Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
18,000 kr
Direct Federal Tax 12,11%
- 2,002 kr
Communal tax
- 3,063 kr
Church tax
- 114 kr
Arbejdsmarkedets Tillaegspension (ATP)
- 1,136 kr
Total tax
- 6,315 kr
Net pay
* 11,685 kr
Marginal tax rate
32.7%
Average tax rate
35.1%
64.9%
Net pay
35.1%
Total tax
Total tax
Net pay
The Taxberg
11,685 kr
Net pay
13,922 kr
Tax the employer pays
6,315 kr
Tax you pay
Total tax paid
20,236 kr
Did you know your employer also pays tax on your salary? It costs the employer 13,922 kr to pay you 18,000 kr. In other words, every time you spend 10 kr of your hard-earned money, 11.24 kr goes to the government.
Real tax rate
63.4%
So, with you and the employer both paying tax, what used to be a 35.1% tax rate now rises to 63.4%, meaning your real tax rate is actually 28.3% higher than what it seemed at first.
Summary
If you make 18,000 kr a year living in the region of Aabenraa, Denmark, you will be taxed 6,315 kr. That means that your net pay will be 11,685 kr per year, or 974 kr per month. Your average tax rate is 35.1% and your marginal tax rate is 32.7%. 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 32.73 kr, hence, your net pay will only increase by 67.27 kr.
Bonus Example
A 1,000 kr bonus will generate an extra 673 kr of net incomes. A 5,000 kr bonus will generate an extra 3,364 kr of net incomes.
NOTE* Withholding is calculated based on the Aabenraa 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.