Disclaimer

Your privacy and trust is important to us. The following retirement planner does not retain nor share any of your personal data. The calculation provided by this calculator are based on certain assumptions, including the data entered by the user. This calculator does not take into account individual needs or circumstances. The results generated by this calculator may differ from other similar calculators in the market when different assumptions are adopted. Please note that the results do not represent, or promise, the actual amount of the retirement benefits the user will receive at retirement; and that they are for reference only and are not intended as, and cannot be as, a substitute for professional financial advice. The IFEC shall not be liable for any human or mechanical errors or omissions in or any reliance placed upon the results; nor shall it be liable for the consequences of any decision or action taken upon or as a result of the information provided by this calculator.

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About Retirement Planner

The Retirement Planner includes five sections, namely "About you", "How much do you need for retirement", "Your retirement schemes", "Your savings and investments" and "Other retirement income".

After completing relevant information in the above sections, you will be provided an analysis report and action plan which you could use to improve your retirement plan.

Assumptions and methodology

Default values

The following fields have been set with default values, which can be changed by the user:

MPF benefit projections

Benefits of other retirement schemes

Your savings and investments

Result

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Retirement Planner

How much do you need for retirement? Use the Retirement Planner to work out your retirement budget and take home our free analysis report and action plan now!

info@ifec.org.hk

Feedback on Retirement Planner

Retirement age varies across different people. It tells you how many years you have left to accumulate savings. The earlier you retire, the more money you need to cope with expenses.

The expectancy of life at birth for men and women is about 81 years and 87 years respectively.

As at December 2020, the annualised percentage change of the Composite Consumer Price Index over the past 5 and 10 years are 1.5% and 2.8% respectively.

The annualised return rate of Tracker Fund of the past 5 and 10 years is 6.6% and 2.5% respectively (as at June 2021 - without dividend reinvested). Dividend yield around 3% as of June 2021. Please note that past performance is not a reliable guide for future performance.

If you are an employee, both you and your employer are required to contribute 5% of your relevant income respectively as MPF mandatory contributions, subject to the minimum and maximum relevant income levels.

If you are a self-employed person, you are required to contribute 5% of your relevant income as MPF mandatory contributions, subject to the minimum and maximum relevant income levels. A self-employed person is a person who earns income from the production of, or trade in goods or services in a capacity other than an employee.

For employees, relevant income refers to any wage, salary, leave pay, fee, commission, bonus, gratuity, perquisite or allowance expressed in monetary terms, paid or payable by an employer to an employee. For self-employed persons, there are a few ways to ascertain the relevant income, please refer to the webpage re contributions of the MPFA website for details.

The annualised percentage change of Nominal Indices of Payroll Per Person Engaged from Q4 2010 to Q4 2020 was 4.4%.

Any additional contribution paid by the employer on top of the 5% mandatory contribution is considered to be voluntary contribution.

This is a fixed amount contribution made to your MPF account in addition to mandatory contribution and voluntary contribution. Special voluntary contribution is paid directly by a relevant employee to the trustee without going through the employer. Making special voluntary contribution and withdrawal of its accrued benefits are neither tied to employment nor subject to preservation requirements.

You can check your annual benefit statements, make sure to include all your MPF accounts.

The annualised internal rate of return since inception of the MPF system in year 2000 to 31 December 2020 is 4.8%. Please note that past performance is not a reliable guide for future performance.

Please include all non-retirement scheme savings and investments that were made for retirement purpose.

For example, monthly investment plan for equities, funds etc.

The annualised return rate of Tracker Fund of the past 5 and 10 years is at 6.6% and 2.5% respectively (as at June 2021 - without dividend reinvested). Dividend yield around 3% as of June 2021. Please note that past performance is not a reliable guide for future performance.

As at December 2020, the annualised percentage change of the Composite Consumer Price Index over the past 5 years and 10 years are 1.5% and 2.8% respectively. The annualised percentage change of Nominal Indices of Payroll for Person Engaged from Q4 2010 to Q4 2020 was 4.4%.

Retirement Planner
About you

Your current age

Larger values can be inputted in the text box directly.

Expected retirement age

Larger values can be inputted in the text box directly.

Life expectancy

Larger values can be inputted in the text box directly.

From now to retirement

From now to retirement
__ Years

Retirement life

Retirement life
__ Years

What sort of lifestyle do you expect to lead during retirement? Do you want to live more or less the same as before, or are you willing to lead a simpler lifestyle? Also, as people age, an increasing amount of medical care will be required. Therefore, it's important that you include medical expenses as part of your retirement planning.

Expected monthly expenses during retirement (today's value)

Input the total monthly expenses
HKD

Larger values can be inputted in the text box directly.

Calculate the monthly expenses by categories

Items

HKD

Food and drinks

HKD

Transport

HKD

Household (eg rent/mortgage(if any), management fee, utilities, mobile phone, internet, helper, pet, veterinary fee and household maintenance expenses such as property maintenance, home refurbishment etc.)

