
How the Pay Limit Scheme Works in Denmark
The Pay Limit Scheme in Denmark, known in Danish as beløbsordningen, gives a residence and work permit to a foreign national who has been offered a job with a high annual salary. There is no list of approved occupations and no education requirement: the decisive test is whether the guaranteed pay reaches a minimum annual amount, called the pay limit, that the Danish Agency for International Recruitment and Integration (SIRI) adjusts every year on 1 January. The salary must also match normal Danish pay and conditions for the job, the work must be at least 30 hours a week, and in most cases the pay must go into a Danish bank account in your own name. This guide explains how the threshold works, what counts towards it, how to apply, when you can start work, what your family can do, and what happens if the job ends.
What the Pay Limit Scheme in Denmark is
Denmark has its own national rules for labour migration. Because of its opt-out from EU justice and home affairs cooperation, the EU Blue Card and the EU Single Permit Directive do not apply there. Instead, people from outside the EU, EEA and Switzerland apply for a combined residence permit (opholdstilladelse) and work permit (arbejdstilladelse) under one of several Danish schemes. The Pay Limit Scheme is the broadest of these because it is defined by salary rather than by profession.
The idea behind the scheme is simple. A job that pays above a high, published annual figure is treated as evidence that the employer genuinely needs the person and that the worker will not undercut local wages. SIRI therefore does not ask whether the occupation is in shortage or whether you hold a particular degree. It asks whether the pay is high enough, whether it is real and guaranteed, and whether the rest of the employment terms are normal for Denmark.
EU, EEA and Swiss citizens do not need this scheme. They can work in Denmark under EU free movement rules and register for an EU residence document instead. The Pay Limit Scheme is aimed at everyone else, including people already in Denmark on another permit who receive a qualifying job offer.
Who can use beløbsordningen
According to SIRI's official Pay Limit Scheme page, the scheme is for people who have been offered a job in Denmark with a high salary. SIRI states that no specific education or professional field is required. The scheme is therefore used across very different sectors: engineering, IT, finance, management, sales, health and specialist trades can all qualify if the pay is high enough and the other conditions are met.
SIRI also states that people who have applied for asylum in Denmark can apply under the scheme if they have a qualifying job offer. Commuters, meaning people who live in another country and travel to work in Denmark, can also use the scheme, with a simplified procedure that skips some steps such as the case order ID, the fee, and biometrics.
Some jobs need more than a salary. If the profession is regulated in Denmark, you may need a Danish authorisation, or a temporary authorisation, before a permit can be granted. SIRI gives doctors as an example: they need authorisation from the Danish Patient Safety Authority. For other regulated professions, recognition runs through the Danish Agency for Higher Education and Science. Our separate guide on Danish language requirements explains where language skills form part of such authorisations.
How the annual salary threshold is set
The pay limit (beløbsgrænsen) is a minimum gross annual salary. SIRI publishes it as a yearly figure with a monthly equivalent, and both are stated on SIRI's pay limit definition page in Danish, alongside a table of the limits that applied in earlier periods. The figure is gross, meaning before Danish income tax and labour market contributions are deducted, so your take-home pay will be considerably lower.
Adjusted every 1 January
SIRI states that the pay limit is regulated every year on 1 January. In practice it has risen each time, so a salary that comfortably cleared the limit one calendar year can fall short the next. The amount that matters for a first application is the one in force on the date the application is submitted. If your offer is close to the limit and you plan to apply around the turn of the calendar year, check the new figure before the employer finalises the contract.
This guide does not quote a specific amount, because any figure changes on the next 1 January. Always read the current amount on the official SIRI pages linked here before you negotiate or sign.
Which threshold applies when you extend
SIRI's definition page explains an important protection for people already in Denmark. When you apply to extend a Pay Limit Scheme permit, you can continue under the pay limit that applied when you first applied, rather than the higher figure in force at the time of the extension. Your pay and employment terms must still be normal by Danish standards, however, so a salary that has not kept pace with your field can still cause problems.
The same principle applies to the Supplementary Pay Limit Scheme described below, where SIRI adds that holders must stay in the same job on the same terms.
