Category Archives: Lifestyle

Understanding Singapore’s Cost of Living: A Breakdown for New Expats

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Moving to a new country can be an exciting adventure, but it often comes with uncertainties, especially regarding the cost of living. A higher salary is often not the only thing that people take into consideration when deciding to move; often things like standard of living, ease of transport and travel, and tax often come up into consideration. For many expats, Singapore is regarded as a desirable destination due to its vibrant culture, outstanding infrastructure, and excellent job opportunities. However, understanding the financial landscape is crucial for any newcomer. Today, I will try to give a comprehensive breakdown of Singapore’s cost of living for those considering a move to this dynamic city-state.

Housing Costs

One of the most significant expenses you will encounter in Singapore is housing. The city’s real estate market is known for its high prices, particularly in central areas, such as River Valley or Tanjong Pagar, where many expats prefer to reside. Rental prices can vary greatly based on location, property type, and proximity to public transportation. On average, expats might find that a one-bedroom apartment in the city centre could cost anywhere from SGD 2,800 to SGD 4,000 per month, although I’m beginning to see less and less of the lower cost options than when I first moved to Singapore. In contrast, units in suburban areas may be more affordable, typically ranging from SGD 1,800 to SGD 3,000. Generally, if you wish to save on cost, it’s better to opt for a HDB or Private Apartment over a condo. It’s important to determine your housing budget early and explore various neighborhoods to find an area that suits your lifestyle and financial constraints. I would say, try to spend no more than 20% of your income on rental.

Transportation

Singapore’s public transportation system is highly efficient, consisting of a comprehensive network of buses and the Mass Rapid Transit (MRT) system. As a new expat, you can expect to spend about SGD 100 to SGD 150 per month on commuting costs if you rely on public transport. And now, with the new Brown Line finally open, it connects a lot of areas where expats live, such as Siglap & Great World. The affordability and reliability of this system means that many expats opt to forgo owning a car, further reducing overall costs. I seldom recommend expats owning a car, simply because of how reliable public transport is, and even taxis can be pretty affordable here. However, if you choose to drive, it’s essential to keep in mind that owning a car in Singapore is expensive due to high taxation and Certificate of Entitlement (COE) fees. The cost of fuel, insurance, parking, and maintenance can add up significantly, you may be looking at a couple of hundred of thousands of dollars!

Groceries and Dining

Another significant aspect of living in Singapore is grocery shopping and dining out. The cost of groceries can range widely depending on your preferences for local versus imported goods. Typically, a family may spend around SGD 600 to SGD 1,200 per month on groceries, heavily influenced by dietary choices. I often buy my groceries online, with platforms like RedMart, which can be a lot more costly than buying at the wet market, but there tends to be a wider range of international foods available. Dining out is also a popular option, with a meal at a hawker centre costing as little as SGD 5, while mid-range restaurants can charge SGD 20 to SGD 50 per person. Expats looking to indulge in fine dining can expect to pay a premium, with prices often exceeding SGD 100 per person. I often think that one of the main pitfalls that expats can fall into is the ‘expat lifestyle’; i.e., expensive brunches and drinks. A brunch at Lavo can set you back $200 a time, after GST & service charge, and cocktails at nice bars can easily be priced at $30 a pop. Not only that, ‘western food’ (it pains me to say that!), is often so much more costly than asian food. Thus, managing food expenses smartly can help maintain a balanced budget.

Utilities and Internet

When setting up your new home, you will need to account for utility bills, which include electricity, water, gas, and internet services. Monthly utility costs in Singapore can average around SGD 150 to SGD 250, depending on your consumption habits and the size of your household. Internet services usually cost between SGD 40 and SGD 70 per month, depending on the speed and provider you choose. Ensuring that you understand your utility needs can help you avoid surprises on your monthly bills. I find that bills tend to be a lot more affordable here than back at home, with pay-as-you-go phone contracts offering a lot of perks, such as unlimited data.

Healthcare

Singapore boasts a high-quality healthcare system, but it comes at a cost. New expats should factor in healthcare expenses, which can vary depending on personal health needs and the type of insurance coverage you opt for. While basic healthcare services, such as a GP or dental visit, are relatively affordable (less than $100 if it’s just a check-up), private healthcare facilities can be quite costly. It is advisable for new residents to acquire comprehensive health insurance to cover potential medical expenses. Depending on the provider and level of coverage, premiums may range from SGD 100 to SGD 1000 per month. Of course. you get what you pay for in terms of level of coverage. You can read more about insurance costs here:

Investment vs Insurance- Which is More Important?
Is Corporate Insurance Enough?

Education

For expatriates with children, education is often a top priority, and Singapore offers an array of schooling options—from public schools to international institutions. It’s often incredibly difficult for foreigners to get their kids into local public schools, so most have to opt for paying for international. International school fees can be quite steep, ranging from SGD 20,000 to SGD 40,000 per year, depending on the school’s reputation and curriculum. Public schools may be more affordable but often require that students be permanent residents or citizens. Therefore, budgeting for education is a critical aspect of financial planning for expat families.

Entertainment and Leisure

Living in Singapore also means enjoying a vibrant social life and leisure activities. Whether you prefer visiting the city’s many attractions, dining out, or engaging in cultural experiences, entertainment costs can add up. Monthly entertainment expenses can vary widely, depending on lifestyle choices. On average, expats may spend between SGD 200 to SGD 500 on activities such as movie outings, concerts, and recreational classes, alongside various social events. Finding free or low-cost activities in the city can help further balance your budget. I’ve done many articles on fun, free activities, so please go check them out!

