New MPF Thresholds: Floor HK$6,500, Ceiling HK$25,000 — 337,000 Exempted

In June 2011 the government finalised new MPF relevant-income thresholds: the floor rises to HK$6,500 and the ceiling to HK$25,000, with 337,000 people expected to gain exemption.

What are the new levels?

Floor HK$6,500 (from November 2011); ceiling HK$25,000 (from June 2012). Those earning under HK$6,500 a month need not contribute; those above HK$25,000 contribute based on HK$25,000 (employees max HK$1,250 a month).

How many are affected?

337,000 exempted; 514,500 pay more. The higher floor frees 337,000 low earners and self-employed from contributions; the higher ceiling means 514,500 higher earners contribute extra — building bigger retirement pots.

Why two stages?

Systems need time to change. Trustees’ and employers’ payroll systems need updating; phasing smooths the transition. The government hopes for swift LegCo passage in time for the November floor change.