Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
$ 85,400
MPF
- $ 1,780
Total tax
- $ 1,780
Net pay
* $ 83,620
Marginal tax rate
74.2%
Average tax rate
2.1%
97.9%
Net pay
2.1%
Total tax
Total tax
Net pay
The Taxberg
$ 83,620
Net pay
$ 1,780
Tax the employer pays
$ 1,780
Tax you pay
Total tax paid
$ 3,560
Did you know your employer also pays tax on your salary? It costs the employer $ 1,780 to pay you $ 85,400. In other words, every time you spend $ 10 of your hard-earned money, $ 0.42 goes to the government.
Real tax rate
4.1%
So, with you and the employer both paying tax, what used to be a 2.1% tax rate now rises to 4.1%, meaning your real tax rate is actually 2% higher than what it seemed at first.
Summary
If you make $ 85,400 a year living in Hong Kong, you will be taxed $ 1,780. That means that your net pay will be $ 83,620 per year, or $ 6,968 per month. Your average tax rate is 2.1% and your marginal tax rate is 74.2%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of $ 100 in your salary will be taxed $ 74.17, hence, your net pay will only increase by $ 25.83.
Bonus Example
A $ 1,000 bonus will generate an extra $ 258 of net incomes. A $ 5,000 bonus will generate an extra $ 1,292 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
HKD 77075
9.8%
1
Canada
HKD 65271
23.6%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
HKD 85400
0.0%
1
Hong Kong
HKD 83620
2.1%
2
Thailand
HKD 80079
6.2%
3
Taiwan
HKD 77841
8.9%
4
Pakistan
HKD 77044
9.8%
5
South Korea
HKD 75087
12.1%
6
Malaysia
HKD 74597
12.7%
7
New Zealand
HKD 73801
13.6%
8
Indonesia
HKD 73316
14.2%
9
Philippines
HKD 71870
15.8%
10
Japan
HKD 69395
18.7%
11
Singapore
HKD 68327
20.0%
12
Kazakhstan
HKD 67637
20.8%
13
Vietnam
HKD 67223
21.3%
14
India
HKD 65777
23.0%
15
China
HKD 60728
28.9%
16
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NOTE* Withholding is calculated based on the tables of Hong Kong, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.