As Singapore’s cost of living continues to rise, many are wondering if wages are keeping up. According to the Ministry of Manpower, nearly a third of companies plan to raise salaries in early 2024. With the median gross monthly income at S$5,197, will these increases make a difference?
In high-demand areas like the Core Central Region, where condos average S$2.9 million and rents reach up to S$5,800, it’s becoming harder for many to keep up. Even in more affordable neighborhoods like the North-East, rents can still hit S$5,000 per month.
In this article, we’ll dive into the latest salary trends, explore whether wage increases can offset living costs, and discuss what this means for employees and employers alike.
What is the Average Singaporean Salary?
According to the Ministry of Manpower (MOM), the median gross monthly income from employment, including Employer CPF contributions, for full-time employed residents was S$5,197 in 2023. Without Employer CPF, this figure drops to S$4,550. These figures give us a baseline to understand the salary distribution in Singapore.
Mean Vs. Median Salary
The gross monthly income refers to the total monthly earnings of employees, which include basic wages, overtime pay, commissions, other allowances, and one-twelfth of annual bonuses, before any deductions for CPF contributions and income tax. Unless specified otherwise, it also accounts for employer CPF contributions.
With this, you also have to know specific values like the mean and the median. Both values are representative of a salary’s central tendencies. However, these terms can be a bit confusing, so let’s try to simplify them.
What is Mean Salary?
The mean salary is the same thing as the average salary. To calculate this, you divide the sum of the salary data by the number of data points.
For example, there are five employees in a specific department, and we need to compute their average annual salaries.
Annual Gross Salary | |
Employee 1 | S$25,000 |
Employee 2 | S$32,000 |
Employee 3 | S$37,000 |
Employee 4 | S$45,000 |
Employee 5 | S$52,000 |
Average (Mean) | S$38,200 |
Thus, you compute the average or mean from the data presented by dividing the sum of their annual salaries by 5.
What is the Median Salary?
The median, also known as the midpoint, is the middle value from a data series arranged from lowest to highest.
In terms of a certain job, the median salary is the middle point for all salaries in that category. In short, this midpoint divides the working population into two groups. Those in the upper half of the data will be less than the median. On the other hand, those in the lower half will be greater than the median.
Taking the same example:
Annual Salary | |
Employee 1 | S$25,000 |
Employee 2 | S$32,000 |
Employee 3 | S$37,000 |
Employee 4 | S$45,000 |
Employee 5 | S$52,000 |
Median | S$36,500 |
The median here is that of employee 3’s salary, which is S$37,000. In terms of compensation, the median is a better indicator of typical salary as it is less affected by abnormally low or high values than that of the average.
Factors That Influence Salary
Several factors can influence how much an individual earns in Singapore, including:
- Industry: Specialized fields like oil trading and AI command higher wages due to high demand and limited supply of skilled professionals. In contrast, sectors like retail and admin support may see slower wage growth due to automation.
- Age and Experience: Wages increase with experience and job responsibility, often explaining gender pay disparities in some roles, where men may hold more senior positions.
- Education and Skills: Individuals with higher education levels or specialized skills tend to command higher wages.
- Progressive Wage Model: Instead of setting a national minimum wage, this system helps raise salaries in lower-wage occupations, boosting earnings through structured wage ladders tied to skill development and productivity improvements.
Top-Paying Jobs in Singapore
When it comes to top-paying jobs in Singapore, industries like finance, technology, and executive management dominate the list. These roles often require specialized skills, years of experience, and leadership capabilities, resulting in competitive salaries. In this section, we’ll explore the highest-paying jobs and the industries that offer them.
The Manpower Research & Statistics Department releases detailed employment reports and data annually. The most recent data, as of February 16, 2024, was published on January 31, 2024. All figures and insights shared are based on this data from MOM.
