In Denmark, there are 3 pillars of pension:

  • State pensions: The state pensions relate to age and length of stay in Denmark
  • Company plans: Employer/employee paid pensions
  • Individual pensions: Individual saving schemes

State Pension

Full pension is given to all danish citizens above the age of 66 years (1. June 2020). To receive a full pension, you must have lived in Denmark for at least 40 years from the age of 15.

An ordinary single national pensioner, who only receives the national pension, receives approx. DKK 13,541 per month in basic amounts and pension supplements before being taxed.

An ordinary married couple on a national pension, who only have the national pension, receive a total of DKK 19,990 per month in basic amounts and pension supplements.

Company plans

A company pension scheme can be established either as:

  • A voluntary company pension, where the employees choose whether they want to join the company pension scheme.
  • The compulsory company pension, where all employees are covered by the pension scheme. The amount is often based on a percentage of the salary. In addition to the company plans there will often be an insurance cover related to critical illness and death.

Individual pensions

Individual pensions are optional as a supplement to state pension or company plan or for those who do not have access to company plans.