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The Danish tax system is also very complicated, and it’s really not possible to boil it down to a percentage. You have to consider a lot of deductions, that is
by spyke112 3y ago
The Danish tax system is also very complicated, and it’s really not possible to boil it down to a percentage. You have to consider a lot of deductions, that is specific to your cicumstances, for instance if you have a mortgage, then you’ll get a deduction based on paid interest, then theres a deduction based on your total income. Then we have both federal and muncipality tax, and of course the “top tax”, which currently applies to all the income above a certain threshold. That means that the effective tax rate for your last earned kroners will be around what 60% i think.
- jacobgorm 3y ago60% is a myth. I pay around 44% income tax of a typical junior to mid level engineer salary (I am not junior but a startup founder). That covers everything including free school for my kid, free universities, healthcare, basic retirement plan, elder care, and so on. Employers only pay the raw salary, and do not have to pay for healthcare, unlike the US.