Despite their geographical proximity, and similarities in ethnic composition and political contexts, Hong Kong's and Macao's social policies have not been compared in the literature. This article aims to compare the welfare regimes between these two city-states. The comparison involves two dimensions: the pattern of welfare mix, and the modification impact of social policy on the capitalist social structure. It is found that the two states’ patterns of welfare mix have much in common, and their social policies are both marked by a relatively low level of modification impact. Therefore, the conclusion is drawn that Hong Kong and Macao can be grouped into a distinct welfare regime. The major contributions of this study are that it helps add to the understanding of East Asian social policy and suggests a useful framework for comparing welfare regimes.