IDEAS home Printed from
   My bibliography  Save this article

Long-term Care in Austria


  • Ulrike Mühlberger


  • Alois Guger


  • Käthe Knittler
  • Margit Schratzenstaller



Public expenditure for long-term care in Austria increased by 50 percent to roughly € 3.3 billion between 1994 and 2006. However, financing long-term care is becoming increasingly difficult due to demographic developments and societal changes. Estimates of future expenditure for long-term care show that there will be significant increases until 2030, ranging from a low of 66 percent to a high of 207 percent (medium level estimates: +160 percent). Expressed as a share of the Austrian GDP, expenditure for long-term care will rise from 1.13 percent in 2006 to 1.96 percent in 2030. To finance these rising costs, WIFO recommends funding long-term care from general taxes while supplementing the financial gap from social security contributions. Establishing a long-term care fund would be suitable as an organisational umbrella to bring together the different financial streams. Such a fund would be flexible enough to cope with problems of financial volatility and to fine-tune distributional effects. Finally, the problem of circumventing public access to the personal property of individuals receiving care in kind calls for new political solutions. Thus, WIFO proposes that the personal property of such individuals should not be accessed, but instead wealth-related taxes should be introduced to finance long-term care in Austria.

Suggested Citation

  • Ulrike Mühlberger & Alois Guger & Käthe Knittler & Margit Schratzenstaller, 2008. "Long-term Care in Austria," WIFO Monatsberichte (monthly reports), WIFO, vol. 81(10), pages 771-781, October.
  • Handle: RePEc:wfo:monber:y:2008:i:10:p:771-781

    Download full text from publisher

    File URL:
    File Function: Abstract
    Download Restriction: Payment required

    As the access to this document is restricted, you may want to search for a different version of it.


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wfo:monber:y:2008:i:10:p:771-781. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ilse Schulz). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.