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Work & Freelance

Hourly rates, invoicing and VAT for freelancers and self-employed

๐Ÿงพ Invoice Calculator Calculate invoice totals with VAT (moms), showing amount excl. VAT, VAT amount, and total incl. VAT. ๐Ÿ’ผ Freelancer Price Calculator Calculate the hourly rate you need to charge as a freelancer to reach your desired income, including overhead costs. ๐Ÿงฎ VAT Calculator Add VAT to a net amount or extract VAT from a gross amount. Supports the standard Danish 25% VAT rate. โฑ๏ธ Hourly Rate Calculator Calculate your effective hourly rate based on monthly salary, weekly hours, and working weeks per year.

Calculate hourly rates and income for freelancers in Denmark

Working as a freelancer or self-employed in Denmark requires good knowledge of hourly rate setting, invoicing, and tax conditions. Our calculators help you set the right hourly rate, calculate VAT, and understand your net earnings as a self-employed professional.

Hourly rate as a freelancer in Denmark

A common rule of thumb for freelance hourly rates is 2.5 times the average hourly wage for a full-time employee in a similar position. This covers holiday, sick leave, pension, and equipment. If a salaried professional earns 35,000-40,000 DKK/month, your freelance rate should be around 450-600 DKK + VAT. An alternative calculation is: desired monthly salary x 12, divided by billable hours (typically 1,400-1,600 hours annually).

CVR number and invoicing

You can start freelancing without a CVR number if your revenue is under 50,000 DKK within a 12-month period. In this case, you can invoice using your CPR number. Services like Factofly can help with invoicing without a CVR. Above 50,000 DKK, you must register for VAT and charge 25% VAT.

Tax as a freelancer

As self-employed in Denmark, you pay AM contribution (8%) and income tax on your profit. You can deduct business expenses including office supplies, software, transport, and professional courses. Salary calculators from Djรธf, IDA, and Krifa can help you check your market value.

Salary levels for estimators and calculators

Experienced estimators in construction and technical industries can expect an annual salary of 500,000-600,000+ DKK. Typical industries include electrical, plumbing, ventilation, kitchen/furniture, and construction work.

Frequently Asked Questions

What should my hourly rate be as a freelancer in Denmark?

A good rule of thumb is to multiply the equivalent salaried hourly wage by 2.5. This covers holiday, sick leave, pension, equipment, and periods without assignments. For example: an employee at 38,000 DKK/month corresponds to a freelance rate of about 500 DKK + VAT. You can also calculate it as: desired annual salary divided by 1,400-1,600 billable hours.

Can you freelance without a CVR number in Denmark?

Yes, you can invoice without a CVR number as long as your revenue is under 50,000 DKK within a 12-month period. You then invoice using your CPR number. Above this threshold, you must register a CVR number and register for VAT. Services like Factofly can help with invoicing without a CVR.

How much tax do you pay as self-employed in Denmark?

As self-employed, you pay AM contribution (8%) on your profit, then income tax like regular employees. The total tax rate depends on your municipality and whether you hit the top tax bracket. You can deduct business expenses from your profit. Remember to pay B-tax regularly to avoid back taxes.

Are the first 50,000 DKK tax-free as a freelancer?

No, the 50,000 DKK threshold only relates to VAT registration, not tax exemption. All income is taxable regardless of the amount. If your revenue is under 50,000 DKK over 12 months, you simply don't need to register for VAT. You still need to pay income tax on your earnings.

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