Information Centre

FAQ

Employee

MPF Employee

 

Coverage

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1. What is a “regular employee”?
A regular employee is someone aged 18 to 64 who has been employed for a continuous period of 60 days or more. Unless the employee is an exempt person under the MPF System, the employer is required to enrol the regular employee in an MPF scheme and make contributions.
2. I am employed in Hong Kong by a Hong Kong company, but my employer has temporarily sent me to work in the Mainland. Am I covered by the MPF system?
If you are a Hong Kong resident employed by a Hong Kong company, your employer is required to enrol you in an MPF scheme regardless of where you are deployed to work.
3. I work part-time  in a company and work less than 18 hours a week. Am I covered by the MPF System? 
If you have been employed for a continuous period of 60 days or more, your employer is required to enrol you in an MPF scheme regardless of the number of days and hours you work.
4. I am a director of a limited company. Am I covered by the MPF System?
If you are an executive director involved in the daily operation of the company and receive remuneration (e.g. directors' fees), the company is required to enrol you in an MPF scheme. However, if you are a non-executive director and you are not involved in the daily operation of the company, you are not required to join an MPF scheme.
5. If I have more than one job at the same time, does each of my employers have to enrol me in an MPF scheme?
Yes. No matter how many jobs you have at the same time, as long as you have been employed for a continuous period of 60 days or more in that job, the employer is required to enrol you in an MPF scheme within 60 days of your employment and make contributions based on your relevant income. Contributions for each job are calculated individually, with the monthly contribution for you and your employer capped at 5% of the monthly maximum relevant income level.
6. I am holding an employment visa and employed by a Hong Kong company. Am I covered by the MPF system?
If you are a member of retirement scheme of a place outside Hong Kong, or if your employment visa only allows you to remain in Hong Kong for 13 months or less, you are exempt from joining an MPF scheme. If your employment visa is extended to more than 13 months, you will cease to be exempt from the first day after the end of the 13-month period. Your employer is required to enrol you in an MPF scheme within 60 days.

Enrolment

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1. Can I choose an MPF scheme and request my employer to enrol me in that scheme?
You may suggest the idea to your employer but the final decision on which MPF scheme to join rests with your employer.
2.  I just started my job. How will my employer enrol me in an MPF scheme?

Your employer is required to enrol you in an MPF scheme within 60 days of your employment.  Your employer will provide you with an enrolment form of the MPF scheme the employer is participating in. You are required to provide the following information, sign and return the form to your employer for opening an account for you.

• name;
• HKID number;
• date of birth;
• contact information (address and telephone number);
• choice of funds, if any; and
• tax residency self-certification (i.e. declaration on whether you are a tax resident outside Hong Kong)

 
3. Why I have to declare my tax residency when opening an MPF account?

According to the requirements under Automatic Exchange of Financial Account Information (AEOI), all new MPF account holders are required to provide a tax residency self-certification (i.e. declaration on whether the account holder is a tax resident outside Hong Kong). Without the self-certification, trustees will not be able to complete the account opening procedures.

 

For details on AEOI, please visit the websites of the Hong Kong Trustee's Association and the Inland Revenue Department.

4. How can I confirm whether my employer has enrolled me in an MPF ​​scheme?

When you become a member of an MPF scheme, the trustee will provide you with a notice of participation. The notice will state the name of the scheme, the name and address of the trustee of the scheme, your name, and the issue date the notice. In addition, the trustee will also provide a general description of the scheme, including:

 

  • fees and charges payable under the scheme;
  • particulars of the funds under the scheme; and
  • contact information of the trustee for enquiries.

Contribution

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1. Are director's fees considered relevant income?

If the director is involved in the daily operation of the company (e.g. executive directors) and receives remuneration as an employee, the director's fee will be considered relevant income.

A director who is not involved in the daily operation or management of the company is an office holder only, not an employee. His director's fee is his remuneration for holding the office of a director and therefore not relevant income.

