Around 1m workers to benefit from MPF Full Portability
Around one million workers are set to benefit from an upcoming arrangement that allows employees to transfer not only their own mandatory contributions, but also their employer’s, to an MPF scheme of their choice once every calendar year, the Mandatory Provident Fund Schemes Authority (MPFA) said on Sunday. Phase one of the MPF Full Portability scheme is set to begin on December 21. Employees who…
A million workers in Hong Kong will soon have the ability to transfer both their own and their employer's Mandatory Provident Fund (MPF) contributions to a scheme of their choosing, once each year, according to the Mandatory Provident Fund Schemes Authority (MPFA). The first phase of the MPF Full Portability scheme will commence on December 21, 2025.
Eligibility for this first phase begins for employees who started working or changed jobs on or after May 1, 2025, the day the MPF offsetting arrangement was phased out. MPFA Chair Ayesha Lau highlighted that this scheme would give workers greater control over their MPF portfolios and encourage more proactive management of their retirement reserves.
She anticipates that as more graduates enter the workforce and employees change jobs, the number of beneficiaries will increase. Lau noted that workers who began their current jobs prior to May 1, 2025, may require legislative amendments for their employer's mandatory contributions, which may continue to offset long service payments or severance payments for employment periods before that date.
Transfers for the 2026 and 2027 calendar years are set to open on December 21 and January 1, respectively. MPFA emphasized that the new scheme will maintain existing employer contribution arrangements, with workers advised to avoid frequent transfers or scheme switches for reasons other than retirement planning.
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