Employee
Are overseas staffs required to join an MPF scheme?
If the period an overseas staff is allowed to work in Hong Kong does not exceed 13 months, or he/she has been covered by his/her home country pension scheme before, then he/she is exempt from the MPF scheme. Otherwise, they have to join an MPF scheme.
My company has assigned me to work in mainland China. Should I join an MPF scheme?
If the contract with your employer is governed by the Hong Kong Employment Ordinance, your employer has to enrol you in an MPF scheme regardless of your work location.
How do I know whether my employer has enrolled me in an MPF scheme?
AIA will issue you a Notice of Participation within 30 days of you becoming a member of our MPF scheme.
I am a part-time employee. Am I covered by the MPF system?
If you are employed under a contract for no less than 60 calendar days, you are covered by the MPF system regardless of the number of hours you work.
General features of Default Investment Strategy ("DIS")
What is DIS?
DIS is a ready-made investment arrangement mainly designed for those members who are not interested or do not wish to make a fund choice. DIS is not a fund - it is a strategy that uses two constituent funds, namely the Core Accumulation Fund and the Age 65 Plus Fund, to automatically reduce the risk exposure as the member approaches retirement age.
Every MPF scheme is required to offer DIS and is designed to be substantially similar in all MPF schemes.
What are the features of DIS?
Balancing long-term effects of risk and return through investing in two funds
DIS aims to balance the long term effects of risk and return through investing in two funds, namely the Core Accumulation Fund and the Age 65 Plus Fund, according to the pre-set allocation percentages at different ages.
The Core Accumulation Fund will invest around 60% in higher risk assets (generally mean equities or similar investments) and 40% in lower risk assets (generally mean bonds or similar investments) of its net asset value.
The Age 65 Plus Fund will invest around 20% in higher risk assets and 80% in lower risk assets.
De-risking once a year according to the member's age
MPF assets under DIS are invested such that risk is adjusted according to your age. DIS will automatically reduce the exposure to higher risk assets and correspondingly increase the exposure to lower risk assets as you get older. De-risking will normally take place annually on your 50th to 64th birthdays.
For details of the de-risking arrangement, please refer to the latest MPF Scheme Brochure.
What is the fee of DIS?
The management fee of DIS in a single day is up to 0.75% p.a. of net asset value of each of the DIS funds divided by the number of days in the year, plus a maximum of 0.2% p.a. of other recurring out-of-pocket expenses of each of the DIS funds.
For details of the fee of DIS, please refer to the Principal Brochure of the Scheme.
What is the risk/return rating of DIS?
DIS adopts a diversified investment approach, adjusting the investment ratios in the two funds i.e. Core Accumulation Fund and Age 65 Plus Fund, to reduce risk. Thus, the risk/return ratings vary at different ages. DIS does not take the most aggressive, or the riskiest approach, nor does it take the most conservative approach.
Please note that DIS aims to reduce risks over the long-term but some investment risks remain. Returns are not guaranteed and there will be usual investment volatility, particularly in the shorter turn. Given the uncertainties and volatilities of the investment markets, you should seek financial and/or professional advice when you are in doubt as to whether the DIS is suitable for you.
For details of the investment risk, please refer to the Principal Brochure of the Scheme.
When will DIS take place?
The effective date of DIS is 1 April 2017.
Investing in DIS
Under what circumstances will I receive the "DIS Re-investment Notice"?
If you are an existing member under AIA MPF, aged under 60 or becoming 60 years of age on 1 April 2017 and have all your accrued benefits currently invested in our default fund i.e. Guaranteed Portfolio which generally resulted from no investment instruction given for the existing account, you will receive a "DIS Re-investment Notice" on or before the end of April 2017 listing details of DIS. You will also be given an option to make your own investment choice within 42 days if you decide not to invest in DIS.
If you prefer to stay invested in existing default fund i.e. Guaranteed Portfolio, you need to complete the reply slip attached to the "DIS Re-Investment Notice" and send it back to us within 42 days. If we do not receive your completed reply slip by the end of the 42-day reply period, under the MPF legislation, we must invest your benefits in the account according to the DIS within 14 days after the expiry day of the reply period.
