If you’re considering moving to Singapore or you’re just curious about the average salary in the country, you’ve come to the right place. Singapore is a bustling city-state that offers a high quality of life, excellent healthcare, and a thriving economy. But how much can you expect to earn as a resident in Singapore?
The average salary in Singapore varies depending on a number of factors, including your job sector, experience, and education level. According to Time Doctor, the average salary in Singapore as of 2023 was about SGD 8,450 per month, or USD 6,324. However, the median salary for full-time employed Singapore residents was slightly lower at SGD 4,563 per month, including employer CPF contributions, according to ResumeWriter.
Factors such as employee and employer contributions, income taxation, and cost of living can all affect your take-home pay in Singapore. It’s important to understand the labour market and the top paying jobs in your sector, as well as opportunities for career advancement and salary growth. In this article, we’ll explore the average salary in Singapore in more detail and provide you with key takeaways to help you better understand what you can expect to earn in this vibrant city-state.
Key Takeaways
- The average salary in Singapore as of 2023 was about SGD 8,450 per month, while the median salary for full-time employed residents was slightly lower at SGD 4,563 per month.
- Several factors can affect your take-home pay in Singapore, including employee and employer contributions, income taxation, and cost of living.
- It’s important to understand the labour market, top paying jobs in your sector, and opportunities for career advancement and salary growth in order to maximize your earning potential in Singapore.
Overview of Salaries in Singapore
If you are curious about the average salary in Singapore, you will be happy to know that it is one of the highest in the region. According to search results, as of 2023, the average salary in Singapore is S$5,783 per month. This is inclusive of employer CPF contributions.
Median Salary
The median salary is a good indicator of what the average worker in Singapore earns. For full-time employed Singapore residents, the Median Gross Monthly Income from work is S$4,563, including employer CPF contributions. The median gross monthly income is less affected by super-high salaries that bring up the average salary.
Average Salary
The average salary in Singapore is calculated by adding up all the salaries in the country and dividing it by the total number of workers. It is important to note that the average salary can be skewed by a few high earners. For example, in Singapore, the top 10% of earners make 2.8 times more than the bottom 10% of earners.
Gross Monthly Income
Gross monthly income refers to the total amount of income earned in a month before any deductions such as CPF contributions, taxes, or other benefits. It includes basic salary, overtime pay, commissions, allowances, and bonuses. As of 2023, the average gross monthly income in Singapore stands at $7,021 per month, including the employer’s CPF contribution.
According to search results, a survey of 11,200 graduates found that the median gross monthly salary for full-time permanent jobs had increased from $3,600 in 2019 to $3,800 in 2021. This is good news for those looking to enter the labour force in Singapore.
Overall, Singapore has a high standard of living, and with its high salaries, it is a great place to work.
Factors Affecting Salaries
If you’re wondering what’s the average salary in Singapore, there are several factors that can affect the amount you earn. In this section, we will discuss the most important factors that can influence your salary.
Industry and Profession
The industry and profession you work in can have a significant impact on your salary. For example, according to Michael Page, the highest paying industries in Singapore are finance, healthcare, and technology. Within these industries, certain professions tend to have higher salaries than others. For instance, a financial analyst is likely to earn more than an administrative assistant in the finance industry.
Education and Qualifications
Your level of education and qualifications can also affect your salary. Generally, the higher your level of education, the higher your earning potential. For example, according to MyCareersFuture, a bachelor’s degree holder in Singapore earns an average of SGD 4,437 per month, while a master’s degree holder earns an average of SGD 6,000 per month.
Experience and Age Group
Your years of experience and age group can also influence your salary. Generally, the more experience you have, the higher your salary. According to FastJobs, there was an average 10.2% increase in salary across the top 30 common job titles in Singapore in 2021. This increase was highest for those with 6-10 years of experience.
Similarly, your age group can also affect your salary. According to Indeed, those in their 30s tend to earn the highest salaries in Singapore. However, this can vary depending on the industry and profession you work in.
