Work & incomeDenmark
Tax on pay in Denmark
How much of my salary never arrives?
Denmark's tax on pay is 35.33 % — #33 of 37 countries on the atlas (lower is better). Period 2025.
35.33%
Source: OECD Taxing Wages + OECD Tax Database
Of every $100 of gross pay at the average wage in Denmark, about $35 goes to income tax and employee social contributions.
Among 37 countries
- Rank
- #33 of 37
- lower is better
- Ranked behind
- 11 %
- 4 of 37 countries
In Europe: #21 of 25vs median 24.93 %: +10.40 pp (worse)
The neighbourhood
| # | Country | Tax on pay | vs Denmark |
|---|---|---|---|
| 31 | Austria | 32.48 % | −2.85 pp |
| 32 | Hungary | 33.50 % | −1.83 pp |
| 33 | Denmark | 35.33 % | — |
| 34 | Slovenia | 36.21 % | +0.89 pp |
| 35 | Germany | 38.68 % | +3.35 pp |
Income tax plus employee social contributions as a share of gross pay, for a single person at the average wage (OECD). The share of a salary that never arrives.
How to read this figure
The OECD net personal average tax rate: income tax plus the EMPLOYEE’s social contributions as a share of gross wage earnings, for a single person with no children at exactly the average wage. This is the rate you can apply to a salary. It is deliberately smaller than the tax wedge on the same page, which measures a wider bite (it adds the employer’s contributions) over a wider base (total labour cost) — two honest answers to two different questions.