Pension reform 2025: Does Austria's seniors bring real relief?

Pension reform 2025: Does Austria's seniors bring real relief?

On July 10, 2025, the Austrian federal government will present comprehensive reforms in the pension area, which according to ÖVP club chairman August Wöginger represent the largest pension packages since the Wolfgang Schüssel era. These reforms were advertised in strong words and include numerous measures that are of central importance for pensioners. The main change is the increase in health insurance contributions from 5.1% to 6%, which has been in force since June 1, 2025. This increase is seen as part of a larger plan to stabilize the pension system, but has raised concerns about financial burdens.

In addition, from January 1, 2026, the contributions of the contributions for minimum pensioners and their relatives are planned. Another measure is the introduction of an e-card fee for pensioners, which will be due from November 2026 and is currently 25 euros per year. The reform also provides for an aliquoting for new pensioners to 50% as well as the introduction of a partial board and heavy worker regulation for nursing professions.

Details on pension reform

A central point is the reform of the corridor pension, in which the pregnancy age increases from 62 to 63 years and the required contribution months are increased from 480 to 504. These measures are part of a larger trend in the reform, which is considered significant but not as profound. Experts say that the reform could benefit the pension system at short notice, but should not bring any substantial savings in the long term.

The planned relief measures for retirementists include the increase in the social security refund, freezing the recipe fees in 2026 and the introduction of a pharmaceutical limit. In particular, recipients of a compensation allowance are particularly affected, since their KV contributions are increased from January 1, 2026. The reduction in the recipe fee upper limit from 2% to 1.5% was also decided, which could be a noticeable financial relief for many pensioners.

criticism of the reform

The reform policy debate is also accompanied by critics who question sustainability and the actual benefits of the measures. According to an article on Selective, the pension reform is highlighted as significantly, but there is no political will for deeper structural changes. Experts speak of a reform that cannot be viewed as a real solution and does not manage the long -term challenges of the pension system.

In addition, a sustainability mechanism is introduced to apply if the pension expenses exceed the intended framework. This mechanism only requires the Minister of Social Affairs to prepare a report instead of activating automatic consequences, which is criticized as inadequate. The annual costs of around 600 million euros due to the fixation of the first pension increase to 50 % of the inflation rate underline the financial challenges with which the pension system is faced.

Overall, the government dares to reform the pension system, but the question remains whether these measures are sufficient to address the deeper crisis in the system. For further information and in -depth insights, a look at the pension system is recommended to be published on the Ministry of Social Affairs, which illuminate various aspects and data for retirement.

For detailed pension data and reports as well as further information, the following links are helpful: Selective.at , Social Ministry.GV.at .