Moving to Denmark from US: A Guide for Expats

Denmark consistently ranks among the world’s happiest countries, offering a high quality of life, a robust social welfare system, and a progressive culture. This guide provides essential information on visa options, cost of living, employment opportunities, cultural integration, and practical steps for relocating to Denmark.
Why Move to Denmark?
Denmark has become a popular destination for expats for a variety of reasons — though there are also challenges worth keeping in mind.
Pros:
- Quality of life: Denmark offers a peaceful, safe, and relaxed environment, with residents enjoying a high standard of living.
- Robust healthcare system: The country provides effective, high-quality healthcare that is extensively subsidized by the state and benefits both residents and foreigners.
- Work-life balance: Danish work culture emphasizes a healthy balance between professional and personal life, contributing to overall well-being.
- Environmental consciousness: Denmark is a global leader in environmental sustainability. Its extensive cycling infrastructure and commitment to renewable energy foster a green and healthy lifestyle.
- Safety and low crime rates: The country boasts low crime rates, which provide a secure environment for residents and contribute to their overall sense of well-being.
Cons:
- Higher cost of living: Denmark is known for its high cost of living, particularly in cities like Copenhagen.
- Weather considerations: The climate can be cold, with long winters, which may require adjustment for some individuals.
- Cultural adjustments: Adapting to Danish social norms and customs may present challenges for newcomers.
Is Denmark a Good Spot for Americans?
Denmark offers a high standard of living, excellent public services, and a welcoming environment. However, there are clear potential challenges. Americans should weigh these factors carefully before starting a new life overseas.
Are You Ready to Move Abroad?
Choose the answer to each question that best describes you or your current situation, and learn how ready you are to start a life abroad.
Are You Ready to Move Abroad?
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You have an adventurous spirit but you may need to prepare a bit more to ensure a smooth transition abroad. Consider researching more about the cultural, legal, and financial aspects of living overseas. Check out our guide 25 Thing Every Expat Should Know
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Practical Steps to Moving to Denmark
Visa and Residency Options
Americans can enter Denmark visa-free for stays up to 90 days within a 180-day period for tourism or business purposes. For longer stays, specific visas or residence permits are required.
- Work permits: Necessary for employment in Denmark. Applicants must secure a job offer and meet eligibility criteria.
- Student visas: Require proof of acceptance from a Danish educational institution and sufficient financial means.
- Family reunification: Applicable for those joining a family member legally residing in Denmark.
- Residency for retirees: Denmark does not have a specific retirement visa; retirees must apply under other applicable categories.
Applications are processed by the Danish Agency for International Recruitment and Integration (SIRI). Detailed information is available on the official Danish immigration website.
Registering for a CPR Number
Obtaining a CPR (central person register) number is essential for accessing healthcare, banking, and other services. To register:
- Secure the appropriate visa or residence permit.
- Register your address at the local Citizen Service Center (Borgerservice).
- Receive your CPR number upon registration.
More information is available on the official Danish government website.
Banking and Setting Up Utilities
Opening a bank account requires a CPR number, proof of identity (passport), and proof of address. To initiate the process, visit a local bank branch.
After securing accommodation, you may need to set up utilities. Contact utility providers to learn about the electricity, gas, internet, and other services available. (Some landlords may include utilities in the rent, so be sure to clarify this beforehand.)
Cost of Living in Denmark
Denmark is known for its high standard of living, which is accompanied by a correspondingly high cost of living. Understanding the various expenses involved is crucial for Americans considering a move to Denmark.
Housing and Rent
Housing costs in Denmark vary significantly depending on location, with Copenhagen being the most expensive. The average monthly rent for a one-bedroom apartment in Copenhagen’s city center is approximately $1,700 USD, while outside the city center, it’s around $1,300 USD. For a three-bedroom apartment in the city center, rent can reach $2,000 or more.
In addition to rent, expect expenses such as utilities, which average about $215 per month for a standard apartment.
Groceries and Dining
Grocery prices in Denmark are generally higher than in the US. For example, a gallon of milk costs around $7.50, and a loaf of fresh white bread is about $2.85. Dining out is also more expensive; a meal at an inexpensive restaurant averages $21, while a three-course meal for two at a mid-range restaurant is about $105.
Transportation
Denmark boasts an efficient public transportation system, including buses, trains, and a metro system in Copenhagen. A one-way ticket for local transport costs about $3.35, while a monthly pass is approximately $84. Denmark is also renowned for its bike-friendly infrastructure, making cycling a popular and cost-effective mode of transportation.
Car ownership is less common due to high vehicle taxes and fuel costs. Gasoline is priced at about $7.55 per gallon.
Healthcare
Denmark offers a universal healthcare system funded through taxes, providing free access to general practitioners and hospitals. However, non-EU expats are advised to obtain supplemental health insurance to cover services not included in the public system, such as dental care and certain specialist treatments.