If you live in a condo, utilise their facilities, such as pools, gym & tennis courts. These are perfectly great activities and ways to spend your time without costing a bomb!

In summary, while the cost of living in Singapore can be high, understanding the various components—from housing and transportation to groceries and healthcare—can empower expats to navigate their financial path effectively. With careful planning and budgeting, newcomers can enjoy the rich culture and opportunities that Singapore has to offer while managing expenses thoughtfully. Whether you’re attracted by the career prospects or the diverse community, being well-informed about the cost of living will facilitate a smoother transition into your new home.

Managing Finances and Remittances: Best Practices for Expats

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Living as an expatriate can be both an exciting adventure and a financial challenge. Whether moving for work, study, or personal reasons, managing finances and remittances effectively is crucial for maintaining stability and ensuring that hard-earned money gets where it needs to go. Below are some best practices for expats to manage their finances and remittances efficiently.

Understanding Local Financial Systems

One of the first steps for expats is to familiarise themselves with the local financial systems of their host country. This includes understanding banking regulations, tax implications, and currency exchange rates. Choosing the right local bank is essential, as some banks may cater better to expats by offering services such as foreign currency accounts or international wire transfers. It’s crucial to research any associated fees and access to ATMs, as these can impact your daily banking experience and overall financial health.

I found that setting up a bank account with DBS was the easiest for foreigners. All I needed was a letter from my local employer and the set up was swift. DBS is also very good because they have multi-currency options, perfect for if you’re travelling a lot.

Creating a Budget

Budgeting is a fundamental skill for successful financial management. Expats should create a budget that includes their income, expenses, and remittance goals. This helps in tracking spending habits and allows for better planning of monthly expenses, such as housing, food, utilities, and transportation.

It’s beneficial to categorise expenses into needs and wants, ensuring that necessary expenditures are covered before allocating money for discretionary purchases. Regularly reviewing and adjusting the budget can help expats manage financial fluctuations, especially in a new and sometimes unpredictable economic landscape.

You can read more about how I did it here:

How I Planned My Finances

Utilising Technology and Financial Tools

Technology plays a significant role in streamlining financial management. Expats can take advantage of various apps and online tools for budgeting, transferring money, and tracking expenses. Many digital platforms offer real-time currency conversion, allowing expats to make informed decisions when sending remittances home. Moreover, using online banking apps, budgeting tools, and expense trackers can simplify the process of managing finances, making it easier to stay organised and on top of payments.

Be careful with ensuring that you are doing secure payments and using legitimate platforms. You can read more about fitech and cyber security here:

Guarding the Vault: Fintech Cyber Security and a Finance 101

Considering Remittance Options

Sending money back home is often a priority for expats, whether it’s for family support or investment purposes. Selecting the right remittance method is vital. Traditional banks may offer remittance services, such as DBS offering free remittance to most countries (UK included), but they often come with high fees and less favorable exchange rates.

In contrast, online money transfer services and mobile apps like Wise, Remitly, or PayPal can provide cheaper, faster options. Expats should compare the costs, speed, and convenience of different remittance services to ensure that they are getting the best deal for their needs.

I use OFX, as they are a lot cheaper than the banks, even cheaper than Wise & they also offer great customer service. With a 24 hour hotline, you’re not going to worry about where your money is. If you’d like to get in touch with them, let me know and I can put you in contact!

Understanding Tax Obligations

Tax obligations can be complex for expats, often varying significantly from country to country. Many nations tax worldwide income, which means that expats may have to file tax returns both in their host country and their home country. It’s essential to understand the tax treaties that may exist to avoid double taxation. Consulting with a tax professional who specialises in expat finances can greatly benefit individuals seeking to navigate these complexities. Staying informed about changes in tax laws and obligations is vital for avoiding penalties and ensuring compliance.

You can read some specific tax articles that I’ve written here:

Updates On The UK Spring Budget 2024
Tax Relief For Foreigners
How NRIs Can Make The Most Of Their Time In Singapore
Why Should Expats Open an SRS Account?

Building an Emergency Fund

Lastly, establishing an emergency fund is a critical financial practice for expats. This fund serves as a financial safety net in case of unforeseen circumstances, such as job loss, medical emergencies, or unexpected expenses. A good rule of thumb is to save at least three to six months’ worth of living expenses. This fund can provide peace of mind, allowing expats to focus on their new life abroad without the constant worry of financial insecurity. Regularly contributing to the emergency fund, even in small amounts, can accumulate over time and offer significant support in challenging times.

You can read more about emergency funds and what to do before you invest here.

3 Steps Before You Invest!

In conclusion, managing finances and remittances as an expat involves a careful blend of understanding local systems, budgeting effectively, utilising technology, considering remittance options, staying informed about tax obligations, and building financial resilience through an emergency fund. By adopting these practices, expats can navigate their financial landscape more confidently, ensuring a successful and stress-free experience in their new country.

F.R.I.E.N.D.S; Your Job’s a Joke, You’re Broke!

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I’m going to start this article with a controversial opinion; I don’t think Friends was actually that good. I much preferred the crossover storylines & humour of Seinfeld, and I didn’t think it was as ground-breaking as Sex And The City. However, I will say that Friends did explore very important topics, one of them being money.

This show really highlighted the relationship between friends, work, money and how each character dealt with these situations. So I thought, seen as I’ve done The Simpsons, Sex And The City, and Seinfeld, it would be cool to analyse each character and how they behave with money. Of course, we are going to explore topics about rent (like how the hell did Monica and Rachel have that huge apartment in NYC!), careers, and if I think each character was good at saving and investing.