2. Is the bonus I received after terminating employment considered relevant income? If so, how should I make contributions for the bonus?
Bonuses expressed in monetary terms are considered relevant income. If you received the bonus after terminating employment by the due day, your employer should include the bonus in the relevant income for the contribution period in which the bonus is paid, and calculate contributions based on the maximum and minimum relevant income levels.
 
3. Can my contributions exceed the mandatory contribution level?

Yes. The additional contributions are called "voluntary contributions". Voluntary contributions and their withdrawal conditions are not governed by law but are subject to the governing rules of individual MPF schemes.

In addition, you may open a "tax deductible voluntary contribution (TVC) account" and make contributions directly to the account without going through your employer. These contributions are eligible for tax deduction under salaries tax or tax under personal assessment. Scheme members can withdraw TVC when they reach age 65 or under other specific circumstances under the law.

4. If I am dismissed due to misconduct, fraud or dishonesty, can my employer withhold my MPF derived from my employer's mandatory contributions?
No. Except for the purpose of offsetting the long service payment or severance payment that has been made to you, your employer cannot withhold your MPF derived from mandatory contributions. However, whether MPF derived from voluntary contributions made by your employer will be forfeited is subject to the governing rules of the scheme.

Managing Accounts / Transferring MPF

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1. How should I handle my MPF when changing jobs?

You may choose to :

 

1. transfer your MPF from the contribution account under the original scheme to the contribution account under the scheme of your new employer; or
2. transfer your MPF from the contribution account under the original scheme to a personal account under any other schemes (including the scheme of your previous employer). 

 

You are required to complete the "Scheme Member’s Request for Fund Transfer Form" (MPF(S)-P(M))  and submit the form to the new trustee for handling. If you choose to transfer your MPF to your new employer's scheme, you may submit the form to your new employer.

 

You can also obtain the request form from the relevant trustee.

2. If I ignore the MPF account of my previous job after terminating employment, will there be any change to the  account?
If the trustee has not received any instruction from you within three months after receiving notice of termination of employment from your employer, your MPF will be automatically transferred from the contribution account to a personal account under the same scheme and continue to be invested in the same funds you chose in the original contribution account. You may subsequently change your fund choice according to your needs.
3. If I have too many personal accounts, should I consolidate them?
You may consider consolidating your personal accounts for easier management. Before doing so, you should consider whether the trustee, MPF scheme and funds meet your personal needs. In addition, please note that consolidating accounts involves redemption and subscription of fund units.
 
4. How to consolidate my personal accounts?
Regardless of how many personal accounts you have, you only need to complete one "Scheme Member's Request for Account Consolidation Form" (MPF(S)-P(C))  and submit it to the trustee of your choice.
5. How can I find out the number of personal accounts I have?

Holders of Hong Kong Identity Cards can apply to become users of e-Enquiry of Personal Account (ePA) online or via the MPFA ePA mobile app. Users of the ePA can check their personal account records through ePA service. For details, please visit the e-PA thematic website.

 

You can also make enquires about personal accounts by mail or fax.

 

For details of the enquiry methods and the downloadable enquiry forms, please visit the Enquires about Personal Accounts webpage.

6. Is there any charge for transfer of MPF?
As the transfer of MPF involves redemption and subscription of fund units, there may be a bid-offer spread. Other than this, trustees are generally not allowed to charge any fees or impose financial penalties on MPF funds transfers.
7. How do I know that my MPF has been properly transferred?
The trustee of the original scheme is required to complete the transfer process within 30 days of receiving the new trustee's notification about your MPF transfer, and issue a transfer statement to you. The new trustee will also send you a written confirmation stating the amount received.
 
8. If my former employer has default on contributions, can I transfer my MPF?
Yes. If contributions made by your former employer are received after your MPF has been transferred, the original trustee must ensure that the funds are transferred to your MPF account within 30 days.

Withdrawal

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1. I have reached age 65. How can I withdraw my MPF?

You simply have to present your Hong Kong Identity Card to your MPF trustee and submit a completed "Claim Form for Payment of MPF Accrued Benefits (Benefits) on Grounds of Attaining the Retirement Age of 65 or Early Retirement" (MPF(S)-W(R))  to apply for MPF withdrawal.

