SINGAPORE: A Singaporean has recently voiced his concerns over the country’s intense societal expectations and rising cost of living, saying that even with a good education and decent salary, achieving basic milestones like home ownership feels increasingly out of reach.
In a Reddit post published on Tuesday (Aprilhimse 30), the user—who identified himself as a graduate from one of Singapore’s top three universities—described the nation as a “highly stressful, pressure cooker society” where success feels elusive despite having done everything right.
He shared, “[I had] decent grades and 2 internships, and I still feel it’s not good enough to survive. Take an average BTO cost in Singapore today, which is around S$400,000. Then assume that you graduate from a big 3 uni with a tech degree and earn a $5,000 monthly salary, which is considered pretty decent in itself.”
He continued, “By doing a simple calculation, you still need to work for 6-7 years continuously just to pay off your basic BTO cost, and that’s assuming everything went well for you without hiccups along the way (aka no retrenchment, layoff, etc.) and you don’t spend a single cent of your salary throughout those 6-7 years while earning your salary. See how difficult it is just to afford just a simple home in SG, and that isn’t even factoring in other living expenses yet.”
“You’re stressing yourself out unnecessarily.”
In the comments, many locals disagreed with the man’s take, pointing out that while the cost of living in Singapore is indeed high, his assumptions were too simple and didn’t reflect how most people manage their finances.
They stated that he overlooked things like long-term loans, CPF contributions, government grants, and the fact that most people don’t buy homes alone but with a partner, which makes things more manageable. Basically, they felt he was focusing on the worst-case scenario and not considering the full picture.
“I would really suggest for you to read up on how mortgages and home loans work. Almost nobody pays off a home loan in 6-7 years. The maximum loan duration is 25 years for HDBs; it was previously 30 years. Taking the fixed interest rate of 2.6%, there’s no upside to paying it off ASAP,” one comment read.
“Well for a S$400k house, assuming you pay with a 75% loan, so a S$300k mortgage, and the HDB interest rate of 2.6% over 25 years. That is about S$1.4k a month. Given that you will also have grants and CPF for the initial payment of S$100k, it is not very difficult,” another explained.
“You’re stressing yourself out unnecessarily. With two incomes, it’s very achievable. And why do you need to pay it off in such a short time?” a third user remarked.
“Say you’re married to someone of similar status and earning power in society. That’s S$10k/month; S$400k is 100% payable,” a fourth wrote.
Still, a few users went against the grain and agreed with the man’s frustration, saying it’s really tough to keep up with the rising cost of living in Singapore. One user shared, “I’ve been hustling and working part-time since I was 14, and the CPF I’ve saved up is barely 3% of the cost of a BTO… sigh.”
Others joked that the “easy” solution is just to be born into a rich family, where you get millions without lifting a finger. One user added, “I can’t even find a job with a Big 3 local uni degree… I wonder how students from other unis, or even poly or ITE, manage to survive.”
According to the Economist Intelligence Unit (EIU), Singapore has been the world’s most expensive city for eight out of the past ten years. In fact, in 2022, the cost of living here was 39.1% higher than in the UK. A big reason for this is the extremely high rent, which is almost three times more expensive than in the UK, costing on average 181% more.
However, the good news is that for skilled workers, the relatively high salary potential helps to balance out the steep living costs. Data from the Ministry of Manpower (MOM) in 2024 showed that degree holders in Singapore earned a median monthly income of S$8,656, which includes employer contributions to the Central Provident Fund (CPF).
Featured image by freepik (for illustration purposes only)