Austria's Social Welfare System: Overview

Austria runs an insurance-based system. If you work as an employee and earn more than the marginal-earnings threshold (Geringfügigkeitsgrenze, €551.10 a month in 2026), you are compulsorily insured for health, accident, pension and unemployment. Your employer registers you, and the Austrian Health Insurance Fund (Österreichische Gesundheitskasse, ÖGK) collects all contributions and passes them on. In 2026 an employee pays about 18.07% of gross pay and the employer about 22.51%, up to a maximum contribution base of €6,930 a month. Below the threshold you are only insured against accidents at work. Family benefits are paid from federal funds by the tax office (Finanzamt Österreich). Social assistance and housing aid are run by the nine Länder, so the rules differ from one Land to another. Where a Land example is needed, these pages use Vienna.

First registrations for newcomers:

• Residence registration (Meldezettel): register at the registration office within 3 days of moving into a home. Failing to do so can cost a fine of up to €726.
• Residence status: EEA and Swiss citizens staying longer than 3 months apply for a registration certificate (Anmeldebescheinigung) within 4 months of arrival. Third-country nationals need a residence title (Aufenthaltstitel).
• Social insurance: after registration you receive a social insurance number and an e-card (service fee €25 for 2026). The ID Austria digital identity gives you access to online services such as your pension account.

The areas at a glance

• Health: compulsory ÖGK insurance; contribution 7.65% of pay, shared with your employer; prescription fee €7.55 per pack (2026).
• Pension: pay-as-you-go state pension; contribution 22.8%; pension age 65 (rising step by step for women); at least 15 insurance years.
• Unemployment: Arbeitslosengeld of 55% of previous net income for 20 to 52 weeks, then Notstandshilfe.
• Family: Familienbeihilfe of €138.40 to €200.40 per child per month plus a Kinderabsetzbetrag of €70.90 (2026).
• Tax: progressive income tax from 0% to 55%; the first €13,539 is tax-free (2026).
• Housing: rent law (MRG) protects many tenants; a deposit of 3 months' gross rent is usual; Land housing allowance.
• Education: 9 years of compulsory school from age 6, a compulsory free kindergarten year at 5, and education or training until 18.
• Parental: 8 weeks of maternity protection before and after birth with Wochengeld, childcare allowance, and parental leave until the child turns 2.

Things to watch

• Third-country nationals generally receive social assistance only after more than 5 years of lawful residence. Vienna's housing allowance has a similar rule.
• Since 1 January 2026, people on unemployment benefit may keep a marginal job only in a few exceptions.
• Most amounts are adjusted every year. Check the current figures before you apply.

Official guidance: oesterreich.gv.at, ÖGK: social insurance contributions, Social insurance: values 2026, Registration duty for third-country nationals

Health Insurance in Austria

Austria's health care is paid for mainly by compulsory public health insurance. Most employees, unemployed people and pensioners are insured with the Österreichische Gesundheitskasse (ÖGK). Self-employed people are insured with their own fund, the SVS. You do not choose or sign up for a fund yourself: your employer registers you, and the contribution of 7.65% of gross pay (3.87% paid by you, 3.78% by your employer, 2026) is deducted automatically. Your key to treatment is the e-card. Show it at every doctor's visit. Its back is the European Health Insurance Card.

Who is covered and how

• Employees earning above €551.10 a month (2026) are insured automatically. Below that amount you are only insured against accidents at work.
• Family members (Mitversicherung): children are co-insured with a parent until the day before their 18th birthday, and longer in some cases. A spouse, registered partner or partner can often be co-insured, usually for a contribution. Family members must live in Austria and must not have their own compulsory insurance.
• Voluntary insurance (Selbstversicherung): if you have no other cover, you can insure yourself with the ÖGK for €565.25 a month (2026). Third-country nationals need a valid residence title. Benefits start after a 6-month waiting period, unless you were insured in Austria, an EU/EEA country or an agreement country just before.

Doctors and referrals

• Contract doctors (Vertragsärzte) bill the ÖGK directly, so you pay nothing for most treatment when you show your e-card.
• In each quarter you can see one GP and one specialist per field without a referral. CT and MRI scans and hospital outpatient clinics need a referral (Überweisung), except for first aid.
• Private doctors (Wahlärzte) have no contract. You pay the bill and claim back up to 80% of what the ÖGK would have paid a contract doctor. Because private fees are higher, you usually get back much less than 80% of the bill.
• Outside surgery hours, call the health advice line 1450.

