MPF withdrawal age: false “permanent departure” claims surge

Cases of members falsely claiming permanent departure from Hong Kong to withdraw MPF benefits before age 65 have surged — some return from across the border within a year. In 2010–11 the MPFA prosecuted 79 members for false statements; 46 had pleaded guilty as of March 2011, fined between $3,000 and $18,000.

What is the MPF withdrawal age?

By law, MPF benefits can only be withdrawn at 65, except in five specified circumstances. One of them is permanent departure from Hong Kong. The MPFA receives about 2,000 early-withdrawal applications a month, and a significant share are suspected false declarations — members claiming to leave permanently while merely staying briefly across the border, some returning the following year.

What happens if you lie to withdraw early?

It is a criminal offence. The MPFA works closely with government departments to verify departure claims and investigates suspicious cases, warning members not to test the law.

Will early withdrawal be relaxed?

The MPFA is studying a compassionate-grounds mechanism for special cases such as serious illness. The board was due to review the current rules and any loopholes at its September 2011 meeting.

To understand MPF withdrawal rules and account types, visit the MPF education centre for contribution rules.