Pension ABC

The provisions can be found in the actual company agreement concluded by the work counsel and the university (employer). It is based on a collective bargaining agreement for employees of universities which settles down the general conditions of the supplementary provision for personal of the universities.

The pension promise is ruled in the 4^th part of the above mentioned collective agreement. Contributions have to be paid by the employers once the employee has fulfilled a waiting period of 24 months of continuous work for the same employer basically. After this period contributions have to be paid from day one of the employment.

If foreseen in the company agreement, there´s a choice between emphasizing the height of the old age pension, the height of the disability pension if disability occurs before 50 (with then lower old age pension) or a better coverage of surviving widow/ widower/ orphans, who are entitled for benefit.

The decision is up to the employee according to his personal preferences.

Contributions are paid by your employer according to the provisions of the company agreement. The contribution rate depends on the beginning and the kind of employment contract. The minimum rate amounts to 0.75 % of the pensionable salary.

There are 3 options to proceed:

1. The pension capital can remain within the pension institution and will be invested as before, if desired with complementary own contributions.
2. A transfer of the assets may be possible to the old age company scheme of a new employer within Austria or abroad according to the legal provisions.
3. The capital can be paid out as a lump sum, if the assets (both from employer´s and employee´s contributions) do not exceed a certain (from time to time indexed) amount (2021: € 12,900).

The benefits are.

• old age pension
• disability pension
• surviving widow/widower/orphans pension

(see question A2)

After contributions being paid there is no minimum period of an eligibility for benefits.

There is a waiting period of basically 24 months of employment before contributions have to be paid by the employer. See question A1

As contributions are a percentage of the income, the height of the pension mainly depends on income, applicable percentage, the period of contribution´s payment, returns on investment of the pension institution and the age at retirement. The contribution rate depends on the beginning and the kind of employment contract. The minimum rate amounts to 0.75 % of the pensionable salary.

The pension institution will provide sufficient information and various calculations in the yearly account statement.

Yes, according to legal provisions. Own contributions are limited by the height of the contributions of the employer, except the possibility of paying own contributions up to € 1,000 a year irrespective the amount of employer´s contributions.

Old age pension can be claimed after termination of employment at the age of 60 at the earliest.

As contributions are a percentage of the income, the height of the pension mainly depends on income, applicable percentage, the period of contribution´s payment, returns on investment of the pension institution and the age at retirement. The contribution rate depends on the beginning and the kind of employment contract. The minimum rate amounts to 0.75 % of the pensionable salary.

The pension institution will provide sufficient information and various calculations in the yearly account statement.

Pension will be paid out through VBV Pensionskasse.