Chandler Bing

Chandler is a great character to analyse financially. Although his career is a big vague (something in IT management?), we see his career grow significantly, to where he is considered a higher income earner. Some articles say his salary would have been roughly USD 100,000 per annum, with others saying up to USD 180,000. I can imagine that this corporate role of his gave great benefits; probably health insurance, bonuses and maybe even contributions into a 401K. This would mean that Chandler would have a good capacity to save- a high income with less fixed expenses. And we can see that throughout the show, mainly when he does a mid-career switch and becomes an intern. This would mean that he would have taken a massive pay cut, but that doesn’t seem to phase him. This tells me that he had enough saved up in his emergency fund to be able to still cope, even on a lower salary. The only red flag Chandler has when it comes to money is his willingness to loan a friend cash without expecting it to be repaid. He lends Joey a lot of money, and covers a lot of his expenses, and I don’t think Joey pays it all back. To me, this shows that Chandler has a blurred line between logic and emotion, particularly with money. He could have learnt to either say no to Joey, or set some expectations as to when and how he would like to be repaid.

Rachel Green

Rachel’s career development throughout the show is very interesting. She starts off as a runaway bride from a rich husband, and we know her family is well-off, but she gives all that up and becomes a barista and waitress at Central Perk. It’s difficult to estimate her salary at this point, because wait staff do not qualify for minimum wage in the US; their base salary is very low and the rest is tips. Whilst tipping culture in the US is huge, one could argue that Rachel may not have been getting a lot of tips. She isn’t great at her job and often messes up orders. Moreover, Central Perk is a cafe, not a fine-dining restaurant, so the tips in general wouldn’t been as high as other establishments.

By the end of the show, she works in fashion, pulling a salary of roughly USD 55,000. I’ll explain later that her fixed expenses in terms of rent would have been very low. However, something tells me that Rachel’s expenses would have increased with her income; she doesn’t duplicate an outfit, and we see her with some designer pieces too. Although her job at Ralph Lauren would have given decent benefits (similar to Chandler), I think her lifestyle expenses would be more.

I’m unsure whether Rachel would be investing, as well as saving. She is hard-working, but she can also be spontaneous, which leads me to believe there’s not a tonne of forward-planning going on. She comes from a well off background, so there is a chance that her parents may have taught her the importance of investing, or she may have been completely sheltered from it.

Ross Geller

Maybe another controversial take- I cannot stand Ross. He has that toxic ‘nice guy’ trope, he doesn’t treat Rachel well and my biggest gripe is his job as a Palaeontologist. As someone who has a BSc (Hons) in Palaeobiology & Evolution, and an MA in Palaeolithic Archaeology & Human Origins, I can tell you right now that Ross’ job doesn’t make any sense. His lectures often cover non-palaeontological topics such as geology and sedimentology, and he often talks about his research in anthropology. These are all different things, and a lecturer would not be trained in all of these areas, or be hired to give lectures on all of them! Another point that always confused me is that Ross is portrayed as a higher income earner, with his salary being estimated at USD 75,000 a year. I know it’s very different to the US than in the UK, but I know for a fact that in England no palaeontologist would earn that amount.

But it’s not all peachy for Ross- he has a LOT of expenses; he’s the only one out of the six that lives alone, which means that he’s covering the rent by himself. He also has two kids and is three times divorced, which means that he would have a lot of outgoings in terms of child support and alimony.

Monica Geller

Monica has very good financial standing in the show. A head chef would have been pulling a salary of approximately USD 80,000 a year. Chefs have to work long hours, which would mean less time to spend money on going out. Not only that, if you work in a restaurant, it’s very common for your food to be covered, meaning that Monica wouldn’t have a tonne of expenses going out each month. Now let’s talk about the apartment. That place was huge, and we all know that New York is super expensive, even back in the 90s. So how did Monica (and Rachel) keep up with rent every month? It’s mentioned in the show that the apartment originally belonged to her grandmother, and when she moved away, Monica began living there and started subletting it out (illegally). This apartment was rent-controlled, so the rent would have only been USD 200! This would have been so cheap when spilt between her and Rachel, meaning that Monica’s living cost would have been very low indeed.

Moreover, Monica has quite an organised, cautious and responsible personality. This tells me that she was provably a prudent saver and investor, and she probably would have been investing in cautious portfolios. This would mean that sh’e likely be seeing moderate returns of 4-5%, meaning that her money would have been out-performing inflation. Therefore, Monica would be well set up for future kids’ expenses, and retirement.

Phoebe Buffay

Arguably the lowest earner out of the bunch, Phoebe’s salary is very difficult to estimate. Like Joey at times, we see her doing lots of various odd jobs, such as free lance caterer, busker, or a masseuse. A masseuse in the 90s could have drawn a salary of roughly USD 50,000. So at times when Phoebe’s salary was consistent, she could have been managing ok. Moreover, she lives with her grandma, meaning low fixed expenses, and she even inherits this property when her grandma passes. Whilst this would mean additional costs, such as maintenance and various taxes, that would be a huge boost for Phoebe’s assets. Other than this, I get the feeling that Phoebe often lives paycheque to paycheque, and therefore not a lot of space for savings and investing.

Joey Tribbiani

Joey’s character I think is the most interesting to explore. Throughout the show, we see Joey’s professional career as an actor- a job which is not always consistent or full time. And because of this, we often see Joey going through bouts of unemployment, or doing odd-jobs. However, by the end of the show, he is arguable earning the most out of the six, with his annual salary estimated at around USD 130,000. One thing I like about Joey is that, although his salary massively increases, his lifestyle doesn’t seem to change a tonne; he stays living in that apartment for the most part, he still enjoys home cooked Italian food or take-out, and we don’t see him spending too much on frivolous luxury items.

