Hong Kong Take-Home Salary Calculator

What This Calculator Really Does

Hong Kong payslips are famously simple: MPF (the Mandatory Provident Fund — 5% of relevant income, capped) and salaries tax (progressive 2–17% bands, or a flat 15% standard rate on net income — whichever is LOWER). There is no social-security payroll deduction beyond MPF, no healthcare withholding, and the territorial system excludes most overseas income entirely.

The rules it applies

• MPF: 5% employee share on the first HK30,000 of relevant monthly income — maximum HK1,500 a month.
• Basic allowance: HK132,000 a year before any tax bites.
• Progressive bands: first HK50,000 at 2%, next at 6%, then 10%, remainder at 14% — with the 15% standard-rate ceiling applied when lower.

Worked example with real numbers

Salary HK35,000: MPF = HK1,500; annual taxable = 420,000 − 18,000 − 132,000 = HK270,000; progressive tax ≈ HK25,800 → take-home ≈ HK31,350 per month — about HK376,200 a year. Effective tax rate: about 6%.

Reading the result

The donut splits MPF savings from tax. Not modelled: married/personal allowances beyond the basic one, self-education and home-loan deductions, and the MPF voluntary contributions some employers match. Rents eat the headline saving — Hong Kong cost of living is the real tax. Each salary is assessed separately for dual-income households, which keeps effective rates low. Territorial source rules also mean genuinely offshore employment can be taxed at 0% — a rarity among financial centres.

From Our Guides Library

• how salary tax is calculated
• salary structures explained
• currency conversion, fees included

Frequently Asked Questions