Finance Guide Austria 2026

The state premium for Bausparen in 2026 is 1.5 percent, applied to contributions of up to €1,200 per person per year. The maximum annual bonus is €18 per contract. The rate is set by the Federal Ministry of Finance and published on oesterreich.gv.at. The premium is requested automatically by the building society and added to your contract balance.

Investment gains for Austrian residents are mostly taxed under the Capital Gains Tax (KESt). Dividends and price gains carry a rate of 27.5 percent; bank-deposit interest carries 25 percent. Austrian banks and brokers usually deduct KESt at source, which often settles the tax. Foreign holdings can require additional declaration. Source: BMF.

Bank deposits in Austria are protected by deposit insurance up to €100,000 per customer per bank. In specific circumstances, for example after a property sale or a severance payment, protection is increased to €500,000 for a twelve-month window. Securities portfolios are covered separately by investor compensation, capped at €20,000. Oversight is shared by FMA and OeNB.

Yes, in most cases. The standard requirement is a registered main residence in Austria combined with unlimited tax liability. With those in place, expats with a valid residence title can sign a Bausparen contract and use the state premium. Detailed conditions vary by building society. The AK and the building society itself confirm individual eligibility.

Several state-recognised bodies offer free, independent advice. Budgetberatung Austria supports household budgets and debt issues, with offices in all federal states. The Chamber of Labour (AK) provides consumer protection and basic legal guidance. The FMA publishes consumer information and warns about unauthorised providers. None of these services give specific investment advice, but they help you orient.

Start by reviewing your real usage: monthly transaction count, standing orders, ATM withdrawals and whether a credit card matters. Match that against the new bank's account models. The Kontowechselhilfe under §23 VZKG transfers standing orders and direct debits to your new bank for you. Confirm conditions for foreign-currency payments and the €100,000 deposit-protection limit per bank.

A useful range is 5 to 15 percent of net income, adjusted for rent and family situation. Vienna rents and living costs sit well above the federal average, so 5 to 8 percent is often more realistic there. Consistency matters more than the exact number. Budgetberatung Austria offers free help with the individual calculation.

An ETF savings plan can suit medium- and long-term goals if you can tolerate market volatility without short-term liquidity pressure. Note the 27.5 percent capital gains tax on price gains and dividends, plus the annual reporting rules for foreign accumulating funds. The FMA recommends broad diversification and a five- to ten-year minimum horizon.