Costs you pay yourself

• Prescription fee (Rezeptgebühr): €7.55 per pack (2026). Once your prescription fees reach 2% of your annual net income (at least €314.01), you are exempt for the rest of the year. People on low incomes can apply for a full exemption.
• e-card service fee: €25 for 2026, collected in November 2025. People exempt from the prescription fee do not pay it.
• Hospital: the ÖGK pays for the general ward of a public hospital. You pay a daily contribution for up to 28 days a year, and private-class extras yourself.

Common pitfalls for newcomers

• Outside emergencies and substitutes, you can see only one contract doctor per field each quarter. If you also see a private doctor of the same field in that quarter, the ÖGK refunds nothing.
• A marginal job (Geringfügigkeit) alone does not give you health cover. Check whether you need co-insurance or voluntary insurance.
• Apply for voluntary insurance within 6 weeks after other cover ends, so that it follows on directly.
• Vaccinations that are not part of a treatment, and medical certificates for sports or work, are usually not covered.

Official guidance: ÖGK: contract doctors, ÖGK: private doctors, ÖGK: prescription fee, ÖGK: co-insurance, ÖGK: voluntary insurance

Pensions in Austria

Austria's statutory pension is a pay-as-you-go system: today's contributions pay today's pensions. Employees are insured with the Pensionsversicherungsanstalt (PVA), and the contributions are collected together with the other social insurance contributions. The pension contribution is 22.8% of gross pay (10.25% paid by you, 12.55% by your employer, 2026), up to the maximum contribution base. Since 2014 every insured person has a personal pension account (Pensionskonto), which you can check online with ID Austria.

How the state pension works

• Pension account: each year, 1.78% of your gross income (up to the maximum contribution base) is credited to your account, and the credits are revalued in line with average wage growth. At pension age, the total credit divided by 14 is your gross monthly pension.
• Minimum insurance period: at least 180 insurance months (15 years), of which at least 84 months (7 years) must come from work. Some care periods count as work.
• Pension age (Regelpensionsalter): 65. For women it is rising step by step from 60 to 65 since 1 January 2024. Women born on or after 1 July 1968 retire at 65.
• Later or earlier: each year you defer adds 5.1%, for up to 3 years. The corridor pension (Korridorpension) allows early retirement with deductions. Since 2026 its minimum age is rising from 62 to 63, and the required insurance from 40 to 42 years. A partial pension (Teilpension) has been available since 1 January 2026.

Minimum income for pensioners

If your total income, including your partner's, is below a set level, the Ausgleichszulage tops up your income to the reference rate: €1,308.39 a month for a single person and €2,064.12 for a married couple (2026). It is paid only if you live lawfully and habitually in Austria.

Occupational and private provision

The state pension is the main pillar. In addition, employers pay 1.53% of pay into a company provision fund (Betriebliche Vorsorge) for every employee (2026). Company pension plans and private savings are voluntary extras and depend on your employer and your own choices.

Working in more than one country

Within the EU, EEA and Switzerland, Regulation (EC) No 883/2004 coordinates pensions: insurance periods in each country are added up to meet the minimum periods, and each country pays a pension for its own periods. The United Kingdom is covered by similar rules. Austria also has bilateral social-security agreements with other countries. For pensions, these include Australia, Canada (including Québec), India, Japan, the Republic of Korea, Serbia, Turkey and the USA (August 2026 list). Coverage varies by agreement, so check the official list.

Common pitfalls for newcomers

• You need 15 insurance years, 7 of them from work, for any Austrian old-age pension. Periods in an EU or agreement country can help you reach this.
• A marginal job does not build pension rights unless you opt into voluntary insurance (Selbstversicherung).
• Check your pension account early and report missing periods, such as child-raising or work abroad.
• The Ausgleichszulage stops if you move your residence abroad.

