Feriepenge is a vacation benefit that anyone who has worked, is currently working or is about to start working in Denmark should keep in mind. These are additional funds that are paid by the state to our NemKonto, as long as the employer has systematically contributed to this fund. Employees employed by Danish employers can use this benefit. It can be used to finance vacations or can be reclaimed when employment in Denmark ends.
The Feriepenge system, used in Denmark, is one of the few solutions of its kind in the world. Its implementation significantly improves the living conditions of workers, as well as the Danish labor market. The benefits of the system are also recognized by economists, as the improved quality of life for employees contributes to better health and well-being, which in turn can increase their efficiency and productivity at work. In addition to this, Feriepenge also supports the maintenance of a work-life balance, which has the effect of attracting professionals from different industries and countries to Denmark.
Feriepenge is a Danish vacation benefit that helps employees cover their vacation expenses. Its main purpose is to allow employed people to accumulate funds for vacation without straining their personal finances. With Feriepenge, employees can enjoy a variety of relaxation activities, from traveling abroad to visiting local tourist attractions.
Anyone legally employed in Denmark is entitled to this benefit. The employer remits 12.5% of the employee's gross salary to the FerieKonto office. Labor market contributions and any income tax are deducted from this amount, and the remaining amount is transferred directly to the employee's NemKonto via FerieKonto. The amount of Feriepenge depends on the gross salary and averages around DKK 10-15 thousand.
To be eligible for Feriepenge, you must meet several key requirements. First and foremost, you must be employed in Denmark and make regular contributions to the Danish social security system. It is also necessary for the employer to report the employee's vacation information to the relevant Feriepenge fund. In addition, the employee should be registered with the Danish labor office (Jobcenter) and be entitled to annual leave.
It is not necessary to have Danish citizenship to receive Feriepenge, but employment in Denmark and regular contributions to the Danish social security system are required. Even if you work part-time, you may be eligible for this benefit. The amount of Feriepenge will depend on your employment and the amount of time you have worked in a given year. For precise information, we recommend contacting the relevant Feriepenge fund.
An employee accumulates approximately 2.08 days of vacation for each month worked, which adds up to 25 days, or 5 weeks, per year. It is possible to take your vacation leave with some time delay. For example, if you work the entire year 2024, the accumulated vacation will be available for use from May 1, 2025 to the end of April 2026. It is important that at least three weeks of vacation be taken during the so-called holiday period, which by law runs from May 1 to September 30.
Feriepenge is usually paid out in the summer. However, if you need an earlier payout, it is worth contacting the relevant Feriepenge fund to discuss the situation. It is worth knowing that some funds may offer flexible withdrawal policies that take into account exceptional circumstances.
Receipt of Feriepenge for prior years depends on individual circumstances and regulations of the Feriepenge fund in question. In some cases, there is a specific time limit for claiming the outstanding benefit for previous years. It is recommended that you contact your Feriepenge fund directly for details.
To apply for a Feriepenge payment, you will need to fill out an application form and provide documents proving your entitlement to annual leave and employment. Required documents include:
- Information on the number of vacation days and the first day.
- The date of your last day of work, if your Feriepenge payment is related to leaving the Danish labor market.
- A copy of your employment contract, if you do not have a NemID, to confirm your right to a holiday payment.
Requirements may vary depending on the specific Feriepenge fund. For this reason, it is recommended that you contact the fund directly for exact information.
If you prefer an alternative to receiving Feriepenge, you should contact the relevant fund directly and inform them of your decision. There are alternative options, such as donating the benefit to community support or charity. We recommend that you consult directly with the Feriepenge fund to discuss your individual situation and find the best possible solution.
Any person legally employed in Denmark is entitled to Feriepenge. In order to qualify, an employee is required to work at least 240 hours per year. It is the employers' responsibility to report Feriepenge to the relevant tax authority. The Feriepenge benefit is part of a broad Danish social package, the main idea of which is to protect employees and their loved ones in the event of unforeseen situations, such as sudden job loss or health problems.
Employees in Denmark, according to the labor law there, receive a Feriepenge of 12.5% of their gross annual salary. This additional financial benefit is available to all working people and can be used during vacation. The amount is taxed at about 8%, which in practice means that the employee receives 92% of the amount due into his bank account.
Those who are paid on a piecework or commission basis may experience some difficulties in obtaining the Feriepenge benefit. Workers on commission or work contracts are not entitled to Feriepenge unless the contract contains a clause to that effect. When an employee is not planning a vacation or is collecting unemployment benefits, the certificate is also not paid. Those who have resigned or been fired are also not entitled to Feriepenge. If you change jobs, your previous employer is responsible for paying the accumulated funds. To analyze your individual situation, it is recommended that you consult your employer or seek advice from a specialist in Danish labor law.
The Feriepenge application process is relatively easy and can be quickly completed electronically. All you need to do is log on to borger.dk, using your NemID, and fill out the appropriate forms. If you are still employed, the document will need to include the days of annual leave used or the date you left work in Denmark. After logging in, follow the displayed instructions. Your application is then sent to the payer of your vacation benefits, which can be either Feriekonto or your employer - information can be found by logging into your account. Once the application is approved, the entire process ends with the Feriepenge funds being paid out to the taxpayer's NemKonto, the account designated for settlements with Danish authorities.
The appropriate place to submit the application is indicated in the letter from the Feriekonto office. Such a document should reach the applicant at the beginning of the year or at the end of December. The letter contains information on, among other things, the number of vacation days to be taken, the daily rate and the amount accumulated. In addition, the letter indicates whether the application should be submitted directly to the employer or to the Feriekonto office. With this information, it is possible to recover funds for up to 2-3 years back.
