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My subsidy has been recalculated - what does that mean?

The City of Aarhus is automatically notified by the Danish Tax Agency (Skattestyrelsen) if your income changes. If the change of income affects the subsidy you receive, your payment will automatically be regulated for each month.

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    However, if your income changes permanently for instance from SU to unemployment benefits or from unemployment benefits to a salary or another significant change. 

    We regularly recalculate your free or subsidised childcare place, when your income rises or falls at least five points on the placement scale, in relation to the income which your free or subsidised childcare place was based upon.

    The five points correspond to a change in your household's total income of approximately 1,850 kroner per month, before tax (2024).

     

    If you must pay more, because your household's total income is higher than on your license, you will receive a letter about the change. If you disagree with the regulation we have sent to you, you can object to it. The objection must be sent eight days after you have received the letter at the latest.

    If you are having a refund, because your household's total income is lower than on your license, you will also receive a letter. If you disagree with the regulation we have sent to you, you can object to it by sending an e-mail via digital post. The objection must be sent eight days after you have received the letter at the latest.

    It will be up to three months before your payment is regulated.

    Example: January's subsidy is recalculated in February, and it is regulated in the payment for April.

    If the combined income of your household changes often you may experience that your subsidy and thus your payment changes from month to month.

    This may apply to:

    • students
    • if you're on benefits
    • if you're paid every fortnight instead of monthly
    • if you have varying income from different jobs
    • if you're paid by the hour or per job

    Your free or subsidised childcare place is only recalculated when your household's total monthly income rises or falls with an amount that corresponds to at least five points on the childcare placement scale (approximately 1,850 kr. before tax per month in 2024). Smaller rises or falls in your household's total monthly income will be part of an annual readjustment of your free or subsidised childcare place.

    If you have lost your free or subsidised childcare place for more than three consecutive months because your household's total income exceeds the income limit for a free or subsidised childcare place, your childcare place will automatically be cancelled.

    In the third recalculation letter, you will be informed about the cancellation of your free or subsidised childcare place.

     

     

    Your holiday allowance counts as income, in the month where it shows in the income register. This means when it is paid out, or when it is assigned to Feriekonto (holiday account).

    For most employees, this means that the free or subsidised childcare place will be recalculated in April or May.

    If you change jobs during the year, your holiday allowances will count as income in the month where they are paid out to you, or when they are assigned to Feriekonto.

    If you are self-employed, there will be no automatic recalculation of your free or subsidised childcare place during the year. All regulations for self-employed are carried out with the annual readjustment. As self-employed, your regulation will be based on your household's total annual - not monthly - income.

    Last updated: 15. February 2024