Ah, thank you very much. I see now that I did not update the editor correctly when trying other ISO standards, and thus did not realize ISO-8859-1 = Latin1.
Adding % !TEX encoding = ISO-8859-1 to the beginning of files did the trick.
my TeXworks installation does not offer Latin 1 encoding as an optional encoding in editor options. I would like to have this due to collaboration with other people using TeXMaker editor with latin1 encoding (æøå characters are translated into �).