Types of Benefits Provided 所提供權益的種類
A defined contribution scheme specifies the contribution rates for the employer and employees. Members' accrued benefits depend on accumulated contributions and investment returns, so a stated contribution rate does not promise a fixed retirement benefit.
A defined benefit scheme centres on a benefit formula, usually using factors such as the member's age, years of service and final average salary. The employer's contribution rate is not specified in advance: an actuary carries out valuations and recommends the rate from time to time.
A hybrid scheme combines defined contribution and defined benefit features, but is classified as a defined benefit scheme. The presence of a component with stated contribution rates is therefore insufficient to classify the whole scheme as defined contribution.
ORSO Registered or ORSO Exempted 屬職業退休註冊計劃還是屬職業退休豁免計劃
Retirement schemes operated in and from Hong Kong generally require registration under the Occupational Retirement Schemes Ordinance (ORSO), unless an exception applies. A scheme registered under that Ordinance is an ORSO registered scheme.
Two categories fall outside ORSO altogether: schemes contained in or established under another ordinance, such as MPF schemes established under the Mandatory Provident Fund Schemes Ordinance; and schemes established by a government outside Hong Kong or its non-profit agency. Neither category needs to apply for ORSO registration or ORSO exemption.
An ORSO exempted scheme remains within ORSO but has an exemption from registration; an application is required, so eligibility does not mean automatic exemption. This category includes offshore schemes meeting specified requirements and schemes previously exempted because their membership of Hong Kong permanent identity card holders was below the prescribed limit. [MPFA: Basic Requirements for Exempted Schemes](https://www.mpfa.org.hk/en/orso/basic-requirements/basic-requirements-for-exempted-schemes)
MPF Exempted or Not 是否獲強積金法例豁免
MPF exemption concerns whether the relevant employer and covered employees can be exempt from MPF requirements. It is a separate legal status from exemption from ORSO registration. Check whether an MPF exemption certificate has been granted; ORSO exemption alone does not establish MPF exemption.
An MPF exempted ORSO scheme may be either ORSO registered or ORSO exempted. It may continue accepting new members or be closed to new members; accepting new members does not itself determine its MPF exemption status.
A scheme without an MPF exemption certificate is a non-MPF exempted ORSO scheme. It may have failed to qualify or simply never applied. Consequently, unless another exemption applies, membership of such a scheme does not remove the applicable MPF obligations.
Practice
6 practice questions · Progress is shared with full-paper practiceLoading questions…
Keys: 1–4 to choose, Enter to check / next, ← → to move