# Can I claim Lønomkostninger (Staff Costs) as a business expense in Denmark?

**Yes, fully claimable.** Fully deductible. Danish employer costs include gross salary, employer ATP contributions (DKK 198 a month per full-time employee in 2026), and AUB (the employers' training contribution). Optional pension contributions are also fully deductible. All must be reported monthly via eIndkomst.

Typical amount: Employer costs are approximately 112-117% of gross salary (ATP, AUB, holiday accrual, optional pension)

## What Skattestyrelsen (Danish Tax Agency) says

All ordinary salary and employer social contributions are deductible as erhvervsmæssige udgifter (business expenses) under the Danish Tax Assessment Act (Ligningsloven). The employer must withhold A-skat and AM-bidrag and remit via eIndkomst. Virk.dk gives the 2026 Samlet Betaling rates. ATP is DKK 891 per full-time employee per quarter in total, and the employer pays two thirds and the employee one third through salary. AUB is DKK 705.25 per full-time employee per quarter. Barsel.dk is DKK 550 per full-time employee per quarter for private employers. The Finansieringsbidrag to Lønmodtagernes Garantifond is DKK 82 per full-time employee per quarter. FerieKonto charges DKK 4 per employee per month for the months in which the employer reports. The quarterly invoices fall due on 1 July, 1 October, 1 January and 1 April.

## When you can claim

- Gross salary (løn) for all employees including directors who are employees
- ATP (Arbejdsmarkedets Tillægspension) employer contributions: DKK 198 a month per full-time employee in 2026, which is two thirds of the total DKK 297 a month
- AUB (Arbejdsgivernes Uddannelsesbidrag) employer contributions: DKK 705.25 per full-time employee per quarter in 2026
- Feriegodtgørelse (holiday pay) accruals: 12.5% of gross salary for vacation entitlement
- Employer pension contributions: fully deductible, no employer cap
- Employer-paid social events with a genuine team-building purpose

## When you cannot claim

- Salary paid to a director via dividend disguised as employment income: must be properly structured
- Payments to staff for purely personal services unrelated to the business
- Under-documented payments without proper payroll records

## Good to know

**Pro tip:** Register as an employer (arbejdsgiver) with SKAT as soon as you take on any employee, including a director drawing salary. The registration activates your eIndkomst reporting obligation. Failure to register before the first payment triggers penalties. Most payroll software handles the monthly A-skat/AM-bidrag/ATP submissions automatically.

**Important:** Holiday pay (feriegodtgørelse) is 12.5% of gross salary and must be accrued monthly and paid out or transferred to FerieKonto. The obligation survives even if the employee is dismissed: missing holiday pay creates personal director liability.

Source: https://skat.dk/erhverv/arbejdsgivere

## Related expenses

- [Firmapension og Erhvervspension (Company Pension)](https://accounts-os.com/dk/expenses/pension-dk)
- [Uddannelse og Kurser (Training and Education)](https://accounts-os.com/dk/expenses/training-dk)