Living and Working in Hong Kong
Quick links: Accommodation / Bank Accounts / Phones / Healthcare / Pay & Bens / Tax / Visas / Travel
Accommodation
The price of renting in Hong Kong is calculated according to the square footage. As a rough guide, a 1000 sq ft apartment in the Midlevels area will cost HK$30,000 - HK$40,000 per month. Hong Kong provides a wide variety of residential accommodation in terms of dwelling size, type and location, ranging from detached villas with private gardens to high-rise apartments.
Finding a flat can be demanding, but with a little perseverance it is possible to find real gems at affordable prices. To be amongst the expat community of Hong Kong Island, focus your search on the Midlevels, Happy Valley, Repulse Bay, Stanley or The Peak areas.
Tenants pay utility bills such as gas, water and electricity in addition to rent and management fees. Properties are mostly let unfurnished, but tenants can rent furniture from letting agencies or ship their own from overseas.
The most common lease term is for two years, with the opportunity to give two months notice of your intention to leave after 12 months and a deposit of two months’ rent is typical. There are also serviced apartments and hotels available that you can use as a base while you are looking for a longer-term let. Many of the hotels in Hong Kong are also located in the heart of the city, you can visit Hong Kong Hotel Association at www.hkha.org/index.asp
Bank Accounts
To open a bank account in Hong Kong you simply need to provide the usual proof of identity, including your Hong Kong ID card or passport, proof of address (bills, rental receipts or a lease) and a letter from your employer.
It is worth noting that there is a charge for international transfers and it takes at least a week for a foreign currency cheque to clear. Consequently you should ensure you bring cash/travellers cheques to cover the beginning of your residency.
Banks here offer a full range of services but as an expat you may only be permitted to open a savings account. Requests to open a current account are considered on a case-by-case basis, with a letter of reference or a sponsor often required.
General banking hours are Monday to Friday from 9:00 am - 4:30 pm, and Saturday from 9:00 am - 1:00 pm. Electronic banking facilities are widely used by banks in Hong Kong. ATMs can also be found almost everywhere.
The major banks are HSBC, Hang Seng Bank, Standard Chartered Bank and Bank of China, plus other well-known global banks.
Mobile phones
The main mobile phone providers in Hong Kong are CSL, SmarTone, 3
Healthcare
Hong Kong has some of the best doctors and hospitals in the world. However before signing an employment contract check the private healthcare plan on offer, as these can vary considerably and you may want to supplement this by taking out your own private health insurance. Should surgery etc be required many expats use the public hospitals. It is also worth mentioning that people living in Hong Kong have the second highest life expectancy in the world.
Persons permitted to stay in Hong Kong by the Immigration Department, and not classified as visitors, may be eligible for local rates when admitted to public hospitals. The present rate is $68 per day in a general ward & $100 for accident and emergency treatment. Those not considered as "Eligible Persons" have to pay the non-entitled persons' rate, presently at $3,300 per day plus $33,000 deposit & $570 for accident & emergency treatment. These rates are subject to change. For more information on public healthcare, visit the Hospital Authority website at www.ha.org.hk.
Pay & Benefits
Salary rates in Hong Kong are good and there’s a flat tax rate of 17%. Employees are paid on a monthly basis and are legally entitled to paid annual, sick and maternity leave, as well as designated rest days and employment insurance. There is, however, no minimum wage.
Tax
The tax year runs from April 1 to March 31. Only wages earned in Hong Kong are liable for taxation, up to a maximum of 17% of individual income. Salary tax is charged on emoluments, (total remuneration of an employee or director which includes salary and bonuses), arising in or derived from Hong Kong.
Taxpayers receive their salary gross. Salaries tax is demanded on a yearly basis, and is normally paid in two instalments between January and April. Foreign nationals who spend no more than 60 days in Hong Kong in any year of assessment are exempt from salaries tax. Employers will notify new employees of any changes in taxation laws.
For more information on the tax system in Hong Kong, visit the Inland Revenue Department website at www.ird.gov.hk
Visas
Without citizenship, you must be sponsored by an employer to work in Hong Kong. The application process is identical whether you’re seeking contract or permanent work and must be done in person. Dependants must obtain dependants' visas.
Travel
You won’t need a car - over 90% of journeys made in Hong Kong are on public transport - the highest percentage in the world. An Octopus card entitles you to travel on the MTR or Mass Transit Railway - this covers the whole of Hong Kong, it’s cheap, air-conditioned and has mobile phone coverage throughout.
Your Octopus card can also be used on railways, buses and ferries. You can also use it to pay for public transport and small daily purchases like a newspaper or a hamburger at McDonalds.