At a Glance:
Job Title | Sector or Industry | Average Monthly Salary
(Median Basic Wage) |
Oil and Bunker Trader | Trading | S$14,911 |
Chief Information Officer | Information Technology | S$13,537 |
Enterprise/Solution Architect | IT & Software | S$13,500 |
University Lecturer | Education | S$12,877 |
Business Valuer | Finance | S$12,640 |
Managing Director | Executive Management | S$10,000 |
Marketing Manager | Marketing | S$9,000 |
Financial Risk Manager | Finance | S$10,665 |
Insurance Services Manager | Insurance | S$12,196 |
Chief Technology Officer | Information Technology | S$13,537 |
In 2023, Singapore saw a 2.5% rise in median gross monthly income for full-time employed residents, according to the Ministry of Manpower (MOM). However, salary growth varies across sectors, with roles like Chief Information Officers and Financial Analysts commanding higher wages due to increasing reliance on technology and data.
Jenny Su, senior director at Ethos BeathChapman, noted that fields like AI and sustainability are seeing significant wage increases due to high demand and limited supply. Similarly, oil and bunker traders continue to earn well because of their specialized expertise and market volatility.
In contrast, traditional roles in retail and administrative support may face slower wage growth as automation and AI replace certain tasks. Overall, Singapore’s wage trends show growth in high-demand sectors while others face challenges from advancing technology.
What is Considered a High Salary in Singapore?
In Singapore, determining what qualifies as a “high salary” depends on various factors, including the cost of living and average income levels. As of 2023, the median gross monthly income for full-time employed residents, including employer CPF contributions, is S$5,197.
Earning above this figure would place an individual above the income midpoint, but to be considered part of the top 10% of earners, salaries typically need to be much higher.
Is S$13,000 a Good Salary in Singapore?
Yes, S$13,000 is considered an excellent salary in Singapore. This figure is significantly higher than the median income and positions the employee within the top percentile of income earners in the country.
With this salary, you can comfortably afford a higher standard of living, particularly in more expensive areas like the Central Region, where rental prices can range between S$3,500 and S$5,800 per month.
Is S$4,000 a Month a Good Salary in Singapore?
A salary of S$4,000 per month is slightly below the median gross monthly income of S$5,197, meaning it’s not considered high by national standards. However, it can still provide a reasonable standard of living, especially for individuals or couples without significant financial commitments like mortgage payments or large family responsibilities. The cost of living in less central areas, such as the North-East region, is more affordable, making it easier to manage with this income.
Is S$5,000 a Month a Good Salary in Singapore?
A salary of S$5,000 is very close to the national median. While not considered a high salary, it is sufficient to live comfortably in many parts of Singapore. The affordability of housing, food, and transportation will depend on individual lifestyle choices, but for the average Singaporean, this salary provides financial stability and the ability to save.
The Top 10% Salary Earners in Singapore
To be in the top 10% of salary earners in Singapore, one typically needs to earn a monthly income well above S$13,000. Professionals in high-demand fields such as finance, legal, and technology often fall into this category. Roles like Chief Information Officers, Financial Analysts, Oil and Bunker Traders, and Chief Executive Officers are common professions that command these higher salaries due to their specialized skills and significant responsibilities.
Salary by Age Group
Income levels in Singapore tend to rise with age and experience, reaching their peak for many professionals during their early 40s. This increase reflects the accumulation of skills and expertise as employees progress through their careers.
At a Glance:
Age | Gross Median Monthly Income | Managers & Administrators | Professionals | Associate Professionals & Technicians | Clerical Support Workers | Service & Sales Workers |
20 – 24 | S$2,604 | – | S$3,625 | S$3,000 | S$2,200 | S$2,000 |
25 – 29 | S$4,000 | S$6,000 | S$5,000 | S$3,575 | S$2,700 | S$2,778 |
30 – 34 | S$5,000 | S$7,583 | S$6,417 | S$4,000 | S$3,000 | S$3,000 |
35 – 39 | S$5,833 | S$9,600 | S$7,500 | S$4,250 | S$2,925 | S$2,925 |
40 – 44 | S$6,167 | S$10,500 | S$8,125 | S$4,333 | S$3,102 | S$2,800 |
45 – 49 | S$5,958 | S$11,000 | S$8,167 | S$4,333 | S$3,142 | S$2,544 |
50 – 54 | S$5,000 | S$10,865 | S$8,285 | S$4,317 | S$3,250 | S$2,332 |
55 – 59 | S$3,978 | S$10,833 | S$7,875 | S$4,333 | S$2,924 | S$2,299 |
60 & Over | S$2,654 | S$8,167 | S$7,475 | S$4,000 | S$2,867 | S$2,000 |
Breakdown of Salaries by Age Bracket
- Ages 20-24: The median monthly income is S$2,604. Professionals in this bracket, such as entry-level employees, typically earn S$3,625, while those in service and sales roles earn around S$2,000.
