ASIAXPAT 1999 - 2019 20 Years serving the Expat Community in Hong Kong, Dramatically increase the loading speed of pages, Access key content on the AsiaXPAT web site. You can block or delete them by changing your browser settings and force blocking all cookies on this website. Heres a general lowdown of what to expect from life in Hong Kong. Like any city, Hong Kong has two sides. Most banks offer the same generic services such as current, savings, time deposit, and payroll accounts. Hong Kongs status as an international finance center is cratering because of the citys strict quarantine rules for incoming travelers, Bloomberg lamented. Your Hong Kong taxes are based on income earned within its borders vs. your residency. Private equity investor Scott Hancock and his family moved to Hong Kong from Australia in 2012. Central, Hong Kong SAR, Telephone: (852) 2815 2520 Being a member of a private club in Hong Kong is somewhat of a luxury but if you do get the chance to join one, take it! For instance, one couldn't gather in groups of more than two people later changed to four but could take group photos as long as everyone in them was masked. Entry requirements - Hong Kong (SAR of China) travel advice In Hong Kong, Chinese firms gain easy access to the U.S. dollar, which the citys Monetary Authority is authorized to clear. You may need private healthcare insurance to cover dental work, as it can be quite expensive. Credit and debit cards (known as EPS) are widely used. The scrapping of quarantine rules for locally based airline staff in Hong Kong on September 10 comes as expats bankers are returning to the city. HSBC, BlackRock, Citibank, Deutsche Bank, and Goldman Sachs all have said they are adding staff in Hong Kong to capitalize on opportunities in China. 5/F Yat Fat Building, Watch the video below for details of the type of quarantine expected of you. However, Hong Kong tax rates are much lower than U.S. tax rates, meaning many U.S. citizens working in Hong Kong would pay less in tax locally than in the U.S. For example, if you earn income while on a short-term assignment, youll need to report that income on your U.S. taxes. Singapore has the most vibrant ever changing restaurant scene with the most diverse offerings of any city in Asia. The 2023 Hong Kong International Dragon Boat Races is making a return after a four-year hiatus. Rentals are payable monthly in advance and, serviced apartments aside, are generally exclusive of management fees and government taxes, which could add a further 12-15% on top of rental costs. They also said it made them realize how Hong Kong, a city that they once loved, was becoming just like any other urban hub in mainland China, which is why they bade it goodbye. All rights reserved. Have you asked your landlord or property manager to set up your, Have you calculated a budget that takes into account. Hong Kong-based expats told Insider they were frustrated by the city's response to the Omicron wave. We update this article regularly to keep it useful as possible, but if you want to know more - please seek independent advice. For venture capital investor Belinda Pham, 26, the hamster culling was a reminder of the myriad stories she'd heard of mainland Chinese authorities killing Covid patients' pets a grim hallmark of Beijing's bulldozer pandemic strategy. Originally from Paris, Pham left Hong Kong in the spring to further her career in Vietnam. For 30 years, we have helped expats like you move and settle into their new lives overseas, with the peace of mind of knowing their families are covered by a comprehensive and flexible health insurance policy. Further details can be found on the Hong Kong SAR Governments website. People are more guarded about what they do from a business perspective. About half of that number are domestic helpers, most from the Philippines and Indonesia, who earn a minimum wage of about $600 a month. The UK branch of William Russell Europe SRL is registered at William Russell House, The Square, Lightwater, Surrey, GU18 5SS, UK. . "The general usual kind of increase one gets when moving around is about 15%, now it's 25%, so it's quite the bomb," Mullally said. The job market if you're living in Hong Kong, Visa requirements and cost of moving to Hong Kong, Your handy "moving to Hong Kong" checklist. Living in Hong Kong is rewarding: it's seen as an important gateway into world markets for many multinational companies within the tech, finance, advertising and HR industries. You can do that in your 20s. They have club membership and servants in Hong Kong, while in London they had a rude awakening., For some who relocated, the move was also intended to be a temporary one, enabling them to travel to see clients and family while China pursued a zero COVID strategy in Hong