SINGAPORE — The median monthly household income from work grew in both nominal and real terms, according to data from the "Key Household Income Trends, 2023" paper released by the Singapore Department of Statistics (Singstat) on Wednesday (7 January).
Among resident-employed households, which refers to households where at least one person employed is a Singaporean or permanent resident, the median monthly household income grew by 7.6 per cent in nominal terms, from S$10,099 in 2022 to S$10,869 in 2023. Household income from work includes employer Central Provident Fund (CPF) contributions.
When adjusted for inflation, the median monthly household income from work rose 2.8 per cent in real terms in 2023. Over the past five years, from 2018 to 2023, the median monthly household income from work of resident-employed households increased 3.1 per cent cumulatively or 0.6 per cent per annum after adjusting for inflation.
On a more granular level, the median monthly household income from work per household member rose from S$3,287 in 2022 to S$3,500 in 2023. This was an increase of 6.5 per cent in nominal terms, or 1.7 per cent after adjusting for inflation. In the past five years, the median monthly household income per household member grew by 10.5 per cent cumulatively from 2018 to 2023, or 2.0 per cent per annum in real terms.
Most income deciles saw real increases in average household income per household member
In 2023, the average household income from work per household member among resident-employed households increased between 2.5 and 6.8 per cent across most income deciles before adjusting for inflation.
However, while most income deciles saw an increase in average household income per household member in real terms, the first, ninth, and 10th income deciles recorded declines of 1.7, 0.2, and 1.9 per cent respectively.
Singstat noted that "not all households are consistently in the same decile group from one year to the next". "For example, a household may move down from a higher decile in a particular year due to the temporary unemployment of a household member, before moving up the deciles when the member resumes employment in the subsequent year," Singstat said. "In comparing the performance of any particular decile group over time, it is therefore relevant to note that the comparison may not pertain to the same group of households."
The report also highlighted that between 2018 and 2023, the average household income from work per household member of resident-employed households in the first nine deciles rose 0.7 to 2.5 per cent per annum in real terms. For households in the top decile, the average household income from work per household member declined by 1.2 per cent per year.