Living in Vienna, Austria with Nikolett Kustos: An Expat’s Perspective
Discover the nuances of life in Vienna through Nikolett Kustos's experiences as a Hungarian-born photographer and resident. From cultural differences to practical cost-of-living insights, this episode offers a comprehensive view of what makes Vienna a unique and appealing place to live.
In this episode:
- Nikolett’s journey from Hungary to Vienna and her reasons for staying
- The cultural similarities and differences between Austria and Hungary
- Vienna’s social attitude and community dynamics
- Climate, geography, and proximity to neighboring countries
- Cost of living: housing, utilities, transportation, and groceries
- Walkability and public transportation system
- The vibrant LGBTQ community and safety in Vienna
- Residency, visa options, and bureaucratic processes
- Language considerations and expat integration
- Healthcare system quality and access
- Crime levels and safety perceptions
- Austrian cuisine and culinary scene
- Coffee culture and social habits
- Trade-offs of living in Vienna compared to the US
- Why Vienna is an ideal place for retirement
- Austria’s tax environment: no wealth tax, no inheritance or estate taxes
Timestamps:
00:00 - Introduction to Nikolett and her background
02:00 - Reasons for moving to Vienna and cultural similarities with Hungary
05:15 - Vienna’s social attitude and community feel
07:30 - Climate, geography, and travel opportunities around Austria
10:00 - Cost of housing: old vs. new buildings
13:00 - Cost of utilities and telecommunications
15:00 - Transportation costs, public transit, and walkability
19:00 - Safety and crime rates in Vienna
21:45 - Food culture: traditional and international cuisine
25:30 - Coffeehouse scene and social habits
29:00 - Expat community and language in Vienna
33:50 - LGBTQ visibility, pride, and community safety
36:45 - Residency options, visa processes, and bureaucracy
43:00 - Healthcare system and quality of medical services
50:00 - Taxes, income tax, and international tax liabilities
55:30 - Austria’s healthcare coverage and private insurance
60:00 - Crime, safety, and gun laws
65:00 - Suitability for different demographics and lifestyle preferences
75:00 - Trade-offs: what might not appeal to everyone
78:30 - Why Vienna is a great retirement destination
Resources & Links:
Connect with Nikolett:
Austria’s Tax Environment
Austria has no wealth tax and no inheritance, estate, or gift taxes. The inheritance and gift tax was abolished back in 2008. A few nuances worth knowing:
- Real estate transfers — While there’s no inheritance tax per se, real estate received through inheritance or gift is subject to a transfer tax, and a land registration fee of 1.1% of market value is also owed by the heir.
- Gift reporting obligations — Even though gifts aren’t taxed, gifts of cash, shares, and similar assets must be declared to the tax authorities if they exceed €50,000 in the case of relatives, or €15,000 in the case of third parties. Failure to report can result in fines.
- Could this change? — There’s been some political discussion about reintroducing these taxes, though it is considered rather unlikely under the current government.
Austria’s Healthcare System: What American Retirees Need to Know
Residents are defined as individuals who have legally resided in Austria for 6 months or more and are entitled to healthcare under the state social insurance system. However, access to the public ÖGK system depends heavily on employment status:
- If you’re employed, you’re automatically enrolled through your employer the moment you start working.
- If you’re retired and not working, individuals living permanently in Austria who are not covered by the state health system may get coverage by paying monthly fees, similar to coverage from a private insurance company, with a six-month waiting period.
- If you’re self-employed or a freelancer, you can register with a separate body called the SVS, though these individuals need to pay 20% of the cost of treatment, and healthcare will not be completely free.
The visa requirement wrinkle
Persons from third countries (non-EU) will only get a residence permit for staying more than six months if they can first provide proof of having health insurance covering “all risks.” So you essentially need private insurance before you can even get the visa — and then you can transition to the public system once you’re established as a resident.
Monthly costs
- Contributions to the public ÖGK amount to approximately 7.65% of gross income, split between the employee and the employer.
- For those self-insuring voluntarily (not employed), student self-insurance at the ÖGK costs around €63 per month.
- Private plans for expats run roughly €30–€100 per month, depending on age and coverage.
Bottom line for listeners:
An American retiree moving to Austria would likely need to start with private health insurance to obtain their visa, then, after establishing legal residency, could potentially transition to the public system — but it’s worth consulting an immigration specialist given the complexity.
Note:
Each section offers practical insights for prospective expats and retirees considering Vienna as their new home
Please always consult a professional tax and immigration attorney before making a move.
A note on long-term residency for non-EU citizens: Retiring to Austria as a US citizen is possible but genuinely difficult. The primary pathway is the Settlement Permit (Gainful Employment Excepted), which requires sufficient passive income, comprehensive health insurance, proof of accommodation, and basic German language skills. The catch is that only approximately 300 of these permits are issued nationwide each year, quota places are assigned on a first-come, first-served basis at the start of each calendar year, and immigration attorneys note that securing a spot is rarely possible without legal support. If you are serious about Austria, start the process early in the year and budget for professional immigration help.
