Malaysian says cost of living in Singapore is lower if income-to-spending ratio is considered
Faced with spiralling inflation, Singaporeans decrying the escalating cost of living might be surprised by the optimistic view of a Malaysian living here. The woman, who has lived in Singapore since 2013, said that Singapore’s cost of living is actually lower than Malaysia’s.
This is true if you consider the income-to-spending ratio and don’t compare the exchange rate, she added.
Malaysian woman & husband earn combined income of S$6,000
Much like the Humans Of New York page from which it likely took inspiration, HOKL professes to be a social advocacy platform that documents the people of KL to get a personal glimpse of their lives.
In this case, the story comes from an unnamed woman who claimed to have been born and raised in Malaysia. She moved to Singapore in 2013 to continue her studies and married a Singaporean after graduating. She is now a permanent resident (PR).
The couple earns a combined income of S$6,000.
Singapore cost of living lower if you don’t consider exchange rate
After living in Singapore for 10 years, the woman expressed her surprise upon realising that the cost of living in Malaysia is higher.
Singaporeans love going to Malaysia for cheap food and shopping, thanks to the favourable exchange rate of up to RM3.56 to S$1. But we should consider “dollars-to-dollars, ringgit-to-ringgit, without conversion”, she said.
For example, if your salary is S$2,000 a month in Singapore and you want to spend S$200 on a bag, you can get brands such as Coach or Braun Buffel, she noted.
“If you don’t convert SGD to RM, you can easily afford the international brands with your income,” she wrote.
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The same bag in Malaysia would cost RM600 (S$171), which would seem to be a bargain when converted to Singapore dollars.
However, somebody working in Malaysia who earns RM2,000 monthly would find it pricey.
The Malaysian would have to “earn three times as much” as the Singaporean to afford the same lifestyle, she reasoned.
Thus, though individual items seem cheaper in Malaysia due to the exchange rate, the income-to-spending ratio in Singapore is more sustainable.
Couple can save up to S$500 each, have disposable income
Another reason why the woman prefers Singapore is because she and her husband have some extra money each month from their combined income.
After deducting household funds and other expenses, the couple can save up to S$500 each.
They also have disposable income for savings, meals, shopping, and vacations.
Lower cost of living helped by S$90K HDB grant
Moreover, a S$90,000 grant for the purchase of their Sengkang HDB flat helped greatly with their financial situation.
The grant was part of the Singaporean Government’s initiative to help first-time home buyers, which the couple received as she’s a PR and her husband is a citizen.
They were “extremely lucky” to get that amount, which means they have to pay only S$276 a month to service their half-loan and top-up the rest using their Central Provident Fund (CPF), she added.
It also helps that their water and electricity bills are subsidised every three months “due to Covid-19 initiatives”.
Couple also save on food, groceries & transport
Other essentials the couple save on are food, groceries and transport.
The woman described food and groceries as affordable due to Community Development Council (CDC) vouchers that can be used at eateries and supermarkets.
Public transport is capable, reliable and convenient, with a “mall [in] every corner”, which means that they don’t have to shell out cash to buy and maintain a car.
Finances aside, the woman thinks life in Singapore is “definitely more comfortable” as they have a “more secure and stable lifestyle”.
She cited generally higher salaries, better job opportunities, better work conditions, more advanced healthcare and safety as some reasons why this is so.
Misses Malaysia’s laidback lifestyle & her family
Of course, Singapore isn’t a bed of roses, the PR conceded.
Two of the challenges to living here are the fast pace of life and the crowded public transportation system, she said.
She lamented that she missed the lepak or laidback lifestyle in Malaysia, where she could sit at a mamak or eatery that usually opens all night with friends “doing absolutely nothing” with no plans at all. In Singapore, it’s hard to find a common day to meet up with friends and they must always plan ahead.
Also, “the overtime culture in Singapore is a killer” as she claims she has had to work overtime and on weekends to clear urgent tasks. In comparison, the work culture in Malaysia is more laidback and colleagues are more likely to socialise outside of work, she added.
So the woman does miss Malaysia, especially her family — but maintains that she doesn’t regret her choice to live in Singapore.
That’s because after weighing the pros and cons, she has decided that it’s still better to live in Singapore.
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Featured image by MS News.