 

You can withdraw your MPF in a lump sum or by instalments. In general, your trustee should release your MPF within 30 days upon receipt of the required documents.

 

You can also obtain the form from your trustee.

2. My Hong Kong Identity Card only shows the year, but not the month and day of my birth. When will I be considered to have reached age 65?

If your Hong Kong Identity Card (HKID) only shows the year but not the month and day of your birth, you may submit one of the following documents to your trustee as a proof of date of attainment of age 65:

 

• a copy of your travel document showing the month and day of your birth, e.g. passport, Home Visit Permit, etc.; or
• a statutory declaration of your date of birth; or
• a copy of your HKID with the month and day of the issue date circled (i.e. using the month and day of your HKID issue date as the month and day of birth).

 

If you do not submit any of the above documents, your trustee will use the last day of the year (i.e. 31 December) as your date of birth.

3. If I am in need of money for an emergency, can I withdraw my MPF?

Scheme members who are under the age of 65 are not allowed to withdraw their MPF. Early withdrawal is only allowed under the following specific circumstances:

 

  • early retirement at age 60 or above;
  • permanent departure from Hong Kong;
  • total incapacity;
  • terminal illness;
  • a small balance of $5,000 or less; or
  • death.

For more information, please visit Withdrawal of MPF on our website.

4. If I have retired early at age 62 and have already withdrawn my MPF, am I allowed to work again?
Retired scheme members aged 60 to 64 who wish to withdraw their MPF is required to declare that they have ceased all employment and self-employment with no intention to be employed or self-employed again. If they re-join the workforce and meet the definition of "regular employees " or “casual employees”, their employers are required to enrol them in an MPF scheme.
5. I have withdrawn my MPF early due to total incapacity. If I subsequently find a job of a different nature in the future, can I work again?
Yes.
6. If I have withdrawn my MPF early on the grounds of permanent departure from Hong Kong, can I return to work in Hong Kong in the future?

Yes. As long as you are aged 18 to 64, not an exempt person, and have been employed for a continuous period of 60 days or more, your employer is still required to enrol you in an MPF scheme.

Scheme members who have previously withdrawn their MPF early on grounds of permanent departure from Hong Kong will not be paid MPF again for all subsequent applications on the same grounds with a later departure date. Scheme member who make false or misleading statements to the trustee for early withdraw of MPF are liable to a maximum fine of $100,000 and imprisonment of one year on the first conviction, and to a fine of $200,000 and imprisonment of two years on each subsequent conviction.

7. Where can I get a list of diseases that meet the definition of "terminal illness"?
There is no specific list of diseases cover by “terminal illness”. If the doctor is of the opinion that the scheme member has an illness that is likely to reduce the member’s life expectancy to 12 months or less, he/she may issue a medical certificate to the member to facilitate member’s application for early withdrawal of MPF on grounds of "terminal illness".
8. I continue working after early withdrawal of MPF benefits on the grounds of “terminal illness”. Would the trustee pay the contribution received from my employer to me automatically?
No. If scheme members continue working after applying for early withdrawal of their MPF benefits on the grounds of “terminal illness”, MPF contributions for each subsequent wage period will continue to be paid into their contribution account under current employment. If they wish to apply for early withdrawal of these contributions, they must submit another application to their trustee. 
9. If I live longer than expected after early withdrawal of MPF benefits on the grounds of “terminal illness”, do I need to open a new MPF account and put the withdrawn MPF benefits back into the account?
No, you are not required to do so.
10. What are the major differences between “total incapacity” and “terminal illness”?

A scheme member who applies for early withdrawal of MPF benefits on grounds of “total incapacity” should have already ceased employment or self-employment in the particular kind of work that the scheme member was last engaged before becoming totally incapacitated, for which a doctor has issued a medical certificate to the member certifying that the member becomes permanently unfit to perform the particular kind of work is required to be provided.

 

As for the grounds of “terminal illness”, it refers to the fact that a doctor is of the opinion that the scheme member has an illness that is likely to reduce the member’s life expectancy to 12 months or less, for which the doctor has issued a medical certificate to the member. The member who applies for early withdrawal of MPF benefits on this grounds can still be employed or self-employed.

