Expat Pay Packages in Singapore Increase Amid High Rental Rates, but Salaries Decline

SINGAPORE: Expat workers in Singapore are seeing an increase in their pay packages, which have risen six places in global rankings to now sit at 16th for the highest expat pay and benefits. According to the latest MyExpatriate Market Pay Survey by ECA International, an expat consultancy firm, pay packages—which include salaries and various benefits such as insurance and company vehicles—have increased by 4 percent.

Despite the upward trend, salaries for expats have actually declined. The UK retains the top spot with an average expat package exceeding US$440,000 (S$582,200), while in contrast, Hong Kong, a traditional competitor to Singapore, has seen a decrease in expat pay packages.

The ECA study highlights a significant 9 percent rise in the cost of benefits in Singapore, largely driven by soaring rental costs. According to Mr. Lee Quane, Regional Director for Asia at ECA International, “The surge in the cost of expatriate accommodation in Singapore is being felt by locals and expatriates alike.” He noted that the 9 percent increase in benefit costs measured in USD was primarily due to higher rental rates. “Only the fact that salaries fell by USD 4,000 prevented Singapore from moving up the rankings further,” he added.

For 2022, the total salary and benefits package for expatriates in Singapore rose to USD 258,762 (S$342,387), an increase of 4 percent. However, the trend in other Asian countries paints a different picture, with Japan, Korea, China, and Taiwan all experiencing declines in expat pay packages in USD terms.

Hong Kong’s average expatriate package is USD 278,020 (S$367,888), which reflects a 2 percent drop compared to 2021, despite it now ranking as the fifth most expensive location for expatriate pay and benefits. In Malaysia, the situation is even more stark, with the lowest expat package in the region, which fell by 4 percent to USD 164,696 (S$217,932).