Global Payroll Services in Austria

Already have an Austrian entity, or running payroll across several countries? We place you with a vetted Austrian payroll partner who keeps income tax and ASVG social-insurance filings exactly right with the Finanzamt and the ÖGK, while you stay the legal employer and we stay on your side.

  • Independent advice
  • Vetted partners
  • Multi-country ready

What running payroll in Austria involves

If you already employ people through your own Austrian entity, you stay the legal employer, but you still have to run payroll correctly every month: income tax to the Finanzamt, and ASVG social insurance across four separate branches to the ÖGK, plus Kommunalsteuer and family-fund levies on top. This is where a specialist payroll partner earns its place: you keep the employment relationship, they keep the mechanics right across all of it.

01

You stay the employer

You stay the legal employer of your Austrian staff. The payroll partner runs the monthly mechanics; you keep the employment relationship.

02

Accurate every cycle

Income tax and ASVG social insurance calculated and withheld correctly, payslips issued, and statutory filings made to the ÖGK and the Finanzamt on schedule, every month.

03

Multi-country consolidation

Run payroll across several markets under one partner and one process, rather than a different vendor and standard in every country.

How managed Austrian payroll works, step by step

From onboarding your employee data to filing and reconciliation.

01: Scope & onboard

We map your entity, headcount, and where you employ people, place you with the right vetted Austrian payroll partner, and onboard your employee data.

02: Set up calculations

Income tax, ASVG social insurance, and any statutory benefits configured correctly to current Austrian rules, so every payslip is right from the first run.

03: Run monthly payroll

Salaries calculated, income tax and ASVG social insurance withheld, payslips issued, and people paid on schedule, every cycle.

04: File & reconcile

Statutory filings to the ÖGK and the Finanzamt made on time, with annual reconciliation handled for you.

What payroll in Austria costs

Your statutory employer costs, plus a payroll partner fee. Austria’s employer burden is predictable but layered across ASVG and several smaller levies rather than one flat rate; the value of the partner is accuracy and time, in a system where mistakes are visible and penalised.

Employer ASVG social insurance

Approximately 20.98% of gross salary calculated to the EUR 6,930/month contribution ceiling, plus severance, Kommunalsteuer, and family-fund levies, configured correctly every payroll run.

Pay floor (2026)

No statutory minimum wage. Pay floors are set by around 800 sector-level Kollektivverträge, so the correct figure to run payroll against varies by the employee’s sector, not one national rate.

Income tax (employee)

Seven progressive bands from 0% to 55%, with thresholds indexed each year, calculated and filed correctly on every payslip.

Payroll partner fee

A transparent per-employee or per-payslip fee. We benchmark across our vetted network, typically 15 to 25% below going direct.

Why run it through Bradford Jacobs

One partner, many countries

If you run payroll across several markets, we consolidate it through vetted partners under one point of contact, not a different vendor and a different standard in every country.

  • Independent advice
  • Vetted partners only
  • On your side at renewal

Pricing you can’t get direct

Austria layers ASVG social insurance with severance, municipal, and family-fund levies on the same payslip, and getting the split wrong is an easy, visible mistake. We benchmark across our payroll network for rates typically 15 to 25% below going direct, and renegotiate for you at renewal.

  • 15-25% below direct
  • Network benchmarking
  • Renegotiated for you

The layered ASVG detail that exposes risk

The four-branch ASVG contribution ceiling, the seven-band income-tax withholding, and the Kommunalsteuer and family-fund deadlines that sit outside the ASVG system entirely. We place you with partners who get the specifics right, and we stay on your side if anything needs escalating.

  • Direct escalation
  • No support queues
  • Named account contact

20+ years and the local detail

Two decades running compliant payroll across global markets, the deadlines, the filings, the year-end detail that exposes risk in Austria’s layered contribution structure.

  • Two decades of payroll
  • Deadlines & filings
  • Year-end handled

Built to scale across markets

Run payroll in one country or twenty through one partner and one process. As you add markets, the standard does not fragment, you keep a single point of contact and consistent compliance everywhere.

  • One process everywhere
  • Single point of contact
  • Consistent compliance

The payroll slips the Finanzamt never misses

These are the ones that catch foreign employers, and the reason a specialist partner pays for itself.

Tax & deduction rates

Misapplying the seven-band income-tax withholding. Getting the employer-versus-employee ASVG split wrong, or missing one of the smaller levies (Kommunalsteuer, family-fund) that sit outside ASVG entirely. Missing a statutory benefit or leave entitlement. Each is easy to get wrong alone and visible to the Finanzamt and the ÖGK when you do.

Filings, deadlines & reporting

Late remittance to the ÖGK or the Finanzamt, where penalties and interest apply automatically. None of these are hard for a specialist; all are easy to get wrong alone. That is the whole case for getting your Austrian payroll partner right.

What managed payroll covers

One transparent fee covers the full monthly payroll cycle. No hidden extras.

Tax & ASVG social insurance

Compliant Austrian payroll processed monthly, with income tax and ASVG social insurance correct every run.

Payroll & filings

Monthly payroll run, with income tax and ASVG social insurance calculated, withheld, and filed correctly each month.

Statutory benefits

All statutory benefits administered: annual leave, sick pay, parental leave, notice and severance.

Compliance & support

Ongoing HR compliance and a single point of contact, for the life of the engagement.

Your questions answered

Straight answers on running compliant payroll in Austria.

Do I need an Austrian entity to use payroll services?

Yes. Payroll outsourcing assumes you are the legal employer, which usually means you have an Austrian entity. If you have no entity and do not want one yet, you need an EOR instead, where the partner is the legal employer. We will confirm which applies to you.

Income tax calculation and remittance, employer and employee ASVG social-insurance contributions, statutory benefits and leave, payslips, and all statutory filings to the ÖGK and the Finanzamt. You keep the employment relationship; they keep it compliant and on time.

From 1 January 2026, Vienna-based employers pay a higher Wohnbauförderungsbeitrag (housing-construction levy): 0.75% of gross salary rather than the standard 0.5% national rate, on top of the usual ASVG contributions. It is a small change, but it lands differently depending on where in Austria payroll is run, and a payroll partner who is not tracking regional rate variations will get it wrong. Two 2026 VAT-rate changes also apply if you are trading, not just employing: 0% on feminine hygiene products from 1 January, and a cut to 4.9% for a defined basket of food staples from 1 July.

The ASVG components (12.55% pension, 3.78% health, 2.95% unemployment, 1.10% accident, plus housing and wage-guarantee levies) run to roughly 21% of gross salary to the EUR 6,930/month ceiling, and payroll has to calculate and remit each of them correctly every pay run, on top of the 1.53% severance contribution paid into the individual BV-Kasse retirement account, the 3% Kommunalsteuer owed to the municipality, and the family-fund levies owed separately to the Finanzamt. Add the transparent payroll partner fee and you have your all-in cost.

Yes, and it is one of the main reasons companies come to us. One point of contact and a consistent process across markets, rather than a separate provider and a different standard in every country.

Yes. When you incorporate and become the legal employer, we move your people from the EOR arrangement onto your own compliant Austrian payroll, and manage the handover so nothing is missed.

Need compliant payroll in Austria?

Tell us your entity setup and headcount and we will come back with the right partner and pricing you will not get direct, usually within a day. One process, every country you operate in.

Tax and labour data verified July 2026 (ÖGK, BMF, WKO). Figures change; we confirm the current position when we scope your payroll.