To apply for a Feriepenge payment, follow the steps below:
I. First, check which Feriepenge fund you are assigned to.
II. Then contact that fund to obtain a Feriepenge withdrawal request form.
III. The form should be carefully filled out and sent to the fund by the deadline.
IV. After submitting the application, await confirmation of receipt and further information regarding Feriepenge payout.
When filling out the employee's information, follow the guidelines below:
Start with the name of the person applying for Feriepenge payment. The employee's number, if it is on the leave statement received from Feriepengeinfo, should also be entered (otherwise skip this step). The CPR number, the Danish equivalent of the PESEL, which consists of 10 digits, should also be included. Information about the employer's name can be found on the contract, usually in the upper left corner, where the stamp is placed. You also need to enter the SE number, which is the Danish equivalent of the NIP and appears on the contract (also in the upper left corner). Finally, under “Paid by,” write FERIEKONTO.
When selecting a reason for applying for vacation money, fill in only one of the following boxes:
- If you are currently on vacation or have been on leave, select that reason and enter the first day of vacation and the number of vacation days (you are entitled to 2.08 vacation days for each month of work).
- If you leave the Danish labor market, select the appropriate reason for termination of employment, with the last day of work being the day in line with the date of termination or the day specified in the contract.
Here is additional information to be included:
- Date of application.
- The Central Population Register applies to those who have registered their residence in a municipality in Denmark and obtained registration there.
- At the end of the application should be the employee's handwritten signature.
When sending in your application, you can use two methods:
1. To apply using the application at blanket.virk.dk, type the message “Application for payment of feriepenge” in the appropriate field. Then attach the completed form as an attachment. It is also important that you provide your contact information, such as your name, CPR, address, phone number and email. Once you are sure that all the information you have entered is correct, click the SEND button.
2. Alternatively, you can send your application by mail to: Feriepengeinfo Kongens, Vænge 8, 3400 Hillerød, Denmark.
The time it takes to process a Feriepenge application varies depending on where it is submitted. If you submit the application to your employer, processing usually takes a few days. If the documents are submitted directly to Feriekonto, the processing usually takes between 1 and 3 weeks. However, for applications directed to private funds, the waiting time is difficult to predict, as it depends on the number of applications and the servicing capacity of the specific company.
In the absence of automatic disbursement, you can initiate the payment of vacation funds yourself. To do so, fill out the appropriate form and submit it through the application available at blanket.virk.dk.
If you don't qualify for Feriepenge, it's worth considering other options:
- Reach out to the Feriepenge fund to see if there are alternatives or programs available for those who do not meet the typical requirements.
- Additionally, see if you can apply for other forms of financial support or vacation benefits.
- It's also a good idea to plan your vacation expenses in advance so that you're ready for any possible lack of additional financial support from the state.
Our experts handle the verification of documents, their submission to the Danish authorities and correspondence with the authorities on behalf of our clients. If you need support in obtaining Feriepenge, you are welcome to use our services.
Feriepenge is a benefit that is accumulated throughout the working year and is usually paid before the start of vacation, usually in the summer months such as June or July. The timing of the payment of this allowance depends on the employer and individual arrangements between the employer and the employed employee. To receive Feriepenge, the employee should prepare a short document in Danish or English indicating the months for which he or she would like to receive this benefit. A scan of a valid ID card should also be attached to the form.
The Feriekonto money can be paid out at the earliest one month before the employee's planned vacation, upon prior submission of the appropriate application. If the reservation of vacation funds is made less than four weeks before the start of the planned vacation, the payment will be made within four working days. Disbursement of funds is usually made 8-10 weeks after the end of the pay month. However, please note that if you change your place of work or type of employment, the Feriepenge payout date may be extended.
The exact amount an employee can expect to recover depends on several issues. First and foremost, it depends on whether you are trying to cover a vacation that you have already had, or whether you are terminating your employment in Denmark and want to receive all the funds that have been accumulated for this purpose so far. The Feriepenge, if used, covers the number of vacation days in a given year, and the sum of funds corresponds to the number of days multiplied by the value of each day. The authority determines the value of a day by dividing the total amount of accumulated funds by the number of possible vacation days. In practice, it is often found that the value of a day can vary from several hundred to even several thousand Danish kroner, depending on the individual situation.
Upon termination of employment, an employee may request a cash payment for unused Feriepenge. In order to recover the funds after termination of employment in Denmark, one must apply for payment of the entire accumulated amount from the holiday fund, as one leaves the Danish labor market permanently. In this situation, all accumulated funds should be paid out, regardless of how much vacation was taken.
In order to get a refund from previous years, you need to contact one of the private vacation funds. Since there are many such funds, it is advisable to check individually to which one your funds have been transferred, and make the appropriate request there. In addition, it is also possible to carry over unused vacation pay to the following year, which is also what a large number of employees in Denmark choose to do.
It may happen that, as an employee, you will encounter a situation in which your employer does not pay your salary or vacation pay on the previously agreed date. There can be many reasons for this situation, from technical errors to a lack of willingness or ability to pay on the part of the employer. In order to recover outstanding debts, the next steps will depend on the reason for non-payment. To find out for what reason you have not been paid, contact your employer directly. Regardless of the answer given, it is important to take action as soon as possible and not delay. Delay can lead to a complete loss of entitlement in the Salary Guarantee Fund (Lønnsgarantien).
Our company specializes in supporting employees in obtaining vacation benefits in Denmark. We offer expert assistance in completing Feriepenge applications. With us, you can count on a fast, safe and hassle-free way to receive the benefits you are entitled to in Denmark.