Employ and run payroll with ease in

Denmark
denmark flag

Make employment in Denmark easy. Let us handle payroll, benefits, taxes, compliance, and even stock options for your team in Denmark, all in one easy-to-use platform.

Services available in this country:
Employer of Record ProductContractor ManagementPayroll
  • Capital City

    Copenhagen

  • Currency

    Danish krone (kr., DKK)

  • Languages

    Danish

  • Population size

    5,824,857

Services available in this country:
Employer of Record ProductContractor ManagementPayroll
A boat docked in front of colorful buildings.

Facts & Stats

Denmark
  • Capital City

    Copenhagen

  • Currency

    Danish krone (kr., DKK)

  • Languages

    Danish

  • Population size

    5,824,857

  • Ease of doing business

    Very easy

  • Cost of living index

    $$$$ (7 of 139 nations)

  • Payroll frequency

    Monthly

  • VAT - standard rate

    25%

  • GDP - real growth rate

    1.49% (2018 est.)

Denmark (Danish: Danmark), officially the Kingdom of Denmark (Danish: Kongeriget Danmark), is a Nordic country in Northern Europe. Denmark is considered to be one of the most economically and socially developed countries in the world. The country ranks as having the world's highest social mobility, a high level of income equality, the lowest perceived level of corruption in the world, the eleventh-highest HDI in the world, one of the world's highest per capita incomes, and one of the world's highest personal income tax rates.

Grow your team in Denmark with Remote

Want to hire employees in Denmark? Companies hiring in Denmark are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Denmark and keep you compliant at all times. Remote can hire, onboard, and pay your Denmark team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Denmark. now to get started or talk to an expert for more details.

Risks of misclassification

Denmark, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Denmark may lead to fines and penalties for the offending company.

A boat docked in a canal in copenhagen.

Employing in Denmark

Employment law in Denmark is governed by statutory legislation and collective labour labour agreements. Denmark has a long tradition of allowing the conditions of employment and pay to be decided on through collective bargaining agreements. This means that there are just a few pieces of legislation that applies to all employers and employees, such as the Danish Salaried Employees Act (Funktionærloven and the Holiday Act (Lov om Ferie).

Almost all employment contracts in Denmark are governed by collective agreements. Danish employment law and collective agreements provides strong labor conditions and protections for employees, so employing people will be an important investment and commitment.

Temporary agencies are popular options for more flexible workforce arrangements. For these and many other reasons, the following are only guidelines in the broadest sense, and professional legal services are recommended when employing in Denmark.

Minimum Wage

There is no statutory minimum wage in Denmark, but national collective bargaining agreements negotiated between workers' unions and employer associations effectively set minimum wages. The average effective hourly minimum salary across all private and public sectors is approximately 110 DKK.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Onboarding Time

We can help you get a new employee started in Denmark fast. The minimum onboarding time we need is only 3 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

10 Public holidays

Jan
Monday, January 1, 20241New Year's Day (Nytårsdag)
Mar
Thursday, March 28, 20242Maundy Thursday (Skærtorsdag)
Friday, March 29, 20243Good Friday (Langfredag)
Sunday, March 31, 20244Easter (Påskedag)
Apr
Monday, April 1, 20245Easter Monday (Anden påskedag)
May
Thursday, May 9, 20246Feast of the Ascension of Jesus Christ (Kristi himmelfartsdag)
Sunday, May 19, 20247Pentecost (Pinsedag)
Monday, May 20, 20248Pentecost Monday (Anden pinsedag)
Dec
Wednesday, December 25, 20249Christmas Day (Juledag)
Thursday, December 26, 202410Day after Christmas (Anden juledag)

Want to see and manage all holidays? Sign up for our free HRIS!

Effortless HR Denmark: Take the Tour

Seamlessly manage your workforce, from first hire to final paycheck

Competitive benefits package in Denmark

At Remote, we’re passionate about helping you craft the best possible employee experience for your team. We are leading the way in developing globally competitive benefits programs. This means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive, and your company has the localized expertise needed to attract and keep the best global talent.

Our benefits packages in Denmark are tailored to fulfill the local needs of employees. Typically, our packages contain some or all of the following benefits:

  • Health Insurance

  • Dental Insurance

  • Vision Insurance

  • Mental Health Support

  • Pension or 401(K)

  • Life and Disability Insurance

Local market insights

  • In Denmark, 90%* of employers offer supplemental health insurance to their workforce. (*based on 3rd-party market research from our partners)

  • Although the country has a robust public health system, supplemental health insurance provides employees with access to a wider range of options for providers and specialists, as well as significantly shorter wait times. Our plans also offer global coverage (excluding the US) to protect your employees when they are traveling outside their home country.

  • Approximately 90%* of employers in Denmark also offer an occupational pension plan. (*based on 3rd-party market research from our partners)

  • The typical pension contribution in the market is 12% per employee per year. The percentage is calculated from the employee’s yearly base salary only.

Our core benefits (which often include things like healthcare) are required in most countries where we hire. Because Remote is the employer of record, it’s important for us to offer the same core benefits to all employees in a country to ensure fair equity and non-discriminatory hiring practices, which protects your business and ours. Note that we do not add a markup on any benefits premiums or administration costs.

If you'd like specific information about our benefits packages in Denmark, start onboarding your first employee with Remote today.

For more insight into fair equity and benefits best practices, download our Global Benefits Guide and share with the rest of your hiring team.

Fair Pricing in Denmark

Employer of Record

$599

per employee/month

Top features

  • Hire without opening a local entity

  • Guided onboarding

  • Local payroll paid on time, every time

  • Built-in security and compliance

  • Flexible, localized benefits

  • Offer equity incentives with tax assistance

  • Dedicated experts for local support

Contractor Management

$29

per contractor/month

Top features

  • Only pay for contractors you actively work with

  • Work with international contractors

  • Create, edit, and sign tailored, localized contracts

  • Approve contractor invoices with one click or auto-pay

  • Transparent payments with complete visibility

Payroll

$29

per employee/month

Top features

  • Powerful, transparent international payroll

  • Simple self-service platform

  • Personalized support from dedicated specialists

  • Adhere to local payroll regulations in every country

  • Integrated payroll, expense management, and HRIS solution

HR Management

for all direct employees

Top features

  • Guided onboarding and offboarding

  • Employee profile and document management

  • Contract templates and e-signing

  • Time off and time tracking

  • Expense management

  • Employee and manager self-serve experiencea

  • Mobile app