Official guidance: PVA: old-age pension, Social Ministry: overview of social-security agreements, August 2026 (PDF), Social Ministry: insurance in several countries

Unemployment Benefits in Austria

Unemployment insurance is part of Austria's compulsory social insurance. Employees pay 2.95% of gross pay, and the employer pays the same. People on low incomes pay less: nothing up to €2,225 a month, 1% up to €2,427 and 2% up to €2,630 (2026). The Public Employment Service (Arbeitsmarktservice, AMS) pays the benefits and helps you find work. You apply online through eAMS/MeinAMS or at your local AMS office. Benefits are paid at the earliest from the day you register with the AMS.

Unemployment benefit (Arbeitslosengeld)

• Conditions: you are unemployed, able and willing to work, available for at least 20 hours a week (16 hours if you care for a child under 10 and have no childcare), and registered with the AMS.
• Qualifying period (Anwartschaft): generally 52 weeks of insured work in the last 24 months. For a repeat claim, 28 weeks in the last 12 months are enough. People under 25 claiming for the first time need 26 weeks in the last 12 months.
• Amount: the basic amount is 55% of your previous net income, based on your monthly contribution records (gross pay is capped at €6,825 a month for this calculation, 2026). A family supplement of €0.97 a day is added for each dependent child (2026). If the basic amount is below the pension reference rate, the AMS may add a top-up (Ergänzungsbetrag).
• Duration: 20 weeks; 30 weeks after 3 years of insured work; 39 weeks if you are 40 or older with 6 insured years in the last 10; 52 weeks if you are 50 or older with 9 insured years in the last 15.

Emergency assistance (Notstandshilfe)

When your unemployment benefit ends, you can apply for Notstandshilfe within 5 years. It is generally 92% of your basic unemployment benefit, or 95% if that amount was at or below the pension reference rate. Your other income, such as rent or capital income, is taken into account. It has no fixed end date, but you must apply again every 52 weeks.

Social assistance (Sozialhilfe / Mindestsicherung)

If you have no other means, the Länder pay means-tested social assistance. You must first use your own savings above a protected amount of €7,379 per person (2026), and you must be willing to work. Third-country nationals generally qualify only after more than 5 years of lawful residence. EU/EEA citizens qualify fully as workers or after 5 years. Vienna (2026) pays up to €1,229.89 a month for a single adult aged 25 or over, €860.92 per adult in a couple, and €332.07 per minor child.

Common pitfalls for newcomers

• Register with the AMS on your first day without work. Since 1 July 2025 you must also re-register immediately after any break (for example a trip abroad or sick leave), or the payments stop until you do.
• Since 1 January 2026 you may keep a marginal job alongside AMS benefits only in five exceptional cases.
• Report any change in your income or circumstances to the AMS at once, or it can reclaim payments.
• Insurance periods from other EU/EEA countries or Switzerland can count towards the qualifying period. Ask the AMS which proof you need.

Official guidance: AMS: unemployment benefit, AMS: emergency assistance, AMS: key values 2026, Social Ministry: social assistance, Vienna: minimum income

Family Benefits in Austria

Austria's main family benefits are funded by the federal government and do not depend on social insurance contributions. The Finanzamt Österreich (tax office) pays the family allowance together with a child tax credit every month. The Länder and municipalities run childcare, so kindergarten costs depend on where you live. Third-country nationals qualify for the family allowance only if both the parent and the child live in Austria lawfully and permanently and hold a valid residence title under the Settlement and Residence Act (NAG). Recognised refugees qualify from the month asylum is granted.

Family allowance (Familienbeihilfe)

Paid per child per month for 2025 to 2027:

• €138.40 from birth, €148 from age 3, €171.80 from age 10 and €200.40 from age 19.
• A sibling supplement raises the amount for each child when you have 2 or more children (€8.60 per child for 2 children, €21.10 per child for 3, and more for larger families).
• €189.20 extra per month for a child with a severe disability.
• School start money (Schulstartgeld): €121.40 per child aged 6 to 15, paid automatically with the August payment.
• After 18 the allowance continues only while the child is in education or training, generally until age 24, and university students must show study progress.

The allowance normally goes to the parent who runs the household, which the law presumes to be the mother unless she waives it in favour of the father.

Tax benefits for children

• Kinderabsetzbetrag (child tax credit): €70.90 per child per month for 2025 to 2027, paid automatically with the family allowance.
• Familienbonus Plus: a tax credit of up to €2,000 a year per child under 18 and €700 a year for older children still receiving family allowance (2026). It reduces your income tax directly. You claim it through your employer or in your tax return.
• Mehrkindzuschlag: €24.40 a month for the third and each further child, if the family's taxable income in the previous year was not above €55,000. You claim it in your tax return.