Kong. On top of facing daily disruptions and travel restrictions, they also feared a loss of freedoms. Thats partly truedepending on how the term expat is defined. Additionally, its wise to factor-in an upfront deposit of two to three months rent. In the first nine months of 2021, Hong Kong approved 1,874 visas for expat bankers and 1,809 for mainland Chinese, meaning it welcomed mainlanders at a quicker pace last year than in 2020. This is partially due to very high rent prices in the city Hong Kong comes second to last for affordable housing, with 91 . Under it, countries automatically share basic financial information about each other's expats. such a sh1t non story with a ridiculous picture. In the first half of 2022, the city's total population fell by 110,000 almost double the population loss from the entirety of last year. I live in Kenya now and run my own online digital marketing business. Click here to create a profile on eFinancialCareers. For example, in the exclusive Peak area, its not unusual to pay in excess of HK$100,000 per month for a three-bedroom apartment. AP PHOTOS: Hong Kong's colorful Bun Festival returns after COVID-19 Furthermore, there is no guarantee of being matched with an English-speaking doctor, which could make it difficult to communicate healthcare issues. Dom McKenzie If you are considering a move home, preparation is key and one of the top priorities is tax. The legislation came into force on June 30, 2020, giving Hong Kong authorities the power to round up individuals they suspected of instigating secession from China or collusion with foreign forces. This has led to widespread protests throughout the city since 2019. After seven years of living in Hong Kong, New York native Marty Forth finally had it. Mullally said maintaining Hong Kong's status as a financial hub while restricting travel will be a "difficult circle to square," but that the city's reputation is far from irretrievable. Though David Graham, executive director of Hong Kongs British Chamber of Commerce, told the SCMP that the reduction to 14 days is just the start of whats needed.. TARA JOSEPH: A lot of people have left. With multiple ways to file, weve got a tax solution for you. The territory currently enjoys autonomy from Beijing but is expected to fully return to mainland Chinese rule in 2047. Hong Kongs recent moves to combat a fresh COVID outbreak appear to have triggered a secondary epidemicof anguished accounts in Western media warning of an expat exodus sure to bring this once-vibrant global financial center to its knees.Foreign executives in isolated Hong Kong head for the exit, sick of zero-COVID curbs, blared a recent headline in the Wall Street Journal. How do my Hong Kong financial accounts affect my filing? The scrapping of quarantine rules for locally based airline staff in Hong Kong on September 10 comes as expats bankers are returning to the city. Need to file a U.S. tax return from Hong Kong? As well as carrying important information that confirms your identity, the card can also be used for various non-immigration applications such as e-Certificates, which can be used for online identity verification. Its also worth noting that there are regulations on bringing family pets, so make sure you visit Hong Kongs Ministry of Agriculture, Fisheries and Conservation website before importing any animals. Local news companies also announced "partnerships" with Chinese state media. 2023 I don't think it will ever be the same place that it was before. Bank products and services are offered by Pathward, N.A. Hong Kong 'Get out, no matter what': Quarantine camps, family separations, and a looming. Get yourself a mobile phone. Make sure you get the right paper work in place when youre moving to Hong Kong. Note that blocking some types of cookies may impact your experience on our websites and the services we are able to offer. If your spouse will be working too, have you applied for one work visa that will apply to both of you? Even though the Hong Kong government has pledged to ease restrictions, he said the city's constant flip-flopping over policies has eroded his trust in its ability to govern effectively. China has clamped down on Hong Kong's openness. Hong Kong welcomes 10 mln visitors in first 5 months - SHINE However, the average salary is much higher at HK$19,100 (1,787/US$2,455) per month for men and HK$14,700 (1,375/US$1,890) for women. All deposit accounts through Pathward are FDIC insured. You have reached the maximum number of listings for your package (0). Accommodation and where to live will be one of the biggest decisions when considering a move to Hong Kong. Hong Kong approved 2,307 visas for mainland Chinese financiers in 2019, up from 1,433 in 2016. Only 17% of the companies said they don . The