What is required to make payslips for your employees when we do the payroll?
Before we can prepare the payroll and make payslips for your employees, your company must be registered as an employer. In Danish, this type of registration is called “arbejdsgiverregistrering”. You can check on the tax office website SKAT Erhverv if your company is registered as an employer. This is shown on the registration document for the company. If you are not registered as an employer, we can help you with this.
Is your company registered as an employer?
Before we can prepare the payroll and make payslips for your employees, your company must be registered as an employer.
In Danish, this type of registration is called “arbejdsgiverregistrering”.
You can check on the tax office website SKAT Erhverv if your company is registered as an employer.
This is shown on the registration document for the company.
If you are not registered as an employer, we can help you with this.
We use a payroll system which helps manage the calculation of salaries, employee tax, holidays etc.
For smaller companies we recommend to use Danløn.
For larger companies we recommend to use Bluegarden which provide more customisation options.
Information we need to create a Danløn or Bluegarden account for you
We need the following information relating to the company:
– Company registration number (CVR-number);
– Sort code and bank account number for the company bank account.
A transfer agreement (“Overførselsservice”) needs to be signed by you
You will receive a transfer agreement by mail.
In this mail, you will find instructions on how to sign the transfer agreement.
The transfer agreement enables the payroll system to automate transfers of salaries and taxes to employees and the tax office.
Deadline for sending payroll information for salaries
Payroll information should be delivered to us as soon as possible each month to make the payslips on time.
We’d like to receive the payroll information by the 20th of each month.
Special information for hourly-paid employees
This deadline on the 20th of each month means that hourly paid employees should not be offered the calendar month as their salary period.
There is simply not enough time to count hours from the 1st to the 31st because it leaves no time to make a payslip.
We recommend calculating the worked hours from the 15th to the 14th of each month, so you’ll have about a week to submit the information to us.
What information do you need to send regarding new employees?
We need the following information relating to all new employees:
– Name of the employee;
– Address of the employee;
– CPR number of the employee;
– Sort code (reg) and bank account number of the employees bank account;
– Which tax card we are to use (“hovedkort”, “bikort” or “frikort”);
– Contract of employment.
NB: If you have not made a contract of employment with the employee, then you need to inform us if the employee is hired under the rules of a “funktionær” or “ikke-funktionær”, otherwise we are unable to calculate holidays correctly.
Remember that a contract of employment is required by law.
Failing to have a contract of employment can end up in a fine.
What information do you need to send regarding the payroll when ordering salaries?
We need the following information relating to the payroll:
– Salary period;
– Amount of hours worked;
– Rate per hour (for hourly-paid employees);
– Gross salary (for full-time employees);
– Fringe benefits (free usage of telephone, free usage of car, lunch and more).
Sole shareholder and director – do you need a contract?
As a sole shareholder and director, you must also have a contract with the company regarding your employment.
Having employee insurance is required by law.
When you have employees, you need to prepare an “APV”, a workplace evaluation.
This should be prepared with the employees.
(This blog was updated: 1.9.2022)