Escalating living costs far outpace expats' salary growth in Singapore

1 in 2 expats think their pay is no good against the costly city.

High expat salaries are no match against Singapore’s escalating living costs. A survey revealed today by Standard Life revealed that majority of expats think their salaries do not match the city’s rising cost of living.

Rising costs of living appear to be outpacing expat salary growth in Singapore with 50% of survey respondents saying that they do not feel their salary matches the cost of living in Singapore, even though 80% earn more and 70% save more than they did before moving here.

The Expatriates in Singapore survey found that rising living costs are impacting the savings habits and priorities of British and European expatriates in the country. The survey studied the saving, spending and investment habits and priorities of British and European expatriates living in Singapore and how they are planning for their future.

Nearly half of this year’s respondents set aside less than 10% of monthly income towards long term savings such as for retirement planning.

Compared with findings from Standard Life’s inaugural expatriate survey last year, this means there is close to a 10% year-on-year decline in the number of respondents who make an effort to save regularly with only 54% of this year’s respondents falling into this category against last year’s 62%.

Continuing a trend seen in last year’s survey findings, those who do save more place retirement and property purchase above family commitments. More than 50% of respondents prioritise savings for pension/retirement and property over children’s education or marriage/starting a family.