Payroll basics
The payroll basics explain how the agreed gross becomes the net that is paid out. The employer withholds employee social insurance and income tax and remits them. In Austria pay is usually made 14× a year: twelve regular monthly payments plus the 13th and 14th salary as special payments, which are taxed favourably at 6 % under § 67 EStG.
Key figures 2026
What changed 2026
Terms in this topic
- Gross pay (Bruttobezug)
The agreed pay before SI and income tax, paid 14× a year in Austria.
- Net pay (Nettobezug)
What remains of the gross after employee SI and income tax, and is paid out.
- Overtime & premium relief (§68)
Tax-free overtime, SFN and SEG premiums under § 68, and why tax-free is not the same as SV-free.
- Regular and special payments
Monthly pay vs. 13th/14th: own SI treatment and the favourable 6 % § 67 taxation.
- Tax-free benefits (§3)
Job ticket, childcare subsidy and employee profit share, granted on top of salary, with their caps and SV rules.
- Wage tax (Lohnsteuer)
The income tax withheld monthly by the employer, same tariff as § 33 EStG.
Related terms
- Einkommensteuertarif (§ 33 EStG)Steuer
Lohnsteuer is the monthly-withheld income tax, following exactly the progressive § 33 EStG tariff.
- SI contribution rates (§ 51 ASVG)SV
Social insurance is deducted before income tax and co-determines the tax base.
- Lohnkosten (employer total)DG
Gross and net are the employee view, on the employer side roughly 30 % in payroll add-ons sits on top.