Another positive portrayal in the show is the bond between him and his family. They seem incredibly supportive of him, and value quality time together. Coming from a Mediterranean family myself, I can imagine that Joey’s culture and family dynamics contributed a lot to his money habits. From personal experience, immigrant families tend to have very strong work ethics, understand the importance of saving and realise that there are non-material ways that you can feel rich. I’m sure a lot of these mindsets rubbed off on Joey, but one thing about him that isn’t so good is the fact that whilst he is out of work or doing odd-jobs, he often relies on Chandler for financial support. Chandler not only covers his rent and food on several occasions, but he also pays out of pocket for Joey’s hernia surgery, which if you know anything about the US healthcare system, you know that it’s really quite costly! A fan estimated the amount that Joey owes Chandler, at a whopping USD 101,760!

All in all, Friends is a great portrayal of a group from various income brackets, with characters with many different money mindsets. We can learn a lot from them, such as the importance of setting aside for a rainy day, minimising our fixed expenses, and how to deal with friends in different money situations to us. I’ve really enjoyed doing this financial deepdive into the show, but I’d like to move away from US (particularly NYC) based shows! So please give me some suggestions for the next ones!

References:

https://www.bustle.com/entertainment/friends-characters-salaries-earned-throughout-series-estimated

https://entertainment.ie/tv/tv-news/a-friends-fan-has-worked-out-how-much-joey-actually-owes-chandler-216057/#:~:text=So%20the%20final%20answer%20is,career%20of%20a%20Transponster

https://www.cbr.com/friends-how-monica-afford-apartment/

Normalise Talking About These Four Money Topics!

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I recently went away with a friend, and then my family joined me later on, and finances (money in general) came up a lot in general conversation. I was really pleased with how open the discussions were, and I realised that not many people actually have open conversations in their day-to-day lives about money. Whilst money is seen as somewhat of a taboo to talk about, and I do agree that sometimes it is inappropriate, I do think there are some conversation topics we should normalise talking about, here are the top four money topics we should normalise!

One: Saving for a rainy day.

Actually came up quite a lot on my trip, mainly because the friend I was travelling with quit her job to take a year (or more) out to travel the world. She mentioned that quite a lot of people that she met whilst travelling were shocked and confused as to how she could afford to do that. I also commented that I experience quite a lot of the time, especially in Singapore, that if somebody loses a job, they quite quickly mention that they are unable to afford living in Singapore anymore, pack their things, and leave.

I am aware that visa situations can stop people from staying in Singapore more than a month after their visa is cancelled, but a lot of these people are on a One Pass, and if you have read my previous article, you’ll know that this pass doesn’t have so many immigration issues, and basically allows people to stay in the country even without work. So why aren’t people able to stay in the country longer than one month was they look for another job? I think it’s because many people do not save and sometimes spend beyond their means, meaning that if an emergency happens, they are not able to pay for the upfront costs.

Similarly, I think a lot of people are shocked that my friend was able to go travelling for a year, because they realised that they do not set aside enough to cover a years worth of expenses. With conscious & rigid savings of your surplus each month, and planning properly ahead, you are able to set aside for a rainy day, an emergency, or even if you want to take a break from work. Remember, you should have at least 3 to 6 months of your spending as liquid cash available.

Two: Future proofing and passing on your money.

This one might sound quite morbid, and unfortunately, it is really. But my family and I recently have experienced quite a lot of deaths, and as horrible as it is to talk about, it’s better to start talking about future planning and what happens to your finances before it’s too late. For example, my dad shared with us that one of his clients recently passed away, and being UK residents, their family were hit with a huge inheritance tax bill of 40% of the entire wealth. I commented and asked why more people don’t just take out life insurance; in the UK, we can put this into a trust, which protects it from inheritance tax, and that way, even if you have 40% of your wealth in an insurance policy, that will cover the inheritance tax bill at the end of the day. This is a lot more cost-effective than trying to put your housing into a trust, which can often mean paying a lawyer annually to maintain.

He told me that he thought that was a brilliant idea, and a really good way to inheritance tax plan, but not enough people think about it or talk about it with their family, and then unfortunately it is too late. Although in Singapore, we do not have inheritance tax, any overseas assets may be liable to whatever inheritance law is applicable in that country. Moreover, even if your assets are all in Singapore, probate can take a very long time for all the assets to be distributed correctly. Planning ahead for the worst outcome means that you can ensure that your wealth is passed quickly, so the next generation, or whoever you want it to be passed down to, and also means that your family enjoy your hard work, more than a large portion, going to the tax man!

Three: The importance of investing

My friend commented that while she was on a world cruise, she had paid for the internet package on the ship, and whilst it is expensive, I do agree that access to internet in this day and age is a must. However, I was shocked to find out that many of the people on board were not paying for internet, and we are struggling day-to-day, and even asking her to use her internet package! She had commented that it’s obvious that these people aren’t managing their finances correctly, because in a four-month cruise, during that period, you would need access to your online banking, and your investments. She also said that a few of the people on board scoffed at the idea of investments. Unfortunately, I find this very common, even today.

Investing is the only way that you can beat inflation, because most savings accounts do not beat inflation, and endowment policies and savings plans, whilst they do have a guaranteed amount, these often have incredibly high charges, and also do not beat inflation. Thinking that you are going to have a comfortable retirement without doing any savings and investing planning, is quite frankly, not a reality!

