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MPF exemption

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  1. #1

    Join Date
    Sep 2012
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    MPF exemption

    few years back I was fired suddenly an made self employed an Bcos I already was sendin savings back to the UK an finances were tight I opted out of MPF an got an exemption from it. as well as a refund which was handy cos I was broke..
    I just got offered part time job with a Univeristy teachin ( not spellin than gawd ) -its not what I usually do-but related to my world reknown reputation (motoX champ ) -

    thought I'd give it a go - but they insistin to pay me personally not my company an now they talkin about MPF. almost cant be bothered as no doubt this will bring down a shitstorm of paperwork... an its all about 3hours a week teaching for just 3 months.....
    ---> anyone got any clues or opinions please - cos I got no idea where that exemption thing they sent me went-- it was like 10 years ago. those MPF merchant bankers already forgot about me-dont need the man sniffin around really


  2. #2

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    Eh? MPF refunds are, as far as I know, only available if you declare that you are leaving Hong Kong permanently. And you can only do it once in your life.

    The M stands for Mandatory; you can't just "opt out". The only grounds for exemption (likely to be relevant to you anyway) are if you are paying into an equivalent scheme in another country, and I'm not even sure that's available if you are a Permanent Resident of HK.

    Last edited by Gruntfuttock; 08-01-2013 at 06:27 PM.

  3. #3

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    yeh thats what I told them- and I provided evidence of those monthly payments an signed a form saying I dint plan to retire here.. TBH for the total payment involved not sure I wanna risk tangling with the *Feds* again---> not saying I am illegal - they did send me a cheque and a letter stating I was exempt. handy cos I was jus settin up my business and when u earning zilch at the start settin up etc etc..


  4. #4

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    The cheque must have come from the MPF fund provider, but they have no power to grant exemption. I guess that letter must have come from the MPFA, although this is the first time I've heard of such a letter.

    You're a permanent resident now I assume since you've been here 10+ years? If not then you may have some visa issues - has the University asked you about your immigration status yet?

    In any case, you won't be able to get money out of an MPF again, that is clear. But if you're employed by your own company (or self-employed) then strictly you should be paying MPF anyway.


  5. #5

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    if I cant get cash out then why am I payin in ? now worried- since I didnt think about this in a long time.. wonderin if I should jus sign up - but then the questions may begin?


  6. #6

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    You can't get out again (if you have withdrawn the first time by saying you are permanently leaving Hong Kong) until you are 65.


  7. #7

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    where can I go to get a copy of this letter? I doubt I can find it. actually since this is only a part time I realise there is bodyswerve I can do. just make contract less than 60 days an then its avoidable


  8. #8

    Join Date
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    I can't understand much of this debate but why not just sign up for MPF and get on with it? It's not exactly a huge sum of money and you can get it back when you retire. Savings are not all bad you know. I doubt anyone here will bat an eyelid and if they ask you just say your circumstances have changed.

    PSMaverick likes this.

  9. #9

    Just trying to make sense of your situation...`
    1. You were employed and used to have an MPF account..
    2. Later you became self employed ..
    (In which case although you are legally required to be contribute to an MPF scheme, its not policed strictly for self employed)
    But you claimed exemption by proving that you are contributing to a scheme back in your home country. I am not sure whether that by itself is reason enough for a withdrawal of your benefits from the MPF automatically. So its still unclear how you received what you call a "refund". Did you apply for a withdrawal of benefits?

    Looking at the future scenario.. you said you are going to be employed for 3 months. So if you contributed to an MPF the maximum you will pay is 1250 each months you are employed, which will be equally matched by the employer. So you will have around 7500 sitting in an MPF account , that you may not be able to touch until retirement (assuming you have withdrawn your benefits once) which isnt exactly a bad thing. And later on when you finally decide to start contributing to MPF you can consolidate the accounts..

    Also assuming you are a permanent resident, I doubt that you will be exempted from the MPF because of contributing to a pension scheme back home any more..

    Last edited by PSMaverick; 10-01-2013 at 12:51 PM.

  10. #10

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    actually i was a permanent resident already when i got this exemption - if I remember they were asking for some payments I couldnt afford at the time since I wasnt being paid an I was havin a tough time on many levels- lost job unexpectedly- ex-wife decided to leave with my name on a lease for a huge place i didnt need etc etc..-an exemption and a refund was the only option at that time-
    I am plannin to leave HK in 2 years/ what I am afraid of is reconnectin with bureaucrats who gonna start chasin me down about the las 10 years. I have been puttin cash away but its jus an auto pay havent really looked at it in years...