Monthly pay and shorter employment
The threshold is expressed as an annual salary, but SIRI also gives the monthly equivalent, which is simply the annual amount divided by twelve. If your contract is for less than a full year, the monthly pay is what matters. A short contract does not lower the required rate of pay.
What counts towards the salary
This is where many applications succeed or fail. SIRI only counts pay that is guaranteed and paid out as money. Its guidance on salary and terms of employment sets out the components it includes and excludes, both for the pay limit and for the separate test of Danish standards.
Cash salary paid into a Danish bank account
The core component is guaranteed salary paid as liquid funds, including fixed supplements that are part of the contract. For most permits granted since the requirement was introduced, the salary must be paid into a Danish bank account in your own name, held by a legally operating bank. SIRI's page on salary paid to a Danish bank account confirms that the Pay Limit Scheme and the Supplementary Pay Limit Scheme are both covered.
The money does not have to come from a Danish account, so a foreign parent company can pay, but it must land in a Danish account in your name. You must open the account no later than 180 days after you enter Denmark or, in some situations, 180 days after the permit is granted. If you already hold a Danish permit valid for at least 180 days, the salary must go into a Danish account from the first payment. If you do not yet have a Danish address or CPR number, SIRI points to the official information on basic payment accounts.
The account rule also affects the calculation. SIRI states that only salary that constitutes liquid assets can be included, and that deductions such as rent or canteen costs cannot be taken off before the salary is paid into the Danish account. An employer cannot reach the limit by counting housing it provides and then paying you a smaller cash amount.
Pension contributions
Payments into a labour market pension scheme count towards the pay limit. SIRI states that both the employer's and the employee's share are included. In Denmark, many employment contracts include a pension contribution on top of base pay, so this can make a real difference when an offer is near the threshold. The contribution must be a contractual labour market pension, not an optional personal saving.
Holiday allowance and holiday supplement
Holiday pay is the most technical part of the calculation, and SIRI treats it differently depending on how you are paid and whether it is a first application or an extension.
- Monthly-paid employees: the fixed 1 percent holiday supplement is part of the monthly salary and is included in the assessment, both for first applications and extensions.
- Hourly-paid employees: on a first application, the 12.5 percent holiday allowance is not added to the basic salary, because SIRI regards it as a replacement for salary during holidays rather than a supplement.
- Extensions: SIRI considers the holiday allowance actually received when it checks whether the pay limit was met during the permit's validity.
- Timing: holiday allowance earned in one year and paid out in the next does not count towards the salary for the year in which it was earned.
- Employer: only holiday allowance paid by the employer you are currently allowed to work for counts. Allowance paid out by a former employer does not help.
SIRI also states that the salary must still meet the threshold if you take unpaid holiday. Long periods of unpaid leave can therefore put a permit at risk.
What does not count
SIRI excludes staff benefits from the calculation, even when they have real value. Examples it lists include a canteen scheme, a company car, a phone, internet, and payment of housing or living expenses. These benefits can be part of your package, but they do not move you closer to the threshold.
Uncertain income is also excluded. SIRI states that commissions and bonuses cannot normally be included in the calculation of your salary, because they are not guaranteed. If a large share of your package depends on performance pay, ask the employer to check that the guaranteed part alone clears the current pay limit.
Working hours and Danish pay standards
SIRI's Danish language page for the scheme states that it is a condition that your working time is at least 30 hours a week, and that the salary requirement applies regardless of the number of hours. You cannot meet the limit pro rata on a part-time contract below that level.
Clearing the pay limit is not enough on its own. Your salary and employment terms, including holidays, notice periods and overtime conditions, must not be below the standard for the profession in Denmark. SIRI explains how it assesses this:
- If the employer is covered by a collective agreement, and the contract states that the agreement applies, SIRI usually assumes the conditions are met. Merely following an agreement without being a party to it is not enough.
- If the employer belongs to an employers' organisation but has no collective agreement, SIRI examines the salary, and where it is only just above the pay limit, it generally assumes the standard is met.
- Otherwise, SIRI compares the pay with official income statistics for the occupation code, level of experience and region where the work takes place. The salary should be at least the lower quartile for comparable workers.
