Researched by ExpatMoneyEU Team · Last updated 26 October 2026 · Data: Abfertigung neu rules (employer contribution 1.53% of gross salary), October 2026
The short answer
The short answer: On a €3,500/month gross salary over 5 years, your Austrian employer has contributed roughly €3,160 to your severance fund (1.53% of salary), worth about €3,320 with 2% annual growth in our illustrative model. You can usually claim it after 3 years of service if the employment ends in a qualifying way — not if you resign.
| Item | Amount |
|---|---|
| Employer contributions (1.53%) | |
| Estimated growth | |
| Estimated fund value |
Key fact for expats in Austria
Under Austria’s Abfertigung neu system, in force since 2003, your employer pays 1.53% of your gross monthly salary into a staff provision fund (BV-Kasse) from your second month of employment — it is your money, held in your name, even if you change employers.
What this tool does
This estimator calculates the value of your Austrian severance fund under the Abfertigung neu system: your employer contributes 1.53% of your gross monthly salary to a staff provision fund (Betriebliche Vorsorgekasse, BV-Kasse), which invests it. The fund follows you between employers, and you can usually withdraw it after three years of service if your employment ends in a qualifying way.
How to use it
- Enter your monthly gross salary — the figure your employer uses for contributions.
- Set your years of service — total time under the Abfertigung neu system, across employers if continuous.
- Pick an assumed return — 2% is the illustrative default; 0% shows contributions alone.
- Read the payout rules below — the fund value is only half the story; when you can claim it matters more.
The formula
Monthly contribution = gross monthly salary × 1.53%. Total contributions = monthly contribution × months of service (from month 2). Fund value = contributions grown at the assumed annual return, compounded monthly. Example: €3,500 × 1.53% = €53.55/month; over 5 years (59 contributing months) that is €3,160 in contributions, about €3,320 at 2% illustrative growth.
Worked example
Example: €3,500/month gross, 5 years of service, 2% illustrative return. Contributions: €53.55 × 59 months = €3,160. Growth at 2%: about €160. Estimated fund value: €3,320. At 10 years the same salary gives roughly €6,370 in contributions and about €7,040 with 2% growth — the fund compounds slowly because the contribution rate is small.
Comparison table
| Old system (Abfertigung alt, pre-2003 contracts) | Severance entitlement |
|---|---|
| 3 years of service | 2 months’ salary |
| 5 years | 3 months’ salary |
| 10 years | 4 months’ salary |
| 15 years | 6 months’ salary |
| 20 years | 9 months’ salary |
| 25 years | 12 months’ salary |
The old system applies only to employment relationships that began before 1 January 2003 and never switched. Almost every expat is under Abfertigung neu — the estimator above.
→ Hourly to Salary Converter — October 2026
Affiliate disclosure: Some links on this page may earn us a commission at no extra cost to you, which helps keep our guides free. We never rank providers by commission. See our affiliate disclosure for details.
Leaving Austria or moving your payout abroad? Wise is the service most expats use for cheap international transfers when a lump sum has to cross borders.
ExpatMoneyEU verdict: Think of Abfertigung as a small, portable pension pot — not a windfall. Its real value is that it follows you between Austrian employers and pays out when a qualifying exit happens.
You may also need
→ Hourly to Salary Converter — October 2026
Sources and methodology
Methodology: Abfertigung neu rules as in force since 2003 — employer contribution of 1.53% of gross monthly salary to a Betriebliche Vorsorgekasse from the second month of employment; payout generally available after three years of service on qualifying termination (employer termination, mutual agreement, expiry of a fixed term), while employee resignation generally leaves the fund invested. Growth figures are illustrative assumptions, not fund performance. Verify your individual position with your BV-Kasse.
Affiliate disclosure: Some links on this page may earn us a commission at no extra cost to you, which helps keep our guides free. We never rank providers by commission. See our affiliate disclosure for details.
If a payout is coming your way, plan the transfer in advance: Wise for moving it abroad cheaply, and our Austria banking guides for where to hold it.