Salary Advice

Closed Thread
Page 2 of 2 FirstFirst 1 2
  1. #11

    Join Date
    Jul 2009
    Posts
    1,362
    Quote Originally Posted by Asheru:
    I am from Paris. I like to reasonably go out. I prefer to put 3000HKd per month in a good accomodation with facilities (gym & swimming pool) than to make 3 good restaurant per month and to live in a shoebox.

    I would like also to travel a bit in asia during week end if i have the time.

    I will start my work at the beggining of November so i presume that i will not have to pay tax during the period april 2010-march 2011. However i will have to pay my income tax in France for the year I worked here.

    In my contract it is said: "you will be entitled to join our rental reimbursement scheme. In case the scheme the scheme is discontinued by Company or The Governement, no additionnal compensation will be paid to you as a result of your participation in the scheme" . What does it mean?

    It's the process that ray98 describe?

    Doesn't Ray98 have forgotten to include the 108,000 HKD allowance in his assessment ?
    Nope, I didn't forget

    Assuming without rental reimbursement scheme, for a full tax year, your tax is calculated as follows:
    552k-108k=444k
    1st 120k @ 8,400
    remainder 324k @ 17% = 55.08.4k; total 63.48k/12 = 5.29k/mth

    For the current tax year 2009-2010 if you start in November; your tax will be:
    4 months x 46k = 184k - 108k = 76k. So you will pay a bit of tax (HK$3.3k) on that unless you have the rental scheme.

    You will have to pay tax for the year 2010-2011 which covers the year 1 April 2010 - 31 March 2011

    For the rental reimbursement, it means whatever you subscribe to the rental reimbursement scheme, if the company or the government discontinues it, you will not be compensated for it, i.e. you lose it. Seems a bit of risk! Better double check with your company and if my understanding is correct, to negotiate to have this deleted from the contract or amended to give you better protection.
    Last edited by ray98; 29-09-2009 at 06:03 PM.

  2. #12

    Join Date
    Apr 2005
    Location
    Sai Kung
    Posts
    8,561

    of course, if you get married and your wife doesn't work, then you get $216,000 tax-free

    if you have a child, it's another $40,000....etc.