- Gross salary, usually paid monthly.
- Employer costs of about 3.8% at a HK$480,000 salary: HK$18,000 a year, of which the largest is MPF employer contribution.
- An EOR fee, if you hire without your own entity. The providers in our Hong Kong guide publish starting prices of US$199–699 per employee per month.
Mandatory employer costs at a HK$480,000 salary (mid-level professional). Employee contributions and income tax come out of gross pay and aren't included.
| Employer cost | Rate or amount | At HK$480,000 |
|---|---|---|
| MPF employer contribution | 5% of gross, up to HK$360,000 | HK$18,000 |
| Total employer costs | 3.8% of salary | HK$18,000 |
Contribution ceilings mean employer costs can be a smaller share of higher salaries. Figures exclude the EOR fee.
| Annual salary | Employer costs | Total before EOR fee |
|---|---|---|
| HK$300,000 (junior / support) | HK$15,000 (5.0%) | HK$315,000 |
| HK$480,000 (mid-level professional) | HK$18,000 (3.8%) | HK$498,000 |
| HK$720,000 (senior professional) | HK$18,000 (2.5%) | HK$738,000 |
| HK$1,080,000 (lead / manager) | HK$18,000 (1.7%) | HK$1,098,000 |
- MPF (employer): 5% of relevant income, capped at HK$1,500 a month
- Minimum wage: HK$43.1 an hour (from 1 May 2026)
- Statutory holidays: 15 in 2026 (17 by 2030)
- Paid annual leave: 7 to 14 days, by length of service
- Sickness allowance: Four-fifths of average daily wages
- Severance / long service payment: Up to two-thirds of a month's wages per year, max HK$390,000
- MPF is capped at HK$1,500 a month per employee, so above HK$360,000 a year the employer's statutory cost stays flat.
- Employees' compensation insurance is compulsory and priced by insurers; it isn't included.
- Severance and long service payments aren't included because they arise only on qualifying terminations. Since 1 May 2025, they can't be offset with mandatory MPF benefits for service from that date.
- The employee's 5% MPF contribution (on relevant income from HK$7,100 to HK$30,000 a month) and salaries tax are not employer costs.
Without your own entity in Hong Kong, an Employer of Record can employ your hire for a monthly fee. The alternative is setting up your own Hong Kong limited company or branch. See the comparison in our Hong Kong guide and EOR vs local entity.
How much does it cost to employ someone in Hong Kong?
At a HK$480,000 salary, employer costs add about HK$18,000 a year (3.8%), for a total of about HK$498,000 before any EOR fee.
How much is an EOR in Hong Kong?
The providers in our Hong Kong guide publish starting prices of US$199–699 per employee per month, on top of salary and employer costs. See the EOR pricing tracker.
Can I hire in Hong Kong without a local entity?
Yes, through an Employer of Record, which becomes the legal employer and runs payroll and contributions. See EOR in Hong Kong.
- 1MPF System – Mandatory Contributions (Employees)
Mandatory Provident Fund Schemes Authority
Employer and employee each contribute 5% of relevant income, with minimum and maximum relevant income levels of HK$7,100 and HK$30,000 a month.
Related research
- Employer of Record in Hong KongFull country guide with the cost estimator.
- Employer cost by countryCompare employer costs across countries.
- Cost to hire in IndiaEmployer costs at four salary levels, explained line by line.
- Cost to hire in IrelandEmployer costs at four salary levels, explained line by line.
- Hong Kong employer rates and thresholdsEvery employer rate and threshold on one page, with official sources.