Austria to launch Zukunftsdepot child savings program

The Austrian government has announced a new financial program called ‘Zukunftsdepot’ (Future Fund) designed to encourage long-term savings and investment for young people. Scheduled to launch on July 1, 2027, the initiative provides a one-time state start bonus of 500 euros for children born on or after January 1, 2027.

Rather than being paid directly to parents, the funds will be invested in a special account in the child's name. Families, including grandparents, can contribute up to 5,000 euros annually to the fund. To promote capital market participation, the program offers tax advantages, including a complete exemption from capital gains tax on withdrawals made after the child turns 18.

Local business leaders, such as Barbara Thaler of the Economic Chamber Tyrol, have expressed support for the initiative, noting it could help transition the country from traditional savings accounts toward more diverse investment strategies and improve financial literacy among the youth.