Can I invest partially in DIS and partially in other MPF funds?
Yes. Please indicate your investment choice in the application form or investment mandate form i.e. fund switching form. Please note that investment allocation percentages should be a multiple of 5 and add up to 100%.
Will DIS apply to all accounts under my name?
No. Where a member has multiple accounts, DIS will be applied to his/her accounts individually. For example, if you have not specified your investment choice in your contribution account but have made a valid investment choice under the personal account, DIS shall apply only to your contribution account, not the personal account.
Will I be informed about details after each de-risking takes place?
A confirmation statement will be sent to you by mail within 5 business days after each de-risking takes place.
Can I check how DIS is performing?
You may find the performance of the Core Accumulation Fund and the Age 65 Plus Fund and their reference portfolio in our Fund Performance Review (and one of which will be attached to annual benefit statement). You can visit aia.com.hk or call our customer service hotline for information. You may also obtain the fund performance information at the MPFA's website www.mpfa.org.hk.
The Reference Portfolio is adopted to provide a common reference point for performance and asset allocation of the Core Accumulation Fund and the Age 65 Plus Fund for the purpose of the DIS. The fund performance will be reported against the Reference Portfolio published by the Hong Kong Investment Funds Association. Please visit www.hkifa.org.hk for further information regarding the performance of the Reference Portfolio.
Can I switch in or switch out DIS anytime?
Yes. You can switch into or out of DIS at anytime by making a fund switching request as usual. Investments switched out of DIS will cease to be subject to the DIS, while those remaining will continue to be.
Investing in Core Accumulation Fund and Age 65 Plus Fund
Other than investing in DIS, you can also choose to invest in the two DIS funds – Core Accumulation Fund and Age 65 Plus Fund as standalone fund choices if you find them suitable for you.
Note: The automatic de-risking feature of DIS does not apply to Core Accumulation Fund and Age 65 Plus Fund as a standalone fund choice.
What are the fees of Core Accumulation Fund and Age 65 Plus Fund?
The management fees of the two funds in a single day are up to 0.75% p.a. of net asset value of each of the two funds divided by the number of days in the year, plus a maximum of 0.2% p.a. of other recurring out-of-pocket expenses of each of the two funds.
For details of the fee, please refer to the Principal Brochure of the Scheme.
Starting July 2019, the fund expense ratio ("FER") of the two funds can be found in our Fund Performance Review and the annual on-going cost illustration attached to the Principal Brochure of the Scheme. You may also obtain the FER information at the MPFA's website www.mpfa.org.hk.
What is the investment objective of Core Accumulation Fund?
The investment objective of the Core Accumulation Fund is to provide capital growth to Members by indirectly investing in a globally diversified manner. It is a feeder fund investing entirely in an approved pooled investment fund, namely, the Vanguard Moderate Growth Fund.
What is the investment(s) of the underlying funds of Core Accumulation Fund?
Core Accumulation Fund shall invest in an approved pooled investment fund, Vanguard Moderate Growth Fund of Vanguard Fund Series, which in turn invests globally in equity securities listed on approved stock exchanges, government bonds, money market instruments, index-tracking collective investment schemes and other investments as allowed under the Mandatory Provident Fund Schemes (General) Regulation.
Through such underlying investment, Core Accumulation Fund will indirectly hold around 60% of its net assets in higher risk assets (such as global equities), with the remainder investing in lower risk assets (such as global bonds and money market instruments). The asset allocation to higher risk assets may vary between 55% and 65% due to differing price movements of various equity and bond markets. There is no prescribed allocation for investments in any specific countries or currencies.
What is the risk of Core Accumulation Fund?
Medium to high.
What is the risk of Core Accumulation Fund?
Core Accumulation Fund is a mixed assets fund which is intended for investors who hold a medium to long term investment view and want to seek returns through capital appreciation and modest income generation. Investments in the Core Accumulation Fund are subject to a number of risks associated with a global investment mandate. Investors should be prepared to accept fluctuations in the value of investments and should always consider their individual risk and return profile.
For details of the investment risk of the Core Accumulation Fund, please refer to Schedule 26 of the Principal Brochure of the Scheme.
What is the investment objective of Age 65 Plus Fund?