What’s more, whilst I have mentioned in the past, and I still think that you should not be checking your investments every single day, it’s important to be having regular reviews with your wealth manager, at least annually, to ensure that your financial and investment goals are still on track, and you can make any adjustments to your investments if necessary. If you are at a retirement or financial freedom stage of your life, it’s also incredibly important to plan how you are going to draw down from your investments, effectively and tax efficiently.

Four: Property

I feel like property is often shrouded in mystery, what can you buy, what can’t you buy? What kind of mortgage? What taxes are applicable and what rent should you charge? My friend has recently sold a property, and I recently closed on an apartment, so the topic of property came up quite a lot on our trip, and even more so with my family afterwards. I think it’s really important that we normalise talking about property purchase more frequently, because there seems to be a lot of misinformation out there. For example, my friend was hit with a large tax bill when she sold her property and nobody, not even her accountants, informed her about this! Many people don’t think that they can apply for a mortgage if they are an expat, which is definitely not the case. Many people don’t understand the process of buying, and how to go about finding a solicitor and so on, and I think if we open up this conversation more, there will be less chance of confusion.

To be honest, I think I have many more things in terms of finances that we should normalise discussing, but seen as I’ve been talking about these four topics a lot recently, and I have been having very productive and positive conversations, I think it’s important that we all normalise certain money conversations in the right spaces. What kind of money conversations do you think we should normalise?

Updates On The UK Spring Budget 2024

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For Brits, the most recent Spring Budget announcement was incredibly important, as it gave us some very key and drastic updates for tax and spending. Essentially, Chancellor Jeremy Hunt aimed to deliver lower taxes, encourage investment and improve public services. Although the elections may affect this announcement, it’s still very important for Brits, particularly those abroad, to be aware of. Martin at Spice Taxation (Company Registration No. 202133724G), has written a very in depth piece on the Spring Budget. It’s incredibly useful to hear the views of a professional tax expert, and Martin has been kind enough for me to share his thoughts here. Of course, I myself am not a UK Tax expert, so I often seek the help of professionals, such as Martin, to help me and my clients with their tax planning when necessary.

Below is Spice Taxation’s write up on the matter.

Our Thoughts on the Spring Budget – 6th March 2024
The Most Important Budget for Expatriates since 2010


“Over the years I have discovered that I am just not very good at predicting Budgets. Speculation is always rife about what a Chancellor might do in face of this and that economic and political situation, but mostly the actual announcements just tend to underwhelm and disappoint. Maybe I just crave excitement!


However, all that changed with Jeremy Hunt’s Budget on 6th March. It is likely to be the last Conservative Party Budget before the next General Election – an election which the Labour Party is widely expected to win. So, it remains to be seen how many of the announcements will find their way onto the Statute books if Labour does win. That aside, it really was an exciting Budget which promises a lot of change, much of it positive.


For much of the speech, it felt like a ‘normal budget’ with a plethora of announcements about regional incentives, funding initiatives, levelling up grants, subsidies and tax breaks for the arts etc. However, there was also a number of genuinely eye-catching and important announcements which are also relevant to expatriates.


First of all, Jeremy Hunt announced a further reduction in National Insurance paid by employees and the self-employed of 2%, from 6th April 2024. For employees, this will reduce from 10% to 8% and for the Self-Employed from 8% to 6%. For those returning to the UK, this will be welcome news.


Secondly, he announced the intention to introduce a new Individual Savings Account – the UK ISA, with an annual subscription allowance of GBP 5,000, in addition to the existing threshold of GBP 20,000. This new ISA would hold British-only assets – equities listed on the four recognised UK stock exchanges, UK corporate bonds and gilts and collectives. This will be good for UK resident savers.


Third, there were a few property tax announcements which came as a surprise:


o The marginal rate of Capital Gains Tax on the sale of residential property will reduce from 28% to 24% from 6th April 2024. This is intended to help stimulate the property market. The basic rate will remain at 18%. This is good for anyone selling, gifting or assigning an interest in UK residential property from that date.


o Multiple Dwellings Relief for Stamp Duty Land Tax is being abolished from 1st June 2024 – this was a relief that allowed you to take the average purchase price for SDLT purposes where at least two properties were being purchased in a single transaction.

o Furnished Holiday Letting status is to be abolished from 6th April 2025, with some anti-forestalling provisions which came into effect on 6th March 2024.


o The geographical scope of Agricultural Property Relief and Woodlands Relief (two Inheritance Tax incentives) will be limited to assets situated in the UK only from 6th April 2024 – those situated in the Crown Dependencies and the EEA will lose their IHT protected status.


Fourth, the VAT registration threshold will rise to GBP 90,000 from 6th April 2024, an increase of GBP 5,000, which will be welcome news for small businesses.


However, perhaps the biggest and most barnstorming announcement was the abolition of ‘non-dom’ status from 6th April 2025. The Conservative Party has been a staunch defender of the ‘non-domiciled regime’ over many years, so it was something of a surprise to see them adopt an avowed Labour Party policy. Stealing their thunder no doubt. It is a very major announcement that will impact many people.

In a nutshell, the Government plans to delink a person’s ‘domicile status’ from their UK tax outcomes, and move to a residence-based set of incentives. Consultation documents are yet to be published, but the main features of the new system will be to:

– Abolish the ‘remittance basis of taxation’ for UK resident ‘non-doms’.

– Replace it with an opt-in system that will allow, seemingly anyone – including, presumably, British nationals – to exempt their non-UK incomes and gains from UK tax for the first four years of UK residence, provided that they have been continuously non-resident for at least the 10 previous years.

