DoubleTaxationTaxes on salary: Singapore
How much tax and social security is paid on a salary in Singapore, what is left as take-home pay, and which special tax regimes exist.
Calculation for a gross salary of €60,000 per year
| Gross salary | SGD 90,462 ≈ €60,000 |
|---|---|
| Income tax | |
| Income tax | SGD 4,438 ≈ €2,944 |
| Take-home pay | SGD 86,024 ≈ €57,056 |
| Employer contributions and payroll taxes | |
| Skills Development Levy | SGD 135 ≈ €90 |
| Employer's labour cost | SGD 90,597 ≈ €60,090 |
Only some of the country's direct taxes and levies are counted: income tax on wages and compulsory contributions. Not counted: property and real-estate taxes; taxes on dividends, interest and other investment income; inheritance and gift taxes; indirect taxes such as VAT, excise and customs duties.
This country is not covered by OECD Taxing Wages; the calculation is ours, using the same methodology.
Special tax regimes
These regimes are not included in the calculation above: each has its own conditions.
Not Ordinarily Resident (NOR) Scheme
Who: Tax residents granted NOR status by IRAS (the last one for YA 2020–2024); foreigners arriving now cannot use it.
The scheme has ceased: the last NOR status was granted for YA 2020–2024 and ended with YA 2024. Its benefits were time apportionment of employment income for days on business abroad (at least 90 days outside Singapore, employment income of at least SGD 160,000, 10% tax floor on total employment income) and exemption of employer contributions to non-mandatory overseas pension funds.
Legal basis: IRAS — Not Ordinarily Resident (NOR) Scheme (updated 02.03.2026)
Exemption of short-term employment income of non-residents (60 days)
Who: Non-residents who work in Singapore for 60 days or less in a calendar year; not for company directors, public entertainers or professionals.
Salary for work in Singapore of no more than 60 days a year is exempt. It does not apply where the trips are incidental to a Singapore employment.
Legal basis: Income Tax Act 1947, s. 13(6)–(7); IRAS — Working out my tax residency (updated 12.05.2026)
Exemption of foreign-sourced income received in Singapore by individuals
Who: Individuals resident in Singapore with income from abroad (other than income received through a partnership in Singapore).
Foreign-sourced income received in Singapore (including into a Singapore bank account) is generally not taxable and need not be declared. Exceptions: income received through a partnership in Singapore; employment income for work abroad that is incidental to a Singapore employment, or pay from a foreign employer for work in Singapore.
Legal basis: Income Tax Act 1947, s. 13(7A); IRAS — Income received from overseas (updated 02.03.2026)
Non-taxation of capital gains, one-tier dividends and qualifying interest of individuals
Who: Individual investors (resident and non-resident) who do not trade assets as a business.
Gains from selling property, shares and financial instruments (including digital tokens) are generally not taxable, except trading with a profit-seeking motive (frequency, reasons, holding period). Dividends from Singapore companies under the one-tier system are not taxable (except co-operatives). Interest on deposits with approved banks and licensed finance companies in Singapore, on debt securities and from foreign sources is not taxable.
Supplementary Retirement Scheme (SRS)
Who: Citizens, permanent residents and foreigners aged 18 or over who open an SRS account with an SRS operator.
SRS contributions are deductible in the following Year of Assessment: up to SGD 15,300 a year for citizens and PRs and SGD 35,700 for foreigners (within the overall SGD 80,000 relief cap). After the statutory retirement age only 50% of withdrawals is taxable and they can be spread over 10 years; premature withdrawals are fully taxable with a 5% penalty.
Legal basis: IRAS — SRS contributions (updated 14.08.2026); Tax on SRS withdrawals (updated 03.09.2026)
Fixed Expense Deduction Ratio (FEDR) for self-employed persons and platform workers
Who: Self-employed commission agents, taxi and private-hire car drivers, and delivery workers.
Instead of actual expenses, a fixed share of income may be deducted: commission agents 25% (total gross income no more than SGD 50,000); taxi and private-hire drivers 60%; delivery workers 20% (on foot, public transport, non-powered bicycles), 35% (motorised PMDs, power-assisted bicycles, motorcycles), 60% (vans), if gross delivery income is no more than SGD 50,000.
Legal basis: IRAS — Fixed Expense Deduction Ratio for self-employed persons and platform workers (updated 01.09.2026)
Tax residence
When Singapore treats you as a tax resident
- You stayed or worked in Singapore for 183 days or more in the calendar year — you are a Singapore tax resident for the corresponding year of assessment (for 2026 — YA 2027; s. 2(1) Income Tax Act 1947). Singapore taxes income received in or derived from Singapore at progressive rates of 0–24%; foreign income received in Singapore by a resident individual is generally exempt (s. 13(7A)), except income received through a partnership in Singapore.
