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Pensioners with maximum period of former occupation. APW-couple
The two pensioners have the same age, and both retire 67 years old
The public pension for the APW-couple is twice the basic amount for the single
pensioner and twice the ’supplement’ for married pensioners that is 2 × 45,720 + 2
× 20,088 = 131,616 DKK. The ’personal supplement’ is received according to eco-
nomic needs. Here it is assumed that this is the double amount of what the single
pensioner receives, in total 4,400 DKK. There is no ’special supplement’ for the
couple.
It is assumed that the couple has been members of the additional pension scheme as
long as possible (since april 1964), the husband on full time working basis, the wife
on part time working basis. The combined pension from this source is 25,872 DKK
in 1997, 15,528 DKK for the husband and 10,344 DKK for the wife.
The disposable income for the APW-couple as pensioners is 135,776 DKK in public
pensions (the ’personal supplement’ is reduced by 240 DKK, due to means testing)
plus 25,872 DKK in additional pension minus 40,306 DKK in personal tax, in total
121,342 DKK.
The net compensation percentage is 121,342 / 222,394 × 100 = 54.6.
The decrease in disposable income compared to the APW-couple is 45.4 per cent.
’Standard’ income events in connection with children
1-3.
The APW-couple has 1, 2 or 3 children
Child no. 1 (6 years old). The family allowance is 9,400 DKK in 1997. Compared to
the situation without children the increase in disposable income is 9,400 / 222,394
× 100 = 4.2 per cent with 1 child (6 years old).
Child no. 2 (3 years old). The family allowance is 9,400 DKK in 1997. Compared to
the situation without children the increase in disposable income is (9,400 + 9,400)
/ 222,394 × 100 = 8.5 per cent with 2 children (6 and 3 years old).

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Child no. 3 (1 year old). The family allowance is 10,500 DKK for infants (0-2 years)
in 1997. Compared to the situation without children the increase in disposable
income is (9,400 + 9,400 + 10,500) / 222,394 × 100 = 13.2 per cent with 3 children
(6, 3 and 1 year old).