Overview

Capital
Currency
Hong Kong Dollar
Date Format
Yyyy年Mm月Dd日; Dd-Mm-Yyyy

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Taxes

Employer
5.00% - Mandetory Provident Fund
Employee
5.00% - Mandetory Provident Fund
2.00% - Up to 50,000
6.00% - 50,000 - 100,000
10.00% - 100,000 - 150,000
14.00% - 150,000 - 200,000
17 - Over 200,000

Minimum Wage

General
The minimum wage is HK$37.50 hourly

Working Hours

General
There is no offical work hour maximim. The standard is 47 hours weekly.

VAT

General
VAT is 0%

Payment

Payroll Frequency
Employees are paid on monthly basis. The wages must be no later 7 days after they are due. The due date is decided between the employer and employee.

Mandatory Benefits

Pension Fund
Both the employee and the employer (when covered by the MPF system) each contribute 5% of the employee's relevant income to an MPF scheme, subject to minimum and maximum relevant income levels. Monthly relevant income (employer contribution): Less than $7,100 - relevant income x 5% $7,100 - $30,000 - relevant income x 5% More than $30,000 - $1,500. Monthly relevant income (employee contribution): Less than $7,100 - no contribution required $7,100 - $30,000 - relevant income x 5% More than $30,000 - $1,500
Social Security
Both the employee and the employer (when covered by the mandatory provident fund system) contribute 5% of the employee's relevant income to an MPF scheme. Maximum contribution of 1,500 HDK monthly by each party.

Termination

Termination Process
One month notice. However, the employer can offer a payment in lieu of notice. The amount of the payment is the number of days in the notice period and multiplied by the average wage of the employee.
Advance Notice
Advance notice is one month.
Severance Pay
Typically refered to as long term service pay. The payment amount is decided by the Employment Ordinance. It is calculated by multiplying the employee’s last month’s wages (x2/3) and the period of employment in the company.