A job change often raises another question in addition to the notice period, remaining vacation and the new contract: What happens to Abfertigung neu? Many employees believe they must have the accumulated balance paid out immediately or that they would lose it if they resign. Neither is true. The capital generally remains intact, but a payout is not immediately possible for every type of termination. And even if it is possible, it is not necessarily the best decision.
This guide explains The 'Abfertigung neu' when changing jobsfor employees in Austria. It shows when you are allowed to access it, which deadlines apply, and how to compare payout, reinvestment, transfer and retirement provision objectively.
The quick decision before changing jobs
- The balance does not lapse:Even if you resign, the accumulated capital remains in the company pension fund (Betriebliche Vorsorgekasse, BVK).
- A payout is not always immediately possible: At least 36 months of contributions and how the employment relationship ends are decisive.
- You do not have to pay out: Depending on the conditions, further investment, transfer to the new employer's BVK, or a transfer to a retirement provision institution are also possible.
- The deadline is generally six months: Without a timely declaration, the money remains with the previous BVK and will continue to be invested.
- Liquidity has a price: In the case of a payout, six percent wage tax is generally deducted.
Therefore, first check your entitlement to a payout and only then the economically appropriate use. Those who are evaluating the new contract at the same time will find in the jobspot.at-guide to \"Checking a job offer a supplementary checklist.
How the new severance pay system works
For employment relationships that generally began on or after January 1, 2003, the new severance pay system applies. Since 2008, many freelance service contracts have also been included. The employer pays 1.53 percent of the monthly gross salary, including special payments, to a staff provision fund (BVK) via the responsible health insurance provider. The first month of employment is generally contribution-free.
Unlike the old severance pay system, the entitlement grows continuously with the contributions. The amount therefore does not depend on a fixed number of monthly salaries. Simply put, the balance consists of the contributions paid plus the investment result minus permissible costs. If the funds are accessed later, a statutory capital guarantee applies to the contributions paid.
Which BVK is responsible must be stated in the employment contract or service note. The payslip should also show the assessment basis and the BVK contribution. Anyone who discovers any ambiguities there can use the jobspot.at guide for Checking the payslip as well.
The money is not lost even if you resign yourself
The most important principle is often called the 'backpack principle': the balance accompanies you through different employment relationships. If you resign, are dismissed for cause, or leave without an important reason, you are generally not allowed to access the money immediately. However, it remains in the account of the previous BVK and continues to be invested.
If a later employment relationship ends in a way that entitles you to a payout and the required contribution months have been reached, the right to access may also extend to older balances. A voluntary resignation therefore usually only blocks the immediate payout; it does not destroy the capital already accumulated.
When a payout is possible
For a regular withdrawal, you must generally have at least three years of contributions, i.e. 36 contribution months. The months can come from several employment relationships. So you do not have to have been employed by the same employer for three years. It is also relevant whether sufficient contribution periods have passed since an earlier withdrawal.
If the required contribution period has been met, a payout may in particular be possible if:
- the employer terminates the employment,
- a fixed-term employment relationship ends on expiry of the term,
- the employment relationship is terminated by mutual agreement,
- an involuntary dismissal occurs,
- It entitles you to leave early or
- You resign during statutory parental part-time.
There is generally no immediate entitlement to access in the case of ordinary voluntary resignation, dismissal for cause, unauthorized withdrawal, or a lack of 36 months of contributions. Special rules apply, among others, in cases of retirement, death, parental part-time, and long contribution-free periods. If the type of termination is disputed, legal clarification should take precedence over a quick BVK decision.
Four options for the accumulated savings
1. Payout as a lump sum
The payout provides immediately available liquidity. This can make sense if there is a real financing gap or if expensive debts need to be paid off. From the gross amount, the BVK generally deducts six percent income tax. In addition, it should be borne in mind that the money will no longer be working within the BVK system for retirement provision afterwards.
A payout should therefore not be made solely because it is currently possible. Compare the net amount with the specific purpose. "Having the money in your current account" is not a financial plan.
