Denmark AM-bidrag Calculator 2026

Calculate the 2026 Danish AM-bidrag (labor market contribution) at 8% of gross income, plus ATP pension (DKK 1,135.80/year full-time) and a quick view of kommune + state income tax bands. AM-bidrag is deducted before income tax and is uncapped on earned income.

AM-bidrag (8%)
ATP Annual
Approx. Net Income
Gross income
AM-bidrag (8% of gross)
Income after AM-bidrag
Personal allowance (2026)
Kommune + church tax
State bundskat 12.06%
State topskat 15% (above threshold)
ATP labor market pension
Total income tax + AM + ATP
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The Danish AM-bidrag (arbejdsmarkedsbidrag, "labor market contribution") is an 8% gross income contribution withheld before income tax is calculated. It funds unemployment benefits, sickness benefits, and continuing education. Unlike most countries' social security systems, AM-bidrag is uncapped and applies from the first krone of earnings.

How AM-bidrag Is Calculated

AM-bidrag = 8% × gross salary/business income, deducted at source by the employer or paid by self-employed workers via skattekort. The remaining 92% becomes the basis for income tax (state + kommune + church). There is no exemption — it applies from your first DKK of earnings. Pension income, public benefits and student grants (SU) are exempt. For 2026, the AM-bidrag rate remains 8.0% per SKAT.

ATP Labor Market Supplementary Pension

ATP is the universal supplementary pension. For 2026 a full-time employee pays DKK 1,135.80/year (2/3 employer + 1/3 employee). Part-time scaled: 27–34 hrs/wk pays 2/3, 9–18 hrs/wk pays 1/3. Self-employed are NOT automatically in ATP. ATP is mandatory and pays out monthly from state pension age (currently rising from 67 to 69).

Kommune, Bundskat and Topskat Bands

After AM-bidrag (8%), the rest is taxed by kommune (municipality, average 25.22% in 2026), optional kirkeskat (church tax ~0.67%) and state taxes: bundskat 12.06% on all taxable income, plus topskat 15% on income above DKK 588,900 (2026 threshold). A total marginal cap (skatteloft) of 52.07% applies for non-church members on labor income. Effective burden for a typical employee: 35–42% combined.

2026 Personal Allowance and Sources

2026 personal allowance (personfradrag): DKK 51,600 (over 18) and DKK 40,200 (under 18). Employment deduction (beskæftigelsesfradrag): up to ~12.75% of income, capped at ~DKK 55,600 in 2026. Single-parent additional deduction: DKK 26,300. Topskat threshold (after AM-bidrag): DKK 588,900. Sources: Skattestyrelsen (SKAT), ATP. Last updated May 2026.