– Exempt from tax the remittance of these non-UK income and gains to the UK, which will be hugely simplifying in the long run.

– Retain Overseas Workday Relief for qualifying individuals for the first 3 tax years of residence.

– Apply world-wide taxation for all individuals from the 5th year of residence in the UK.

– Introduce a thoughtful set of transitional reliefs for certain ‘non-doms’ who are already resident in the UK

– Switch away from a ‘domicile based’ system of Inheritance Tax to a residence-based system, whereby qualifying individuals switch to IHT on world-wide assets only after 10 years of residence.

Keep anyone who leaves the UK within IHT for 10 further years, which presumably also will apply to British Expatriates too. UK assets remain within Inheritance Tax at all times, regardless of residence.

We are missing a lot of technical detail here which should be answered by the Consultation Documents that the Government will be publishing shortly. So watch this space! However, whilst I have many more questions than answers at the moment, at first sight the main impacts appear to be the following:


a) Tax planning for relocation to the UK is likely to change quite a bit and these proposals could amount to a generous tax break for returning British expatriates.


b) They will also make Inheritance Tax planning potentially a lot simpler and not so reliant on subjective judgments about where a person is domiciled.


c) It might possibly result in an exemption from Inheritance Tax for a swathe of non-resident British expatriates who have already been non-resident for at least 10 years, which would be quite a result!


I am going out on a limb a little by saying that it appears the proposals will also apply to those we currently regard as ‘domiciled’ in the UK. However, surely that is the point – it is switch away from a tax system where a person’s domicile was the deciding factor, to a tax system where the deciding factor is driven by residence. This potentially bodes extremely well for British expatriates.
If this Budget does turn out to be the Conservative Party’s fiscal swansong, it is perhaps fitting that its period of Government will be bookended by a commitment to enshrine in law a statutory test for residence in 2010 at the start, and a set of announcements that displace domicile with a new regime based on that very residence test at the end. Mastering the Statutory Residence Test is clearly going to be more and more important.
Beyond this, all tax rates, thresholds and allowances for Personal Tax remain frozen, as do the rates for Corporation Tax. The dividend allowance will fall to GBP 500 from 6th April 2024 and the Capital Gains Tax Annual Exemption will fall to GBP 3,000 from the same date. Class 2 and Class 3 voluntary National Insurance Contribution rates will remain unchanged at GBP 3.45 per week and GBP 17.45 per week respectively, and the New State Pension will rise to GBP 221.20 per week (of GBP 11,502.40 per year) from 6th April 2024.”


If you would like to discuss your own circumstances in confidence or would like to be on the subscriber list for Spice Taxation’s new dedicated coverage of these breaking developments, please contact Martin at martin@spicetaxation.com or by sending a Whatsapp to +65 96650019.

I’d like to thank Martin at Spice Taxation for allowing me to share this information with my readers. I am sure that this will help many of you plan your finances in relation to UK tax.

One Pass

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For expats that have been Singapore for a while, like myself, I’m sure that you have noticed that there has been a change in how easy it is to obtain employment, passes or visas to work here in Singapore. Particularly, a couple of years ago, the rules around Dependants Passes were changed, meaning that dependants of those on Employment Passes could no longer get a Letter of Consent to work. This was devastating for many, meaning that, as soon as their spouses contract ended, or Employment pass was due for renewal, they too had to quit their jobs, rendering them a stay at home spouse. The only way around this, which I know many have taken up, was to set up their own business and either get themselves an Employment Pass, or a Letter of Consent to work. 

However, this comes with many challenges, such as business costs, and the need to hire a local above a certain salary. I can understand why many chose to leave Singapore during this time, because a dual-income household is obviously going to be better than one in most circumstances. 

But now there is a new pass that allows for flexibility and means that dependants can work, just like Dependants Passes used to be! This is the One Pass, or the Overseas Networks and Expertise Pass. I thought it would be a great opportunity to write about this pass, some of the requirements, and the application process, because most people I know are not even aware about this pass. 

What Is A One Pass?

This pass is very similar to a PEP, or Personalised Employment Pass, with some extra added benefits. You can either apply for yourself, or get your company to apply for you, and has a longer duration than a PEP, of five years. The good thing about the One Pass though, is that it has subsequent renewals, also for five years. Of course, there is certain criteria that needs to be followed, such as a fixed monthly salary of at least $30,000 for the last 12 months or have been offered a job in Singapore by their future employer for at least $30,000 a month. There are special considerations, which I will come onto later, but this is the main route to be eligible for this pass.

Those on a One Pass are not restrained by the Compass and Fair Consideration Framework Advertising requirements, meaning that you don’t have to wait for the job to be posted for a certain amount of time and do not have to fill out the self assessment tool based on your age, experience, et cetera like you do for Employment passes. Flexibility is a massive bonus for this pass, meaning that you can work for multiple companies at any one time, and your pass or visa is not tied down to your employment in Singapore. This also means that if you change jobs, you don’t need to reapply for this pass.

Special Considerations 

 As I previously mentioned, there are ways that you can qualify to outstanding achievements, meaning that you don’t necessarily have to earn a minimum of $30,000 a month. If you have made outstanding achievements in either sports, arts and culture, or academia and research, the salary criteria will be waived. Of course, this is subject to individual review by MOM and other necessary agencies.

What if I Set Up a Company?

Of course, if you want to set up a company, and under the One Pass, you can do so, but many will say that it is very unlikely that you will be receiving $30,000 a month salary from a new business! That’s okay, because the renewal criteria for this pass allows leeway for this. If you’ve started and are running a company in Singapore, you need to employ at least five locals, and they need to be earning at least $5000 a month, your One Pass will be renewed under this criteria instead of the $30,000 a month.

