Mercury is a physiological toxin released by spent fluorescent lamps (SFLs) and is considered a serious pollutant. As the world's largest producer of fluorescent lamps, China suffers from SFL pollution because of inefficient recycling and management of SFLs. Drawing upon the most successful practices worldwide, this paper suggests the recycling of SFLs on the basis of the extended producer responsibility (EPR) system in China. Manufacturers and importers are the main parties responsible for the take-back, recycling, and disposal of SFLs in the EPR system. In view of the situation in China and to address the objectives of the EPR system, this paper recommends the implementation of a third-party take-back mode for small-and medium-scale enterprises and of a takeback mode for large enterprises to be carried out by original equipment manufacturers. This paper suggests an extended responsibility fund to finance and support the SFL recycling system and discusses in detail the different recycling network systems and fund flows of the two take-back modes. By conducting a case study, the authors determine that the subsidy rate for SFLs that a recycling company can obtain from the extended responsibility fund for recycling and disposing of lamps can be set at $1.35/kg. The authors also predict the levy level that fluorescent lamp manufacturers must submit.Implications: For policymakers, a proper and effective way to manage and recycle spent fluorescent lamps (SFLs) is necessary. The recommended system and the predicted number values of the subsidy rate and levy level can be the basis in practice. For people, the proper management measures will reduce exposure from SFLs effectively, especially the risk of exposure to mercury. For society, the measures can help increase resource utilization rate. For manufacturers, an effective extended responsibility fund will motivate them to improve processing technique and green design.