2. Continued assessment in the existing BVK
Anyone who does not submit a declaration or who consciously wants to continue investing leaves the capital in the existing BVK. This is administratively simple and preserves the long-term pension provision function. This option is particularly sensible when no short-term liquidity is required and the annual account statements can be followed transparently.
Check investment performance, costs and guarantees over several years instead of basing them on a single good or bad year. Past performance is not a guarantee of future results.
3. Transfer to the new employer's BVK
A consolidation can improve clarity. In the case of a regular decision, the entire balance may be transferred to the BVK of the new employer. Blocked old balances may also be transferred under certain conditions if they have remained contribution-free with the former BVK for at least three years.
A transfer does not automatically increase returns. However, it consolidates scattered accounts and makes it easier to keep track of claims, documents, and beneficiaries.
4. Transfer to a pension provider
The law also allows, under certain conditions, transfers to a pension fund, occupational collective insurance, or certain supplementary pension insurance policies. This option ties the money more closely to retirement provision. Before making a decision, the costs, payout terms, guarantees and tax implications of the specific product must be reviewed.
What a net payout means: a simple example
Assume the current BVK statement shows an available gross severance of €10,000. With a capital payout and an income tax deduction of six percent, a simplified amount of €9,400 would be paid out. The example does not take into account any special circumstances of individual cases, but it does illustrate the direct difference between the account balance and the available net amount.
This calculation is not yet sufficient to make the decision. Whoever reinvests the money does not know the future return, but keeps the entire balance in the pension system. Whoever takes a payout receives €9,400 immediately and can use it to finance a specific purpose. The right comparison question, therefore, is not "Is a payout allowed?" but "What demonstrable benefit does the net amount provide today compared with continued retirement provision?"
One example: If the payout repays a short-term loan with very high interest, the interest expense avoided can be economically significant. If, on the other hand, the money is to sit in an interest-free account without a plan, the benefit is less clear. For a robust comparison, loan costs, existing emergency savings, planned time horizon and the BVK's terms should be shown together.
Which option fits which situation?
There is no universally best solution. The following decision matrix provides an initial orientation:
- Immediate financial shortfall:A payout can be justifiable if the net amount solves a clearly defined problem and no cheaper reserve is available.
- Stable job change without need for funds:Reinvesting or transferring preserves the purpose of the retirement provision.
- Several small BVK accounts: An allowable consolidation can simplify administration and control.
- Long investment horizon: Compare costs, risk, guarantees and expected use until retirement instead of just the current account balance.
- Unclear termination type: First legally clarify the entitlement and deadline, then take action.
- Planned retirement: Coordinating with the pension start date, tax consequences and existing pension provisions warrants individual advice.
For larger sums, the decision should not be based on a single metric. Liquidity reserves, debt interest, time horizon, risk-bearing capacity and other components of financial planning should be considered together.
Use the six-month period correctly
If you have a withdrawal entitlement, you must generally inform the BVK in writing within six months after the end of the employment relationship what should happen to the severance pay. If no declaration is made, the balance remains with the current BVK and will continue to be invested. It does not disappear.
In an employment court proceeding concerning circumstances relevant to severance pay, a special deadline rule may apply. Therefore document the end of the employment relationship, the type of termination, and all correspondence. Those still preparing the dismissal should also address deadlines and handover with the guide to "Resignation discussion when changing jobs vote.
Seven steps for a clean decision
- Identify BVK: Check the employment contract, employment statement, and most recent payslip.
- Request account balance: Use the current BVK account statement and, if applicable, record balances at multiple funds.
- Record the type of termination: Employer dismissal, resignation, fixed-term contracts and mutual agreement do not always lead to the same immediate disposal rights.
- Check contribution months: Add up contribution periods from different employments and take earlier dispositions into account.
- Calculate net amount: Compare the gross balance with the six percent wage tax on payout.
- Compare options in writing: Note the purpose, costs, time horizon and consequences of each option.
- Declare within the deadline: Send the chosen instruction to BVK in a verifiable way and keep the confirmation and the statement.