The investment objective of the Age 65 Plus Fund is to provide stable growth in a globally diversified manner. It is a feeder fund investing entirely in an approved pooled investment fund, namely, the Vanguard Income Fund.
What is the investment(s) of the underlying funds of Age 65 Plus Fund?
Age 65 Plus Fund shall be invested in an approved pooled investment fund, Vanguard Income Fund of Vanguard Fund Series, which in turn invests globally in equity securities listed on approved stock exchanges, government bonds, money market instruments, index-tracking collective investment schemes and other investments as allowed under the Mandatory Provident Fund Schemes (General) Regulation.
Through such underlying investments, Age 65 Plus Fund will indirectly hold around 20% of its net assets in higher risk assets (such as global equities), with the remainder investing in lower risk assets (such as global bonds and money market instruments). The asset allocation of higher risk assets may vary between 15% and 25% due to differing price movements of various equity and bond markets. There is no prescribed allocation for investments in any specific countries or currencies.
What is the risk of Age 65 Plus Fund?
Low to medium.
What is the risk of Age 65 Plus Fund?
Age 65 Plus Fund is a mixed assets fund which is intended for investors who hold a medium to long term investment view and want to seek returns through current income generation and some capital appreciation. Investments in the Age 65 Plus Fund are subject to a number of risks associated with a global investment mandate. Investors should be prepared to accept modest fluctuation in the value of investments, and should always consider their individual risk and return profile.
For details of the investment risk of Age 65 Plus Fund, please refer to Schedule 27 of the Principal Brochure of the Scheme.
What does Employee Choice Arrangement (ECA) mean for me?
Once per calendar year, you can switch a portion of your accrued benefits to an MPF provider of your choice. Under ECA:
- Employer portion under current employment are non-transferable
- Employee portion under current employment can be transferred once per calendar year
- All contributions from former employment or self-employment can be transferred any time
Find out more in our Employee Choice Arrangement leaflet. For more on the transferability of accrued benefits, see Appendix 3 of the Principal Brochure of the Relevant Schemes.
Can my employer withhold benefits accrued from their portion of mandatory contributions if I am dismissed due to misconduct, fraud or dishonesty?
No. The mandatory contributions made by you and your employer will be fully vested as your accrued benefits in the scheme. However, whether benefits accrued from the voluntary contributions will be withheld by your employer depends on the governing rules of your scheme.
Do I have to notify AIA on how to handle my accrued benefits upon ending my employment?
Yes, because your former employer will have to notify AIA about your leaving. Within 30 days after receiving your former employer's notification, AIA will inform you in writing of the transfer options you can choose and the consequences of not informing us.
You may also choose to complete a Scheme Member's Request for Fund Transfer Form [Form MPF(S)-P(M)] to your new employer's trustee, indicating your preference on the arrangement of accrued benefits.
How can I know if my benefits have been transferred to the new MPF trustee?
When the transfer of accrued benefits is completed, you will receive a transfer statement from the existing trustee. The statement covers the details of the transfer, such as the transferred amount, the date and the name of the scheme. Additionally, you will receive a confirmation statement from the new trustee stating the amount transferred.
Can my employer offset my Severance Payment ("SP") or Long Service Payment ("LSP") by taking out the accrued benefits from my MPF account?
Yes. If your employer has paid you severance or long service payments in accordance with the Employment Ordinance, they may apply to the trustee to withdraw benefits accrued to you from their contributions. If your accrued benefits from the employer's contributions exceed the amount of SP/LSP, the remaining balance must be retained in your account. On the other hand, if the accrued benefits from the employer's contributions cannot fully offset the SP/LSP, they are required to settle the remaining SP/LSP from their own funds.
If a member passes away, how should his/her personal representative claim the benefits?
The personal representative should complete the Claim Form for Payment of Accrued Benefits and submit it with the following documents to the trustee:
- A copy of the personal representative's Hong Kong Identity Card
- A copy of Letter of Probate or Letter of Administration granted by the Probate Registry
Can I transfer my MPF Balance on cessation of employment?