- In doubtful cases,s SIRI can ask the employer for comments and can ask a regional employment council to assess the terms.
If the fixed workplace is in a different region from the employer's registered address, the pay must meet standards in the region where you will actually work. Our separate guide on employers hiring foreign workers explains the employer's side of these obligations in more detail.
Contract and documentation conditions
SIRI requires an employment contract or job offer that contains information about your salary, terms of employment and a job description. Its guidance on the employment contract lists what the document should show:
- your job title and tasks or responsibilities;
- the salary, with an addendum converting it into Danish kroner if it is stated in a foreign currency;
- working hours;
- the start date and, if the job is temporary, the end date;
- the name and address of the place of work;
- the conditions for overtime, holiday and termination;
- the date and the signatures of both employer and employee, including on any appendices.
For jobs in hospitality and food service, SIRI requires a full employment contract. A job offer alone is not accepted in that sector.
Other documents typically include a copy of all pages of your passport, proof that the fee has been paid, documentation of relevant education and work experience, a CV where relevant, and proof of legal stay if you are already in Denmark. SIRI can also ask newly established companies for a set-up plan, cost overview, business plan and budget, and established companies for annual accounts, a staff overview and salary details for employees at the same workplace. Documents not in English, Norwegian, Swedish or Danish may need a professional translation.
Other conditions that can block a permit
Even with a qualifying salary and a correct contract, SIRI will refuse a permit in some situations:
- Legal labour conflict: a permit cannot be granted for a job covered by a legal labour conflict, such as a strike or lockout. Other jobs at the same company may still qualify if the conflict does not cover them.
- Missing authorisation: a regulated profession requires Danish authorisation or a temporary authorisation first.
- Family history of illegal work: SIRI can refuse if an accompanying family member has had a permit revoked more than once for working without a required work permit.
SIRI states that it carries out verification and spot checks, so the salary in the contract must be the salary actually paid. A permit granted on the basis of pay that is later reduced below the limit, or not paid into a Danish account, can be revoked.
The Supplementary Pay Limit Scheme
Alongside the ordinary scheme, Denmark has a Supplementary Pay Limit Scheme (den supplerende beløbsordning) with a lower annual salary threshold. Like the ordinary limit, the supplementary limit is regulated every year on 1 January and is published by SIRI. The lower salary comes with extra conditions that make this route narrower in practice:
- Unemployment condition: the seasonally adjusted gross unemployment rate must not have averaged more than 3.75 percent over the three months before you apply. If unemployment rises above that level, the scheme is closed to new applications until it falls again.
- Job advertising: the job must have been advertised on both Jobnet, the Danish public job portal, and EURES, the European job mobility portal, for at least two weeks before you apply, and the advert must not be more than six months old. The employer signs a declaration, and SIRI makes a spot check.
- Full-time: you must work full-time, which SIRI describes as usually 37 to 40 hours a week.
- Fines: you must not have received a fine of DKK 3,000 or more under certain laws in the two years before applying, or afterwards.
- Same job only: working in another position, even with the same employer, requires a new permit.
Pay must still be paid into a Danish bank account and meet Danish standards, and the same rules on what counts as salary apply. SIRI states that the normal processing time is longer than under the ordinary scheme, and that the permit can be granted for up to five years where the employment is that long. Note that the supplementary route is not on SIRI's list of permits that give access to the job seeking permit after a job ends.
How to apply for a Pay Limit Scheme permit
The application is made online to SIRI and involves both you and your employer. The steps SIRI sets out are:
- Create a case order ID. This is the reference that links your payment to your application. Commuters skip this step.
- Pay the fee. The fee covers SIRI's processing of the application. It is set by SIRI and shown on the scheme page, and fees are adjusted periodically, so check the amount on the day you pay. Commuters do not pay it.
- Gather the documentation. Collect the signed contract, passport copy, fee receipt and supporting documents, plus the full contract if the job is in hospitality or food service.
- Complete the application form. With form AR1, your employer completes the first part, and you complete yours. With form AR6, your employer completes the whole application alone under a power of attorney from you, using SIRI's approved template. SIRI estimates around 30 minutes. If you do not have MitID, the Danish digital ID, you can sign a sworn declaration by hand and attach it to AR1.
