NEWS
UPDATE
Do
you want to know more about Mandatory Provident Fund?
Basic
Features of MPF
-
When
MPF becomes effective, all Employers will have to provide a Mandatory
Provident Fund (MPF) to their employees aged between 18 and 65
as well as the Self Employed.
-
Both
Employer and Employee have to contribute 5% of total income including
bonuses, commissions, overtime, etc but excluding housing allowance,
from $4,000 up to $20,000 per month. Below $4,000 employee may
choose not to contribute.
-
Employee
mandatory contributions can be deducted from their
taxable income up to $12,000 p.a.
-
Accrued
benefits are fully vested and preserved to age 65 unless preceded
by Death, Disability or permanent departure from Hong Kong.
Implementation
Schedule for MPF Schemes
According to
the implementation schedule announced by the MPF Schemes Authority
(MPFA), approved MPF products can be marketed from February 2000.
The commencing date of MPF is 1st December, 2000.
|
Dates
|
Details
|
| January
2000 to May 2000 |
Employers
with existing ORSO schemes apply for MPF exemptions |
| February
2000 to December 2000 |
Authorised
trustees sell MPF products to employers and employees
Employees
participate in the MPF schemes arranged by employers
|
| December
2000 |
MPF Commences |
 
|
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