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chinese yuan or HKD

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  1. #1

    Join Date
    Jun 2009
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    chinese yuan or HKD

    I have been offered a job in China with an option to take salary in Yuan or HKD, either. Can anyone suggest which is a better option with regards to strength of the currency to taxes, which is beneficial?


  2. #2

    Join Date
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    Currency of payment makes no difference to taxes. Where your contract of employment is physically signed may do, but where you actually do the work is the primary factor.


  3. #3

    I think what currency you spend most is more important.

    besides, if china changes party, will the CNY equal to bath tissue?

    Last edited by forgetmenot; 25-02-2014 at 07:19 PM.

  4. #4

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    Yes probably - are you saying that you can fix your salary in HKD or CNY? If so then it depends on where you are spending your money and what view you take of future exchange rates. But note also the issue of exchange control. If you plan to save the bulk of your income then probably better to take it in HKD, which is freely convertible/moveable, rather than CNY, which isn't.

    East_coast likes this.

  5. #5

    Join Date
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    Take it in RMB and you will get around 5% annually as a bonus just in currency movement against HKD on anything you save. Your employer wins in HKD. Also the Chinese are the worlds biggest savers and the banks give very good deposit savings rates.


  6. #6

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    Your faith in the Chinese currency is touching. I guess you value your 50 cents at about 75 cents?

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  7. #7

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    As someone who actually HAS savings in China in RMB ( and also a very good friend who is the Director of Operations for China Development Bank ) I really see no support in the argument if you want to say the drop of .7 of a HKD cent is your validation. Better to use the recent drop of CNY since January which is the kicker to put the brakes on all this spending and loans business .. and will correct itself on an upward tick soon enough. The Central Bank is on orders to do a bit of "shock and awe" get the economy pushing forward again and a help to exporters is a lower CNY USD rate. It won't last, it never does. The uptick in the US economy figures will have PBOC buying well priced US treasury debt as before.

    We have seen AT LEAST 5% on our currency dealings over the years, so I am quite happy to state the case. You .. like the PDLM moron you where before .. just want to try and have a dick measuring exercise.

    The CNY has appreciated about 35% against the HKD since July 2005 when it started to float, It has paid for all our medical and life insurances since that time by getting us around a 10% return when used in a 12 month time deposit + conversion.

    The OP is free to choose between historic performance OR someone with a phone in their pocket. Or maybe they will just be pleased to see you and the res(erection) of PDLM..


  8. #8

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    So 35% cumulative in 8 or 9 years is your benchmark?

    OK. What can I say? If your wife is happy she must have had very low expectations to start with. But I guess if she married someone so sick that he measures investment returns by whether they can pay his medical bills then it's a whole different world from mine.

    Just investing in the S&P 500 would have got you 44%.

    Last edited by Gruntfuttock; 25-02-2014 at 09:17 PM.

  9. #9

    Join Date
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    check this out to calculate China income tax http://www.sjgrand.cn/individual-income-tax-calculator