- Record your biometrics. Your facial photo and fingerprints must be recorded no later than 14 days after you submit. You can do this at a Danish mission abroad or, if you are in Denmark, at a SIRI branch office after booking an appointment. Missing the deadline can lead to rejection.
- Wait for the decision. You can follow the case in SIRI's online overview, where applications stay visible for 30 days after your last login. Your residence card is sent to your registered address in Denmark, so your name must be on the letterbox.
Once you arrive, you register at your local citizen service to receive a CPR number, which you need for tax, healthcare,e and the bank account. Our separate guide on applying for a residence and work permit covers the general procedure, fees, biometrics and CPR registration in more detail.
Processing time and when the permit starts
SIRI's scheme page currently states that processing normally takes one month, and up to three months if SIRI needs more information. SIRI updates its published processing times periodically, so check the scheme page when you apply. A complete application, with the right contract, fee receipt, and early biometrics, is the best way to avoid requests for more information.
When the permit is granted, its start date depends on where you applied from:
- From abroad: the permit can be valid from one month before you start work, if you declare that you can support yourself and any family during that time. Without that declaration, it is valid from 14 days before you start.
- From Denmark: the permit is valid from the first day of work.
Starting work before a decision
This is a common question, and the answer depends on the route you use.
New applications under the Pay Limit Scheme
For a first application under the ordinary Pay Limit Scheme, SIRI's page does not provide for starting work before the permit is granted. You should wait for the decision. Working without a permit is illegal employment in Denmark, with consequences for both worker and employer.
The Fast-Track pay limit track.
If your employer is certified by SIRI, the Fast-Track Scheme offers a pay limit track with the same salary threshold as the ordinary scheme. To be certified, a company needs at least ten permanent full-time employees and must meet Danish pay and conditions; SIRI publishes a list of certified companies that you can search by name or company registration number. The application must be submitted online by the employer.
The main advantage is speed. SIRI states that if you are from a visa-free country or hold a valid Schengen visa, you can receive a provisional work permit allowing a quick job start once your employer has submitted the application. SIRI's page describes the timing in two slightly different ways: the same day or the day after submission at the earliest, so confirm the details with SIRI. If you need a visa and do not hold one, SIRI normally decides about ten days after receiving a complete application with the fee and biometrics. On the Pay Limit track, SIRI states that the Danish bank account requirement no longer applies, and Fast-Track permits are exempt from the usual rules on lapse after long stays abroad.
Changing jobs under the job change rule
If you already hold a Pay Limit Scheme permit and move to a new job, the job change rule lets you start the new job on the day you submit the new application, without waiting for the decision. The application must be submitted no later than the day you start. If you start first and apply afterwards, you are not covered and must stop working until the new permit arrives. The rule also covers switching grounds for the same job, for example from the Pay Limit Scheme to the Fast-Track Scheme, provided you apply before the current permit expires. Our separate guide on changing employers on a work permit covers this in depth.
Bringing family members
A Pay Limit Scheme holder can bring a spouse, a registered or cohabiting partner, and children under 18 living at home. SIRI's page on accompanying family of employees sets out the conditions:
- Cohabiting partners must normally have lived together with the sponsor for a sustained period, which SIRI describes as about one and a half to two years, before applying.
- Each family member submits an individual application, with their own case order ID, fee, and biometrics.
- Family members must live at the same address in Denmark as the sponsor.
- Financial support documentation is not required where the sponsor holds a permit based on salaried employment.
- The family permit can last at most as long as the sponsor's permit.
An accompanying family member generally has the right to work in Denmark, to run their own business, and to study. A separate work permit is needed only to work for the sponsor's company or a closely linked company. Receiving public benefits under the Danish Active Social Policy Act can lead to revocation of the family member's permit and possibly the sponsor's.
Permit length and extension
How long the permit lasts depends on the employment:
- If the employment is for four years or more, you will normally receive a four-year permit.
- If the employment is shorter, the permit normally matches the length of the employment, with a job-seeking period of up to six months added automatically. You may not work during that period.
