Between care costs, responsibility and justice: How much can the state afford?

Care in the field of tension between the welfare state and personal responsibility

The Austrian welfare state is considered one of the most stable social security systems in Europe. Millions of people rely on it: on care allowances, support for relatives, subsidies for care at home or the right to medical care. This network is particularly vital when it comes to care - for older people, for the chronically ill and for all those who care for others on a daily basis.

However, in the year 2025, we are increasingly aware of how the balance is shifting. Demographic change is progressing and more and more people will be in need of care. At the same time, public budgets are under pressure - the famous "zero deficit" is becoming a political guideline. And right in the middle of it all: Families wondering how they are going to cope with caring for their loved ones. Nurses who bear responsibility - but often feel little support. And young people who wonder whether the welfare state will still deliver what it promises for them too.

In this article, we take an honest look at what is reality today - and what will be necessary tomorrow. We show how care financing works in Austria, where the limits of the system lie, what reform ideas are being discussed and how important it is that we not only expect the state to provide care, but also take responsibility ourselves - as Family members, as citizens, as care professionals. Because care affects us all. And only together can we create a system that will be sustainable in the future.

The welfare state in action: What are Austria and Germany doing for care?

Care allowance, subsidies & legal entitlement

The need for care affects many people in Austria and Germany - directly or through their relatives. Financial support from the state is therefore a key element in relieving the burden on families and making dignified care possible.

In Austria, the care allowance is the centerpiece of state care support. It is granted regardless of income or assets and serves to cover additional care-related expenses. The amount depends on the assessed need for care, which is assessed in a medical report. This results in the classification into one of seven care levels.

The higher the care level, the higher the monthly amount. In 2025, the range is between 200.08 Euro (level 1) and 2156.6 Euro (Level 7) (source:Amount of care allowance).

Visualization of the monthly care allowance amounts from level 1 to 7.

In addition to the care allowance, the following state support services are available in Austria:

• Grants for the 24-hour care: When people in need of care are cared for at home, families can apply for financial support if certain quality and contractual criteria are met.
• Caregiver Leave Benefit: Relatives can take time off work to care for their loved ones - with financial security through the care leave allowance.
• Care time with job security: There is a statutory entitlement to care leave or part-time care leave with the right to return to work.
  
   

Nevertheless, many questions remain unanswered - especially for family caregivers:
What happens if the care allowance does not cover the actual costs? Where can I find a reliable caregiver? Who will provide me with organizational and emotional support?

Here sets noracares - a platform that connects families with certified caregivers in an uncomplicated way. Whether you need help by the hour or comprehensive care: you will not only find care support there, but also a community that listens, advises and thinks along with you.

Care in Germany: Care levels instead of care grades

Germany also has a differentiated care allowance system - albeit based on five care grades, which are awarded as part of an assessment by the Medical Service (MD). These reflect independence and the need for support.

The care allowance for home care by relatives or acquaintances ranges from 125 euros (care level 1) up to €990 (care level 5) monthly (as of 2025, source:Nursing Benefits | BMG).

Visualization of the monthly care allowance amounts from care grade 1 to 5.

Austria & Germany in comparison: Two systems, one goal

Both countries are based on the principle that anyone who needs care should receive support - regardless of their social status. Nevertheless, there are differences in the system, amount and access requirements. While Austria relies more heavily on care levels and comprehensive additional benefits (e.g. care leave allowance, allowances for 24-hour care), the role of the care insurance funds is particularly central in Germany - including in the organization of outpatient and inpatient care.

What both have in common is that the system would hardly be sustainable without the support of family caregivers. New models are therefore needed - and platforms such as noracares that connect people, create transparency and make care more human.

When support isn't enough: What families really need

However, as many relatives report, these state care allowance amounts are often not enough to ensure dignified and comprehensive care at home. Particularly with higher care levels or when older people live alone, there is a real gap in care - between what is necessary and what is financially viable. The result: physical and emotional overload for relatives, who are usually also working or looking after their own children.

What does this mean for you as a daughter, son, grandchild - or caregiver?

This is where other support services come into play - at least in theory:

• Subsidies for 24-hour care: If a caregiver moves into the household, monthly allowances can be applied for - provided that certain statutory quality and contractual conditions are met.
• Caregiver's allowance: Those who reduce their working hours or take time off work to provide care receive financial support for up to six months - a relief, but often not enough for a family with ongoing fixed costs.
• Care time with job security: The right to take care leave or part-time care leave is enshrined in law - with the right to return to work. However, not everyone dares to actually take this step.
• Replacement care: If family carers fall ill or need a break, a replacement can be provided for up to four weeks a year - as long as it is organized in good time. And yet: The reality for many families is different.

Case study: "I don't want mom to have to go to the nursing home."

Sabine, 42, lives with her family in the outskirts of Graz. Her mother Anna is 78 and has been dependent on care since suffering a stroke. Her level of care has been classified as level 5 - the care allowance is just over 1,100 euros per month. This covers around half of Sabine's actual care costs, as her mother needs support during the day and someone to be available at night in case something happens.

Sabine reduces her working hours, applies for care leave and organizes 24-hour care with the help of a placement service. The quality is good - but the financial burden grows month by month. Then there is the emotional challenge: "Sometimes I feel like everything is getting on top of me - job, children, care and then the bureaucracy," she says.

What Sabine really needed? Someone who not only gives her financial information, but also helps with the organization, keeps an overview - and someone with whom she can talk openly about her worries.

