Employer of record in Austria: costs and rules
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Put a EUR 35,000 Austrian salary through an employer of record and the employer side adds 29.52% to 29.61%, led by the 20.98% social insurance share (Deloitte Austria Highlights 2026, a secondary source); provider fees for that service were listed from $199 per worker monthly by Payoneer Workforce Management (formerly Skuad) to $699 by Oyster in October 2026. American offers in Austria usually go wrong by assuming 12 paychecks: Austrian pay normally runs in 14 payments a year, so a EUR 2,500 monthly salary is EUR 35,000 a year, not EUR 30,000.
An employer of record in Austria is an Austrian company that holds the employment contract for your hire, runs the 14-payment payroll and pays social insurance and municipal tax, while you set the work.
- Employer cost on a sample salary
- 29.52% to 29.61% (EUR 10,332…on top of gross pay
- Minimum annual leave
- 25 working days on a 5-day…
- Currency
- EUR
On this page
Austrian rules that surprise US employers
Collective agreements set the pay floor. Austria has no statutory minimum wage; sector collective agreements set minimums for about 98% of employees, and they are also the source of the 14-payment norm. Ask the EOR which agreement applies to your role before you make an offer.
Probation is short. The legal rule is 1 month (3 months for apprentices). During it either side can end the job without notice or a reason.
Notice is long and ends on a quarter date. Since October 1, 2021 the same rules cover blue-collar and white-collar staff (table below). A dismissal in early January on the default terms runs to March 31 at the earliest.
Leave is 5 weeks. That is 25 working days on a 5-day week (30 on a 6-day week), rising to 6 weeks after more than 25 years with the same employer.
We have not yet confirmed Austria's severance fund rules, holiday count, statutory work week or the tax treatment of the 13th and 14th payments from an official source; the usp.gv.at and gesundheitskasse.at pages returned errors when we checked.
Employment costs and rules in Austria
| Item | Austria |
|---|---|
| Employer social contributions | 20.98% social insurance plus 5.54% to 5.63% other payroll charges plus 3% municipal tax, about 29.5% to 29.6% in all |
| What the employer pays | Social insurance employer 20.98% up to the max base (secondary; split by pension, health, unemployment, accident, insolvency and housing not confirmed today); Other payroll charges 5.54% to 5.63% (unconfirmed split: employer contribution to the family fund DB, chamber surcharge DZ by state, and severance fund MV 1.53%); Municipal tax (Kommunalsteuer) 3% of payroll |
| Caps and ceilings | 2026 max contribution base EUR 6,930 per month (secondary). Special payments (13th/14th) have their own annual cap (unconfirmed: twice the monthly max). Municipal tax, DB, DZ and MV have no cap |
| Employee contributions | 18.07% up to EUR 6,930/mo (secondary) |
| Minimum wage | No statutory minimum wage; collective agreements set minimums for about 98% of employees |
| Annual leave | 25 working days on a 5-day week (30 on a 6-day week), i.e. 5 weeks; 30 working days (6 weeks) after more than 25 years with the same employer |
| Probation | 1 month by law as a rule (3 months for apprentices); either side may end the job during probation without notice or reasons |
| Notice period | Employer: 6 weeks in years 1 and 2, 2 months after the 2nd year, 3 months after the 5th, 4 months after the 15th, 5 months after the 25th, to the end of a calendar quarter (contract may allow the 15th or month end). Employee: 1 month to month end, extendable by agreement to 6 months (employer's period cannot be shorter). Blue-collar and white-collar rules unified since Oct 1 2021 |
| Payroll frequency | Monthly, 14 payments a year |
| Sample salary used | EUR 35,000 per year in 14 payments of EUR 2,500 |
| Employer cost on that salary | 29.52% to 29.61% (EUR 10,332 to 10,363.50) = 20.98 + 5.54 to 5.63 + 3.00 |
Checked October 16, 2026. Source type: secondary (Deloitte Austria Highlights 2026, updated Mar 2026); usp.gv.at and gesundheitskasse.at pages returned errors. Sources are listed at the end of this page.
What an EOR charges to employ someone in Austria
| Provider | EOR fee per employee per month | Deposit | Entity model (provider claim) |
|---|---|---|---|
| Payoneer Workforce Management | from $199 | None listed | Claims owned entities across APAC, MEA, Europe and the Americas |
| Pebl | $399 | Not listed | About 90% of employees on Pebl-owned entities |
| Playroll | from $399 | One month's salary per employee, refundable | No clear owned-entity claim |
| Rivermate | $319 to $639 | Not stated | Claims 38 owned entities |
| Multiplier | $459 (annual) or $499 (monthly) | Sized from costs, fees and notice period (method published, no fixed amount) | Claims owned entities in 160+ countries |
| Rippling EOR | Quote only (third-party reference: $499) | Not listed | Claims Rippling entities; no partner mention |
| Deel | $599 | Not stated by Deel | Claims owned entities in 130+ countries |
| Remote | from $599 | Waived for startups; otherwise not stated | Claims 100% owned entities in 90+ countries |
| Atlas | from $599 | Not published | Claims owned entities in 160+ countries |
| Papaya Global | from $650 | Refundable deposit, amount not stated | Uses in-country partners |
| Oyster | $699 | At least one month of total service cost, refundable (per its terms) | Owned entities and partners |
| Globalization Partners (G-P) | Quote only | Not stated | Information page claims 100+ wholly owned entities |
Source: each provider’s pricing page, checked October 16, 2026. Fees are the provider’s charge on top of salary and the employer contributions above. Some providers adjust prices by country.
