Hiring in Singapore
A Quick Glimpse of
Hiring in Singapore
Hiring in Singapore
A Quick Glimpse of Hiring in Singapore
SGD $
Salary payment currency
English
Contract language
44
Working hours per week
None
Min. hourly salary
7.75% - 17.25%
Employer cost
10
Bank holidays per year
1 Jan - 31 Dec
Tax cycle
0%-35%
Employee tax
Hiring in Singapore
Everything You Need to Know Before Making Your First Hire in Singapore
Contracts & Agreements
Compensation & Benefits
Taxes & Costs
Leaves
Termination & Severance
Contracts & Agreements
Employment contracts in Singapore should be clear and strongly written. Common clauses for employer protection include intellectual property and confidentiality as well as a job description. The 2 main types of contracts in Singapore are:
Permanent Contracts
Fixed-term Agreement
Compensation & Benefits
Understand the key compensation, payroll and employee benefit requirements when hiring employees in Singapore.
Minimum Pay
Payout Cycle
Working Hours
Guaranteed Benefits
All employees in Singapore receive basic health insurance,
via the national system. However, employers have the discretion to provide supplemental insurance.
All employees in Singapore receive basic health insurance, via the national system. However, employers have the discretion to provide supplemental insurance.
Employers that don’t provide a supplemental insurance can provide a small allowance that can be allocated towards supplemental insurance.
Depending on the age of the employee, employers have to contribute between 7.5% to 17% into the Central Provident Fund (CPF) which funds the social security programs
such as family protection, healthcare, home ownership, retirement etc.
While not mandatory, employers usually pay an
additional month's salary or the 13th month's
salary as an annual bonus in Singapore.
Taxes & Costs
Tax for Employees
| Taxable income band (SGD) | National income tax rate |
|---|---|
| 0 – 20000 | No tax |
| 20000 – 30000 | 2% |
| 30000 – 40000 | 3.5% |
| 40000 – 80000 | 7% |
| 80000 – 120000 | 11.5% |
| 120000 – 160000 | 15% |
| 160000 – 200000 | 18% |
| 200000 – 240000 | 19% |
| 240000 – 280000 | 19.5% |
| 280000 – 320000 | 20% |
| 320000 & above | 22% |
Employer Cost
| Employees age (years) | Contribution by employer (% of wage) |
|---|---|
| 55 & below | 17% |
| 55 – 60 | 14.5% |
| 60 – 65 | 11% |
| 65 – 70 | 8.5% |
| Above 70 | 7.5% |
Leaves
Annual Leave
All employees are entitled to 7-14 days of paid annual leave depending upon the number of years they’ve been working for an organization.
| Year of service | Annual Leave Entitlement (Days) |
|---|---|
| 1 | 7 |
| 2 | 8 |
| 3 | 9 |
| 4 | 10 |
| 5 | 11 |
| 6 | 12 |
| 7 | 13 |
| 8 and above | 14 |
Sick Leave
Parental Leave
Termination & Severance
Termination
- Poor performance – The employee is not working up to the standards expected by the employer
- Redundancy – The job for which the employee was originally hired for is no longer relevant
- Medical reasons – The employee is not able to carry out job responsibilities due to a medical condition.
- Mutual agreement – Both the employee and employer agree that ending the employment contract is the best way forward for both parties.
Severance Pay
WHY CHOOSE EOR
Why choose an Employer
of Record (EOR) in Singapore?
WHY CHOOSE EOR
Why choose an Employer of Record (EOR) in Singapore?
An Employer Of Record (EOR) solution helps businesses enter new markets, hire skilled talent and expand internationally with ease, while avoiding contractor misclassification, mobilizing existing talent and outsourcing HR administration.
Why Trust
BGC Group
Why Choose BGC Group
Combining industry expertise, advanced technology and transparent pricing, BGC delivers reliable EOR solutions for businesses looking to hire and scale.
Industry
Expertise
Technology
Leverage
Cost-Effective
Pricing
Schedule
A Consultation
Schedule A Consultation
With every single one of our clients, we bring forth a deep passion for creative problem solving — which is what we deliver.