You should gather these documents before submitting the declaration
A good decision often fails not because of the law, but because of incomplete data. Therefore set up a small digital or printed BVK folder. It should contain at least the employment contract or employment letter (Dienstzettel), the most recent pay slips, the letter regarding the termination of the employment relationship, current BVK account statements and any documents from previous employers.
On the account statement, compare the employer, the contribution period, the total contributions, the assessment result, reported costs and the available total amount. If employment months or employer do not match your records, clarify the discrepancy with BVK, the employer or the health insurance carrier before making a disposition. A missing month can be decisive at the threshold of 36 contribution months.
If there are multiple BVKs, a simple table listing the fund, account number, last contribution, balance, duration of contribution-free period and contact method is sufficient. This lets you see which legacy entitlements have already been contribution-free for three years and may be eligible for consolidation. Also note the end of the current employment relationship and the last day of the six-month period as an exact calendar date.
Three typical practical cases
Case 1: Voluntary resignation for a better job
An employee resigns voluntarily and starts with the new employer without a longer interruption. The balance remains with the previous BVK. An immediate payout is generally not possible for this reason. A claim to access the funds may arise later, or after a sufficiently long contribution-free period a transfer to the current BVK can be considered.
Case 2: Mutual termination after four contribution years
An employee agrees to terminate the employment relationship and has accumulated more than 36 contribution months. They can, in principle, choose between payout, continued investment, transfer and an eligible retirement provision solution. Before opting for a payout they compare the net amount with their actual liquidity needs.
Case 3: Fixed-term contract ends after 18 months
The type of termination would in principle be favorable to a payout, but the required contribution months are missing unless older periods can be credited. The capital remains intact and continues to be invested. Once all requirements are met later, it can be accessed.
Common mistakes regarding Abfertigung Neu
- Confuse voluntary resignation with a loss of the account balance.
- Consider only the duration with the last employer instead of all contribution periods.
- Let the six-month declaration period expire, even though an active transfer was planned.
- Equate the gross amount with the actual payout amount.
- Do not include multiple BVK accounts in the decision.
- Choose a payout without a specific intended purpose.
- Act in the event of a contested dismissal or a notice of resignation without seeking advice.
FAQ on Abfertigung neu when changing jobs
Do I lose the Abfertigung neu if I resign voluntarily?
No. The balance is generally preserved. However, in an ordinary voluntary resignation there is usually no immediate right to access the funds.
Do the 36 contribution months have to be with a single employer?
No. Contribution periods from multiple employment relationships are generally aggregated. Earlier dispositions and concurrent employment relationships may affect the assessment.
What happens if I don't make a decision for six months?
The balance remains with the previous BVK and will continue to be invested. However, a planned immediate payout or transfer will not be carried out without instruction.
What is the tax on a payout?
Generally, six percent wage tax is deducted from a capital payout. For special cases and alternative transfers, the specific tax consequences should be examined.
Can I consolidate old BVK accounts?
Yes, subject to legal requirements. Old vested benefits that have been made contribution-free can, in particular, be transferred to the current BVK after a three-year contribution-free period.
Conclusion: Check your entitlement first, then decide about the money.
The new severance pay upon changing jobs is not a bonus that must be spent immediately, nor is it a balance that disappears if you resign. It is a personal retirement provision entitlement with clear rules for disposition. Check the type of termination, contribution months, account balances and deadlines before making a financial decision.
Comparing payout, reinvestment, transfer and retirement provision based on your own objectives will help you make the better choice. In cases of disputed employment-law circumstances or large amounts, the Arbeiterkammer, a trade union, a tax advisor or an independent financial advisor should be consulted.
Sources and further information
- Arbeiterkammer: New severance pay
- Business Service Portal: New severance pay for employees and freelance contractors
- Business Service Portal: Overview of severance pay
- RIS: § 14 BMSVG on the entitlement to severance pay
- RIS: § 17 BMSVG on the options for disposition
- Chamber of Labour: consolidate severance contributions
- Chamber of Labour: calculator for the new severance pay