Three layers of employer cost in Austria
Austrian employer cost comes in three parts: social insurance (20.98% on pay up to the 2026 maximum base of EUR 6,930 a month), a band of other payroll charges (5.54% to 5.63%, the exact split by fund not yet confirmed) and the 3% municipal tax. Only social insurance is capped; the other two apply to the whole payroll.
| Line | Rate | Per year (EUR) |
|---|---|---|
| Gross salary, 14 payments | 35,000.00 | |
| Social insurance, employer share | 20.98% | 7,343.00 |
| Other payroll charges | 5.54% to 5.63% | 1,939.00 to 1,970.50 |
| Municipal tax (Kommunalsteuer) | 3% | 1,050.00 |
| Employer cost | 29.52% to 29.61% | 10,332.00 to 10,363.50 |
| Salary plus employer cost | 45,332.00 to 45,363.50 | |
| EOR fee at $599 a month | kept in USD | $7,188 |
Math: 35,000 x 20.98% = 7,343; x 5.54% = 1,939 (x 5.63% = 1,970.50); x 3% = 1,050; sum 10,332 to 10,363.50. Rates per Deloitte Austria Highlights 2026 (secondary, updated March 2026). The $599 fee is the Deel and Remote list price seen in October 2026.
The sample applies the rates to all 14 payments. Special payments have their own annual cap, which we have not confirmed, so a high earner's cost can differ. For other salaries, use the cost calculator for hires abroad, and compare Austria with Germany and the Czech Republic in the EOR cost index.
Notice periods by length of service
| Years with the employer | Minimum notice from the employer |
|---|---|
| Years 1 and 2 | 6 weeks |
| After year 2 | 2 months |
| After year 5 | 3 months |
| After year 15 | 4 months |
| After year 25 | 5 months |
Notice runs to the end of a calendar quarter unless the contract allows the 15th or the end of a month. Employee notice: 1 month to month end, extendable by agreement to 6 months. Source: our countries data (Deloitte Austria Highlights 2026, secondary), checked Oct 2026.
Austria's notice ladder and quarter-end rule are the main termination cost to plan for. Ask the EOR whether its contract uses the 15th or month-end option, which shortens the wait.
Which provider for Austria
Ranked by our published criteria, Multiplier (79) beats Oyster (64), Remote (62) and Deel (54). Per Austrian hire per year, that is $5,508 on Multiplier's annual plan, $8,388 at Oyster before its deposit (one month of charges or more) and $7,188 at Remote or Deel. Check that the quote shows 14 salary payments, the municipal tax and the other payroll charges, not just social insurance. The full EOR comparison and the Oyster, Remote and Deel reviews have contract and exit terms.
Contract workers in Austria
A contractor in Austria carries none of the 29.5% employer load, and that saving is what is at stake if the arrangement is challenged. Exclusive work, fixed hours and your instructions can make an Austrian freelancer an employee in law, with unpaid contributions reclaimed. Moving that exposure off your books is the job of a contractor of record, not of contractor payments software.
Entity or EOR for Austria
Three Vienna hires on a $599 plan run up $21,564 a year in provider fees. An Austrian GmbH replaces that with formation costs, a payroll provider that handles 14 payments, and collective agreement tracking. The EOR or entity guide covers the break-even.
Frequently asked questions
What does an Austrian employee cost on top of salary?
Is there a legal minimum wage in Austria?
How many salary payments are there in a year in Austria?
What is the notice period for an employer in Austria?
How long can probation last in Austria?
Sources (8)
- Payoneer Workforce Management (formerly Skuad): Skuad pricing page (checked Oct 16, 2026)
- Pebl: Pebl EOR pricing page (checked Oct 16, 2026)
- Playroll: Playroll pricing page (checked Oct 16, 2026)
- Multiplier: Multiplier pricing page (checked Oct 16, 2026)
- Oyster: Oyster pricing page (checked Oct 16, 2026)
- Deel: Deel pricing page (checked Oct 16, 2026)
- Remote: Remote pricing page (checked Oct 16, 2026)
- deloitte.com/content/dam/assets-shared/docs/services/tax/2026/dttl-... (checked October 16, 2026)
This page is general information, not tax, legal or accounting advice. Rules and rates change, so check the official source linked above before you file or sign a contract. Read our disclaimer.