Educational Leave with Training Allowance: How the Reimbursement Is Processed

For employees on educational leave whose regular gross monthly salary amounts to at least 50% of the ASVG maximum contribution base (2026: €3,465.00), the employer must commit in advance to paying a training allowance supplement equal to 15% of the AMS training allowance directly to the employee on educational leave (this requirement does not apply to educational part-time arrangements). The allowance paid by the AMS is reduced accordingly.

While these changes have been known for some time, the tax and payroll treatment of the training allowance supplement has now largely been clarified:

• Pursuant to Section 3 (1) item 5 lit. f of the Austrian Income Tax Act (EStG), the training allowance supplement is exempt from payroll tax and must not exceed the marginal earnings threshold (2026: €551.10). It is neutral for annual one-sixth calculations (including the control one-sixth), meaning it neither increases nor utilizes the annual one-sixth.
• For social security purposes, the training allowance supplement is exempt from social security contributions from a payroll perspective, as the AMS assumes responsibility for the social security contributions.
• The supplement is also assumed to be exempt from contributions to the severance fund scheme (Betriebliche Vorsorge / “Abfertigung Neu”).
• However, it is subject to Employer Contribution to the Family Burdens Equalisation Fund (DB), Employer Surcharge (DZ), and Municipal Tax, as there is no statutory exemption available.
• From a practical payroll perspective, the training allowance supplement should be recorded both in the payroll register (Lohnkonto) and on the annual payroll statement (Form L16) under “Other Tax-Exempt Payments”. Although the Payroll Records Regulation has not yet been amended accordingly and does not currently provide for such reporting explicitly, recording the supplement in the payroll register and on Form L16 is effectively necessary due to the liability for DB, DZ and Municipal Tax.

This results in the following payroll treatment overview:

Training Allowance Supplement for Educational Leave