Working in Denmark: Job Market and Taxes
Denmark’s job market is robust, with an unemployment rate of approximately 2.6% as of 2024 — meaning almost full employment. This favorable economic climate presents various opportunities for expatriates, particularly in sectors experiencing labor shortages.
Job Opportunities for Expats
Several industries in Denmark are notably receptive to expatriate workers:
- Information technology (IT): Denmark’s status as one of the most digitized economies in the EU has led to a high demand for IT specialists. The country’s excellent IT infrastructure and thriving tech startup scene offer numerous opportunities for professionals in this field.
- Engineering: The industrial manufacturing sector actively seeks engineers, providing roles that often do not require proficiency in Danish.
- Healthcare: There is a significant demand for medical professionals, including doctors and nurses, due to labor shortages in the healthcare sector.
- Education: International schools and universities frequently seek educators, especially those who can teach in English or possess specialized expertise.
- Business and finance: Roles such as business analysts are in demand, with opportunities available for those with relevant qualifications.
For job hunting, resources like Work in Denmark, the official Danish employment service for international candidates, and job portals such as English Jobs Denmark and Jobs in English are valuable. Networking through professional platforms like LinkedIn and attending local industry events can also enhance job search efforts.
Understanding Danish Work Culture
In Denmark, workplaces often have minimal hierarchical structures, promoting open communication and collaborative decision-making. This is known as a “flat hierarchy.” Teamwork is highly valued, and employees are encouraged to contribute ideas and engage in collaborative problem-solving.
There is a strong emphasis on balancing professional and personal life with flexible working hours and generous vacation policies. Understanding and adapting to these cultural aspects can facilitate smoother integration into the Danish workplace.
Danish Tax System
Denmark operates a progressive tax system with the following key components:
- Labor market contribution: An 8% tax on all employment income before other taxes
- State income tax: Divided into bottom and top brackets, with rates of 12.01% and 15%, respectively
- Municipal tax: Varies by municipality, ranging from 22.5% to 27.8%
The combined marginal tax rate can be significant, but this system does fund extensive public services, including healthcare and education. To learn more, see this guide: Tax Guide for Americans Living Abroad in Denmark.
Denmark has double taxation agreements with the US to prevent dual taxation on income. It’s advisable to consult the Danish Tax Agency (Skat) or a tax professional to understand specific tax obligations and available deductions.
For highly paid professionals and researchers, Denmark offers a favorable tax scheme, allowing a flat income tax rate of 27% for up to seven years, provided certain conditions are met.
Living in Denmark: Culture, Language, and Community
Denmark’s rich cultural heritage, unique social norms, and strong sense of community offer expats a distinctive experience. Danish culture emphasizes modesty, equality, and respect for privacy. Social interactions are often reserved, and personal space is highly valued.
Punctuality is important, and it’s customary to address others informally, using first names. The concept of “hygge,” which denotes coziness and comfortable conviviality, plays a central role in Danish life, fostering a sense of well-being and contentment.
Learning Danish
While many Danes speak English, learning Danish is beneficial for deeper cultural integration and daily interactions. The Danish government offers free language courses to foreign residents through state-approved language centers, requiring a refundable deposit. These courses cover various proficiency levels and often include cultural orientation components.
Finding a Community as an American Abroad
Forming connections in Denmark may require effort, as Danes can be perceived as reserved. Engaging in local activities, joining clubs, and participating in community events are often useful ways to meet people.
Common Mistakes to Avoid
Relocating to Denmark offers numerous opportunities, but being aware of common pitfalls can facilitate a smoother transition. Here are some mistakes to avoid.
Underestimating Visa and Residency Requirements
Unlike some countries, Denmark does not permit visa-free resettlement for US citizens. Americans must secure appropriate visas, such as work, student, or family reunification visas, before relocating. Assuming that a US passport alone grants residency can lead to complications.
Overlooking the High Cost of Living
Denmark, particularly Copenhagen, has a high cost of living. Expenses for housing, food, and services are generally higher than in the US. Proper financial planning is essential to maintain your desired lifestyle.
Neglecting Language Learning
While many Danes speak English, relying solely on it can hinder full integration. Learning Danish is crucial for social and professional interactions and demonstrates respect for the local culture.
Overlooking Healthcare System Differences
Denmark offers universal healthcare, but certain services like dental care and some medications may not be covered. Understanding the healthcare system and securing necessary supplemental insurance is important.
Ignoring Tax Obligations
Denmark has a high-tax system that funds extensive public services. Familiarize yourself with Danish tax laws and any US tax obligations to ensure compliance and avoid legal issues.
Have Questions? Greenback Can Help!
Denmark offers an exceptional quality of life, making it an attractive destination for Americans seeking a new home abroad. Armed with these tips, you may find it easier to integrate into Danish society and enjoy all that this vibrant country has to offer.
If you would like some help managing your US taxes while living abroad or navigating Denmark’s tax regulations, Greenback is here to provide expert assistance. Contact us, and one of our Customer Champions will happily address all your concerns.
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