In conclusion, there are several factors that can affect your salary in Singapore, including the industry and profession you work in, your level of education and qualifications, and your years of experience and age group. By understanding these factors, you can better negotiate your salary and strive for higher earning potential.
Employee and Employer Contributions
When it comes to determining the average salary in Singapore, it’s important to take into account both employee and employer contributions. Two significant contributions that impact the salary are CPF contributions and other allowances and bonuses.
CPF Contributions
CPF contributions are mandatory contributions that both employers and employees make towards the Central Provident Fund (CPF). The CPF is a savings scheme that provides retirement, healthcare, and housing benefits to Singapore citizens and permanent residents.
As an employee, you are required to contribute a percentage of your monthly salary to your CPF account. The percentage varies based on your age, with younger employees contributing a lower percentage and older employees contributing a higher percentage. Additionally, your employer is required to make a CPF contribution on your behalf, which is a percentage of your monthly salary.
The CPF contributions made by both the employee and employer can impact the average salary in Singapore. For example, according to Ministry of Manpower, the gross monthly wages or salaries before deduction of employee CPF contributions and personal income tax are considered for determining the average salary.
Other Allowances and Bonuses
In addition to CPF contributions, other allowances and bonuses can also impact the average salary in Singapore. These can include tips, commissions, overtime pay, and one-twelfth of annual bonuses.
Employers may offer various allowances and bonuses to attract and retain employees. For example, a salesperson may receive a commission on top of their base salary for meeting or exceeding sales targets. Additionally, employers may offer one-twelfth of annual bonuses as a monthly bonus to employees.
It’s important to note that not all employers offer the same allowances and bonuses. Some may offer more generous packages than others, which can impact the average salary in Singapore.
Understanding the Labour Market
Labour Force Statistics
If you’re wondering about the average salary in Singapore, it’s important to understand the current labour market. According to the Ministry of Manpower, the labour force participation rate in Singapore has been on an upward trajectory in recent years. In 2023, the labour force participation rate stood at 67.8%, up from 67.7% in 2022. This means that more people are entering the workforce, which may lead to increased competition for jobs.
In terms of employment, the Ministry of Manpower reports that the resident unemployment rate in Singapore was 2.9% in 2023, down from 3.1% in 2022. This suggests that the job market in Singapore is relatively stable, with opportunities available for those who are actively seeking employment.
Employment Trends
When it comes to employment trends, the Ministry of Manpower notes that the top three sectors for job growth in 2023 were professional services, information and communications, and financial and insurance services. These sectors accounted for more than half of the net employment growth in 2023.
In addition, the Ministry of Manpower reports that the median gross monthly income from work for full-time employed residents in Singapore was S$4,563 in 2023, including employer CPF contributions. This figure is up from S$4,500 in 2022. It’s worth noting that this is the median income, which means that half of all full-time employed residents earned more than this amount, while the other half earned less.
Overall, the labour market in Singapore appears to be stable, with opportunities available for those who are actively seeking employment. However, it’s important to keep in mind that competition for jobs may be increasing due to the rising labour force participation rate.
Income Taxation in Singapore
If you’re wondering how much of your salary goes to taxes in Singapore, you’ll be happy to know that the country has one of the lowest tax rates in the world. In this section, we’ll discuss the basics of income taxation in Singapore, including personal income tax rates and tax benefits for employees.
Personal Income Tax
In Singapore, personal income tax is levied on an individual’s income earned in the preceding year. The tax rates are progressive, meaning that the more you earn, the higher your tax rate will be. However, the first S$20,000 of your income is not taxed.
The current personal income tax rates for tax residents are as follows:
| Taxable Income | Tax Rate |
|---|---|
| First S$20,000 | 0% |
| Next S$10,000 | 2% |
| Next S$10,000 | 3.5% |
| Next S$40,000 | 7% |
| Next S$40,000 | 11.5% |
| Next S$40,000 | 15% |
| Next S$40,000 | 18% |
| Next S$40,000 | 19% |
| Above S$320,000 | 22% |
It’s important to note that non-residents are taxed at a flat rate of 15% or the resident rate, whichever results in a higher tax amount.