After leaving your job with a participating employer, you may have your MPF Balance transferred to:
- An AIA MPF Personal Account
- Another MPF account at AIA nominated by you
- An account (including a personal account) with another MPF provider
If I work for more than one company and make mandatory contributions to each MPF scheme I’ve been enrolled in, can I claim salaries tax deduction for all of the mandatory contributions I have made?
Yes, you can deduct the mandatory contributions made to different MPF schemes. However, the total deduction amount is limited to HK$18,000 per year. Voluntary contributions are not tax-deductible.
When and how should I notify AIA if I change my contact details?
If you change your home address, telephone number, fax number and/or e-mail address, please notify us within 30 days by submitting a completed and signed Member Record Maintenance Form.
What is Fund Switching?
Fund Switching allows you to change an existing and/or future balance investment allocation.
How do I make a fund switching request?
You may make a fund switching request by calling the interactive voice response system at (852) 2200 6288, or via My AIA. Alternatively, you can complete the Investment Mandate Form and send it to us through your employer.
If you perform fund switching by submitting a paper form, the requested switch will be processed from the day AIA receives your form, and not from the day it was submitted to your employer.
Are there any restrictions on fund switching?
Due to the nature of the Guaranteed Portfolio, you are only allowed to switch out once each scheme year, regardless of your switching channel. With every switching request in the Guaranteed Portfolio, the previous and the requested revised allocation percentage for the existing balance will be compared. If the revised allocation percentage is smaller than the previous allocation percentage, it will be considered a switch from the aforementioned portfolio.
You should check your account balance before switching your investment option. Your allocation must be in multiples of 5% and the total should add up to 100%. The allocation of your existing balance investment will not be processed if there is no fund balance in your account.
Is there any fee incurred for fund switching?
No, there aren’t any fees for fund switching.
What is the difference between changing an existing balance investment allocation and a future investment allocation?
Changing an existing balance investment allocation means changing the investment choice of all or part of your existing investments while leaving the investment choice of future contributions among constituent funds unchanged.
Changing future investment allocations means changing the investment choice of future contributions while leaving existing investments unchanged.
What will happen if I place more than one fund switching request in a day?
If you place more than one fund switching request via our website in a day, the last request received before 4:00 p.m. on that business day will be considered the final one. A switching request received after 4:00 p.m. on any business day will be processed on the next business day. A reference number will be issued for each transaction.
How do I cancel my fund switching request?
Except for requests made via paper, you can cancel any fund switching request via our member hotline at (852) 2200 6288 or My AIA before 4:00 p.m. on a normal business day on which you have made the request.
How can I know whether my Annual Benefit Statement has been sent out by AIA?
According to the MPF regulation, we must ensure scheme members are provided with the Annual Benefit Statement within 3 months after each financial period (every November). If you still have not received the statement by the following February, please call our member hotline at (852) 2200 6288.
How do I know whether my e-Application has been accepted?
If your application has been accepted, you will receive an instant online confirmation. If you are not an existing AIA member, you will also receive the Notice of Participation and the Member's Guide by post.
Can I settle my monthly/annual contribution via e-Cpayment?
No, e-Cpayment can now only be used to settle the ad hoc lump sum contribution. Please settle your monthly/annual contribution by direct debit or a CCB (Asia) credit card.
How do I make an ad hoc lump sum contribution via e-Cpayment?
To make a lump sum contribution via e-Cpayment, login to My AIA, select a member account on the member login main page, and click "e-Cpayment" at the top of the menu.
How do I know whether my contribution has been received?
If your contribution has been received, you will get an instant online confirmation. If you have activated the e-Alert service, you will also receive an e-Alert message.
When and how will my contribution be invested?
Under normal circumstances, contributions received on or before 4:00 p.m. on a business day will be invested on that same day. Contributions received after 4:00 p.m. will be marked as received and processed the next business day.
Where can I obtain the latest fund price of each constituent fund?
The latest fund price of each constituent fund, other than the Guaranteed Portfolio, will be published in The Standard and the Hong Kong Economic Times on a daily basis.
How is relevant income determined?
Relevant income is equal to your assessable profits, calculated in accordance with Inland Revenue Ordinance. For more details, please refer to the Inland Revenue Department website.
How much do I need to contribute? When should I pay the contributions?
