What’s the average salary in Singapore for 2024?

Want to know what’s the average salary in Singapore?

The cost of living in Singapore is incredibly high. To compensate for it, Singaporean employers provide a hefty salary package to their employees. 

In 2024, the average salary in Singapore is about 8,480 SGD (6282 USD) per month. 

In this article, we’ll explore different key points of the average salary in Singapore, such as the median salary. We’ll also examine the legal provisions for employees in Singapore.

Table of Contents

Let’s get started.

The average salary in Singapore

The average monthly salary in Singapore depends on an employee’s experience level, the field of work, job title, and education level.

It also varies drastically across sectors like IT (Information Technology), healthcare, banking, and work type (full-time or part-time).

Considering all these points, an employee working in Singapore earns an average salary of 8,480 SGD (gross monthly income), according to Salary Explorer. That equates to around 6,282 USD, according to the exchange rate in May 2023

Now, let’s check out a few other aspects of the average salary in Singapore:

1. Median salary

The median salary is a salary amount that divides the working population into two different groups. Half earns a salary above the median income, while the other half earns below the median amount.

According to a salary report by Salary Explorer, the median salary in Singapore is 7,680 SGD per month. That equates to around 5,689 USD.

2. Maximum and minimum salary range

The average salary in Singapore ranges from 2,140 SGD per month to 37,700 SGD per month.

The figures mentioned above are the maximum average salary. The actual salary could be much higher.

3. Average annual salary increment percentage

According to Salary Explorer, a person working in Singapore is likely to get a salary increase of approximately 9% every 15 months. The average salary increment is 3% every 16 months worldwide.

If you calculate the yearly salary increase based on this figure, a 12-month salary increase in Singapore is 7%.

Now, let’s take a look at the annual salary increment by industry and experience level:

A. Average salary increase by industry

Here’s a table summarizing the average pay raise by industry in 2020:

Source: salaryexplorer.com 

Note: Every salary figure provided in this article is averaged and should only be taken as general guidelines. Salaries and increments will vary from person to person and depend on many factors, as discussed above.

B. Average salary increase by experience level

Here’s a table summarizing the average salary increase by experience level in 2020:

Source: salaryexplorer.com 

4. Average household income

The Singaporean government conducts a Household Expenditure survey to determine the median household income and expenditure every five years and understand monthly earnings and spending trends. 

It found that the average household income in Singapore went up from 10,470 SGD (7,836 USD) in 2012-13 to 11,780 SGD (8,817 USD) in 2017-18.

5. Minimum wage in Singapore

Singapore is one of the few countries in the world that doesn’t offer a minimum wage. 

Without a minimum wage law, there’s no mandatory minimum income for workers in the country.

However, the Ministry of Manpower in Singapore has brought in a ‘progressive wage model’ in which cleaners and security guards will receive 1,570 SGD and 3509 SGD, respectively.

Salary comparison

Next, we’ll compare the average salary in Singapore by education, experience, profession, and city:

1. Education

Higher education usually results in a higher base salary, and Singapore is no different. 

So let’s take a look at how your education will impact your average gross salary.

Employees with a bachelor’s degree earn 24% more in monthly wage than diploma holders in Singapore.

And professionals with a master’s degree will make 29% more than workers who have finished their bachelor’s degree.

Lastly, Ph.D. holders earn 23% more than those with a master’s degree.

Source: salaryexplorer.com

2. Experience level

Experience level is the most important aspect in determining the average salary of an employee. The higher the experience level, the higher the salary package.

In this table, we’ll check out how the average salary increases by experience level:

Source: salaryexplorer.com 

3. Profession

Here’s Singapore’s national average salary broken down by profession:

Accounting is the highest paying job in Singapore, with digital marketing coming in a close second.

Source: averagesalarysurvey.com

Legal provisions for employees in Singapore

Whether you want to outsource to Singapore or understand the country’s employment landscape, it’s essential to know about Singapore’s employment practices. 

