Like other European countries, Austria introduced employment restrictions for foreigners after World War I. Access to the labor market was to be reserved primarily for Austrian citizens. These new regulations related exclusively to dependent employees and allowed exceptions in view of family reunification, among other things. They were based on official labor market categories and reflected widely accepted imaginations of gender-specific abilities and responsibilities. However, many foreigners earned their living in a household context and their activities hardly matched the official categories of work and family. Since decision-making on employment permits required unambiguous categorization, this situation posed a dilemma for the authorities in charge. Given the vast variety of work arrangements and relations, they struggled to clearly draw the line between “employed” and “not employed” workers. Using the example of domestic help and Bulgarian gardeners, this article investigates administrative authorities' attempts to make such distinctions and it examines migrants' efforts to occupy labor market niches. While migrants un/intentionally circumvented regulations and made their living in Austria, the ongoing disputes paradoxically contributed to an enforcement of restrictions. Administrative authorities gradually increased their endeavor to locate unauthorized foreign workers even within households and they sharpened the criteria for their categorization.