Employer costs in Austria 2026: what a salary really costs
Every payroll cost an Austrian employer pays on top of gross salary, with the 2026 rates and the differences between federal states.
A gross salary of €3,000 costs an employer in Vienna about €3,894.60 a month in 2026 and €54,479 a year with the usual 14 payments, 29.7 % on top of the €42,000 gross. These employer costs (Dienstgeberkosten or Lohnnebenkosten) start with the employer share of social insurance, 20.98 %, or 21.23 % in Vienna because of its higher housing-subsidy contribution, charged up to the contribution ceiling. On top, with no ceiling, come 1.53 % for the company severance fund (the new Abfertigung), 3.7 % employer contribution to the family burden equalisation fund (Dienstgeberbeitrag, DB), a surcharge on it (DZ) between 0.31 % and 0.40 % depending on the federal state, and 3 % municipal tax (Kommunalsteuer). Holiday and Christmas pay carry slightly lower social insurance. On this salary the gap between the cheapest and the dearest state is €111.00 a year.
Employer cost per year
€54,479
€42,000 gross plus 29.7 % payroll costs
| Gross salary | €3,000.00 |
|---|---|
| Employer social insurance | €636.90 |
| Severance fund 1.53 % | €45.90 |
| Family fund contribution 3.70 % | €111.00 |
| DB surcharge | €10.80 |
| Municipal tax 3.00 % | €90.00 |
| Cost per month | €3,894.60 |
Checked by Radif Partners · Editorial policy · Calculation method
What the calculator gives you
Enter the monthly gross salary and the federal state where the workplace is. The calculator lists each employer charge on one regular month, the cost per month and the annual cost with two special payments (the 13th and 14th salary that are standard in Austria). For employees it answers what their job costs the company; for founders hiring their first staff it is the basis of any budget.
The 2026 rates
| Charge | Regular pay | Special payment | Capped |
|---|---|---|---|
| Health insurance | 3.78 % | 3.78 % | yes |
| Pension insurance | 12.55 % | 12.55 % | yes |
| Unemployment insurance | 2.95 % | 2.95 % | yes |
| Accident insurance | 1.10 % | 1.10 % | yes |
| Insolvency pay fund | 0.10 % | 0.10 % | yes |
| Housing subsidy (Vienna) | 0.50 % (0.75 %) | 0.00 % | yes |
| Severance fund (BV-Kasse) | 1.53 % | 1.53 % | no |
| Family fund contribution (DB) | 3.70 % | 3.70 % | no |
| Municipal tax | 3.00 % | 3.00 % | no |
The social insurance rates come from the Chamber of Commerce overview of 2026 contributions. They apply up to the contribution ceiling of €6,930 a month and €13,860 a year on special payments; see the page on the contribution ceiling. The employer family-fund contribution has been 3.7 % since 2025. The severance fund contribution builds up your new-scheme severance.
The DB surcharge by federal state
| Federal state | DZ | Annual cost on €3,000 gross |
|---|---|---|
| Burgenland | 0.40 % | €54,406.20 |
| Carinthia | 0.37 % | €54,393.60 |
| Lower Austria | 0.33 % | €54,376.80 |
| Upper Austria | 0.31 % | €54,368.40 |
| Salzburg | 0.35 % | €54,385.20 |
| Styria | 0.34 % | €54,381.00 |
| Tyrol | 0.39 % | €54,402.00 |
| Vorarlberg | 0.33 % | €54,376.80 |
| Vienna | 0.36 % | €54,479.40 |
The surcharge uses the same wage base as the DB and goes to the regional Chamber of Commerce (WKO, DB surcharge). Vienna adds its higher housing-subsidy rate, which is why Vienna is the most expensive state at €3,000 and Upper Austria the cheapest.
One salary, charge by charge
On €3,000 gross in Vienna the employer pays every month €636.90 social insurance, €45.90 severance fund, €111.00 DB, €10.80 DZ and €90.00 municipal tax, €894.60 in all. Each of the two special payments carries slightly lower social insurance of €614.40. Over the year that makes €54,479.40 for €42,000 gross.
Marginal jobs and high salaries
Up to the marginal earnings limit of €551.10 a month the employer pays only accident insurance for that person, plus severance fund, DB, DZ and municipal tax. If a firm's marginal wages together exceed one and a half times that limit, a flat employer levy becomes due, which the calculator does not include; the page on marginal employment explains it from the worker's side. On high salaries the percentage falls because social insurance stops at the ceiling: at €8,000 gross the mark-up is 26.9 %.
What is not included
Not modelled: the Vienna employer levy, works council levies, night-shift and bad-weather contributions for blue-collar workers, voluntary benefits and the exemptions for staff aged 60 and over. Nor do we apply the DB allowance for very small payrolls (up to €1,460 a month). For what reaches the employee, see the page on employee social insurance.