Malaysia VS Singapore, is living in Malaysia really CHEAPER?

Is it really cheaper to live in Malaysia 🇲🇾 than Singapore 🇸🇬? Here's what I found! 🧐
#malaysia #singapore #economy
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[MrMoneyTV]

Malaysia VS Singapore, which has the cheaper living cost? 🧐

[idknight]

I'm from Singapore but worked in Malaysia before. There are a few more things to add to "complete" the comparison :
1. Earning power - median fresh grad pay in SG is S$3.7k and average fresh grad pay in MY is RM2k+ (national, its probably higher in KL).
2. Tax - effective tax rate in SG is lower than in MY. The tax rate for 4, 000 monthly income in SG is S$1, 110 p.a. and in MY is RM1, 490 p.a.. Effective tax rate goes up quicker the more you earn in MY vs SG.
3. CPF vs EPF - employee contribution is higher in SG (20%) than MY (9%), but in SG the CPF contribution is capped at a monthly income of S$6, 000 and don't think there's a cap for EPF? This means that in SG we pay more to CPF in our early career but less as we earn more, whereas in MY its always the same percentage to EPF.
4. Houses/HDB - problem with HDB is not the price, its about actually getting it. If you're not married you have to wait till 35 to apply. Even if you get married early to BTO, you will have to ballot and may not get the area you want. Also you will have to wait years before you can actually move in. You could always buy resale but then the cost is much higher. If you're a foreigner or a single PR you can forget about HDB. Additionally the downpayment for a loan is 25% so you need to save a lot in your early career to afford it. Property market in MY is much more straight forward with a lower downpayment requirement (if you're willing to take more debt).
5. Car/Transport - working in MY you will mostly likely need a car as its not cheap to live close to MRT/LRT and the bus is unreliable, however there are affordable options from local car brands like Perodua and Proton. In SG, if you want to buy a car even the cheaper models (like the Jazz) are expensive and it will only last you 10 years, after which you have to renew COE again. Can stick to public transport when you're young but once you have a family a car is necessary.
6. Stress - its true that work can be stressful in SG if you're ambitious. But just as in MY, if you want a simple sustainable life without too many luxuries you don't have to overwork yourself. Both countries are developed and have enough opportunities to allow for this lifestyle choice. Its just that people in SG like comparing and we psycho ourselves to be more stressed out cause we don't want to be left behind lol.

[vt]

Malaysian here... the stress of not being able to provide for your family and afford the medical bills for your elderly parents outweighs the stress of rat race... Generally, if you have family back in Malaysia, it is better to work in Singapore!

[kuangkyra]

Yes, working in Malaysia for 10yr as engineer is tough… salary is just 5k after 10yrs. Went to Singapore and with 5.5k sgd, my life was totally changed. Having better life, can pay all the mortgages and worry-free life with good savings in bank accounts.

[renaturerelaxationchannel]

Singaporean here. Stress in Singapore is actually over-rated. I know many Singaporeans are much more chilled in life..Many of them paid off their home loan, student loan, and become debt free by early or late 30s. Many have stable sources of passive income by 50s. Stressful working culture is also over-rated by many Singaporeans, but I agree that in Malaysia there're more opportunities to do businesses.

[Mrstyrwr]

Malaysian living in Singapore here (since 2010), I guess most comments are spot on. Maybe stress is a bit overrated, because tbh most stresses are self imposed and due to lifestyle choices. But one thing that trumps all, is the safety in Singapore. Imagine walking around without feeling paranoid over a motocycle or strangers getting too close to you. Priceless

[jasperlam]

Travelling overseas has become difficult due to Covid-19, but if you like to travel, working in Singapore will be much better due to the stronger currency that Singapore enjoys. Also, let us not forget that many Malaysians come to Singapore to work, save up, and return to Malaysia after retirement because of this very reason as well. There are many areas to explore but ultimately I think voice down to one’s priorities.

[MrVHI]

Another underrated point about SG is their income tax rates. Their schedule is so much better than Msia's.

[focus]

That's why the smart one ... come SG to work and then retire in KL. Work 1 year in Singapore is like working 3 years in KL. work 10 yrs in Singapore is like working your whole life in KL. hehe Retire comfortably in KL by 45yrs old.

[renj]

i'm a Singaporean who lived in KL for a year. quite accurate, although I do remember some things in KL to be slightly cheaper and some things in SG to be a bit more ex. Like a regular hawker center plate of food is about $4+. you can still find $3 and 3.50 costs but they're harder to find. $4-5 is a bit more common.

anyway there's one crucial factor that you haven't taken into account. When I was living in KL I tried to take public transport, walk and just generally save on transport as much as I can, and I found that nigh impossible. Just to get from Taman Desa to Mid Valley, it was a 45 min wait for a bus followed by a 20min bus trip. It was literally faster to walk there instead. That said, given the horrible consistency of pavements, walking was just terrible. You have to watch your step every step of the way. Either cars are out to kill you, or the pavements are. There are dangling wires. I cannot count on the fingers of my hands the number of times I nearly got a wire stuck in my eyes, or when my ankle got sprained by a piece of brick sticking out of nowhere in the ground, or when I was walking as far out of the road and still almost got run over by a car. I also had this motorcyclist come dangerously close to me, almost like he was considering whether or not to snatch my phone. The kicker for me was when I spent 3 hours to try and get from Sunway back to Taman Desa by public transport. I thought the trains were easy enough to figure out - I ended up waiting 2 hours for a train.

While I walk and take public transport a lot in Singapore I very quickly gave up on doing this in Malaysia, opting instead to grab around. Whatever much money I might've spent on grab would save me way more in time of my life.

