Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
17,532 kr
Direct Federal Tax 12,11%
- 1,950 kr
Communal tax
- 2,780 kr
Church tax
- 103 kr
Arbejdsmarkedets Tillaegspension (ATP)
- 1,136 kr
Total tax
- 5,969 kr
Net pay
* 11,563 kr
Marginal tax rate
31.4%
Average tax rate
34.0%
66.0%
Net pay
34.0%
Total tax
Total tax
Net pay
The Taxberg
11,563 kr
Net pay
13,922 kr
Tax the employer pays
5,969 kr
Tax you pay
Total tax paid
19,891 kr
Did you know your employer also pays tax on your salary? It costs the employer 13,922 kr to pay you 17,532 kr. In other words, every time you spend 10 kr of your hard-earned money, 11.35 kr goes to the government.
Real tax rate
63.2%
So, with you and the employer both paying tax, what used to be a 34% tax rate now rises to 63.2%, meaning your real tax rate is actually 29.2% higher than what it seemed at first.
Summary
If you make 17,532 kr a year living in the region of Billund, Denmark, you will be taxed 5,969 kr. That means that your net pay will be 11,563 kr per year, or 964 kr per month. Your average tax rate is 34.1% and your marginal tax rate is 31.4%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 kr in your salary will be taxed 31.37 kr, hence, your net pay will only increase by 68.63 kr.
Bonus Example
A 1,000 kr bonus will generate an extra 686 kr of net incomes. A 5,000 kr bonus will generate an extra 3,432 kr of net incomes.
NOTE* Withholding is calculated based on the Billund tables of Denmark, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.