Childcare

• Compulsory kindergarten year: children who have turned 5 by 31 August must attend kindergarten half-day (at least 20 hours a week) from September to June. This year is free in all Länder.
• Vienna: kindergartens, playgroups and childminders are free or heavily reduced for all children until school starts, if the child and at least one parent have their main residence in Vienna. Low-income families can get help with meal costs.
• Register your child early, especially for a crèche (Kinderkrippe) for children under 3.

Common pitfalls for newcomers

• Check that your residence title, and your child's, is valid for the whole period. Without a valid title, the allowance stops.
• The Familienbonus Plus is not automatic. If your employer did not apply it, claim it in your annual tax return.
• Report changes, such as a move, the end of a child's training or a new bank account, to the Finanzamt Österreich.
• Children living abroad receive different amounts. Check the separate EU/EEA rules before a family member moves.

Official guidance: Federal Chancellery: family allowance amounts, Family allowance for third-country nationals, BMF: Familienbonus Plus, Free compulsory kindergarten year, Vienna: kindergarten support

Income Tax in Austria

Austria taxes income at progressive rates. For employees, the employer deducts wage tax (Lohnsteuer) from every pay slip, so many people never need to file a return. Self-employed people pay income tax (Einkommensteuer) after filing a return. Tax matters are handled by the Finanzamt Österreich through the online portal FinanzOnline. Since 2023 the tax brackets (except the top one) have been adjusted every year for inflation.

Who is taxed in Austria

• You are fully liable to tax (unbeschränkt steuerpflichtig) if you have a home (Wohnsitz) or your habitual stay in Austria. After 6 months in Austria you become liable in any case, backdated to the start of your stay. Nationality does not matter.
• Full liability means your worldwide income is taxed in Austria. Double taxation treaties decide which country may tax which income.
• Foreign employees with a work permit or employment contract for at least 6 months are treated as fully liable from their first day.

Tax rates 2026

| Annual taxable income | Rate on that slice | |---|---| | up to €13,539 | 0% | | €13,539 – €21,992 | 20% | | €21,992 – €36,458 | 30% | | €36,458 – €70,365 | 40% | | €70,365 – €104,859 | 48% | | €104,859 – €1,000,000 | 50% | | above €1,000,000 | 55% (until 2029) |

Tax credits reduce the tax itself. For families these include the Familienbonus Plus (up to €2,000 a year per child under 18) and the Kinderabsetzbetrag, which is paid with the family allowance (2026).

Filing a return

• Employee tax assessment (Arbeitnehmerveranlagung): voluntary for most employees. It often leads to a refund, for example after a job change or when you claim work expenses, special expenses or commuter allowances. You can file it up to 5 years after the tax year (for 2025, until 31 December 2030).
• Automatic assessment: if your pay-slip data show a refund and you have no other income, the tax office may assess you without a return.
• Compulsory return (Pflichtveranlagung): required, for example, if your total income is above €14,769 (2026) and you had two jobs at the same time or other income above €730. The deadline is 30 April, or 30 June if you file online, of the following year.

Church contribution

Members of recognised churches and religious communities pay a church contribution (Kirchenbeitrag) to their church. You can deduct up to €600 a year (since 2024), and Austrian churches report the payments directly to the tax office.

Common pitfalls for newcomers

• Income from abroad (rent, a foreign pension, investments) must be declared once you are fully liable. Check the treaty with that country.
• Two jobs at the same time make a return compulsory if your total income is above the limit.
• The Familienbonus Plus must be claimed. If your employer did not apply it, claim it in your return.
• You attach no receipts when you file online, but keep them in case the tax office asks.

Official guidance: BMF: tax rates, BMF: personal tax liability, BMF: employee tax assessment, FinanzOnline

Housing in Austria

Tenants' rights in Austria depend mainly on the Tenancy Act (Mietrechtsgesetz, MRG), but not every flat falls under it in full. Alongside private rentals, there are two large non-profit sectors: council flats (Gemeindewohnungen), owned by municipalities, and limited-profit housing (Genossenschaftswohnungen) built by non-profit housing associations. Housing allowances are run by the Länder; the examples below are from Vienna. Whatever you rent, register your address within 3 days of moving in.

