The Danish welfare society is built on a mutual agreement between the citizens and the state.

Citizens contribute by working and paying taxes, while the state provides a safety net, ensuring help for those who cannot support themselves.

The state takes responsibility for the well-being of its citizens, ensuring they feel safe and can thrive by offering free education, healthcare, and support during unemployment, disability or old age.

The welfare system is primarily funded through taxes. Around 30% of Denmark's total income goes to social programs.

The tax system is progressive, meaning those with higher incomes pay a larger percentage in taxes. Additional revenue is generated from value added tax (VAT), and special taxes on items such as cars, gasoline and alcohol.

Citizens have equal access to public services such as healthcare.

Some benefits like housing support and cash assistance are based on income and financial need. The welfare system also includes support for families with childcare services and financial aid, while also ensuring free schooling and higher education, and economic support during studies