As a self-employed person, you have to contribute 5% of your income, though relevant income is subject to maximum and minimum levels. If you earn less than the minimum relevant income level, you do not need to make contributions, but you may choose to make voluntary contribution on a monthly or yearly basis.
If you choose to contribute on a yearly basis, you should pay your contributions to AIA by the end of each financial year for the scheme. If you choose to contribute on a monthly basis, you should inform AIA of a date chosen for your monthly contribution and make the relevant payments by that time each month.
If I am a member in a partnership, how should I calculate my relevant income?
Your relevant income for the financial year of the scheme should be calculated by making proportional adjustments according to your share of the partnership and the business's profits for that period.
How do I calculate my relevant income and the contribution amount if I own more than one business?
If you have more than one business, your relevant income is the combined incomes from all of your businesses for that period, including profits and losses. Your mandatory contribution is 5% of that aggregate amount, up to a maximum of HK$1,500 per month or HK$18,000 a year.
General features of Default Investment Strategy ("DIS")
What is DIS?
DIS is a ready-made investment arrangement mainly designed for those members who are not interested or do not wish to make a fund choice. DIS is not a fund - it is a strategy that uses two constituent funds, namely the Core Accumulation Fund and the Age 65 Plus Fund, to automatically reduce the risk exposure as the member approaches retirement age.
Every MPF scheme is required to offer DIS and is designed to be substantially similar in all MPF schemes.
What are the features of DIS?
Balancing long-term effects of risk and return through investing in two funds
DIS aims to balance the long term effects of risk and return through investing in two funds, namely the Core Accumulation Fund and the Age 65 Plus Fund, according to the pre-set allocation percentages at different ages.
The Core Accumulation Fund will invest around 60% in higher risk assets (generally mean equities or similar investments) and 40% in lower risk assets (generally mean bonds or similar investments) of its net asset value.
The Age 65 Plus Fund will invest around 20% in higher risk assets and 80% in lower risk assets.
De-risking once a year according to the member's age
MPF assets under DIS are invested such that risk is adjusted according to your age. DIS will automatically reduce the exposure to higher risk assets and correspondingly increase the exposure to lower risk assets as you get older. De-risking will normally take place annually on your 50th to 64th birthdays.
For details of the de-risking arrangement, please refer to the latest MPF Scheme Brochure.
What is the fee of DIS?
The management fee of DIS in a single day is up to 0.75% p.a. of net asset value of each of the DIS funds divided by the number of days in the year, plus a maximum of 0.2% p.a. of other recurring out-of-pocket expenses of each of the DIS funds.
For details of the fee of DIS, please refer to the Principal Brochure of the Scheme.
What is the risk/return rating of DIS?
DIS adopts a diversified investment approach, adjusting the investment ratios in the two funds i.e. Core Accumulation Fund and Age 65 Plus Fund, to reduce risk. Thus, the risk/return ratings vary at different ages. DIS does not take the most aggressive, or the riskiest approach, nor does it take the most conservative approach.
Please note that DIS aims to reduce risks over the long-term but some investment risks remain. Returns are not guaranteed and there will be usual investment volatility, particularly in the shorter turn. Given the uncertainties and volatilities of the investment markets, you should seek financial and/or professional advice when you are in doubt as to whether the DIS is suitable for you.
For details of the investment risk, please refer to the Principal Brochure of the Scheme.
When will DIS take place?
The effective date of DIS is 1 April 2017.
Investing in DIS
Under what circumstances will I receive the "DIS Re-investment Notice"?
If you are an existing member under AIA MPF, aged under 60 or becoming 60 years of age on 1 April 2017 and have all your accrued benefits currently invested in our default fund i.e. Guaranteed Portfolio which generally resulted from no investment instruction given for the existing account, you will receive a "DIS Re-investment Notice" on or before the end of April 2017 listing details of DIS. You will also be given an option to make your own investment choice within 42 days if you decide not to invest in DIS.
If you prefer to stay invested in existing default fund i.e. Guaranteed Portfolio, you need to complete the reply slip attached to the "DIS Re-Investment Notice" and send it back to us within 42 days. If we do not receive your completed reply slip by the end of the 42-day reply period, under the MPF legislation, we must invest your benefits in the account according to the DIS within 14 days after the expiry day of the reply period.