- Ages 25-29: At this stage, many professionals experience a significant jump, with a median income of S$4,000, especially those in managerial roles, which can earn up to S$6,000.
- Ages 30-34: Salaries continue to rise, with a median of S$5,000, and professionals in more specialized roles like managers and administrators earn around S$7,583.
- Ages 35-39: This group sees a median salary of S$5,833, with professionals earning S$7,500 and managers earning around S$9,600.
- Ages 40-44: Peak earning years, with a median salary of S$6,167. Managers can earn up to S$10,500, and professionals around S$8,125.
- Ages 45-49: Median income remains high at S$5,958, with managers earning S$11,000 and professionals around S$8,167.
Salary Decline as Retirement Approaches
As individuals move into their 50s and 60s, salary growth typically slows, and in many cases, income begins to decline. For the 50-54 age group, the median salary drops to S$5,000, and professionals may earn around S$8,285. The decline becomes more pronounced after age 55, reflecting reduced participation in the workforce and the transition toward retirement.
By examining these trends, it’s clear that salary progression is closely linked to experience and the accumulation of specialized skills, but it also highlights the eventual decline as retirement approaches.
Average Salary Per Industry
Knowing the appropriate salary for your industry is also crucial as it can help you choose a professional path or further your education. It will also empower you to negotiate salaries better with employers in the future. In this regard, a job with an above-average salary can be considered one.
Check out the average salary across different industries in the table below:
Industry / Occupation | Gross Monthly Salary (Employer CPF contributions included) |
PMET | S$7,020 |
Professionals | S$8,020 |
Managers and Executives | S$10,889 |
Technicians | S$4,680 |
Non-PMET | S$2,732 |
Clerical / Clerical Support | S$3,361 |
Sales | S$2,788 |
Craftsmen and Related Trades | S$2,819 |
Plant and Machine Operators | S$2,481 |
Cleaners and Related Trades | S$1,861 |
Other Industries | |
---|---|
Financial and Insurance | S$8,190 |
Public Administration and Education | S$6,833 |
Information and Communication | S$7,320 |
Manufacturing | S$5,460 |
Health | S$4,817 |
Construction | S$5,000 |
The highest-paying industries in Singapore include Financial and Insurance with an average monthly income of S$8,190, and Managers and Executives earning S$10,889. On the other hand, Cleaners and Related Trades remain the lowest-paid, with an average gross monthly salary of S$1,861, followed by Plant and Machine Operators at S$2,481. This disparity highlights the wage gaps between professional and lower-skilled roles.
Salary by Occupation Type
Salaries in Singapore vary widely depending on the type of occupation, with significant differences between entry-level, mid-career, and senior roles. In this section, we’ll explore how different job types, from clerical work to specialized professions, impact earning potential.
Occupation | Median Basic Wage (S$) |
Administration Manager | S$5,331 |
Software Developer | S$7,329 |
Accountant (Excluding Tax Accountant) | S$5,300 |
Assistant Accountant | S$4,030 |
General Medical Practitioner/Physician | S$6,709 |
Specialist Medical Practitioner (Medical) | S$9,798 |
Nurse | S$5,248 |
Assistant Nurse | S$3,500 |
Marketing Manager | S$6,600 |
Chief Information Officer | S$13,537 |
ICT Service Manager | S$8,345 |
Construction Manager | S$6,720 |
Financial Analyst | S$7,230 |
Financial/Investment Adviser | S$10,958 |
Business Development Manager | S$8,985 |
Audit Clerk | S$3,800 |
Data Entry Clerk | S$1,600 |
Office Supervisor | S$3,500 |
Entry-level positions, such as an Audit Clerk and Data Entry Clerk, earn relatively low median basic wages of S$3,800 and S$1,600 respectively.
