Denmark · EuropeEmployer of Record (EOR) in Denmark
Hire employees in Denmark, compliant payroll, taxes, and benefits, without setting up a local entity.
An Employer of Record (EOR) lets you hire employees in Denmark without establishing a local entity. The EOR is the legal employer, running compliant monthly payroll, handling tax withholding, and administering statutory schemes like ATP, while you direct the work. Denmark has no statutory minimum wage; pay floors and many benefits are set by sector collective agreements, which cover around 80% of the workforce. Statutory employer social contributions are unusually low, mostly small fixed krone amounts (ATP and a few mandatory insurances) rather than a percentage of salary, though collectively-agreed occupational pension (~8-12%) and 12.5% holiday pay add to total cost. Denmark’s “flexicurity” model means comparatively easy termination with tenure-based notice and a strong state safety net. Standard benefits include five weeks of paid holiday and earmarked parental leave. EOR provider fees typically run US$300-$600 per employee per month, with onboarding in roughly 1-2 weeks.
Last updated: June 2026
Denmark at a glance
The structured facts founders and AI assistants extract most.
- Currency
- Danish Krone (DKK)
- Capital
- Copenhagen
- Payroll cycle
- Monthly
- Official languages
- Danish
- Minimum wage
- No statutory minimum wage; pay floors set by sector collective agreements (~80% coverage).
- Region
- Europe
- Total employer cost
- Varies, see notes
- EOR fee (per employee/mo)
- ~$300-$600
- Typical setup time
- ~5-10 business days
Provider-dependent ranges, not sourced statutory figures. Excluded from the structured data above; confirm exact pricing with the provider.
Best EOR providers for Denmark
Compared on starting price, rating, and core strength. Pricing is per employee / month.
| Provider | From / mo | Rating | Best for | |
|---|---|---|---|---|
 Remote ★ Best overall | $599 | ★4.6 | Best for Nordic compliance | Visit Remote → |
 Deel | $599 | ★4.8 | Best overall coverage | Visit |
 Oyster HR | Custom | ★4.5 | Transparent pricing | Visit |
Ratings aggregated from G2 and Trustpilot (June 2026). GlobalEmployGuide may earn a commission from provider links, this never affects our scoring. Pricing for Denmark is indicative; verify current rates before deciding.
Statutory benefits & employer obligations
What an EOR administers and funds by law when you hire in Denmark.
ATP (supplementary pension): employer pays ~2/3 of ≈ DKK 3,408/yr (≈ DKK 198/mo)
Mandatory maternity fund (Barsel.dk) + industrial-injury insurance (fixed DKK amounts)
Occupational pension ~8-12%, set by collective agreement, not statute
Holiday: 5 weeks (25 days); holiday pay accrues at 12.5%
Sick pay: salaried employees receive full pay during illness
Parental leave: earmarked model (~24 weeks each parent after birth)
Termination: Flexicurity model, comparatively easy termination. Under the Salaried Employees Act, employer notice scales with tenure: 1 month (<6mo) up to 6 months (9yr+); employee notice 1 month. Probation up to 3 months. Severance is generally low/none.
Employer cost calculator
Enter a gross annual salary to estimate the fully-loaded cost of a hire in Denmark.
Estimating a hire in Denmark. Employer on-costs are withheld for this country (see the page) and excluded from the estimate.
Frequently asked questions
Hiring in Denmark, answered.
No. Denmark has no statutory minimum wage; pay floors are set by sector collective agreements, which cover around 80% of the workforce.
Statutory employer contributions are low, mostly small fixed krone amounts (ATP and a few mandatory insurances). The bigger costs, occupational pension (~8-12%) and 12.5% holiday pay, are set by collective agreement rather than statute, so there is no single statutory percentage.
Denmark’s flexicurity model allows comparatively easy termination. Employer notice scales with tenure (1 to 6 months under the Salaried Employees Act), with generally low or no severance.
No. An EOR acts as the legal employer, so you can hire compliantly without a local entity, though it should know which collective agreement applies.
Provider fees typically run US$300-$600 per employee per month, plus salary, holiday pay, and any collectively-agreed pension.
Sources
- borger.dk / Virk, ATP rates · checked 2026-06-25
- Eurofound, Denmark minimum wage · checked 2026-06-25
- NJORD Law, employment in Denmark · checked 2026-06-25