Payroll Cycle
Minumum Wage
Overtime Pay
Visa Immigration
Types of Work Passes (Visa) Who are eligible Requirements
Employment Pass Professionals, managers, and executives At least $4,500.00 monthly salary
Personalized Employment Pass Professionals, managers, and executives High-earning employment pass holders and overseas workers
EntrePass Entrepreneurs Those who are keen to start and operate a business that is venture-backed or possess innovative technologies

Talent Wiki - Singapore

Your quick guide on talent and labor compliance norms in Singapore
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Capital
Singapore
Currency
Singapore Dollar (SGD)
Languages
English (Official), Chinese, Malay, Tamil‍
Payroll Frequency
Monthly
GDP per Capita
$73,069
Employer Tax
17.25% + varying tax

Supplementary Guide for Employment and Expansion in Singapore

Talent Overview

Singapore is considered the most open economy in the world by the World Economic Forum. As it stands, Singapore has low tax rates and currently sits atop the second highest GDP per capita based on purchasing power parity in the world. The country focuses on exporting electronics, chemicals, and services. Small and medium-sized businesses are the main foundations of Singapore’s economy.

Major Economic Hubs:

Singapore City

Skills in Demand:

Information and Communications Technology Professionals, Marketing and Design, Construction, Finance, Healthcare, Retail and Tourism

Local Universities

The top local universities in the Singapore are as follows:

National University of Singapore

RANKING

Singapore : 1

World : 95

Nanyang Technological University

RANKING

Singapore : 2

World : 154

Singapore Management University

RANKING

Singapore : 3

World : 731

Singapore University of Technology and Design

RANKING

Singapore : 4

World : 1960

Singapore University of Social Sciences

RANKING

Singapore : 5

World : 2870

Salary Data

Some popular jobs and their monthly salary are listed below:

No. Job Title Salary Average (in SGD) Salary Average (in USD)
1 Chief Information Officer 13,800 19,044
2 IT Project Manager 12,600 17,388
3 Chief IT Security Officer 11,700 16,146
4 Web Security Manager 11,600 16,008
5 Intelligence Manager 11,400 15,732
6 Technical Project Manager 11,200 15,456

Talent Sourcing Tips

Top Local Job Portals

Indeed, Neuvoo, InternSG

Number of LinkedIn Users (2022)

3,362,000

Top Recruitment Agencies

Kelly Services, Adecco, GMP Group

Employing in Singapore

When looking into hiring employees in Singapore, employers must know the country's employment laws, benefits, payroll, and taxes. We’ll discuss the basics of what to prepare when onboarding talents from the country below. 

Employee Contract

Employment contracts in Singapore can be expressed through written, oral, or implied means. However, it is recommended by the Ministry of Manpower that contracts be written to minimize unintended disputes.  

There is no specific requirement for the language of employment contracts. Most businesses though use English as the medium. 

Probation Period

The probationary period for employees ranges from 3 - 6 months. The notice period before termination is between 5 - 30 days.

Public and Provincial Holidays

Date Name Type
1 Jan New Year's Day National holiday
1 Feb Lunar New Year's Day National holiday
2 Feb Second Day of Lunar New Year National holiday
15 Apr Good Friday National holiday
1 May Labor Day National holiday
2 May Day off for Labor Day National holiday
3 May Hari Raya Puasa (Tentative Date) National holiday
15 May Vesak Day National holiday
16 May Day off for Vesak Day National holiday
10 Jul Hari Raya Haji National holiday
11 Jul Day off for Hari Raya Haji National holiday
9 Aug National Day National holiday
24 Oct Diwali/Deepavali National holiday
25 Dec Christmas Day National holiday
26 Dec Day off for Christmas Day National holiday

Employee Leaves

Type of leave Time period Mandatory
Annual leave/Earned Leave 7 days Yes
Sick Leave 14 days Yes
Maternity Leave 16 weeks Yes

Payroll

Payroll Cycle

Employees are paid monthly, within 7 days of the end of the salary period.

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Minimum Wage

Singapore has no minimum wage policy.

