To ensure that the purchasing power of pensions remains intact, they are multiplied by the statutory adjustment factor on 1 January of each year.
The adjustment factor is based on a reference value. The reference value for pension adjustments is set in such a way, that the increase in pensions corresponds to the rise of consumer prices.
The reference value for 2024 has been set at 1.097. However, in 2024 the pension adjustment will deviate from the reference value. Hereby the Austrian Parliament followed a government proposal (BGBl. I Nr. 133/2023).
The 2024 pension adjustment is based on the total pension amount, which a person receives from the statutory pension system (e.g. a person receives a person for him/herself and a survivors pension, then these two pensions are added and that is the total pension amount):
The total pension amount will be increased in the year 2024 if:
- the total pension amount is not higher than € 5.850 per month, by 9,7%;
- it is higher than € 5.850 per month, by € 567,45.
The average increase of the consumer prices, which underlies the calculation of the adjustment factor, amounted 9,7 per cent.