Family

Family members independence were one of the main reasons I decided to write this article because this will allow you to continue to have a dual-income household, without your spouse having to search for their own Employment Pass or S Pass. Your spouse may have a Dependants Pass with a Letter of Consent to work in Singapore under the One Pass. This is great for not only the spouse, but also employers because those on a Letter of Consent do not have to meet S pass or E pass quotas and their salary can be a bit more flexible. It also means that you can get a Long-Term Visit Pass for parents, step children, and even common-law spouses. Of course, if you have children of your own, it’s no issue putting them on a Dependants Pass.

Thing to Take Note 

There are some key differences between this pass and Employment passes, Personalised Employment passes, Entre or Tech passes. For example, Entre, Tech and Employment passes may only be valid for one to 2 years, with Personal Employment passes normally being valid for three years. Of course, the One Pass is mainly targeted at high-income earners, such as executives who have a long track record in that industry, or outstanding individuals in arts and culture, sports, science and technology, or academic research.

Personalised Employment passes require a minimum salary of $22,500; this isn’t too much of a large gap between the One Pass at $30,000, but of course it can be seen as a very large jump if you are on an Employment pass. This path offers many flexibility options that regular Employment passes don’t, meaning that you are not tied to one employer, you can work freelance or work for multiple companies at one time, including starting your own business. This is very similar to a Personalised Employment Pass, but you cannot renew a Personalised Employment Pass.

Why is it Good?

The best thing about the One Pass in my opinion is definitely the Dependants passes for spouses.

In my opinion, this will encourage high-income earners to move to Singapore because they do not have to think about their spouse having to be a stay at home partner if that’s not what they want. I have known many people to leave Singapore because their husband or wife cannot find a job here that will give them an SPass or EPass . This completely takes away that stress and means that those on a one pass can make a smooth transition to Singapore and have a dual income whilst residing here!

I hope you found this useful, by no means am I a recruitment or visa specialist, but I know many people that have gone through this route. If you’re interested in finding out more have any specific questions, feel free to reach out!

Update On Taiwan

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Only one week after I posted about all the elections in 2024 and what this could mean for global geopolitics, Taiwan has elected Dr William Lai as their president.

This may make things difficult, as Lai has vowed to protect Taiwan from China’s aggression. Xi Jinping has labelled Lai as a troublemaker and obviously would not want Lai to threaten his One China policy. Moreover, tensions have risen after the US congratulated Taiwan on the result- something that China claims goes against the US’s unofficial relationship with Taiwan.

Washington also used phrases like ‘diplomacy’, ‘partnership’ and ‘shared interest and values’, which has of course annoyed Beijing even more. The relationship between Lai and Xi Jinping is so bad that William Lai is not allowed to travel to Mainland China or Hong Kong! The two have not been in communication since 2016. Will this mean that China will increase its economic pressure on Taiwan? Will they threaten military force like they did in 2022? Whatever will happen, it’s clear that tensions will surely rise, as Lai is pro Taiwanese independence.

Of course, the result of the US election will greatly affect China and Taiwan, also, so we will monitor closely as the situation unfolds.

A Political Year For 2024

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2024 may be the biggest election year ever, with almost half of the globe voting! At least 64 countries, plus the European Union will be voting and holding national elections. This is a massive year for global politics, so I thought I would discuss some of the notable elections and ones that interest me (don’t worry, I shan’t talk about all 64!).

US

This one probably makes us groan, and I’m sure we’re all bored of hearing about Trump & Biden, but this is arguably the most important election out of the lot. The US is the largest global power, and this election could see a change in USA’s relationship with North Korea, China, Russia and their stance on the ongoing conflicts in Gaza and Ukraine, depending on who wins. Also this is probably the only one where one of the candidates was a previous president who got impeached twice?

Taiwan

I feel like the whole world has been holding their breath when it comes to Taiwan & China, and this election will be no different! The winner of the Taiwanese election will have a tricky balancing act with China, and it’ll be interesting to see if Beijing continues its hold on the island, and whether the imminent threat of invasion will remain.

North Korea

This is interesting, because I didn’t even know the Democratic People’s Republic of Korea had elections (?!). I’m sure the Kim family, who are seen as somewhat deities in North Korea, don’t have an opposition party? What’s even more interesting, is that every election has been given a ‘freedom & fairness’ score (with 0.00 not being free nor fair at all, with 1 being the most free and fair), and North Korea scored higher than a lot of countries! I thought it would score 0.00, but it scored 0.14, which was higher than Venezuela- which I also expected to be low! Countries that scored 0.00 were Syria, Mali, Chad and South Sudan.

India

This election will be one to watch; not only is this election the largest in the world, but India is a rising global power and one of the most populous countries on the globe. The outcome may change not only domestic policies, but also regional politics, particularly concerning China. It may also escalate (or hopefully deescalate) the country’s rising Muslim/Hindu tensions.

Russia

Shockingly another country that’s free & fairness is not at the bottom of the list (although it is above North Korea)! But I don’t think anyone will be shocked when Putin is re-elected and the current trajectory of Russia’s geopolitics continues- i.e. the war continuing.

EU

Sadly, we’ve seen a surge in right wing parties in Europe, and I’m wondering if this will continue into 2024? It seems that a lot of centre-right parties will maintain their current positions, with even far-right parties gaining traction. The main points for discussion will of course be how the EU navigates conflicts, such as in Ukraine and Gaza, along with its green policies and the EU budget. Deficit Rules were suspended during the pandemic, meaning that members were allowed to borrow whatever they wanted to support their citizens, but this is set to be scrapped in 2024, with Deficit Rules being reinstated. Will this create tension between members?

