Cost of Living in Singapore A Guide for Expats

World-class food just steps from your door, a skyline that lights up over Marina Bay every night, and a genuine melting pot of cultures from across Asia and beyond: it's easy to see why Singapore consistently draws professionals, families and adventurous expats from all over the world. The appeal is real, and so is the price tag that comes with it.

Singapore's cost of living is famously high, and the city-state regularly ranks at or near the top of the Economist Intelligence Unit's Worldwide Cost of Living survey, sometimes tied with cities like Zurich for the title of the world's most expensive place to live. Fortunately, many foreigners, particularly from the Asia-Pacific region, are drawn to Singapore for the commensurate pay packets on offer, which make day-to-day living considerably more manageable and mean many professionals can return home with solid savings.

Depending on your skill set, background, education and earning potential, the cost of living is relative. On a basic comparison, some items are genuinely expensive to buy in Singapore, while others are reasonably priced. Here's a closer look at where the money actually goes.

• Living the Good Life
• Housing Costs
• Food and Groceries
• Cost Savings In Singapore
• Healthcare Costs
• Utilities, Tax and Everyday Costs

The biggest reason the basic cost of living in Singapore is high comes down to scarcity. Singapore is a small, densely populated island nation, and limited land drives up rents and property prices, which in turn pushes businesses to raise their own costs to cover higher overheads, and so the cycle continues.

The reality is that most people who move to Singapore do so for highly paid corporate roles. Skilled labour is at a premium globally, and Singapore has attracted a lot of it.

This shapes the average lifestyle here too: government data consistently shows Singaporeans across pay grades enjoying a high standard of living, with around nine in ten residents owning their own home, even where that home is a more modest style of housing.

Housing is usually the single biggest line item in a Singapore budget, and where you land depends heavily on whether you rent public or private housing. Housing and Development Board (HDB) flats, which most citizens and permanent residents live in, are considerably more affordable than private condominiums, though foreigners on most work passes are limited to renting rather than buying them.

Private condos cost more, but come with amenities like pools and gyms that HDB flats generally don't offer, along with more flexibility on location.

Wherever you rent, expect to go through a local property agent, provide references, and pay a security deposit upfront, generally equivalent to a month or two of rent depending on the lease term. Unlike some markets, it's uncommon in Singapore to pay several months of rent in advance, which helps soften the upfront cost of moving.

If you're not quite ready to commit to a permanent home, short-term storage is a practical way to keep your belongings safe while you search.

Food is one of the areas where Singapore can actually work out cheaper than people expect, largely thanks to the hawker centre system. These government-supported food courts offer a huge range of dishes at a fraction of restaurant prices, and eating at hawker centres regularly is a genuinely affordable way to live, not just a tourist experience.

Restaurant dining and imported groceries are a different story. Singapore imports the overwhelming majority of its food, so packaged goods, imported produce and Western-style ingredients tend to cost more than they would back home, while local produce and wet market staples stay comparatively affordable. Many expats find their grocery bill evens out once they adjust to shopping and cooking more as locals do.

Alongside the high living standards that help offset the cost of living, Singapore offers excellent value for money in ways that other countries simply can't match. The country's small size has resulted in an unusually high level of infrastructure investment relative to its area. Nowhere is particularly far from the CBD, which makes getting around considerably easier than in most major cities.

The Mass Rapid Transit (MRT) network, considered one of the best metro systems in the world, means you can rent a larger home for your family outside the main city district and still get to work reliably, day in and day out.

People moving to Singapore from countries like the United States or Canada will notice a significant cut in transport costs. For many residents, owning a car simply doesn't make financial sense, partly because of Singapore's Certificate of Entitlement (COE) system, which requires a successful bid just for the right to register a vehicle, on top of the car's actual price.

Between that and comprehensive public transport coverage, most residents find it far more cost-effective to rely on the MRT and buses, saving on fuel, registration, repairs and insurance in the process. If your salary package back home included a car allowance or similar vehicle-related incentives, this can translate into meaningful savings once you're settled in Singapore.

Singapore's healthcare system is well regarded, with a mix of public and private options. Citizens and permanent residents benefit from government subsidies at public hospitals and polyclinics, while foreigners on work passes typically rely on employer-provided health insurance or their own private cover to access the system.

Private healthcare in Singapore has a strong reputation regionally, and while it isn't cheap, most expats find the quality justifies the cost, particularly compared to private healthcare costs in countries like the United States.

Singapore's tropical climate means air conditioning is a near-constant expense, and it's usually the biggest driver of a household's electricity bill, so it's worth budgeting for higher utility costs than you might expect from a similarly sized home elsewhere. Mobile and internet plans, on the other hand, are generally fast, reliable and reasonably priced compared to many other developed cities.

On the tax side, Singapore applies a Goods and Services Tax (GST) of 9% to most purchases, though this is still low by international standards and public transport is exempt. Income tax is also comparatively favourable for most earners, with no tax on capital gains, dividends or inheritance, which is part of why so many professionals find their overall financial position improves after the move, even accounting for the higher day-to-day costs.

Your biggest one-off expense, meanwhile, is likely to be the move itself. Our moving checklist and guide to how the move process works are both good starting points for budgeting that side of things. When you're ready, contact our experienced team at Allied International Moving to help you pack up your household and get you there safely.