The cost of living in Singapore has risen over the years, but so have our incomes. In 2015, the median gross monthly income of full-time employed residents was $3,949. By 2025, this had increased to $5,775, a rise of about 46%. These figures include employer CPF contributions and one-twelfth of annual bonuses.
According to UBS’s Global Wealth Report 2026, Singapore had about 244,000 US-dollar millionaires at the end of 2025. So the question is, could a person in Singapore, earning a regular salary, become a millionaire by the time they retire?
What Does It Mean To Be A Millionaire?
For this article, we define becoming a millionaire as accumulating US$1 million in savings and investments, excluding our primary residential property and CPF balances. Assuming a USD/SGD exchange rate of 1.30, this gives us a target of $1.3 million.
Becoming a millionaire does not automatically mean we have achieved financial success, which also depends on our expenses, commitments and lifestyle. Nevertheless, it can still be a useful benchmark for those working towards building their wealth.
How Much Does A “Regular” Singaporean Earn?
To begin, let us make some broad assumptions about how much a “regular” Singaporean earns.
Our starting point is the median gross monthly income of full-time employed residents, which was $5,775 in 2025. This includes employer CPF contributions and one-twelfth of annual bonuses. Assuming a one-month annual bonus and employer CPF contributions of 17%, this works out to a gross monthly salary of about $4,556. After deducting employee CPF contributions of 20%, their take-home salary is approximately $3,645 a month, before income tax.
To keep our calculations simple, we assume this person buys a BTO flat with their spouse. Their housing grants cover the downpayment, while their combined CPF Ordinary Account (OA) contributions cover the monthly mortgage without cash payments. We exclude their home and all CPF balances from our wealth calculation.
We also assume our “regular” Singaporean worker earns the same salary from age 25 until retirement at 65, without promotions or annual increments. For our calculations, we hold their take-home pay constant throughout this period.
The person spends 80% of their take-home salary, or $2,916 a month, and sets aside the remaining 20%, or $729. They also set aside their entire annual bonus, which amounts to another $3,645 after employee CPF contributions. They first build an emergency fund equivalent to six months of expenses, or $17,496, before investing subsequent savings at an assumed return of 5% a year.
We assume income tax is paid from their spending budget. We also hold expenses constant, so this is a simplified illustration rather than a forecast of how their income and spending will change over 40 years.
For reference, resident households in Singapore spent an average of $5,931 a month in 2023. If their spouse has the same spending budget, their combined monthly expenses would be $5,832, close to this average, although household sizes and circumstances differ.
Read Also: How Much You Need To Earn To Live Comfortably In Singapore
How Much Will They Have By Age 65 If They Consistently Invest?
Setting aside $729 each month and their annual take-home bonus of $3,645 means saving $12,393 a year. Building their emergency fund takes about one year and eight months, after which they begin investing.
Assuming their investments grow at 5% a year, they would have an investment portfolio worth approximately $1.4 million by age 65. Including their emergency fund, their total savings and investments would reach about $1.42 million, excluding their home and CPF balances.
| By age 65 | Amount |
|---|---|
| Total amount set aside over 40 years | $495,720 |
| Emergency fund held in cash | $17,496 |
| Amount contributed to investments | $478,224 |
| Investment growth | $924,764 |
| Total savings and investments | $1,420,484 |
Calculations use the rounded salary figures above and assume investments are made at the end of each month, bonuses are received at the end of each working year, and the emergency fund earns no interest. The 5% annual return is assumed to be after investment fees.
Under these assumptions, our “regular” Singaporean worker would exceed the $1.3 million benchmark without salary increases or counting their home and CPF savings.
About $925,000 of the final amount comes from investment growth, showing how much time and compounding contribute to the outcome.
Read Also: How You Can Make Your Child A CPF Millionaire By Contributing $400 Every Month Until They Turn 21
If the result in this article surprises you, it should not. Starting early and consistently investing $729 a month, along with an annual bonus of $3,645, can go a long way over a 40-year investment horizon.
Of course, not everyone has 40 years ahead of them or the patience to stay invested for that long. But the calculation shows how even an assumed return of 5% a year can turn regular contributions into a substantial sum over time.
Actual investment returns will vary, and 5% a year is an assumption rather than a guaranteed outcome. Inflation will also reduce what the final amount can buy.
Mathematically speaking, becoming a millionaire on a regular income in Singapore may be more achievable than we think, provided we start early and maintain the discipline to keep investing.
Read Also: 1M38: The Amazing Feat of Becoming a CPF Millionaire Couple at 38
Photo Credit: iStock/MEzairi
