Real Wages in Singapore Grew 3.2% in 2024 — What It Means for You

Total wage change

Singaporeans got a bit more breathing room in 2024, with real wage growth rising by 3.2%, the highest since the Covid-19 pandemic. According to the Ministry of Manpower, this was driven by lower inflation and broader salary increments across multiple industries.

Real Wages Outpaced Inflation

• Inflation slowed to 2.4% in 2024, compared to 4.8% in 2023.

• Nominal wage growth (before inflation) was 5.6%, leading to a real gain of 3.2% after adjusting for inflation.

• This means many employees experienced meaningful increases in purchasing power.

  
  

More Companies Gave Raises

• 78.3% of businesses raised staff salaries in 2024, up from 65.6% in 2023.

• This reflects stronger business performance, particularly in industries like financial services, healthcare, and community support sectors.

Top Industries with Above-Average Wage Growth

• Administrative and support services: +8.7%

• Financial services: +6.7%

• Community, social & personal services: +5.7%

  
  

Industries with Below-Average Growth

• Manufacturing: +5.1%

• Wholesale trade: +4.2%

  Wage growth in these sectors was impacted by cost challenges and geopolitical pressures.

Why This Matters (Especially for Homebuyers)

1. Higher Real Wages = Greater Affordability

   With stronger wage growth and easing inflation, Singaporeans may feel more confident upgrading their homes, particularly HDB upgraders eyeing private condos.

2. Income Growth Is Sector-Driven

   If you're in finance, healthcare, or admin services, chances are your income has grown faster than the average, potentially improving your home loan eligibility.

3. Moderation Ahead

   MOM expects wage growth to moderate in 2025, so now might be a strategic time to lock in favorable loan rates and make your next move.

   
   

Final Thought

While rising wages don't automatically translate to easier home ownership, they do offer a bit more financial buffer—especially in a market where every percentage point counts.

If your salary has gone up and you're thinking about upgrading your home or buying your first private property, now might be the perfect window. Let’s explore what you can afford and how to make your next move with confidence!

Reach out for a no-pressure consultation—I’ll help you run the numbers, review your options, and plan your next step with clarity.