Payout & Taxes
Wolt handles your taxes for you, so you don’t have to manage this yourself. You now can leave the worries behind and still enjoy the other freedoms and flexibilities of being independent & self-employed.
This page is meant to give you an overview of the implementations and the updates that come with it.
On this page you will find information regarding how taxes will work in the future, what your payslip looks like, how tax cards work, payment cycle, breakdown in earnings and much more.
What is new?
Wolt is now responsible for paying your taxes for you. This means that you don’t have to worry and instead focus on delivering.
Your taxes are defined by your Tax Card. Therefore it’s important to understand the differences, and choose the right card for you.
We have replaced the invoice with a payslip, that now gives you a more transparent overview of your actual earnings after taxes.
With the new Payout and Taxes setup, we keep the old Payout Cycle you are used to, so it easy for you to know, when you are paid.
CVR, VAT & DVFA
It will no longer be possible to deliver with Wolt as a company, which means your tax deductions apply differently and DVFA must be personal.
In the past, Courier Partners have paid their own taxes to the Danish Tax Administration. Wolt will be responsible for deducting taxes and pay AM-Contribution (Arbejdsmarkedsbidrag) from your income, which should in general make things easier for you as a Courier Partner. This means that the amount you see on your payslip, is the amount that is left for you to spend after taxes.
This also means that you will receive A-Income instead of B-Income. Tax is withheld before payout and with B-Income you have to withhold tax yourself. Please be aware that this sort of relationship between you as a courier and Wolt only applies in a tax perspective. And you need to contact SKAT in order to get the best guidance.
You need to consider which tax card to choose, especially if you have multiple jobs.
It depends which one you earn the most from. If you get the most of your income from Wolt, then you should choose your Primary Tax Card (Hovedkort). And if you get the least amount of your income from Wolt, then choose Secondary Tax Card (Bikort)
We will automatically use your Secondary tax card (Bikort) to determine the withholding taxes. If you need to change your tax card, please contact Wolt Support. They will be able to help you out.
We introduce a new payslip for Courier Partners. The payslip will include a detailed overview of your earnings, and the tax deductions that are paid from your earnings. This will give you an overview of where your money goes – and to whom.
Previously, Courier Partners have received an invoice each month with the total amount before taxes. Now you’ll have a full overview of your total earnings, taxes based on these earnings, as well as earnings after taxes. This will give you a transparent overview of your earnings, and make it much easier to focus more important things.
As we approach the first payout around June 22nd 2023, you’ll receive more information regarding the payslip.
We will keep the Payout Cycle as we always had. In that way it is easy for you to know and expect when to get paid. As a Wolt Courier Partner, you receive your payout twice a month. You will receive your two payouts no later than the 10th or 25th. See the payout dates and cycles below:
- Deliveries made during the 1st-15th are paid to you no later than the 25th of the same month
- Deliveries made during the 16th-31st are paid to you no later than the 10th of the following month
- You will receive a payslip of your earnings in your e-mail/e-Boks
You can track your earnings in the app under “Finances” and “Payouts”.
CVR, VAT & DVFA
You can’t deliver with Wolt as a CVR-registered company, and you can no longer receive earnings with your CVR number and VAT-registered business. Instead, you will receive earnings as a private person, and all your earnings will be reported to the Danish Tax Authority (SKAT), under your registered CPR-number.
If you have registered your food delivery registration form (yellow page) called DVFA with your CVR in our system, you need to change this by sending an email to email@example.com – please contact our Support team via chat with your new form.
If you have a CVR number and VAT registered business that you only use for partnering with Wolt and wish to close your CVR company, you can read a guide on “how to do it” by clicking the link down below
How will this change affect my earnings?
Your net earnings will not be affected - you will however experience that your earnings will look smaller because taxes have already been paid, once you receive it into your account.
On the payslip you can, among other things, also see how much you have earned before tax, how much you have paid in tax and also how much you will be paid after tax. If you encounter any errors on your payslip you should contact Wolt by writing to Support and we will look into your case and see if there has been an error.
What is the tax rate in Denmark?
Your personal tax rate determines how much tax that we will withhold from your earnings. There are two main factors that determine your personal tax rate:
AM-contribution (“arbejdsmarkedsbidrag”) and the withholding rate (“trækprocent”).
1) AM-contribution is at a 8% fixed rate, and paid by everyone in Denmark who is employed. This is deducted before personal allowance is applied to the remaining salary.
