Parents of children under 18 years in Denmark are entitled to a tax-free benefit called Child and Youth Benefit. The benefit is differentiated according to the child's age, and since 2014, the benefit is reduced by 2 per cent. of the portion of income exceeding DKK 818,300 (in 2021) for each parent. In addition to the child and youth benefit, child allowance is awarded to single parents, children of pensioners, children where the father has no obligation to contribute, children of widowed parents, children who have lost a parent, parents of children born simultaneously (twins etc.), parents who are studying and parents on reduced cash benefit.
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