HKD

Shopping (eg clothing, footwear, household goods etc.)

HKD

Health and beauty (eg medical services, personal health care and prescriptions/medicine etc.)

HKD

Leisure/lifestyle (eg hobbies, entertainment, holidays etc.)

HKD

Insurance

HKD

Others (eg education and learning, support for parents/relatives etc.)

HKD

Total

HKD 0

Expected inflation rate (p.a.)

Larger values can be inputted in the text box directly.

Expected rate of return during
retirement eg interests or returns
from other investments (p.a.)

Larger values can be inputted in the text box directly.

Please choose the appropriate categories:

Mandatory Provident Fund Schemes (MPF)
Other retirement schemes eg Occupational Retirement Schemes (ORSO), Civil Service Pension Schemes, Grant/Subsidized Schools Provident Fund etc)
No retirement scheme Click "Next" to proceed.
Notes
  1. If you have accumulated MPF benefits in your previous jobs but have now left the workforce, for example, you have become a full-time housewife or house husband, please choose “MPF” (only need to input MPF balance).
  2. If you are currently under an ORSO scheme but you have accumulated some MPF benefits in your previous jobs, please choose both “MPF” (only need to input MPF balance) and “other retirement schemes”.

MPF

open
An employee
A self-employed person

Relevant income

Monthly salary

HKD

Larger values can be inputted in the text box directly.

Annual bonus (if any)

HKD

Larger values can be inputted in the text box directly.

Expected annual
salary growth

Larger values can be inputted in the text box directly.

Monthly voluntary contribution

open

Your voluntary monthly contribution

Larger values can be inputted in the text box directly.

Employer's voluntary
monthly contribution

Larger values can be inputted in the text box directly.

Monthly special contribution and/or tax deductible voluntary contributions

HKD

Larger values can be inputted in the text box directly.

Your existing MPF
balance

HKD

Larger values can be inputted in the text box directly.

Expected annual MPF
investment return rate

Larger values can be inputted in the text box directly.

Learn more about the MPF system

Other retirement schemes eg Occupational Retirement Schemes (ORSO), Civil Service Pension Schemes, Grant/Subsidized Schools Provident Fund, etc

open

Monthly salary

HKD

Larger values can be inputted in the text box directly.

Annual bonus (if any)

HKD

Larger values can be inputted in the text box directly.

Expected retirement benefits or lump sum pension gratuity at retirement age
(Notes 3, 4 and 5)

HKD

Larger values can be inputted in the text box directly.

Expected monthly pension received after retirement (if any) (Note 4)

HKD

Larger values can be inputted in the text box directly.

Notes
  1. ORSO:

    Different ORSO schemes have different methodologies to calculate/determine the retirement benefits of scheme members. You can check with your ORSO service provider or employer for assistance in calculating the expected retirement benefits and then input the relevant amount. Learn more about ORSO schemes.

  2. Civil service pension schemes:

    You can use the pension calculator of the Civil Service Bureau to calculate the expected lump sum pension gratuity and monthly pension, and then input the relevant amount. Learn more about Civil Service Pension Schemes.

  3. Grant/Subsidized Schools Provident Fund:

    The amount of benefits a contributor can obtain varies depending on the contributor's contributions made, length of continuous contributory service and the reason for his/her cessation of employment as a teacher. You can check with the provident fund provider or employer for assistance in calculating the expected retirement benefits and then input the relevant amount. Learn more about Grant/Subsidized Schools Provident Fund.

Current balance of all
savings and investments

HKD

Larger values can be inputted in the text box directly.

Monthly savings and
investments

HKD

Larger values can be inputted in the text box directly.

Expected rate of return (p.a.)

Larger values can be inputted in the text box directly.

I would like to calculate the savings/investments by categories

Categories

Current balance

Monthly
contribution

Expected rate of return % p.a.

Bank deposit

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Equities

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Funds (exclude MPF)

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Bonds

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Insurance products
with saving or
investment element

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Others

open

Current balance

HKD

Monthly contribution

HKD

Expected rate of return % p.a.

Total

Total current balance:

HKD 0

Total monthly contribution:

HKD 0

Annual return of the portfolio:

0.0% (Annual return of the portfolio)

How much monthly income do you expect from other sources during retirement, for example, rent from properties, pocket money from your family and subsidies from government (eg old age living allowance) (In today's value). If you do not expect such kinds of income or you are not sure about this, you can input "0".

HKD

Larger values can be inputted in the text box directly.


Expected annual growth rate of
these incomes during retirement

Larger values can be inputted in the text box directly.