Can I invest partially in DIS and partially in other MPF funds?
Yes. Please indicate your investment choice in the application form or investment mandate form i.e. fund switching form. Please note that investment allocation percentages should be a multiple of 5 and add up to 100%.
Will DIS apply to all accounts under my name?
No. Where a member has multiple accounts, DIS will be applied to his/her accounts individually. For example, if you have not specified your investment choice in your contribution account but have made a valid investment choice under the personal account, DIS shall apply only to your contribution account, not the personal account.
Will I be informed about details after each de-risking takes place?
A confirmation statement will be sent to you by mail within 5 business days after each de-risking takes place.
Can I check how DIS is performing?
You may find the performance of the Core Accumulation Fund and the Age 65 Plus Fund and their reference portfolio in our Fund Performance Review (and one of which will be attached to annual benefit statement). You can visit aia.com.hk or call our customer service hotline for information. You may also obtain the fund performance information at the MPFA's website www.mpfa.org.hk.
The Reference Portfolio is adopted to provide a common reference point for performance and asset allocation of the Core Accumulation Fund and the Age 65 Plus Fund for the purpose of the DIS. The fund performance will be reported against the Reference Portfolio published by the Hong Kong Investment Funds Association. Please visit www.hkifa.org.hk for further information regarding the performance of the Reference Portfolio.
Can I switch in or switch out DIS anytime?
Yes. You can switch into or out of DIS at anytime by making a fund switching request as usual. Investments switched out of DIS will cease to be subject to the DIS, while those remaining will continue to be.
Investing in Core Accumulation Fund and Age 65 Plus Fund
Other than investing in DIS, you can also choose to invest in the two DIS funds – Core Accumulation Fund and Age 65 Plus Fund as standalone fund choices if you find them suitable for you.
Note: The automatic de-risking feature of DIS does not apply to Core Accumulation Fund and Age 65 Plus Fund as a standalone fund choice.
What are the fees of Core Accumulation Fund and Age 65 Plus Fund?
The management fees of the two funds in a single day are up to 0.75% p.a. of net asset value of each of the two funds divided by the number of days in the year, plus a maximum of 0.2% p.a. of other recurring out-of-pocket expenses of each of the two funds.
For details of the fee, please refer to the Principal Brochure of the Scheme.
Starting July 2019, the fund expense ratio ("FER") of the two funds can be found in our Fund Performance Review and the annual on-going cost illustration attached to the Principal Brochure of the Scheme. You may also obtain the FER information at the MPFA's website www.mpfa.org.hk.
What is the investment objective of Core Accumulation Fund?
The investment objective of the Core Accumulation Fund is to provide capital growth to Members by indirectly investing in a globally diversified manner. It is a feeder fund investing entirely in an approved pooled investment fund, namely, the Vanguard Moderate Growth Fund.
What is the investment(s) of the underlying funds of Core Accumulation Fund?
Core Accumulation Fund shall invest in an approved pooled investment fund, Vanguard Moderate Growth Fund of Vanguard Fund Series, which in turn invests globally in equity securities listed on approved stock exchanges, government bonds, money market instruments, index-tracking collective investment schemes and other investments as allowed under the Mandatory Provident Fund Schemes (General) Regulation.
Through such underlying investment, Core Accumulation Fund will indirectly hold around 60% of its net assets in higher risk assets (such as global equities), with the remainder investing in lower risk assets (such as global bonds and money market instruments). The asset allocation to higher risk assets may vary between 55% and 65% due to differing price movements of various equity and bond markets. There is no prescribed allocation for investments in any specific countries or currencies.
What is the risk of Core Accumulation Fund?
Medium to high.
What is the risk of Core Accumulation Fund?
Core Accumulation Fund is a mixed assets fund which is intended for investors who hold a medium to long term investment view and want to seek returns through capital appreciation and modest income generation. Investments in the Core Accumulation Fund are subject to a number of risks associated with a global investment mandate. Investors should be prepared to accept fluctuations in the value of investments and should always consider their individual risk and return profile.
