Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
7,542 kr
Direct Federal Tax 12,11%
- 839 kr
Communal tax
- 876 kr
Church tax
- 43.91 kr
Arbejdsmarkedets Tillaegspension (ATP)
- 1,136 kr
Total tax
- 2,895 kr
Net pay
* 4,647 kr
Marginal tax rate
32.8%
Average tax rate
38.4%
61.6%
Net pay
38.4%
Total tax
Total tax
Net pay
The Taxberg
4,647 kr
Net pay
13,922 kr
Tax the employer pays
2,895 kr
Tax you pay
Total tax paid
16,817 kr
Did you know your employer also pays tax on your salary? It costs the employer 13,922 kr to pay you 7,542 kr. In other words, every time you spend 10 kr of your hard-earned money, 22.30 kr goes to the government.
Real tax rate
78.3%
So, with you and the employer both paying tax, what used to be a 38.4% tax rate now rises to 78.3%, meaning your real tax rate is actually 39.9% higher than what it seemed at first.
Summary
If you make 7,542 kr a year living in the region of Lemvig, Denmark, you will be taxed 2,895 kr. That means that your net pay will be 4,647 kr per year, or 387 kr per month. Your average tax rate is 38.4% and your marginal tax rate is 32.8%. 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 32.79 kr, hence, your net pay will only increase by 67.21 kr.
Bonus Example
A 1,000 kr bonus will generate an extra 672 kr of net incomes. A 5,000 kr bonus will generate an extra 3,361 kr of net incomes.
NOTE* Withholding is calculated based on the Lemvig 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.