HKD

Expected reserve accumulated when you retire

HKD

Expected amount required when you retire

Reserve cannot cover

The expected reserve cannot cover

the expected required amount,

you still need HKD2,800,000
Equivalent to your current annual income
3.0 times

Your action plan

Save more for retirement
Save more for retirement
More Information
Review investment strategy and improve investment outcome
Review investment strategy and improve investment outcome
More Information
Generate income
Generate income
More Information
Manage expenses during retirement
Manage expenses during retirement
More Information
Review target retirement age
Review target retirement age
More Information
  • Calculate how much you need to save or invest each month to close the gap:

    Additional amount to save/invest for retirement

    HKD 4,700 per month
    X 25 years

    Expected rate of return (p.a.)

  • Start your saving or investment plan as soon as possible. Saving early can really pay off due to the power of compound interest. The sooner you start saving, the sooner you start benefitting from the power of compound interest – which puts time to work on your savings.
  • Spend less and save/invest more:
    • Cut back on non-essential items: start a spending diary or use our expenses tracker mobile apps if you keep a record of every dollar you spend, you’ll know exactly where your money is going, and be more conscious of your spending habits.
    • Shop around to compare prices at different retail outlets, online and offline, you may find the same item or service for a lower price.
    • Avoid impulse buy: think of the consequence of increasing debts before you use credit cards to pay for goods. If you have trouble avoiding purchase temptation, try leaving your credit cards at home.
    • Set some rules for shopping: for example, set a limit for birthday and festive presents or consider some homemade gifts.
  • Consider to set aside some money for use in emergencies.
  • Plan ahead and make paying of all existing debts – including mortgage, personal loan and credit card debts – a priority before you retire.
  • The investment decisions you make for your retirement will have a direct impact on your overall savings outcome.
  • For the MPF system, each scheme has different constituent funds for you to choose from. Different funds have different risk and return profiles. In general, the higher the potential return, the higher the potential risk. Carefully select the investment portfolio that can match with your risk and return profile. Visit MPF Education to learn more about MPF investments.
  • Consider your investment horizon (ie the number of years before and after retirement), investment objectives and experience and assess your risk tolerance level.
  • Seek ways to generate more income for your retirement savings or investments. For example, you can consider taking part-time or freelance jobs if this is accepted by your employer. For longer term, you can consider increasing your income via education and professional training.
  • The expected amount you need for retirement is calculated based on the monthly retirement expenses you input. So, if you are facing a big gap for your retirement budget, you may reconsider your retirement lifestyle to see if you can spend less during retirement.
  • Leading a simpler lifestyle may help to reduce the amount you need for retirement. For example, if you plan to have two annual trips during your retirement, you may cut it to one. Also, reducing eating out and preparing more meals at home can help save more money.
  • Eat healthy and exercise regularly can keep you healthy and thus help to save medical costs.
  • If you are facing a big gap for your retirement budget, one possible option is to review the feasibility of delaying your target retirement age and continue working. This will reduce the total amount you need for retirement and allow you to have more time to accumulate employment earnings.
HKD

Expected reserve accumulated when you retire

HKD

Expected amount required when you retire

Your expected reserve can meet with your retirement needs.

Keep up your good planning!!

Your action plan
  • Review your retirement budget from time to time to make sure it still works.
  • Regularly review your retirement schemes and investment plans to ensure they meet your needs when situations change.
  • Consider ways to generate regular income after retirement by putting your assets to work.
  • Review your insurance coverage as medical expenses can be a significant cost as one gets older.
  • Consider estate planning and wills to make clear how you wish to be cared for medically and financially in your final days.
Visit www.ifec.org.hk for more information about retirement planning.

About you

open
Your current age
Expected retirement age
Life expectancy
From now to retirement
years
Retirement life
years

How much do you need for retirement

open
Expected monthly expenses during retirement
HKD
Expected inflation rate
Expected rate of return during retirement
Expected total expenses during retirement
HKD

MPF

open
Monthly salary
HKD
Annual bonus
HKD
Expected annual salary growth
Your voluntary monthly contribution
Employer’s voluntary monthly contribution
Monthly special contribution and/or tax deductible voluntary contributions
HKD
Your existing MPF balance
HKD
Expected annual MPF investment return rate
Expected MPF accrued benefits at retirement age
HKD

Other retirement schemes eg Occupational Retirement Schemes (ORSO), Civil Service Pension Schemes, Grant/Subsidized Schools Provident Fund, etc

open
Monthly salary
HKD
Annual bonus (if any)
HKD
Expected retirement benefits or lump sum pension gratuity at retirement age
HKD
Expected monthly pension received after retirement (if any)
HKD

Your savings and investments

open
Current balance of all savings and investments
HKD
Monthly savings and investments
HKD
Expected rate of return
Expected accumulated savings and investment at retirement age
HKD

Other retirement income

open
Monthly income from other sources during retirement
HKD
Expected annual growth rate of these incomes during retirement
Amend the values that you have input

Edit

Amend the values
that you have input

Reset

Reset

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Note : The presentation of the expected shortfall at retirement age and the current annual income is for illustration purpose only. The value of the annual income does not take into account the effect of income growth.

About you
How much do you need for retirement?
Retirement schemes
Your savings and investments
Other retirement income
Result