More Singapores live salary to pay

Singapore’s reputation for financial prudence and high savings demonstrates signs of tension.

Experts point out that the cost of expenses and the increasing priority of experience and care for self -care take advantage over long -term financial planning.

“At the end of each month, when my salary, I use it to pay credit accounts, assistance to parents, insurance and investment,” said 31-year-old Singapore Javan YEO, who works at a digital bank.

“In the end, my salary returned to zero again, and nothing needs to be preserved,” he said, adding that other costs were traveling, dining and fitness classes.

60% of workers in Singapore lived salaries for 2024-in particular, higher than regional peers, including China, South Korea, Japan and Indonesia, as well as an average of 48% in the Asia Pacific region, 48% in the Asia Pacific. Recent studies 2025 ADP Pay Company.

Although this was the first study of the ADP study, which was surveyed by almost 38,000 people in 34 markets, had this specific salary metric, other reports draw a similar picture. A overview Conducted by the global advisory company Forrest Research, showed that back in 2021, the percentage of Singapore consumers who lived salaries for salary was lower by 53%.

In addition, while young Singaporets are more likely to spend more than other age groups beyond their funds to keep up with their peers, less Singapores between their 20’s and 50s Posted by the latest financial recovery report At the end of 2024 showed.

Yeo recognized the importance of saving, but said CNBC that it was an increasingly Hercules feat to maintain the cost of living costs.

“I can save if I don’t go out but want to have life and experience life!”

Maybank Research economist Brian Lee noted that some macroeconomic factors have made savings in Singapore objectively more complicated. Despite the fact that Singapore inflation has recently cooled down to a four-year minimum, the country still has one of the highest life costs, according to several surveys, due to structural factors such as expensive housing and import costs.

According to Cost cost for life numbeoCombining crowded data on products, utilities and transport tariffs, among other indicators, the Singapore life index has become the fifth worldwide at 85.3 as of mid -2015, but first in the region. Reading also noted 11% jump per year.

Poll Posted in April firm Analytics Data Yougov It turned out that the cost of life became the main problem of 72% of 1845 Singapores and then health care and aging problems.

Life costs have grown faster than income during the post-postponemic contraction of increased consumer prices, “said Lee. This means that the typical purchasing power of workers on average from the moment of the pandemic, and not to grow, as it was in the past.

According to Maybank, the real average income from employment decreased by 0.4% per annum from 2019 to 2024, changing the average annual growth by 2.2% from 2014 to 2019, according to Maybank.

While real wage growth resumed in 2024, this Expected to be moderate in 2025 As a result of tariff impact, in particular for trading sectors such as Wholesale trade and productionHe said the country’s ministry.

Housing costs have further aggravated the pressure, Lee added. PRODUCED PRICES TO PRSE APPORTS Singapore – which houses Almost 80% of residents . grew by 9.6% in 2024faster than 4.9% in 2023The data of the Council for the development of the country’s housing was shown.

“Singapore has limited land, space and natural resources. This means high real estate prices, high car prices and imported food,” said the Maybank economist. “Due to our dependence on imports, our internal inflation is very strongly correlated with global inflation, which was high with the pandemic interruptions related to increasing demand for goods, lack of work and supply networks,” he added.

Cars are much more expensive in Singapore from the Rights Certificate, which requires buyers an application for limited permission only to own the vehicle. Only coe that was presented to control traffic congestion, can Cost of more than 100 000 Singapore dollars, sometimes exceeding the price of the car itself.

“For 100% costs or those who do not like to save, it is also because they are spending what they have not yet received,” Lim said, noting that buying now, payments are also facilitated by Singapores to make future expenses before they receive cash. According to the Central Bank Singapore, the BNPL transactions have reached around SG 440 million in 2021almost four times increased Since 2020. The IDC research firm counts 6% by 2028.

This shift, according to Lim, is part of a broader “loan society”, where instant pleasure and lifestyle signal the long -term financial prudence of Trump compared to the Singapores of the previous generation.

Lim also mentioned that most of his customers who live salaries on salary are largely medium income peoples, which make up 60% to 70% of its customers seeking consultations as saving more. Families with high income levels make up 20% of the client base, and those in the low -income bracket make up at least 10%.

Singapore’s payment to the house is lower than their full salary due Mandatory Central Providence Fund (CPF). Every month, some of their earnings – up to 20% for employees under 55 – automatically calculated for retirement, housing and health savings.

While Singapores can only withdraw $ 5,000 and more from CPF savings after they get 55, they can use these savings to pay for housing and some medical expenses at any age.

“It’s not that difficult to save. I put off some of my help for my parents, so if I wanted, I can just put another pool of money for savings,” said Ang.

“But I don’t think I need to do it at that moment,” she smiled.