Indonesia

I don’t have a tonne of opinions on this, but I thought it was interesting to note that Indonesia’s elections are only being held over one day! That’s the largest single-day vote, and I wonder how they are going to pull that off in such a large country that has some very remote locations.

Ukraine

Even though Ukraine is under Martial Law, which normally prohibits elections, there has been talk of these elections continuing, as a mark of democratic health. However, this may prove to be too challenging to organise during a war, with safety being a main concern. Either way, Zelenskiy is set to run for a third term, and he will probably win, with his ratings still remaining very high. However, parliament would have to change the law so that Ukrainiens can vote from overseas.

UK

The outlook of British politics has been bleak for a while now, and with the Conservative Party being in power for the past 14 years, some believe that Labour will win the next election, which Sunak has said will be held this year. This is conflicting for me- whilst I am desperate to see the Conservative Party go, and end their reign of austerity, I’m not convinced that the Labour Party will do a better job. Not only that, I have found myself shocked at every vote and election result in the UK for the longest time. None of us thought Brexit would happen, and how naïve we were to think that we would remain. So I’ve learnt to never think that the obvious flaws of the current party, means that they won’t be re-elected!

Whilst this may be the biggest election year ever, it may also be the most challenging for democracy, with many elections being carried out unfairly, or with risk of danger. Not only that, shock decisions and outcomes may shake the geopolitical framework as we know it. It’s going to be an interesting year for sure.

For the full information on the freedom & fairness score, check out Our World In Data: https://ourworldindata.org/grapher/free-and-fair-elections-index and for the full list of elections, along with dates & scores, check out this great article by Time: https://time.com/6550920/world-elections-2024/.

2023 Reflection

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Whilst I am a big advocate for looking forward, I have learnt over the past year that reflection is just as important. So, I thought that it would be beneficial to look back over the past year and think about all the challenges and accomplishments I have experienced.

Personal Challenges

I’m not going to dwell too much on this topic but I feel that it’s important to highlight because I have not had a perfect year- whilst my professional life has been a success story, I have had my own crosses to bear in my personal life. I recently lost someone very close to me, only a few weeks before Christmas, and this has made me remember even more that family is most important and we should cherish these moments that we have.

Many people have commented that I seem fine on social media and that I’m still going to work, so I must be ok, but this is truly not the case. Grief hits people differently, and I’m choosing to try to continue with the day to day.

Business Challenges

Of course, like the market, work life also has its ups and downs. Not only have we all struggled with the cost of living and the markets not recovering like we had hoped, but here in Singapore the job market has become extremely volatile. I’ve had lots of clients, and indeed friends, leave Singapore due to losing their jobs or finding better opportunities elsewhere. Luckily, I am still in contact with many and some have even returned to Singapore, but it just shows that nothing is certain, not even our jobs, which is why it is so important to plan, have emergency savings etc.

On top of this, as many may know, during the first half of the year I was feeling quite deflated about my work situation; I felt that I was frequently made to choose between work and my personal time, and I felt that I was neglecting other parts of me. If you have read my reflection post when I turned 30, I think you will understand a bit more. I was starting to feel like there was a glass ceiling too; the holistic planning I was providing for my clients had gaps in, as I could only provide certain solutions. This made me feel like there must be something more, something better, so that I can be offering my clients the best service possible.

Business Successes

This actually led me onto many business successes. I truly believe that if there’s something wrong in your life that you can make an effort to change, you should do so. So that’s what I did. When I turned 30 I changed my mindset, sorted out my work-life balance, upgraded my skills and even changed jobs. Now I can provide my clients with even more support and advice that before, with solutions that are more suited to the expat transience we so frequently see in Singapore. Not only that, the level of support and resources that I am receiving now means that I can have a wider reach; I’ve recently had amazing opportunities such as speaking at conferences, hosting my own launch event, attending investment insight conferences and as of next year I will hopefully be joining an advisory board (more news to come)!

Of course I need to thank of all those that entrusted me with these opportunities to speak and share my knowledge, but this has also proven to myself that I can do it- that lul in the middle of the year was only temporary, and I am very excited for the upward trajectory I appear to be on for 2024. I’ve managed to empower and inspire others through my articles, videos and podcasts, and I can feel like I’m really making a difference.

Personal Successes

I feel like this positivity and new lease of life when changing jobs has created a domino effect, where things in my personal life have also been going well. I’m a lot happier and less stressed, which means that I am able to nurture and spend time working on my relationships. My friendships have grown stronger this year, I have travelled for some beautiful weddings, and I’m very blessed that my friends shared their special days with me, and I will be travelling home for Christmas to spend some quality time with my family.

Whilst this year has been far from perfect, I’m very lucky to have the life I have- I have wonderful friends, family and husband, my career is on the up, and whilst there has been a lot of sadness too, I’m ready to grieve and put the effort into healing.

I hope you took something away from this and it wasn’t just a self-indulgent exercise; I encourage everyone to reflect during this time of year and look forward to the year ahead!

My New Podcast! Expat Finances: The Go-To-Girl

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I’m really happy to announce that I have started a new podcast on Spotify! I noticed that talking about money, especially as a woman, is still seen as a bit of a taboo subject. I’m here to empower and impart my knowledge for other expats in Singapore, on how to successfully navigate personal finances.

Click on the link below to listen- I release new episodes every Monday so be sure to tune in!