Tax Benefits for Employees
As an employee in Singapore, you may be eligible for certain tax benefits. For example, you can claim tax deductions for expenses incurred in the course of your employment, such as business travel, professional development courses, and work-related expenses. Additionally, you may be eligible for tax relief for certain expenses, such as donations to approved charities and contributions to your Central Provident Fund (CPF) account.
In conclusion, while income tax is a necessary part of life, Singapore’s tax rates are relatively low compared to other countries. As an employee, it’s important to understand the basics of income taxation in Singapore so that you can plan your finances accordingly.
Salaries by Sector
If you are wondering what the average salary is in Singapore by sector, you have come to the right place. In this section, we will take a look at the salaries in three of the most popular sectors in Singapore: Technology and Digital Marketing, Banking and Finance, and Healthcare and Pharmaceuticals.
Technology and Digital Marketing
The technology sector is one of the fastest-growing industries in Singapore and offers some of the highest-paying jobs. According to the Salary Guide Singapore (2024) Across Industries, the average salary for a software engineer in Singapore is around SGD 7,000 to SGD 12,000 per month. A digital marketing manager can earn an average salary of SGD 8,000 to SGD 12,000 per month.
Banking and Finance
Banking and finance is another popular sector in Singapore, and it is known for offering some of the highest salaries in the country. According to the Singapore Salary Guide 2023 – Key Statistics & Benchmark, the average salary for a banking operations manager is around SGD 7,000 to SGD 12,000 per month. An investment banker, on the other hand, can earn an average salary of SGD 15,000 to SGD 25,000 per month.
Healthcare and Pharmaceuticals
The healthcare and pharmaceuticals sector is a growing industry in Singapore, and it offers a wide range of job opportunities. According to the Salary Guide Singapore 2023: How Much Should I Be Earning?, the average salary for a pharmaceutical sales representative is around SGD 5,000 to SGD 8,000 per month. A medical affairs director can earn an average salary of SGD 20,000 to SGD 30,000 per month.
As you can see, the average salary in Singapore differs from sector to sector, and it can vary based on your experience, education level, and skill sets. If you are looking for a high-paying job in Singapore, it is worth exploring these sectors to see if there is a role that suits your skills and interests.
Top Paying Jobs in Singapore
If you’re looking to earn a high salary in Singapore, you might want to consider a career as a project manager, software engineer, CFO, VP finance, or finance director. These are some of the top paying jobs in Singapore, with salaries ranging from $100,000 to $500,000 per year.
Project Manager
As a project manager, you’ll be responsible for overseeing projects from start to finish, ensuring they’re completed on time and within budget. You’ll need to have excellent organisational skills, be a good communicator, and have strong leadership abilities. The average salary for a project manager in Singapore is around $120,000 per year.
Software Engineer
If you have a passion for coding and software development, a career as a software engineer could be for you. You’ll need to have a strong understanding of programming languages and be able to work well in a team. The average salary for a software engineer in Singapore is around $100,000 per year.
CFO
As a CFO, you’ll be responsible for managing the financial operations of a company. You’ll need to have a strong understanding of finance, be able to make strategic decisions, and have excellent leadership skills. The average salary for a CFO in Singapore is around $300,000 per year.
VP Finance
As a VP finance, you’ll be responsible for overseeing the financial operations of a company. You’ll need to have a strong understanding of finance, be able to make strategic decisions, and have excellent leadership skills. The average salary for a VP finance in Singapore is around $250,000 per year.
Finance Director
As a finance director, you’ll be responsible for managing the financial operations of a company. You’ll need to have a strong understanding of finance, be able to make strategic decisions, and have excellent leadership skills. The average salary for a finance director in Singapore is around $500,000 per year.
Overall, if you’re looking to earn a high salary in Singapore, you’ll need to have a strong skillset, be able to make strategic decisions, and have excellent leadership abilities. Consider pursuing a career in one of these top paying jobs to achieve your financial goals.
Cost of Living and Salary Comparison
If you are planning to move to Singapore or are already living in Singapore, it is essential to understand the cost of living and salary comparison. Singapore is known for its high cost of living, and it is important to have a good understanding of the expenses to manage your finances effectively.