Moving to mid-career roles, such as a Financial Analyst or Software Developer, professionals can expect to earn between S$7,230 and S$7,329.
In senior-level roles, like a Chief Information Officer (CIO) or Financial/Investment Adviser, salaries rise significantly, reaching S$13,537 and S$10,958, showcasing the substantial wage increase with experience and responsibility.
Salary Trends Over the Years
Over the past decade, Singapore has experienced steady growth in median gross monthly income, climbing from S$3,705 in 2013 to S$5,197 in 2023. This reflects an annual nominal growth rate of 3.4%.
Several factors have contributed to this rise, including inflation, government initiatives such as progressive wage models, and broader economic changes like the impact of the COVID-19 pandemic.
However, while nominal wage growth appears strong, the picture changes when we account for inflation. Real wage growth—adjusted for the rising cost of living—has been more modest, with an annualized increase of just 0.5% between 2018 and 2023.
Year | Median Monthly Income (Including Employer CPF Contributions) |
2013 | S$3,705 |
2014 | S$3,770 |
2015 | S$3,949 |
2016 | S$4,056 |
2017 | S$4,232 |
2018 | S$4,437 |
2019 | S$4,563 |
2020 | S$4,534 |
2021 | S$4,680 |
2022 | S$5,070 |
2023 | S$5,197 |
Gender Pay Gap in Singapore
The gender wage gap in Singapore persists, with males earning consistently higher median monthly incomes than females. In 2023, men earned a median of S$5,460, while women earned S$5,070, reflecting a 7.7% difference.
According to Associate Professor Terence Ho of the Lee Kuan Yew School of Public Policy, while the overall gender wage gap in Singapore has been narrowing, it still varies significantly across industries. The largest disparities are observed in sectors like healthcare and manufacturing, particularly among plant and machine operators.
Jenny Su, senior director at executive search firm Ethos BeathChapman, highlights that in some roles, such as executive search consultants, women earn over 20% more than men. This is largely driven by the perception that female consultants excel in networking and communication, skills that are highly valued in the industry.
Median Monthly Income (Including Employer CPF Contributions) | ||||
Year | Males | Females | Difference in dollars | Difference in percentage |
2013 | S$3,915 | S$3,480 | S$435 | 12.50% |
2014 | S$4,000 | S$3,518 | S$482 | 13.70% |
2015 | S$4,118 | S$3,744 | S$374 | 10.00% |
2016 | S$4,241 | S$3,803 | S$438 | 11.50% |
2017 | S$4,437 | S$4,027 | S$410 | 10.20% |
2018 | S$4,680 | S$4,095 | S$585 | 14.30% |
2019 | S$4,810 | S$4,329 | S$481 | 11.10% |
2020 | S$4,719 | S$4,374 | S$345 | 7.90% |
2021 | S$4,875 | S$4,437 | S$438 | 9.90% |
2022 | S$5,450 | S$4,948 | S$502 | 10.10% |
2023 | S$5,460 | S$5,070 | S$390 | 7.70% |
Closing
With rising wages across various sectors, particularly in high-demand fields like technology and finance, there are opportunities for growth. However, challenges such as wage disparities and the cost of living remain significant factors that individuals must consider when assessing their financial future.
Key Takeaways:
- In 2023, the median monthly salary is S$5,197, reflecting steady growth across sectors like finance and technology.
- High-paying jobs in Singapore include Oil Traders and Chief Information Officers (CIO), with salaries reaching up to S$14,911 per month.
- Roles in technology and finance, such as Enterprise Architects and Business Valuers, offer some of the highest salaries, reflecting the demand for specialized skills.
- University Lecturers and Managing Directors also command competitive salaries, with many positions offering over S$12,000 per month due to expertise and leadership responsibilities.
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