Here’s a list of provisions for employees in Singapore:

• Working hours: According to the Employment Act, an employee should not work for more than 44 hours per week. The contract of service agreement should mention this point. 
• Overtime: Singapore allows overtime, but employers can’t let their employees work for more than 72 hours overtime per month. Employers should pay their employees at least 1.5 times the basic hourly rate as overtime pay.
• Work week: Most companies provide a five-day workweek, and there is an allowance for weekend workdays.
• Paid leaves: Employees in Singapore are entitled to 7-14 days of paid annual leave.
• Other leaves: Employees can get sick leaves and public holidays and paid yearly leaves along with other emergency leaves for family loss, parental leave, and marriage leave.
• CPF contribution (Central Provident Fund): An employer sanctions their employee’s CPF contribution every month if they earn more than 50 SGD a month. The CPF contribution is a pension plan that helps working Singaporeans fund their retirement and healthcare needs. However, employer CPF contributions are only payable for Singapore citizens or if an employee is a country’s permanent resident. 

An economic outlook of Singapore

The Heritage Foundation Index of Economic Freedom ranked Singapore as the second most open economy globally in 2017. With no government debt, high revenue, and a consistent positive surplus, Singapore has built one of the world’s most advanced economies.

Now, let’s take a look at what makes the Singapore economy tick:

1. World-class infrastructure

Singapore has a well-developed infrastructure because it was a military and commercial port during the colonial era.

The nation has 9,310 kilometers of paved roads and a railway network that spans 19.6 kilometers. On top of that, easy-to-access buses, taxis, and ride-sharing options (Uber and Lyft) make the transport system reliable and punctual.

It’s also home to one of the busiest docks globally, with almost 1,000 ships docked at the port at any given time. 

The exceptional connectivity makes Singapore a desirable workplace for any employee.

2. Highly skilled labor pool

Singapore has a relatively small labor population of just under 6 million people. 

To make up for the short labor supply, the country relies on building up a highly-skilled pool of local workforce and attracting skilled workers abroad.

Moreover, Singapore’s literacy rate for people above 15 has been steadily rising in the past few decades and was 97.3% in 2020.

All the mentioned figures indicate an increase in the education level of the residents. If you’re a company looking to hire in Singapore, you’ll never be short of quality candidates.

3. Singapore’s GDP (Gross Domestic Product)

In the first quarter of 2024, the Singapore economy grew by 2.7% year-on-year, an increase from the 2.2% growth in the previous quarter. On a quarter-on-quarter seasonally adjusted basis, the economy expanded by 0.1%, following a 1.2% expansion in the fourth quarter of 2023.

How can you benefit from Singapore’s advanced economy?

A rapidly growing economy and advanced infrastructural developments will always attract top-quality talent. 

Outsourcing to Singaporean companies will not compromise the quality of your business operations. Additionally, when a country’s GDP growth is strong, companies grow faster by finding more business.

How Time Doctor can help with salary management

Time Doctor is a powerful tool designed to help businesses manage their workforce efficiently. Here’s how Time Doctor can assist with salary management:

1. Accurate time tracking

Time Doctor provides precise tracking of employee work hours, ensuring that every minute is accounted for. This accuracy helps businesses pay employees correctly for the time they have worked, eliminating discrepancies and fostering trust.

2. Productivity insights

By analyzing productivity data, employers can identify high-performing employees and those who might need additional support or training. This information is crucial for making informed decisions about salary increments and bonuses.

3. Payroll integration

Time Doctor seamlessly integrates with various payroll systems, simplifying the payroll process. With automatic calculation of work hours, overtime, and leaves, payroll management becomes more efficient and less prone to errors.

4. Cost management

For businesses outsourcing to Singapore, Time Doctor helps manage labor costs by providing detailed reports on employee work hours and productivity. This ensures that the business gets the best value for its investment in the workforce.

5. Remote work management

Time Doctor is particularly beneficial for managing remote teams. It offers features like time tracking, screenshot monitoring, and activity levels, which help ensure that remote employees are working efficiently, thereby justifying their salaries.

By leveraging Time Doctor, businesses can optimize salary management, improve productivity, and ensure fair compensation for their employees, making it an essential tool for any organization looking to streamline its salary processes.

Final thoughts

Singapore is a great destination if you’re looking to set up a business in a stable and vibrant ecosystem.  

With an employee-friendly work environment, a healthy employment rate, and higher-than-average salary packages, starting a business in Singapore will be beneficial in many ways.

Use the information covered here to gain insights into Singapore’s average salary and economy.