Pensions 2026: Full inflation compensation for 1.65 million seniors!

Pensions 2026: Full inflation compensation for 1.65 million seniors!

On September 12, 2025, the government parties in Austria made an important agreement on pension adjustment for the coming year. Seniors, whose guest houses are up to 2,500 euros, receive full inflation compensation of 2.7 percent. This affects around 1.65 million pensioners, i.e. 71.4 percent of all Austrian seniors with a statutory pension, and ensures significant relief in times of rising living costs. From a pension of 2,500 euros, on the other hand, only a fixed amount of 67.5 euros is paid, which corresponds to an increase of 2.7 percent to the amount of 2,500 euros.

The cost of this pension adjustment amounts to 1.73 billion euros. The socially staggered regulation is intended to save around 350 million euros compared to a model of a general increase. The aim is to create a socially just compensation for inflation, while at the same time the budgetary situation of the country is stabilized, such as Exxpress.at reported.

Social justice in the pension system

Minister of Social Affairs Korinna Schumann emphasizes that adaptation to the needs of people with small and medium -sized guest houses takes into account. The ÖVP social spokesman August Wöginger praises the solution as socially balanced because two thirds of the pensioners receive full inflation compensation. Nevertheless, the Neos social spokesman Johannes Gasser calls on to make the pensions more careful.

The increase in these pension classes could also have a positive impact on the purchasing power of the seniors concerned. However, experts warn against long -term loss of purchasing power for higher pensions and require profound reforms of the pension system and an increase in retirement age. This emerges from statements by Christoph Badelt, a member of the fiscal council, who also emphasizes the need to reform the entire pension landscape in order to secure financial stability in the long term.

Different opinions on adaptation

Despite the positive response, there are also critical voices. Walter Pöltner describes the adaptation as "populist" and "not social". The senior representatives are satisfied with some aspects of the regulation, but demand an increase that goes beyond the inflation rate. An important voice is Birgit Gerstorfer from the SPÖ-related representation, which is forced to protect the elderly from inflation.

The industrial association sees the staggering of the pension adjustment as a "right step", but is also of the opinion that further reforms are necessary. FPÖ boss Herbert Kickl also criticizes the adaptation and sees pensioners as disadvantaged. The Green Party, on the other hand, is satisfied with essential demands, but also criticizes necessary contributions to the consolidation of the budget.

The new regulations based on the total pension income take into account all pension services and special pensions. This could enable a fairer system, but several participants continue to demand reforms in order to be able to better manage future challenges.

This pension adjustment, which is characterized by a combination of social fairness and economic considerations, will continue to heat the discussion about the Austrian pension system in the coming months. However, more than 1.65 million pensioners can at least trust in their pension payments, while the political actors have to deal with the numerous challenges and different opinions.

Further information on the background of this decision can Ots.at and orf.at be read.