AOW and pensions in Austria: the treaty of 1970

Whoever lays the pension rules of several emigration countries side by side sees something special with Austria: the treaty dates from 1970, and precisely that age is the gift.

The occupational pension: exclusively to Austria

Article 19 of the treaty is from a vanished generation: private pensions of a resident of Austria are "taxable only in that State" — exclusive residence-state taxation. The article doesn't mention an annuity, but via the residual article (article 22) that comes out at exactly the same place: taxable only where you live. No threshold amount like the treaty with Germany (€ 15,000), no source-state taxation of up to 20% like Finland, no reversal in the making as with Sweden. You apply to the Belastingdienst for an exemption certificate for wage tax, and from then on your pension provider pays out gross; Austria taxes at its own brackets — with a tax-free allowance of well over € 13,500 and fourteen payment instalments that are taxed mildly.

And it holds: in the letter to Parliament on the treaty negotiations of 2026, Austria doesn't appear — unlike Portugal and Romania, where the Netherlands is renegotiating precisely because of pension taxation. So this regime is not a closing window but an open door.

AOW and government pensions: those stay Dutch

Two exceptions complete the picture. The AOW (the Dutch state pension) has fallen under the social-security provision since the protocol of 2001: the Netherlands may tax it, and does so via wage tax. And government pensions (the ABP part from government employment) remain taxed in the Netherlands, unless you also hold Austrian nationality. The export itself is trouble-free: Austria is EU, so your AOW travels with you in full, including the single-person rate of 70%. Accrual does stop — every year outside the Netherlands costs two percent — and voluntary continued insurance is possible, provided you apply within a year of departure.

Assets that stay behind in the Netherlands

Three rules from the same treaty for whoever keeps a house, shares or savings. A rented-out house in the Netherlands remains fully taxed in the Netherlands — income from immovable property belongs to the country where it lies (article 6). On dividends from a Dutch company the Netherlands as source state may withhold a limited amount: 15%, or 5% with a holding of at least 25% (article 10). And interest is the quiet surprise: it is taxable exclusively in your state of residence — on Dutch savings interest only Austria taxes (article 11).

The healthcare side: the CAK route with a high factor

Pensioners without work in Austria fall under the CAK treaty route: with the S1 form you register with the Austrian ÖGK and receive the e-card — note that with a foreign history it doesn't come by itself; contact customer service actively. The treaty contribution follows the country-of-residence factor, and for Austria that's steep: 0.9177 in 2026 (against 0.8998 in 2025) — Austrian healthcare costs almost the Dutch level, and you see that back in the contribution and in the healthcare allowance that's calculated on it. One deadline dominates the planning of early retirees: from — as expected — 1 November 2026 early retirement no longer gives access to the CAK route; whoever is registered before then keeps their rights.

The rest of the fiscal move

The protective assessment on your pension and annuity accrual is a formality within the EU: automatic deferral, no securities, and after ten years without surrender remission on request. The M return for the year of emigration you file online. And don't forget the sums that run outside the treaty: Austria has no box 3 like the Netherlands — assets there (apart from immovable property and a few levies) are not taxed annually, which for savers and investors can quietly be the biggest difference. How that works out for your mix is exactly the one conversation with a tax adviser that this move deserves.

In Vertrekklaar this is phase 2 of 5 of the journey: the same steps, but for your situation — in your order, tickable, and with the deadlines watched. See the whole journey to Austria.