How Were MPF Contribution Levels Adjusted in 2011?

What did the government propose?

In June 2011, the government proposed raising the minimum relevant income from HK$5,000 to HK$6,500 (from 1 November 2011) and the maximum from HK$20,000 to HK$25,000 (from 1 June 2012). The higher floor would free 180,900 more employees and self-employed persons from mandatory contributions; the higher ceiling would require 514,500 to contribute more.

Why the review?

The MPF Schemes Ordinance requires the MPFA to review the levels at least every four years; the floor had sat at HK$5,000 since 2002, the ceiling at HK$20,000 since the system’s 2000 launch. The statutory minimum wage had lifted pay levels, so the bands had to follow.

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