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Yearly income 500,000 kroner, living in Aarhus municipality, wife doesn't work, 2018: 166.045,80 kroner.

That was the easy part of your questions.

They offer you 41,000 kroner. However, I understand that it is the basic pay so that more will be added so what are we actually talking about? You know the company as a good one so I take that they'll pay you what is the market price. International companies in general don't try to underpay their employees as it is more important for them to hire skilled persons.
I don't know what exactly the title covers in Danish. I would believe it is elektroingeniør. You can get an impression of the pay from these sites. There is also a link to IDA which is the union for engineers.


Here's a link to housings. There are a lot more of such sites, but just to give you an idea of the price level. It isn't easy to find a housing in Aarhus (the same goes for many other places) why it is a good idea if you can get your employer help you in finding a housing.


I hope this will do for the moment, but else you are very welcome again.

/Nellie

Hi Nellie,

Thanks a lots for your Quick and informative reply, yes DKK 41000 is the basic monthly salary is which they mentioned.. i am looking for if you can give me the idea about tax and deductions. means after tax and other deductions how much will i use to get in hand..

thanks a lots in advance

Prince1209

In regards of your salary you will have to deduct at first 8 % of taxes in AM-contribution. This is taken before taxes.

41.000x0.92 = 37.720,- is your salary after AM-contribution, which is mandatory.

Thereafter you need to pay taxes. You earn 41.000x12 a year, which equals to: 492.000,- DKK a year.

This means you will keep at a tax-level of 37% - after 498.900,- DKK you will pay 52.5% in taxes.

On a yearly basis you will have a total tax-exemption of 45.000, which is 3.750  a month.

Therefore you will be ending up paying taxes for 37.720-3750 = 33.970,-

33.970x0.63(37% tax level) = 23.921,- DKK paid out to you.

There are also taxes for the church that is 0.005% but you can choose to not pay it.

Apart from that Aarhus is a lovely city and I orginate from there. You can find housing on:


Kind regards
Nicky

Hi Nicky,

I don't think that prince1209 will see your post as it's some time ago he put the question here.

However, I think I'll have to correct your calculation in the case that others should read the post.

The Danish tax system is quite complicated, and your calculation is too simple as you don't include all the automatic deductions we are entitled to. Another major objection of mine is that you forget that prince1209's wife doesn't work why he is entitled also to profit from her unused personal deduction. By the way, the total tax-exemption of 45.000 is increased to 46,000 kroner in 2018.

As the Danish tax system is so complicated, I never dare to calculate the tax manually myself  why  I always use the official automatic system for my calculations. But for those who prefer to calculate it manually, you can find the necessary information here:

/Nellie

Thanks nicky.. it’s really a very useful explanation.

Thanks and regards
Prince