tax year is different than in the United States. HMRC giving Hong Kong refugees' financial details to China He had until 11:59 p.m. Meanwhile, Hong Kong residents were largely spared such harsh lockdowns in the first two years of the pandemic. There are also a growing number of virtual banks, offering better interest rates on your savings, lightning-fast transactions and a raft of other treats. Expats leaving Hong Kong told Insider that the government's haphazard response to Omicron was the final straw for them. Marketing, project management and software engineering jobs also offer good salaries, many of which are in the region you would expect to find in London, New York and other global cities. Returning to Hong Kong & quarantine - Expat Living Hong Kong "Hong Kong is not for expats anymore," he added. Ultimately, if you are looking to grow your career while earning a good salary, Hong Kong could be the perfect place to do it. FORTUNE may receive compensation for some links to products and services on this website. When the pandemic passes and the citys drawbridges are lowered, the banks will still be here. U.S. Expat Taxes in Hong Kong | H&R Block All Hong Kong needs now is the deal-flow to support it. Huge market big $$ is expat going after. Restaurants had to abide by a 6 p.m. dining curfew, later extended to 10 p.m. and then midnight. At the tail end of a two-month trip to the U.S., he decided not to go back. You may also be subject toFATCAreporting requirements if you have foreign assets valued at $200,000 and higher. The Washington Post says talent is fleeing the city in droves. A recent commentary in Nikkei Asia argued Hong Kong risks sinking into Venetian obscurity.. By clicking Sign up, you agree to receive marketing emails from Insider KEVIN TRANBARGER: One of the things that I loved about living there was it's a truly international place. The neighborhood of Wan Chai, near the city's central business district in Hong Kong / GETTY IMAGES. The cost of your relocation will vary based on your and your familys requirements, however, as a minimum you should expect to have budgeted these costs up front: Hong Kong operates a relatively low personal tax system, which means you could end up paying much lower taxes than in your own country. Proof of address, such as a utility bill or mobile phone bill. Details of the process along with the five offices (Hong Kong, Kowloon, Kwun Tong, Fo Tan, Yuen Long) where applications are processed can be found on the Immigration Departmentswebsite. The restrictions grew more and more haphazard. Six key issues for expats returning to the UK | Financial Times Hong Kong has a long history of welcoming expats and foreign workers into its rich cultural heritage. Profits tax: Corporations - 16.5% Others - 15%. Although it depends on the passport you hold, most people are allowed to land and stay here as a visa-free visitor for seven to 180 days. The Hong Kong tax year starts April 1 each year and ends on March 31 the next year. Make yourself visible to recruiters hiring for financial services and technology jobs in Hong Kong. Some industries are already feeling the talent drain. Hong Kong's lifting of quarantine rules for local flight crew on September 10 comes as expat bankers return to the city. But the turmoil didn't faze Cox. During the pandemic, Hong Kong relied heavily on mainland China for policy responses and support. It really makes living abroad and doing taxes a million times better. A lot of people are considering leaving. How can Hong Kong maintain its competitiveness as an international This text may not be in its final form and may be updated or revised in the future. medical treatment can cost away from home? Of course, living there has tax consequences for US expats. In 2019, a monthly subsidy scheme was introduced for Octopus card holders. You can accept all cookies, or accept only the essential cookies. This certainly should help alleviate some of the stress on cross-border business operations and talent shortages due to the lockdown, George Leung Siu-kay, CEO of the Hong Kong General Chamber of Commerce, said to the SCMP. Before handing the reins to Lee, Lam said in June that the government would not give in "a single inch" to businesses' requests to ease restrictions, per the South China Morning Post. In the broadest sense of the term, Hong Kong has roughly 700,000 expatriatesforeign nationals granted a visa allowing them to live in the city. But today, Hong Kong is a different place. We also use non-essential, third-party cookies, which help us to analyse how you arrived at and how you use our site. Hong Kong managed to avoid the worst of the pandemic. Americas national beer could soon be Mexican as Memorial Day weekend sales drop plunges Bud Light further into