For details of the investment risk of the Core Accumulation Fund, please refer to Schedule 26 of the Principal Brochure of the Scheme.
What is the investment objective of Age 65 Plus Fund?
The investment objective of the Age 65 Plus Fund is to provide stable growth in a globally diversified manner. It is a feeder fund investing entirely in an approved pooled investment fund, namely, the Vanguard Income Fund.
What is the investment(s) of the underlying funds of Age 65 Plus Fund?
Age 65 Plus Fund shall be invested in an approved pooled investment fund, Vanguard Income Fund of Vanguard Fund Series, which in turn invests globally in equity securities listed on approved stock exchanges, government bonds, money market instruments, index-tracking collective investment schemes and other investments as allowed under the Mandatory Provident Fund Schemes (General) Regulation.
Through such underlying investments, Age 65 Plus Fund will indirectly hold around 20% of its net assets in higher risk assets (such as global equities), with the remainder investing in lower risk assets (such as global bonds and money market instruments). The asset allocation of higher risk assets may vary between 15% and 25% due to differing price movements of various equity and bond markets. There is no prescribed allocation for investments in any specific countries or currencies.
What is the risk of Age 65 Plus Fund?
Low to medium.
What is the risk of Age 65 Plus Fund?
Age 65 Plus Fund is a mixed assets fund which is intended for investors who hold a medium to long term investment view and want to seek returns through current income generation and some capital appreciation. Investments in the Age 65 Plus Fund are subject to a number of risks associated with a global investment mandate. Investors should be prepared to accept modest fluctuation in the value of investments, and should always consider their individual risk and return profile.
For details of the investment risk of Age 65 Plus Fund, please refer to Schedule 27 of the Principal Brochure of the Scheme.
Can I transfer my MPF Balance?
You can at any time transfer your MPF Balance to an account with another MPF provider.
When and how should I notify AIA if I change my contact details?
If you change your home address, telephone number, fax number and/or e-mail address, please notify us within 30 days by submitting a completed and signed Member Record Maintenance Form.
When do I enrol new employee(s) in an MPF scheme?
You should enrol new employees in an MPF scheme within the first 60 days of their employment. If the 60th day falls on a Saturday, public holiday, gale warning day or a black rainstorm warning day, the enrolment deadline will be postponed to the next working day.
When should I enrol employees under the age of 18 in an MPF scheme?
You should enrol employees in an MPF scheme on or before their first 60 days of employment, or on their 18th birthday, whichever comes later. Additionally, you should begin making contributions starting on the employee's 18th birthday. The employee should also make contributions beginning on their 18th birthday, or from the first day of the first complete contribution period after their 30 days of employment, whichever is later.
Do I need to enrol an employee who works in mainland China in an MPF scheme?
If the employment contract is governed by the Hong Kong Employment Ordinance, you must enrol your employee in an MPF scheme. However you do not have to enrol your mainland employees in an MPF scheme. The MPF System is intended to provide retirement benefits only to members of the workforce in Hong Kong.
Do I need to enrol part-time employees working less than 18 hours per week?
Yes. If a part-time employee has worked for more than 60 calendar days under the employment contract, he/she has to join an MPF Scheme.
Do I need to enrol relatives who are helping me in the family business in an MPF scheme?
If the relatives live at the same address as you, you are not required to enrol them in an MPF scheme. However, if they do not live at the same address, you must enrol them.
Do I need to enrol my maid in an MPF scheme?
No. Domestic employees are exempt and not required to join an MPF scheme.
Do I need to enrol my overseas employees in an MPF scheme?
If the period your overseas employees are permitted to work in Hong Kong does not exceed 13 months, or if they are covered by their home country pension schemes, they are not required to join an MPF scheme.
One of my overseas employees was given permission to work in Hong Kong for one year, but this was later extended for another six months. Do I need to enrol him/her in an MPF scheme?
Yes, you must enrol him/her in an MPF scheme within 60 days of the end of the 13-month period, assuming they are not covered by a pension scheme in their home country.
When should I make the first MPF contribution?
