Life-Stage Wealth Planning in Hong Kong: Frequently Asked Questions

With liquidity, then protection. Every stage begins with an emergency fund (the IFEC's 2020 guidance treats six months of expenses as sufficient) because without it any other saving is sold at the wrong time; the second item is the four protection gaps by the needs method. Retirement, education, property and tax follow. Recalculate every year and at every change of stage.

No. It documents rules, arithmetic and sources, cites no illustrated returns, makes no referrals and is not an insurer, licensed intermediary, bank or tax adviser. Non-guaranteed figures such as fulfilment ratios should be read from insurers' own websites.

Multiply annual income by 5 to 10 as a first estimate, then check it with the needs method. The Insurance Authority's 2021 study found Hong Kong's average mortality protection gap equal to 5.7 times annual income (HK$6.9 trillion in total, 2019 data). The needs method gives a term as well as an amount, which is what term life insurance is priced on.

Usually for public or semi-private care; for private hospitals the sub-limits decide the out-of-pocket share. The Standard Plan must offer guaranteed renewal to age 100, an annual limit of HK$420,000, no lifetime limit and a room-and-board limit of HK$750 a day. Premiums deduct up to HK$8,000 per insured person, including spouse, children, parents, grandparents and siblings.

Six as a default; three to six for a salaried single, six to twelve for a single-income family or the self-employed, twelve to twenty-four as a drawdown buffer in retirement. Keep it in current accounts and short time deposits, split across banks above the HK$800,000 Deposit Protection Scheme limit in force since 1 October 2024, and never in savings insurance or funds.

5% from the employer and 5% from the employee on relevant income between HK$7,100 and HK$30,000 a month, so at most HK$1,500 each; below HK$7,100 the employee pays nothing and the employer still pays. Employee mandatory contributions deduct up to HK$18,000 a year.

Offsetting of severance and long service payments against employer contributions ended on 1 May 2025; the eMPF Platform completed onboarding of all 24 schemes on 30 April 2026; phase one of full portability, which lets employees who joined or changed jobs on or after 1 May 2025 transfer the employer mandatory portion, is targeted for 21 December 2026 subject to Legislative Council scrutiny.

As a lump sum, in instalments (trustees must provide the first four each year free) or left invested. Early withdrawal is allowed on six grounds: early retirement at 60, permanent departure, total incapacity, terminal illness, small balance of HK$5,000 or less, and death.

Decide on lock-up and the need for guarantees, not on tax. The two share a HK$60,000 annual cap; TVC is invested in MPF funds with no guarantee and locked to 65, while a QDAP has a guaranteed annuity but requires total premiums of at least HK$180,000, a payment period of at least five years and an annuity period of at least ten years from age 50. The saving equals the deduction times the marginal rate, at most HK$10,200.

No. It is an immediate lifetime annuity for Hong Kong permanent residents aged 60 or above, with premiums from HK$50,000 to HK$5 million per person, and it is not a QDAP. It addresses longevity risk, not tax.

Tuition for UGC-funded degrees is HK$44,500, HK$47,000 and HK$49,500 for 2025/26 to 2027/28, roughly HK$190,000 over four years on published and assumed figures; living costs and overseas study are estimated separately from each institution's current fees.

70% from a bank for any residential property since 16 October 2024, with a 50% DSR cap; the Mortgage Insurance Programme (amended 7 July 2023) lifts the cap to 90% for properties at or below HK$10 million and 80% up to HK$15 million, subject to HKMC Insurance's current terms. The 200-basis-point stress test has been suspended since 28 February 2024, so run your own rate-rise scenario.

Basic HK$145,000, married HK$290,000, child HK$140,000 (plus HK$140,000 in each of the first two years for children born on or after 1 April 2025), dependent parent aged 60 or above HK$55,000, single parent HK$145,000; the elderly residential care deduction ceiling rises to HK$110,000. The 2025/26 one-off reduction is 100% capped at HK$3,000. Figures are from the IRD's August 2026 table and subject to enactment.

Insurance must be signed in person in Hong Kong with the Important Facts Statement for Mainland Policyholders; property purchases follow current stamp duty rules; TVC requires an MPF account; Hong Kong deductions matter only with Hong Kong assessable income. Cross-border funds are subject to Mainland foreign-exchange rules, and tax residency and reporting should be checked with an adviser in your own jurisdiction. The site carries on no sales activity in Mainland China.