Renting privately

• How much the MRG applies: in full (with rent limits and protection against termination) mainly to flats in buildings with at least 3 units built before 9 May 1945 and not owned as condominiums. Partly (protection against termination, no rent limits) mainly to unsubsidised new buildings and condominium flats. Not at all, for example, to contracts signed after 31 December 2001 in a house with at most 2 units owned by the landlord or a close relative.
• Rent is made up of the net rent, a share of the building's operating costs (Betriebskosten) and 10% VAT.
• Fixed-term contracts: under the MRG, at least 5 years (3 years if the landlord is a private person, not a business). After the first year, you may end the contract at the end of any month with 3 months' notice. Open-ended contracts can usually be ended with 1 month's notice.
• Deposit (Kaution): the amount is agreed, usually 3 months' gross rent; up to 6 is allowed. The landlord must invest it safely and return it with interest, minus damage beyond normal wear.
• Agent's fee: since 1 July 2023 the person who hires the estate agent pays the fee (Bestellerprinzip), usually the landlord. Payments only for handing over a flat (Ablöse) and contract-drafting fees are not allowed in flats fully under the MRG.

Social and limited-profit housing

• Council flats: municipalities set their own rules. Usual conditions are Austrian or Swiss citizenship or the "Daueraufenthalt EU" (long-term resident) permit, a minimum period of main residence, and an income limit. Vienna requires at least 2 years of main residence in the city and a Wiener Wohn-Ticket, issued by the Wohnberatung Wien.
• Limited-profit flats: you usually register for a flat under construction and pay a one-off financing contribution. It is repaid when you leave, minus 1% a year.

Housing allowance

Vienna's Wohnbeihilfe helps tenants whose housing costs are too high compared with their income. You must live and have your main residence in Vienna, rent the flat (not from a relative), and have a household income between the legal minimum and maximum. You cannot receive it together with minimum income support. Third-country nationals qualify after 5 years of actual and lawful residence in Austria. You can apply only for a flat you already live in.

Common pitfalls for newcomers

• Document the flat's condition with photos and a handover record when you move in and out. This protects your deposit.
• Do not pay a "key money" Ablöse just to get a flat. Unlawful payments can be reclaimed for up to 10 years.
• Notice must be given in writing with a signature. A simple email is not valid.
• Before you sign, ask a tenant advice centre whether the MRG applies.

Official guidance: oesterreich.gv.at: private rentals, oesterreich.gv.at: deposit, oesterreich.gv.at: council flats, Vienna: housing allowance, Vienna: council flats

Education in Austria

Compulsory schooling (allgemeine Schulpflicht) applies to every child who lives in Austria permanently, whatever their nationality. It is set in the Federal Constitution. Kindergartens are run by the Länder, municipalities and private providers, so their costs differ. Young people from 16 and adults who never finished compulsory school can take the school-leaving exam (Pflichtschulabschluss) free of charge.

Kindergarten and compulsory schooling

• Compulsory kindergarten year: children who have turned 5 by 31 August must attend kindergarten half-day (at least 20 hours a week). This year is free. In Vienna, kindergarten is free or heavily reduced for all children until school starts.
• School: compulsory schooling starts on the 1 September after a child's 6th birthday and lasts 9 school years: primary school (Volksschule, ages 6–10), then Mittelschule or the lower level of an academic secondary school (AHS, ages 10–14), then a 9th year, for example at a Polytechnische Schule or a higher school.
• Education or training until 18 (AusBildung bis 18): after compulsory school, young people must stay in education or training until age 18.
• Parents must make sure their child attends. If a child misses more than 3 school days without a valid reason, the school reports it, and parents can be fined €110 to €440.

School costs and support

• Pupils at public schools and recognised private schools receive their textbooks free of charge (Schulbuchaktion), funded from the federal family fund.
• Families receive €121.40 school start money per child aged 6 to 15 every August (2026).
• All-day school care costs a fee (Betreuungsbeitrag), which can be reduced for low-income families. Other support includes school grants (Schulbeihilfe), travel allowances and free pupil travel (Schülerfreifahrt).

