. (The Nordic region consists of Denmark, Sweden, Norway, Iceland, and Finland.) These citizens only need to bring their CPR number from their home country. Citizens from EU and EEA countries, as well as Switzerland, must obtain an EU residence document if staying longer than six months to continue living and working in Denmark. Citizens from countries outside the ones mentioned above must apply for a residence and work permit in Denmark before they are allowed to work in the country. How to Obtain a Work Permit in Denmark?People...

The SU system was introduced to ensure that all students had equal opportunities to complete an education regardless of their financial background. The SU scheme ensures that, in principle, everyone has the opportunity to pursue an education. SU was first paid out to students in 1970 and has enabled people from all social backgrounds to realistically have the chance to study. What is SU?"Anyone who applies for a publicly recognized education program and is suitable and active in their studies shall have the right to support calculated based on objective criteria, within certain limits regarding the duration of the studies."...

When visiting Denmark, many wonder what a CPR number is. However, having one is essential for obtaining a residence permit, getting your case processed, working, opening a bank account, and receiving healthcare or other benefits like assistance in case of illness. What is a CPR number, and how does one obtain a Danish CPR number?The CPR (Central Person Register) law was passed in 1968, and all Danes were given a unique CPR number. Initially, it was only used by the tax authorities, Denmark Statistics, and ATP (the Danish labor market supplementary pension). Today, it is used by both the public...

What is a collective agreement?In other words, collective agreements are the rules and agreements that both employees and employers must adhere to. For employees, there are many benefits to working for an employer who has entered into a collective agreement. It ensures organized pay structures, vacation agreements, payment during illness, etc. For employers, there are also significant advantages to being part of a collective agreement. It helps attract and retain employees, as well as plan and budget employment costs effectively.An employer is not required to enter into a collective agreement, just as an employee is not obligated to join a...

The Danish tax system is progressive, meaning that those who earn the most also pay the most in taxes. A-tax, also known as withholding tax (i.e., tax deducted at the source/salary), was introduced in Denmark in 1969. The progressive nature of the tax system means that people with higher incomes pay higher taxes than those with lower incomes. In Denmark, people with high incomes pay between 39% and 43% in taxes, while those with lower incomes pay between 32% and 38% in taxes. What is A-tax?"A-tax" is an abbreviation for "Arbejdsmarkedsbidragssatsen" (Labor Market Contribution Rate) and refers to the tax...