crisis. Weve got a tax solution for youwhether you want toDIY your expat taxesor leave it to one of ourexperienced Tax Advisors. Already in the 80s, "everyone was leaving." Thats why its always best to agree a contract for a job before moving to Hong Kong. Several are essential for the site's proper functioning. Moving to Hong Kong: your essential checklist to settling in as an expat Whether you need expat tax guidance on filing from abroad or information onFATCA and FBARrules, were here to help. By continuing to browse the site, you are agreeing to our use of cookies. In his appointment speech on July 1, Lee promised to restore Hong Kong's status as a global financial hub but made no mention of how its COVID policies have dented its reputation. Finding good accommodation at the right price can be a challenge for expats and most people migrating to Hong Kong should expect to pay a sizeable share of their income towards rent and other living costs. Youll need to file your taxes within one month after the Inland Revenue Department issues your individual tax return, which is usually in early May. Income in HKD. In mainland China, Beijing's tactic was to eliminate any trace of the virus through extreme restrictions. "They keep changing the policies, you never know when they're going to clamp down again," he said. It is also becoming increasingly popular with Hong Kong citizens, with the government incentivising private medical treatment through a Voluntary Health Insurance Scheme. For decades, Hong Kong has been a financial capital like London and New York, a magnet for millions from around the world. But Hancock says he watched with alarm as freedom started to disappear, along with the city's spirit. We cover the practical details expats should consider before making the move, including upfronts and living costs, the visa requirements to live and work in Hong Kong, the Hong Kong tax system and where to live. Income derived through traditional employment is subject to Hong Kong's salaries tax. Expat taxes made easy. And the 90s, obviously. Working visa:Unless you have a Hong Kong Right of Abode or Right to Land, you will need a visa to work in Hong Kong. However, it is important to note that Hong Kong is one of the expensive regions in Asia for private medical care. "The government switched and changed its policy so many times and the decisions are made based on fear, not on evidence. These cookies are strictly necessary to provide you with services available through our website and to use some of its features. Visa approvals dropped to 4,719 in 2019the year of the Hong Kong protestsand plummeted to 2,448 in 2020. FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. So on March 8, Forth boarded a one-way flight to New York with his partner and their son. UNIDENTIFIED REPORTER #3: Police in riot gear who fired tear gas and GURA: After demonstrations in 2019 and 2020, it's now illegal to criticize China's government, and authorities have cracked down on the media. Even though Hong Kong's chief executive Carrie Lam announced in March that the city would lift some travel and domestic restrictions, her government also made it clear that the city would still stick closely to Beijing's "COVID-zero" plan. I am also really relieved that they will help if I need it during audits. The trails both on the island and in the New Territories provide the perfect place to exercise your pooch. While the local language of Hong Kong is officially Cantonese, English is the de facto second language and employees of international companies will often speak English at work. Some firms are resorting to bumping salaries for new hires far past the usual rate, said John Mullally, regional director for human resource firm Robert Walters. Another banker said that a number of his French colleagues had returned, including a neighbour who had relocated to Singapore. Because Hong Kong is a hub of industry and commerce, job opportunities are usually in abundance. Anyone who says you end up eating at the same restaurant every night in Singapore has no clue. 2023 Hong Kong International Dragon Boat Races During the 2019 protests, Cox's only day off was on Sunday, and he went for weeks without being able to meet friends or unwind outside. Companies in Hong Kong have pledged more perks to lure and retain talent in an attempt to stem the expatriate exodus. Please be aware that this might heavily reduce the functionality and appearance of our site. Since these providers may collect personal data like your IP address we allow you to block them here. Knowing which tax rules affect you and understanding your options is a lot to stay on top of. You can feel it day to day, it's all over the news," she said. Expats Are Returning Home Only to Face Surging Inflation and Higher