But this also got me thinking - nearly everyone my age that I knew owned a car. Not just because it's cheap, but because it was necessary. Imagine spending 4 hours in commute every day back and forth. The comparison between public transport and vehicle isn't fair - cuz the average person I knew in KL would get around by car, whereas the average Singaporean gets around by public transport. But the story doesn't stop there, the average middle-class person does that not only because prices of cars are lower in MY, but also because taking public transport is egregiously inconvenient compared to Singapore.

[teohyc]

Median salary in Singapore was S$4500 in 2020. After tax and CPF contribution, take home pay is $3, 150.

Even if one eats out for everyday to spend $900/month on meals. Maybe $30 for internet. $30 for phone. $150 for public transport. $400 for groceries. You can still save $1500.

But of course not all will earn median salary.

But based on the calculations with median salary, it's not that expensive in Singapore due to the buying power as mentioned in the video.

Of course if you want to buy a HDB or anything priced beyond your means, everything is expensive.

[bongsc]

Malaysia is a very good country to live. But, the person spoiled it is the leader.

[BlackForesterSUV]

Malaysia is a blessed country, plentiful of resources, eg water, land, labor, food, space, etc... So definitely the stress level as a country is not so high. So as Malaysians are extremely lucky over Singapore whom has to work 10 times hard to be self dependent. This resulted in efficient governance, forward thinking policies to keep an edge. Malaysia on the other hand has a extremely slack in governance, corruption and systematic discrimination. So it really depends on what u need base on expectations. If u can manage and regulate your expectations, any country is fine.

[korbaul]

In Singapore, the whole concept of sour grapes is exponentially expressed because of the environment. The fact that we are so densely populated doesn’t help the case at all. I like to believe that nobody is born sour, it’s because of the constant exposure to drastic differences (regardless of whether unintentional) that makes it worse. Multi million dollar homes can be visible from low income housing. Even if unintentional, the atmosphere allows jealousy to grow easily.

As the host has aptly mentioned, Singapore highly prioritizes following the system and performing well. Not everyone can and wants to be the best of the best. I very much agree that if someone’s goals isn’t to slog it out in the pursuit of a successful career/financial freedom, Singapore would really feel like a pressure cooker!

Having lived in both Singapore and LA for years, I am confident in saying that the density and constant exposure to visible and very much material differences further exaggerates the economic differences between individuals.

I’m at the age where most of my peers have children already. When we have get togethers, it is evident that as parents all of us worry a lot about our children. The overwhelming majority of us are slogging it out for financial security not to be flashy but as security for the future generations that follow. It is unspoken, but as we aged it became evident that those individuals from wealthier families which had properly planned their finances for the future be it in the form of a trust/estate, have a MUCH easier and stress free time. That is what my friends and I are grinding towards, being able to allow my children and their children the security that some of us have so fortunately been able to experience.

[PRSer]

Singaporean here. This video is pretty spot on in terms of comparison. Malaysia has what Singapore does not and vice versa. The benefits of working together is immense.
Singaporeans have to work hard because we don't have the options of lifestyle that Malaysia has. It is much better these days because the younger gen and government are slowly starting to realise the pressure cooker worklife isn't good for us. BUT the strength of the SG dollar truthfully imo lessens some of the pain a lot of us endure. With some smart investing and saving habits, a lot of Singaporeans can really live a pretty comfortable life. The poorest of Singaporeans are usually still better off than a lot of the poor in Malaysia

[muhammadsuffian]

Earning in SG and living in JB is a whole another level.

[vm]

Good video. As a Malaysian who first worked in KL and then in Singapore in a similar job. In the end I preferred Singapore. Maybe because I was lucky, but I did not feel that much stress at all in Singapore. Instead I suffered in KL because I couldn't afford a car so I couldn't go anywhere, and being paranoid about being robbed whenever I went out.(Thats just me)

Since I'm the type to just work for a salary and have no big ambitions to start a business, Singapore provided me an ideal environment to work in. Food was cheap and transport was convenient.

Malaysian food is still better though.

[Luthaniel]

Technically if you bring foreign goods into comparison, you do have to look into the strength of the currency. Because the RM is weaker, you need to spend more on imported items like Starbucks, MacDonalds and even the iPhone. Cost of living can be lower in Malaysia is one choose to consume local products instead of foreign imported goods. But things in Singapore are mostly imported because we have no resources. While I was in KL PJ, the cost of food, movie tickets and shopping literally felt the same like I was back in Singapore even after conversion. Simply because the goods in PJ are mostly imported foreign goods and my SGD did not feel much bigger over there.

But a huge thumbs up to this video as it really did a good comparison and outlining many good arguments. Singapore despite its many pros and subjects of envy still has its cons as well. We are still a nation that is generally low in the happiness index (pre-covid time), due to stress and life here. But we all learn to make do with what we have in front of us and make a living.

[VictorTKS]

As a Malaysian working in SG for numerous years, I think your comparison didn’t start right. If Frankie and Jasmine both hold the same qualifications and same job/position, it is highly unlikely for them to draw the same pay dollar to dollar. A more realistic number would be MYR4, 000 for Frankie and SGD2.8-3k for Jasmine. I think you need to live in SG to know what you’re really talking about 🤔🤔 or at least don’t give our young Malaysians the wrong impression of working in SG, thinking they can draw a SGD4k salary easily. Not even Singaporeans NUS grads can easily get that amount. Just my 2 cents 😅

[kevin]

Thanks for the great video that point out advantage of earning SGD.

After been living in both KL and Singapore. Personally I think mental stress is much more higher in KL compared with Singapore. Other than financial stress, time management (travel by car in KL) & safety are another two big contributors to the stress level living in KL.