Vienna, May 12, 2026 Austria care allowance 2027 increase confirmed Austria will raise its care allowance in 2027, with €120 million secured for inflation-adjusted payments despite ongoing budget consolidation efforts, Social Minister Korinna Schumann confirmed.
Funding Secured Amid Budget Challenges
The annual adjustment of care allowance, mandated by Austria's Federal Care Allowance Act, will proceed in 2027 with full inflation compensation. "Despite the necessary budget consolidation measures, we have managed to secure a total of around €120 million for the care allowance increase in 2027," Schumann stated in an APA release.
These funds were already anchored in the dual-year budget and represent "the full inflation adjustment at the time of budget preparation," the minister added. The decision underscores the government's commitment to maintaining social protections even during fiscal tightening.