- A permit cannot run beyond three months before your passport expires, so a passport close to expiry can shorten it.
You must apply for an extension before the permit expires. At the extension stage, SIRI checks that you have actually been paid at the required level, including the holiday allowance received, and that the salary went into a Danish bank account. As explained above, you can continue under the pay limit that applied at your first application, but pay and terms must still meet Danish standards.
Within the same company, your job content can change, for example through a promotion or a change of location, without a new permit, as long as the salary and conditions still meet the threshold and standards. A move to a different employer always needs a new application.
Living in Denmark on the permit
A Pay Limit Scheme permit is tied to one job and comes with some practical limits:
- Side jobs: any paid sideline employment needs a separate permit. Unpaid voluntary work is allowed.
- Schengen travel: you can stay in other Schengen countries for up to 90 days in any 180 days, but you may not work there on the Danish permit.
- Time abroad: staying outside Denmark for more than six successive months, or giving up your Danish address, causes the permit to lapse. You can ask SIRI for a dispensation, for example for a long posting abroad.
- Public benefits: receiving benefits under the Active Social Policy Act is not allowed and can lead to revocation.
- Danish lessons: permit holders aged 18 or over with a registered Danish address can take free Danish education. People with work or study permits pay a deposit, which is forfeited if modules are not passed on time.
What happens when employment ends
Because the permit rests on a specific job, it does not survive the end of that job. You must inform SIRI if you lose or change your job, and the permit will be revoked when the employment ends.
If you lost the job through no fault of your own, for example because of cutbacks, you can apply for a job-seeking permit of up to six months. The deadline is strict: the application must be submitted no later than two days after your employment ends, meaning after the notice period has run out. SIRI asks for the dismissal letter or other proof of why the job ended. You must be living in Denmark, must not give up that residence, and must support yourself without social benefits. A fee applies, and biometrics must again be recorded within 14 days.
You may not work on a job-seeking permit. If you find a new job, you must submit a new application under one of the work schemes, and the job change rule lets you start once that application has been submitted. Holders of a Supplementary Pay Limit Scheme permit, or the Fast-Track supplementary pay limit track, are not covered by this job-seeking permit. Our separate guide on losing your job on a work permit in Denmark covers the process and options step by step.
Practical checklist before you apply
- Check the current pay limit on SIRI's page and compare it with the guaranteed salary plus labour market pension only.
- Remove bonuses, commission, car, phone, housing and canteen value from your calculation.
- If you are paid hourly, do not count the 12.5 percent holiday allowance on a first application.
- Confirm the contract is for at least 30 hours a week and states salary, hours, workplace, start date and termination terms.
- Ask whether the employer is covered by a collective agreement and whether it is certified for Fast-Track.
- Plan to open a Danish bank account in your name well within 180 days of arrival.
- Check whether the profession needs Danish authorisation before you apply.
- Book biometrics early so you meet the 14-day deadline.
The rules in this guide are set out in the Danish Aliens Act and in SIRI's practice, and they can change. Before any decision with legal or financial consequences, confirm the current conditions with SIRI.
Sources and References
- Pay Limit Scheme, SIRI New to Denmark
- Beløbsordningen (Danish), SIRI New to Denmark
- Beløbsgrænsen, the pay limit (Danish), SIRI New to Denmark
- Salary and terms of employment, SIRI New to Denmark
- Salary paid to a Danish bank account, SIRI New to Denmark
- Employment contract requirements, SIRI New to Denmark
- Supplementary Pay Limit Scheme, SIRI New to Denmark
- Den supplerende beløbsgrænse (Danish), SIRI New to Denmark
- Fast-Track Scheme, SIRI New to Denmark
- Certification of companies, SIRI New to Denmark
- Job change rule, SIRI New to Denmark
- Job seeking permit after employment ends, SIRI New to Denmark
- Accompanying family members of employees, SIRI New to Denmark
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This article is general information about the Pay Limit Scheme in Denmark and is not legal or immigration advice. Rules differ by nationality, scheme and occupation, and salary limits and fees change regularly. Confirm your situation with the competent Danish authority, such as SIRI or the Danish Immigration Service, before you apply.