Calculation of MPF contribution starts from the day your new employee joins the company. If employment with the new employee ends before the 60th day, no MPF contribution is required from you or the new employee. If employment passes the 60th day, you need to make MPF contribution payment on or before the 10th day of the month, following the calendar month on which the 60th day of employment falls.
Do I need to keep all my remittance statements?
Yes. According to the MPF Ordinance, employers must keep employee information included in the remittance statement for at least 7 years.
How can I inform employees of the amount of the mandatory contributions I make for them?
As an employer, you have to provide all employees with a monthly pay record within 7 working days of making a contribution. The pay record should contain information such as the amount of relevant income payable during the month, the amount of contributions (mandatory and voluntary) made by you and the employee, and the date on which the contribution was paid.
How is relevant income determined?
Relevant income includes payment such as: wages, salaries, leave pay, fees, commissions, bonuses, gratuities, perquisites, housing allowance/benefit or other allowances, expressed in monetary terms, to an employee for his/her service under an employment contract. However, relevant income does not include any deduction or payment in place of notice, payment made on special occasions (such as marriage), rewards for passing professional examinations, severance payments or long service payments under the Employment Ordinance.
Should I submit the remittance statement to the trustee if my employees have zero relevant income?
Yes. You have to submit the remittance statement showing the amount of an employee’s relevant income, even if that amount is zero, when making contributions to the trustee.
How can I submit contribution data to AIA?
To help you easily fulfil your contribution obligations, we provide you with various tools to ease your administrative burden. You can submit the contribution data by the following channels:
- Online
- File upload
- Disklette/CD-ROM
- Hardcopy - by post/fax
Details of contribution data submission procedures and contribution data received date can be found in the Contribution Guide.
How can I submit contribution payment to AIA?
To help you easily fulfil your contribution obligations, we provide you with various tools to ease your administrative burden. You can submit the contribution payment by the following methods:
- Autopay
- Cheque Deposit machine (Applicable to HSBC/BOCHK cheque deposit machines only)
- Internet Banking (Applicable to HSBC/BOCHK bank account holders only)
- Phone Banking (Applicable to HSBC bank account holders only)
- Bank Automated Teller Machines(ATMs) (Applicable to bank account holders of HSBC or JETCO member banks)
- PPS
- 7-Eleven Convenience Stores
- Cheque by Post
- Direct Credit (Applicable to registered customers only)
Details of contribution payment submission procedures and payment received date can be found in the Contribution Guide.
Can I make extra contributions for my employees on top of the 5% mandatory contributions?
Yes. You are free to make additional voluntary contributions for your employees. You can download the Employer Voluntary Contribution Set-up Form. Complete, sign and return the form to AIA.
When should I make contributions for employees who are leaving?
You must submit final contributions for departing employees within 10 days after the end of the calendar month during which they ceased employment. These contributions must include contributions from you and the departing individual.
What should I do if I need to claim reimbursement of severance payments (SP) or long service payments (LSP) made to employees who are leaving?
You have to submit a copy of receipt countersigned by both you and the employee, confirming they have received the SP or LSP. Complete and sign the claim form for Reimbursement of Long Service Payment/Severance Payment, and provide the offset amount of SP/LSP to be paid.
Additionally, you must remind employees to submit the Scheme Member's Request for Fund Transfer Form or the Claim Form for Payment of Accrued Benefits (if applicable) to AIA, ensuring all signatures on the forms and documents correspond to those on our records.
When should I pay the Long Service Payment (LSP)/Severance Payment (SP)?
You have to pay out LSP/SP within 7 days of the termination date of an employee's contract. You can then apply for reimbursement from AIA, and we will start processing the payment upon receipt of full documentation from you and the departing employee.
Do I enjoy any tax benefits for the MPF contributions paid to my employees?
Yes, both mandatory and voluntary contributions are tax-deductible. However, the amount is limited to 15% of the total yearly payments for each employee.
When and how should I notify AIA of record changes?
You should notify us within 30 days after changes in the following takes effect, by completing the Employer Record Maintenance Form:
- Business name
- Principal place of business
- Correspondence address
- Telephone number
- Fax number
- Contact person
- Settlement method for contribution/annual fee
You can return the form to us, along with the relevant supporting document (where appropriate), by post, fax, or via email.