According to recent data, the median salary for full-time work in Singapore is S$5,170 per month, including the employer’s CPF contributions. The average monthly income increased from $4,680 to $5,070 from 2021 to 2022, reflecting an increase of 8.3%. Over the past ten years (2012 to 2022), Singapore’s median income increased by 45.7%. This is an annualised increase of 3.8%. If we factor in inflation, the increase was 2.6% per year.
The cost of living in Singapore is high compared to other countries in the region. Singapore is ranked as the most expensive city in the world for the seventh consecutive year. The high cost of living is due to various factors such as high rent, transportation, and food costs.
To give you an idea of the cost of living in Singapore, here is a list of some common expenses:
- Rent: The average monthly rent for a one-bedroom apartment in the city centre is around S$2,000 to S$3,000 per month.
- Transportation: The cost of public transportation is relatively low in Singapore, with a monthly pass costing around S$120 per month.
- Food: Eating out in Singapore can be expensive, with a meal at a mid-range restaurant costing around S$20 to S$30 per person.
It is important to note that the cost of living can vary depending on your lifestyle and where you choose to live in Singapore. It is always a good idea to research and plan your budget accordingly.
In conclusion, while the cost of living in Singapore is high, the salaries are also relatively high compared to other countries in the region. It is important to have a good understanding of the cost of living and salary comparison to manage your finances effectively.
Career Advancement and Salary Growth
Professional Development
One of the most important factors in career advancement and salary growth is professional development. By continuing to learn and develop new skills, you can increase your value as an employee and make yourself more attractive to potential employers. This can lead to promotions, higher salaries, and more opportunities for career advancement.
Higher education is a great way to develop new skills and increase your earning potential. For example, diploma holders can consider pursuing a bachelor’s degree, while those with a bachelor’s degree can consider pursuing a master’s degree. Ph.D. holders can also consider postdoctoral research or teaching positions.
Salary Negotiation
Another important factor in salary growth is effective salary negotiation. When negotiating your salary, it is important to do your research and know what the average salary is for your position. You can use resources such as Salary Guide Singapore 2023 to get an idea of what you should be earning.
When negotiating your salary, be confident and assertive. Highlight your accomplishments and the value you bring to the company. Be willing to negotiate and compromise, but also know your worth and don’t settle for less than you deserve.
In summary, professional development and effective salary negotiation are key to career advancement and salary growth. By continuing to learn and develop new skills, and by negotiating your salary effectively, you can increase your earning potential and take your career to the next level.
Frequently Asked Questions
What constitutes a decent monthly income in Singapore?
A decent monthly income in Singapore varies depending on an individual’s lifestyle and expenses. However, the government considers a monthly income of at least SGD 1,300 as the minimum amount required for a basic standard of living in Singapore. Keep in mind that this amount only covers basic necessities such as food, clothing, and shelter.
How much does the typical Singaporean make annually?
As of 2024, the average salary in Singapore is SGD 5,783 per month. This translates to an annual salary of SGD 69,396. However, it’s important to note that this amount varies depending on an individual’s occupation, experience, and qualifications.
What is the minimum monthly wage for workers in Singapore?
The minimum monthly wage for workers in Singapore is SGD 1,400. This wage applies to both local and foreign workers who work full-time in Singapore.
At what rate is the average salary in Singapore calculated hourly?
The average salary in Singapore is calculated based on a monthly rate. To calculate the hourly rate, divide the monthly salary by the number of working hours in a month. The typical working hours per month in Singapore is 44 hours.
In terms of US dollars, what does the average salary in Singapore equate to?
As of 2024, the average salary in Singapore is equivalent to approximately USD 4,270 per month. This amount is subject to fluctuations in exchange rates.
Does earning 4000 SGD monthly signify a comfortable living in Singapore?
Earning SGD 4,000 per month may provide a comfortable living in Singapore, but this largely depends on an individual’s lifestyle and expenses. Keep in mind that Singapore is known for its high cost of living, so it’s important to budget and plan accordingly.
