Law No. 7/2017 (Non-Mandatory Central Provident Fund System) (referred to as the “Non-Mandatory Central Provident Fund”) and By-Law No. 33/2017 (Supplementary Provisions on Non-Mandatory Central Provident Fund System) came into effect on 1 January 2018. It is the second tier of the two-tier social security system, and aims to strengthen the old-age security for Macao residents and supplement the current Social Security System.
The Non-Mandatory Central Provident Fund consists of the contributory system and allocation system. The contributory system is the core part of the system, in the form of joint contributions from employers and employees, or individual contributions from residents, which are managed by qualified fund management entities. By investing in pension funds, the system provides Macao residents with more adequate preparations for their retirement life. The allocation system is the incentive basic funds and special allocation from budget surplus made to eligible Macao residents by the SAR Government, subject to budget execution for the past fiscal years. The funds are managed by the Social Security Fund. Under normal circumstances, account owners who are over 65 years old can apply to withdraw funds from their Non-Mandatory Central Provident Fund’s individual accounts.
Last updated: April 2024