Financial Relief for Families: Austria Increases Care Allowance by 2.7% for 2026
In a move aimed at supporting Austria’s growing population of elderly and chronically ill residents, the federal government has implemented a routine increase of the care allowance (Pflegegeld) by 2.7% as of January 1, 2026. This adjustment is designed to help recipients keep pace with inflation by aligning the benefit with the same automatic indexation factor used for pensions.
What Is Care Allowance?
Care allowance (Pflegegeld) is a monthly cash benefit paid to individuals who require long-term personal care due to illness, disability, or age. The benefit is tiered according to the number of care hours and the complexity of care needs, with seven levels of allowance linked to the assessed care requirement.
Official 2026 Care Allowance Rates
As of 1 January 2026, the monthly net amounts for the seven care levels (Pflegegeldstufen) are:
| Care Level | Monthly Amount (2026) | Minimum Care Requirement |
|---|---|---|
| Level 1 | €206.20 | > 65 hours/month |
| Level 2 | €380.30 | > 95 hours/month |
| Level 3 | €592.60 | > 120 hours/month |
| Level 4 | €888.50 | > 160 hours/month |
| Level 5 | €1,206.90 | > 180 hours + exceptional care |
| Level 6 | €1,685.40 | > 180 hours + non-plannable or 24/7 care |
| Level 7 | €2,214.80 | > 180 hours + no targeted movement possible |
These amounts represent an increase of 2.7% compared to 2025 levels, reflecting the government’s commitment to maintain the real value of long-term care support.
Why the Increase Matters
The annual valorisation of Pflegegeld follows a long-standing practice of adjusting social benefits to reflect inflation and cost-of-living pressures. Even amid broader budget consolidation efforts, the Social Ministry has emphasized the importance of supporting families and caregivers who shoulder the majority of long-term care responsibilities in Austria.
Around half a million people in Austria currently receive care allowance, with the largest share in the lower levels of care need. The automatic 2.7% adjustment ensures these recipients, many of whom rely on the benefit for essential care costs, do not see their monthly support eroded by rising expenses.
Increase in Caregiver Bonus (Angehörigenbonus)
In addition to the care allowance increase, the Caregiver Bonus (Angehörigenbonus) for family members who provide home-based care was also raised for 2026. The monthly bonus now stands at €134.30 — up from €130.80 in 2025 — reflecting the same 2.7% valorisation.
The caregiver bonus is paid to individuals who care for a close relative at home who is eligible for Pflegegeld at Level 4 or higher, provided other qualifying conditions such as minimum care duration and income thresholds are met.
Government Position and Context
Social Minister Korinna Schumann stated that maintaining regular adjustments to the care allowance and related bonuses is a key part of respecting and supporting those who care for family members, especially as Austria’s population continues to age. The increases are part of broader social policy commitments even during fiscal tightening.
Beyond allowance increases, the 2026 budget also plans expanded funding for hospices, palliative care teams, and long-term care infrastructure.
Looking Ahead
With ongoing demographic changes and rising demand for long-term care services, the government’s continued valorisation of Pflegegeld aims to ensure that families and caregivers are financially supported. Observers note that such adjustments are essential not only for recipients’ quality of life but also for sustaining informal care systems across Austria.