- You are a Singapore citizen or permanent resident who normally lives in Singapore and leaves only temporarily — you are a Singapore tax resident (s. 2(1) Income Tax Act 1947) whatever the number of days. The conclusion depends on the facts: if you have moved to live abroad, this criterion no longer applies.
- You stay or work in Singapore continuously for three consecutive calendar years — under IRAS's administrative rule you are a Singapore tax resident for each of those years, even if you spent fewer than 183 days there in the first or last year. This is tax administration practice, not a statutory rule; if the continuous period ends earlier, your status for the incomplete years will be reviewed.
- Your employment in Singapore spans two calendar years, and the continuous period of employment together with your stay immediately before and after it is at least 183 days — under IRAS's administrative rule you are a Singapore tax resident for both years. The rule does not apply to company directors, public entertainers and professionals.
Assumptions
- Calculated with the OECD Taxing Wages methodology: income tax including local taxes plus employee social security; single person without children, tax year 2026, ECB rate of 2 January 2026.
- Salary for calendar year 2026 is assessed in Year of Assessment 2027 at the resident rates in force from YA 2024: 0% up to SGD 20,000, then 2 / 3.5 / 7 / 11.5 / 15 / 18 / 19 / 19.5 / 20 / 22 / 23%, and 24% above SGD 1,000,000.
- Profile: a foreign employee without permanent residence (PR) working in Singapore for the full year (183 days or more), hence a tax resident. Only the Earned Income Relief of SGD 1,000 (under 55) is granted automatically; no other reliefs or donations.
- No Personal Income Tax Rebate has been announced for YA 2027: IRAS lists it only for YA 2024 and YA 2025, so none is applied.
- CPF (Central Provident Fund) contributions are payable only for Singapore citizens and permanent residents, so a foreign employee without PR pays none. For a citizen or PR aged 55 or below from 1 Jan 2026: employee 20%, employer 17% of ordinary wages up to SGD 8,000 a month (plus a ceiling for additional wages) — not included here.
- The employer pays the Skills Development Levy for all employees, foreigners included: 0.25% of monthly wages, at least SGD 2 and at most SGD 11.25 a month (wages above SGD 4,500).
- The Foreign Worker Levy is not included: there is none for Employment Pass holders, while for S Pass holders the employer pays a flat SGD 650 a month. The Employment Pass minimum salary starts at SGD 5,600 a month, so at EUR 30,000 a year (≈ SGD 3,770 a month) the employee would in practice hold a different pass.
- There is no local income tax. A non-resident (under 183 days) pays 15% of salary, or tax at the resident rates without reliefs if higher; salary for work of no more than 60 days a year is exempt.
- Local taxes — location: Singapore (single national income tax) — non-OECD
- Tax period: 2026-01-01 – 2026-12-31
- Exchange rate: 1 EUR = 1.5077 SGD (ECB euro foreign exchange reference rate (SGD), 2026-01-02)
Sources
- IRAS — Individual income tax rates (updated 27.04.2026): resident rates from YA 2024; non-residents 15% or resident rates if higher
- IRAS — Sample income tax calculations, YA 2026 (updated 02.03.2026)
- IRAS — Earned Income Relief (updated 07.08.2026): SGD 1,000 under 55, automatic
- IRAS — Personal Income Tax Rebate (updated 11.08.2026): YA 2024 and YA 2025 only
- IRAS — Working out my tax residency (updated 12.05.2026)
- Income Tax Act 1947
- CPF Board — Skills Development Levy (updated 02.11.2026): 0.25%, minimum SGD 2, maximum SGD 11.25 a month, foreign employees included
- CPF Board — contribution rates from 1 Jan 2026 (updated 19.10.2026): citizens and PRs only; 55 and below — 20% + 17%
- CPF Board — Ordinary Wage ceiling SGD 8,000 from 1 Jan 2026 (updated 14.08.2026)
- Ministry of Manpower — Employment Pass key facts: minimum salary from SGD 5,600, no levy or quota (updated 04.05.2026)
- Ministry of Manpower — S Pass levy SGD 650 a month from 1 Sep 2025 (updated 19.02.2026)
- ECB — SGD/EUR reference rate on 02.01.2026: 1.5077 (series EXR.D.SGD.EUR.SP00.A)
Data checked: 2026-11-10. An indicative calculation for a typical case. Not tax advice.