11. How do I withdraw the MPF of a deceased scheme member?

The MPF of the deceased scheme member is part of the member's estate. Therefore, the claim must be lodged by the personal representative of the deceased scheme member. The personal representative is required to submit the following claim forms and documents to each relevant trustee:

 

 

For information about the application procedure for the Letter of Administration or Probate, please contact the Probate Registry (Tel: 2840 1683).

 

12. I have already reached age 65 and would like to withdraw my MPF. However, I did not receive letters from trustees because I have moved to a new address. What can I do?

If you are age 65 or above but have not applied for MPF withdrawal from your trustees, and you are unreachable despite attempts by the trustee to locate you through different means, your MPF may be classified as "unclaimed benefits". MPFA maintains an Unclaimed Benefits Register for members of the public to check for free.

 

For enquiries and the downloadable enquiry forms, please visit Enquires about Unclaimed Benefits on our website.

Account Information

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1. How can I know the amount of MPF in my MPF account?

Your trustee is required to provide you with an annual benefit statement within three months after the end of each of the financial year of the MPF scheme . The statement sets out:

 

• the total amount of contributions the employer paid for you during the year;
• the opening and closing balances of the MPF account for the year; and
• the gains and losses associated with your MPF during the year.

 

Trustees also provide other communication channels (e.g. website and hotline) to help members check their account information.

 

Trustees Contact Information 


2. What documents will I receive from my MPF trustee each year other than an annual benefit statement?

In addition to an annual benefit statement, you will also receive fund fact sheets, which must be issued at least twice per financial year, summarizing key information including the particulars and performance of the relevant funds.

Offsetting of Long Service Payments (LSP) / Severance Payments (SP)

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1. What is the offsetting of MPF?
The offsetting of MPF is the arrangement of offsetting LSP/SP with MPF contributions. Employers can offset the LSP/SP payable to their employees under the Employment Ordinance against the employer’s mandatory and voluntary contributions.
2. Is the amount that an employer can use to offset LSP/SP the actual amount of contributions paid by the employer or the MPF derived from the employer's contributions?
It is the MPF derived from the employer’s contributions (i.e. the amount accumulated after investment).
3. If I have been laid off, can my employer withdraw all the MPF in my MPF account to offset my SP?

No. Employers can only withdraw the MPF derived from the employer’s contributions. In addition, the amount withdrawn cannot exceed the amount of SP.

 

 

The above arrangement also applies to the offsetting of LSP.

4. If there is a remaining balance in the MPF derived from the employer’s contribution after offsetting, how will the balance be handled?

If the MPF derived from the employer’s contributions are more than the amount of LSP/SP, the remaining balance must be retained in the employee’s account. 

5. Can voluntary contributions made by employers for their employees be used to offset LSP/SP paid to employees?
Yes. MPF derived from employers' contributions, including both mandatory and voluntary contributions,  can be used to offset LSP/SP.
6. If an employer paid an amount of LSP more than that is required under the Employment Ordinance, can the employer offset the amount in excess from the employee's MPF account?
No. The maximum amount that the employer can be withdrawn from the employee’s MPF account is the amount of LSP required to be paid under the Employment Ordinance. The amount paid in excess cannot be offset by MPF.
7. If an employer is required to pay an employee an SP of $70,000, and the MPF derived from the employer’s contributions in the employee’s account is $62,000, should the employer only pay the employee the difference of $8,000, or should the employer first pay the employee the full SP of $70,000, and then apply to the trustee for offset?

Both ways are in compliance with the legal requirements. If the employer has paid the LSP/SP to the employee in full, and then applies to the trustee for offset, the trustee may request the employer to provide proof of payment of the LSP/SP paid to the employee. 

 

If the employer has not fully paid the LSP/SP to the employee, the employee may submit a written request to the trustee for the withdrawal of the MPF derived from the employer’s contributions in the MPF account. The trustee may request the employee to provide documents to prove that he is entitled to LSP/SP, and that the employer has not paid him. For the relevant offsetting procedures and supporting documents required, please check with the relevant trustee.

 

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