This is exactly where noracares comes into play.

noracares is more than just a platform for finding caregivers - we are a network that supports, accompanies and relieves families. Whether you are looking for short-term help or a long-term care solution - on noracares.at you will find certified caregivers, flexible offers and a community that understands you. Because no one should be alone with care.

noracares brings support where it is needed

It is particularly important here to find a reliable, affordable and humane solution - and this is what noracares.Our platform brings you together with certified, experienced caregivers - directly, without an agency, but with heart.

Whether you are looking for support for your parents or would like to work as a caregiver yourself: noracares is your bridge to care with purpose and confidence.

Between aspiration and reality: challenges of the system

A system at the limit

Care is on the move - but not always in the right direction. While the population is ageing, the challenges are growing faster than the solutions. According to a forecast by Statistics Austria (2024), one in ten people in Austria will be over 80 years old by 2050. Care costs are rising continuously - by +7.2% in 2023 alone compared to the previous year. Trend: continuing to rise.

At the same time, the number of people who contribute to financing via taxes and social security contributions is falling. Particularly affected: younger generations, whose income is often insecure and who are increasingly also caring for their parents or grandparents. The result? The financial equilibrium of the care system is shaking.

A bold rethink is needed - in politics, in families, but also in our social attitude towards care.

Bureaucracy and lack of transparency

Many relatives report stressful experiences with the care allowance system: forms that are difficult to understand. Deadlines that are overlooked. Decisions that feel like a game of dice. The Chamber of Labor reports that care allowance inquiries are among the most frequent requests for advice - often associated with uncertainty and frustration (AK Care Report 2023).

Caregiving relatives in particular, who are already emotionally and physically challenged, don't need hurdles - they need clear information and reliable support.

Equality of opportunity

What happens when the care allowance is not enough - but the money for private additional services is missing? Many people know the answer: You try to get by somehow. You give up vacations, reduce your working hours, maybe even sell your car or move into a smaller apartment.

However, care should not be a question of the wallet. If the welfare state is cut back without creating alternatives, there is a risk of increasing social inequalities. People on low incomes or single parents in particular will then be faced with unsolvable decisions.

State, society and you: Who bears responsibility?

The state - supporting pillar or crisis manager?

The Austrian care system is financed via two main pillars:

• Social security contributions of employed persons
• General tax revenue
  
   

Yet with the goal of a Zero deficit from 2026 these revenues are under scrutiny. Politicians are wavering between the need to save money and the mandate to provide care. According to a recent WIFO study (2024), around 60% of care allowance recipients have an income below the national average. Savings therefore hit particularly vulnerable groups - people who hardly have a voice anyway.

At the same time, new approaches are being discussed: tax-based care provision, care funds, care time accounts. However, many of these proposals remain stuck in concept papers. Implementation requires political will - and social support.

Families & relatives - the invisible backbone

Fast 80 % of people in need of care in Austria are cared for at home - by partners, daughters, sons, children-in-law. Usually unpaid, often unappreciated. What sounds like love is in many cases a feat of strength between work, own children and caring responsibilities. Burnout, exhaustion and loneliness are often the result.

What family members need now:

• Time credits or care periods with real financial security
• Psychosocial Support, e.g. through counseling or peer support. e.g. through counseling or peer groups
• appreciation - by society and employers alike
   

Platforms like noracares are a link here: they not only help in the search for reliable support, but also give relatives the feeling that they are not alone.

Maintenance professionals - the heart of the system

No functioning system without nursing staff. But there is a problem here too: many professionals are leaving the profession because they feel exhausted. Staff shortages, shift work, too little recognition - this is not without consequences.

What is needed:

• Fair pay and reliable working hours
• Access to training, for example in prevention, dementia or digitalization
• More self-determination in everyday life - less documentation pressure, more time for people
   

With noracares enables caregivers to find families who value their skills. Without a placement agency, without detours. Instead, they are direct, human and reliable.

Taking responsibility together - for care with a future

Care is more than a financial or political issue - it is a human task. And it concerns us all: as a family, as a carer, as a society.

Yes, the welfare state in Austria and Germany provides important financial support. But as many stories show, care allowances, grants and statutory entitlements are often not enough to provide real relief. Too many relatives are under pressure. Too many carers feel left alone.

There is therefore a need for a change of perspective: away from thinking in terms of responsibilities - towards a combination of public support, private responsibility and professional guidance. The state must not be left alone, but families must not be left alone either.

Platforms like noracares build bridges right here: between people who need help and those who want to help with their heart, expertise and time. So that care can once again be what it should be - humane, engaging and dignified.

• Care allowance - Monthly financial benefit to support people in need of care - regardless of income or assets.
• Care levels (Austria) - Classification of care needs into seven levels. Basis for the amount of care allowance.
• Grades of Care (Germany) - Classification of support needs into five levels. Serves as the basis for care insurance benefits.
• Caregiver Leave / Caregiver Leave - The opportunity for family members to reduce their working hours or take time off to provide care - with statutory cover.
• 24-hour support - model in which a caregiver lives in the household of the person in need of care and provides comprehensive support.
• Replacement care - Replacement of family caregivers - e.g. in the event of illness or exhaustion. e.g. in the event of illness, exhaustion or vacation - for up to four weeks per year.
• Zero deficit - Budget target at which the state does not incur any new debt. Often in conflict with rising social spending.
• Solidarity principle - The basic idea of the welfare state: everyone contributes to funding according to their means in order to provide needs-based support.