2) Withholding rate is a percentage based on your income, the municipality that you live in, if you’re a member of the church and state tax. This is deducted after AM-contribution and personal allowance are factored in. It can range from 36-53% depending on income.
You can read more about taxes and your tax rate at Skat's website right HERE.
If you have any questions about your taxes, you will have to contact Skat. You can find their contact information right HERE 💙
What is a tax card and which tax card should I use for Wolt earnings?
The amount of taxes that we will withhold depend on which tax card that you use for your Wolt earnings.
- The Primary tax-card (“hovedkort”) usually includes various deductions, including your personal allowances and are usually used at your main income.
- The secondary tax-card (“bikort”) is just a flat tax rate without deductions; this is usually used on all secondary income sources.
If you have multiple jobs you should consider which one you earn the most from. A rule of thumb usually is if most of your income is from Wolt, choose your Primary tax-card (“hovedkort”). But if you have multiple sources of income and Wolt is not your main income, then choose the Secondary tax-card (“Bikort”).
Wolt will by default use your Secondary tax-card to determine the taxable amount that we will withhold from your earnings.
If you already had your documents approved during your onboarding, and do not want us to use your Secondary tax-card to determine your tax rate, then you will need to inform Support by reaching out to us through the Wolt Partner app.
What is a preliminary income assessment (forskudsopgørelse) and how do I report my earnings to SKAT?
It is important that the preliminary income assessment (Forskudsopgørelse) reflects your anticipated income. Until now, you have very likely paid B-income tax rates on your CP earnings from Wolt, however going forward, it is important that your tax card reflects that tax withholding is now being applied. Therefore, your previous business income on the preliminary income assessment should now be changed into A-income. This can be done online at SKATs website HERE, where you can amend the data yourself.
You will need to have a tax withholding percentage calculated. Otherwise Wolt is obligated to withhold tax at 58.6%. However, your final tax bill is settled each March and any overpaid tax will be paid out to you on your NemKonto. Thus, you should make certain that your preliminary tax assessment reflects the anticipated income pattern.
Will I be able to do tax deductions going forward?
You can no longer deliver with Wolt as a CVR-registered company. You can only deliver as a private person registered via your CPR-number, which means that you are most likely not entitled to claim tax deductions for your operating expenses eg. patrol, gas, expenses related to vehicle(s).
However, you will likely be able to claim transport deductions (“Befordringsfradrag”) for your transport between your home address and work, plus the distance traveled at work. To our best knowledge, you will be entitled to a transport deduction calculated in accordance with Section 9 C of the "ligningsloven" daily driving beyond the first 24 kilometers per day. The deduction for 2023 amounts is DKK 2.19 per km up to 120 km and then DKK 1.10 for the following km.
You must be able to document the driving that forms the basis of the deduction and must therefore register your driving daily in connection with doing deliveries.
The total deduction calculated for the entire year must be stated on your 2023 tax return in box 51 (field 417).
OBS: The ‘driving’ data you can find in your statistics tab in the partner app is all the kilometers that you’ve traveled in total when you were online and might not be equal to what you can use for transport deduction.
Please be aware that Wolt can not advise you on your individual transport deductions, please contact SKAT for more support. You can read more about this right HERE.
Will I continue to deliver as an independent courier partner?
Yes, it is important for us to emphasize that the tax ruling does not mean that you are now an employee of Wolt or that you will become one. Aside from withholding your taxes, we will continue to treat you as a freelance partner in all aspects of the partnership. We will not monitor or performance manage you in any way - and you still decide when, how and if to work. We are not moving towards full employment and we will do anything in our power to protect the freedom and flexibility that the vast majority of you appreciate highly.
This decision does not change any dialogues we have entered with 3F or any other unions. Our focus has always and will continue to be finding ways to better protect and offer flexibility to couriers.
And on a positive note, when Wolt withholds taxes from your earnings, you don't have to spend hours on administering the reporting of earnings and taxes to the authorities. We know that tax administration has been a burden and a hassle for some of you for a long time.
Why are Wolt not paying social securities such as ATP, barsel & holiday pay?
Because the decision by the tax authorities only covers your tax status. This is what is changing.
And while we believe in working towards a model where further social securities are included, we have to make sure that this is not included at the expense of the flexibility and freedom that couriers prefer when working with Wolt.
We continue to explore and work constructively for a solution that combines freedom, flexibility and the comfort of social securities.