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Which package is good for foreigner Expat or Local for longterm stay?

Hi Guys,

I am seeking out some help from you urgently and I would be Thankful for your quick responses.

I got an offer from an Energy company and I have one week to decide on my offer. They are offering a Senior Technical Position and salary of 51000 DKK a Month and initial accomodation for 3 months. However, they are saying that I will be taxed on the accommodation + travel expenses (which is weird ). When I moved Malaysia, everything was taken care by company for a month.

I googled a lot since last Friday and found out that the package they are offering is a Local contract whereas if I join the company on Expat package then my tax rate would be less as well as I don't need to pay any tax on Accommodation etc. to the Income Tax authority. I also tried reaching out some ex colleagues but they themselves don't know much about it and suggested to raise it here.

So, I have some major queries:

1- Is 51K DKK is sufficient for a family of 3 (including 2 years old child)  considering she goes to Daycare which seems to be 3K a month as an expense. I would like her to indulge in the local culture because I am not sure how long we will stay there in Denmark.

2- What are the benefits of Local package over Expat one as my hiring manager &  HR were trying to sell a story that if I come on Local package I can avail several benefits and chances to get PR would increase? Considering I would like to stay in a country now for next 5 years as with a child moving here and there is not easy.

3- How much rent should I expect for a two bedroom apartment in Gentofte Area?

4- Can I rent a car for 3-6 months period and if yes then can you please share some reliable websites or contacts?

I am tired of reading about Expat & Local packages etc. kindly help.

Thank you for your answrs....eagerly waiting.... :)

/Mridul

If  the company pays you free travel and housing, it is just another kind of income why it has to be taxated.

Others may be better to help you as I haven't heard about an expat package. Are we talking of an internal transfer? In that case, taxation may be different.

There are a special taxation for researchers and highly paid employees, but it provides a higher pay.
https://www2.deloitte.com/content/dam/D … Scheme.pdf
https://home.kpmg.com/xx/en/home/insigh … e-tax.html

http://www.expatindenmark.com/livingind … fault.aspx

51,000 kroner is indeed very fine, but maybe some negotiation would give you 2-3,000 kroner more per month. Always test the limits.

It is very difficult to find housings in the Copenhagen area. At least cheap ones. The only available are new and therefore expensive apartments. It is a fine offer to get initial accommodation for the first three months, but ask the HR if they can help you further. There aren't many apartments to find in Gentofte, but maybe the neighbouring municipalities, Lyngby-Taarbæk and Gladsaxe, will be just as good. My best bid is that you shall not expect to find an apartment under 10,000 kroner. It is probably more realistic to expect 12,000 kroner plus utilities. If we assume you settle down in Gladsaxe, the tax will be 249,474.48 kroner based on a yearly income of 630,000 kroner, one child, and that your spouse doesn't work.

Cars are expensive in Denmark, and you may find them expensive to hire, too.
This is just a random company to give you an idea of the cost level.
https://www.budget.dk/minilease.html

Car share:
https://gomore.dk/biludlejning?pickup=2 … ithin=6.09

The pay is good, and if you should like to move to Denmark for some time, I wouldn't hesitate accepting the offer as it is.

/Nellie

Thank you Nellie for kind response, I found it really helpful. Still awaiting some responses on Expat & Local package difference / benefits. Lets see if someone knows about it clearly.

Good Day!!

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