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Overtime Pay

Employees are only allowed up to 72 overtime hours in a month, unless they apply for exemption to increase it. Overtime pay varies between the following employee category:

  • White-collar worker earning up to $2600: 1.5x of hourly wage
  • Blue-collar worker earning up to $4500: 1.5x of hourly wage

It should be paid within 14 days after the last payroll period and is capped at SGD$13.60/hr.

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Health Examination Clause

Bonus

13th Month Pay

A 13th-month bonus is customary depending on the company. It is usually paid at the end of the year.

Employee Benefits

Employees in Singapore has the opportunity to avail of the following benefits during their employment:

  • ~Relocation assistance
  • ~Healthcare insurance
  • ~Pension fund
  • ~Housing allowance
  • ~Child care benefits 
  • ~Transportation reimbursements
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Taxes

Employer Payroll Tax

Type of Tax Contribution (%) Notes
CPF Contribution (Pension) - Payable for monthly salary ≥ SGD$750
Employee Age - -
55 & Below 17% -
Above 55 to 60 14% -
Above 60 to 65 10% -
Above 65 to 70 8% -
Above 70 7.50% -
Skills Development Levy SGD 2 or 0.25% Whichever is highest, capped at SGD 11.25
Worker’s Injury Compensation Insurance Depends on Insurance Plan Offers All employees involved in manual work, regardless of salary level.
All employees doing non-manual work, earning a salary of $2,600 or less a month, excluding any overtime payment, bonus payment, annual wage supplement, productivity incentive payment and any allowance.

Employee Payroll Tax

Type of Tax Contribution (%)
CPF Contribution (Pension) -
Employee Age -
55 & below 20%
Above 55 to 60 14%
Above 60 to 65 8.50%
Above 65 to 70 6%
Above 70 5.00%
Community Contribution $0.50 – $30.00

Employee Income Tax

Income tax levied in Singapore is at a progressive rate on all annual income as follows:

Taxable Income(SGD) Tax (SGD) Percentage on Excess (%)
0 - 20,000 - -
20,000 - 30,000 - 2.00%
30,000 - 40,000 200 3.50%
40,000 - 80,000 550 7.00%
80,000 - 120,000 3,350 11.50%
120,000 - 160,000 7,950 15.00%
160,000 - 200,000 13,950 18.00%
200,000 - 240,000 21,150 19.00%
240,000 - 280,000 28,750 19.50%
280,000 - 320,000 36,550 20.00%
320,000 - 500,000 44,550 22.00%
500,000 - 1,000,000 84,150 22.00%
1,000,000 and above 194,150 22.00%

* Singapore dollars

Non-Resident Tax Rate:

Monthly Net Trade Income Below 35 years 35-45 years 45-50 years 50 years
Above $500 to $1,000 4% 4.5% 5% 5.25%
Above $1,000 to $1,500 4%-8% 4.5%-9% 5%-10% 5.25%-10.5%
Above $1,500 8% 9% 10% 10.5%
Maximum (SGD) $5,760 $6,480 $7,200 $7,560

Fixed at 15% of income.

An employee has to pay compulsory Medisave contribution (health insurance) if their monthly net trade income is more than $500.

VAT

The Goods and Services Tax/ VAT in Singapore is 7%.

Offboarding & Termination

Termination Process

Termination of an employment contract in Singapore may happen in the following circumstances:

  • ~Employee resignation
  • ~Employer dismisses an employee due to misconduct
  • ~Expiration of the contract or project

A notice must be given by either of the parties when deciding to terminate a contract. It must follow the terms and conditions set out in the contract of service.

Notice Period

The notice period for Singaporean employees will be up to 30 days.

Severance Pay

In practice, the severance pay in Singapore is equated to Responsible Retrenchment which the employees who served at least 2 years in the company are entitled to. The retrenchment benefit is usually paid for two weeks to one month of salary per year of service depending on the financial standing of the company. 

Visa and Immigration

Generally, Visas in Singapore are issued before entry into the country. It is not considered as an immigration pass but is needed in order to do business in the country. Many of the countries do not require a Visa to enter Singapore however those who do need Visas have individual requirements depending on the country.

There are three types of passes (visas) to be able to have the authorization to operate a business or work in Singapore depending on the nature of your business. Click on the link below for more details.

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