Universities and student aid

• Tuition fees (Studienbeitrag) at public universities: EU/EEA nationals, and third-country nationals who live in Austria with a residence permit other than a student permit, study free for the standard duration plus 2 semesters. After that they pay €363.36 per semester. Third-country nationals with a student residence permit pay €726.72 per semester (2026). All students also pay a small student union fee (ÖH-Beitrag) each semester.
• Student grant (Studienbeihilfe): means-tested support for students from lower-income families. While receiving it, you may earn up to €17,212 a year.
• Family allowance for students can continue until age 24 if the student makes enough progress (16 ECTS credits a year).
• Programmes taught in German require proof of German. If you cannot provide it, you take a preparatory course first, which itself requires at least A2 German.

Common pitfalls for newcomers

• Register for kindergarten early. In Vienna, the main registration period is November and December for places starting the next September.
• Moving to Austria with a school-age child means the child must attend school immediately; home schooling must be reported and needs a yearly exam.
• Keep your residence permit type in mind: a student permit means higher university fees.
• If a young adult drops out of school without starting other training, the family allowance stops.

Official guidance: oesterreich.gv.at: compulsory schooling, Federal Chancellery: free compulsory kindergarten, Federal Chancellery: free textbooks, oesterreich.gv.at: university tuition fees, Vienna: schools

Maternity, Paternity and Parental Leave in Austria

Austria separates leave (time off work, protected by labour law) from money (benefits paid by your health insurance fund). The main benefits are maternity pay (Wochengeld), the father's Familienzeitbonus and the childcare allowance (Kinderbetreuungsgeld). Non-Austrians need lawful residence under the settlement or asylum laws to receive the bonus and the allowance, and the family must live in Austria.

Maternity protection and Wochengeld

• Mutterschutz: expectant mothers may not work in the 8 weeks before the expected birth and the 8 weeks after it (12 weeks after premature, multiple or caesarean births). A doctor can order an earlier start for medical reasons.
• Wochengeld: paid by the health insurance fund (ÖGK for most employees) for the whole protection period. It replaces your average net pay of the last 3 months, plus a share of holiday and Christmas bonuses. Women on unemployment benefit receive their benefit plus 80%.

Fathers

• Papamonat: fathers employed in the private sector have a right to 1 month of unpaid leave, taken between the day after the birth and the end of the mother's protection period. Announce it to your employer at least 3 months before the due date.
• Familienzeitbonus: €54.87 a day (about €1,700 in total) for 28 to 31 days, for births since 1 January 2025. You need 182 days of insured work immediately before. Apply to your health insurance fund within 121 days of the birth.

Parental leave and childcare allowance

• Elternkarenz: unpaid leave until the child is 22 months old if one parent takes it, or until the 2nd birthday if the parents share it. Each part must last at least 2 months. You keep your job and are protected against dismissal.
• Elternteilzeit: reduced hours (at least 20% less, at least 12 hours a week) for up to 7 years, until the child turns 8, in firms with more than 20 staff after 3 years of employment.
• Kinderbetreuungsgeld (childcare allowance), two systems:
  • Flat-rate account: you choose the length, 365 to 851 days for one parent or 456 to 1,063 days for both. The daily amount falls from €41.14 to €17.65 the longer you claim (2026). You may earn up to €18,000 a year, or 60% of your previous income if that is higher.
  • Income-related: 80% of your previous earnings, up to €80.12 a day (about €2,400 a month), until the child is 1 year old, or up to 426 days if both parents claim. You need 182 days of insured work before the birth, and you may earn only up to €8,600 a year (2026).
• Part of the allowance is reserved for the second parent. If they do not use it, it is lost.

Common pitfalls for newcomers

• To keep the full childcare allowance, complete all Eltern-Kind-Pass check-ups: 5 during pregnancy and 5 for the child.
• Plan the length of the allowance carefully. Changing it later is possible only within strict limits.
• Leave and allowance are separate. Agree your Karenz dates with your employer in writing; the allowance does not do this for you.
• Earnings above the limit must be paid back.

Official guidance: ÖGK: Wochengeld, Federal Chancellery: childcare allowance, oesterreich.gv.at: Familienzeitbonus, oesterreich.gv.at: Papamonat, Social Ministry: parental leave