Basic (10-08)

GN 01747.020 Danish Social Security Benefits — Eligibility Requirements

A. Introduction

Danish Social Security benefits consist of two separate components:

1. Folkepension (FP)

The FP program, or first tier, is a non-contributory program that covers all residents of Denmark. The FP or “Social” benefit is paid in flat-rate amounts to people who meet certain residence requirements.

2. Labour Market Supplementary Pension (ATP)

The ATP program, or second tier, provides old-age benefits based on the length of time a worker contributes to the program but does not provide for disability benefits.

B. Policy — Worker

1. Retirement benefits

The eligibility requirements for Danish retirement benefits under the FP and ATP programs are as follows:

a. Folkepension (FP)

  • Full basic benefit at age 65 with 40 years of residence between ages 15 and 65.

  • Danish nationals must have resided in Denmark for at least 3 years between age 15 and 65 to receive partial benefits.

  • Non-Danish nationals must have resided in Denmark for at least 10 years between ages 15 and 65, 5 years immediately prior to entitlement or have been granted a Danish residence permit under article 7 or 8 of the Danish Aliens Act.

b. Labour Market Supplementary Pension (ATP)

An ATP benefit is payable at full retirement age to anyone who has contributed to the ATP program. (Full retirement age for people born July 1, 1939 to January 1, 1959 is age 65. Full retirement age increases gradually until it reaches age 67 for people born June 30, 1960 or later.)

NOTE: Wage earners in Denmark ages 16 to 65 with more than 9 hours of paid work per week pay ATP contributions (or those making voluntary contributions – GN 01747.015B. and GN 01747.015C.).

2. Disability benefits

The eligibility requirements for Danish disability benefits under the FP and ATP programs are as follows:

a. Folkepension (FP)

  • “Anticipatory Pension” (AP) plays the same role as disability and survivors pensions in most other countries. AP payments are income tested. Danish nationals, foreigners with 10 years of residence between ages 18 to 65 (5 in the last 10 years), refugees, employees and self-employed persons from European Union (EU) member States may be eligible for AP.

  • Prior to 2003, an AP pension was payable to persons aged 18 to 65 whose capacity for work had been reduced by 50 percent or more.

  • Starting January 1, 2003, an AP pension may be payable only where a person’s earnings capacity is permanently reduced to the point that the person cannot assure his or her subsistence.

b. Labour Market Supplementary Pension (ATP)

Disability benefits are not provided under the ATP program.

C. Policy — Dependents of Retired or Disabled Workers

There are no provisions under either the Folkepension (FP) or the Labour Market Supplementary Pension (ATP) for spouses or cohabiting partners, divorced spouses, or children.

D. Policy — Survivors

The eligibility requirements for Danish survivors’ benefits under the FP and ATP programs are as follows:

1. Widow(er)/cohabiting partner

a. Folkepension (FP)

Widow(er)-“Anticipatory Pension” (AP) is income tested and is payable if a spouse or member of a cohabiting couple dies and both were receiving a Social Pension benefit, the surviving partner remains entitled to the full amount of both partners’ benefits for three months after the date of death.

b. Labour Market Supplementary Pension (ATP)

The eligibility requirements for Danish surviving spouse/common law spouse benefits under the ATP program are:

  • Surviving spouse/common law spouse can become entitled to lump-sum ATP survivors’ benefits upon the worker’s death.

  • If the member contributed to the ATP prior to January 1, 2002, the surviving spouse (but not the common-law spouse) can qualify for a lump-sum benefit upon the member’s death in spite of the age of the member when the member dies.

  • If the member contributed to the ATP December 31, 2001, the surviving spouse or common-law spouse may qualify for a lump-sum benefit, provided the worker paid ATP contributions for at least two years. The common-law spouse can only become entitled to a lump-sum if the cohabiters have been registrated with ATP.

  • The lump-sum benefit for the surviving spouse/common-law spouse is reduced if the worker dies between ages 66 to 70 and is not payable if the worker dies after age 70.

2. Children

a. Folkepension (FP)

There is no provision under FP for children.

b. Labour Market Supplementary Pension (ATP)

The eligibility requirements for survivor’s children under the ATP program are:

  • Children can become entitled to a lump-sum ATP survivor’s payment upon the member’s death.

  • If the member contributed to the ATP prior to January 1, 2002, children under age 18 can qualify for a lump-sum benefit upon the member’s death in spite of the age of the member when the member dies.

  • If the member contributed to the ATP after December 31, 2001, children under age 21 may qualify for a lump-sum benefit, provided the worker paid ATP contributions for at least two years.

  • The lump-sum benefit is reduced if the worker dies between ages 66 to 70 and is not payable if the worker dies after age 70.

3. Lump-sum death benefit

Survivors may also apply to the Danish Ministry of the Interior and Health for a funeral benefit. This benefit is “income-tested”. To be eligible for this benefit, the pensioner must have been a resident of Denmark, an EU member State, Liechtenstein, or Switzerland at the time of death.

E. Procedure — Obtaining Additional Information about Danish Benefits

Advise individuals that SSA cannot give official information about Danish benefits. Refer those individuals who want official information to the following address:

 

Pensionsstyrelsen
Sortemosevej 2
3450 Allerød
Denmark

To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0201747020
GN 01747.020 - Danish Social Security Benefits — Eligibility Requirements - 02/27/2013
Batch run: 02/27/2013
Rev:02/27/2013