How Much Should You Save Per Month to Hit Your First $50k in Singapore?

Saving money is not simple, and as we grow older, we will have more responsibilities and more expenses that make saving even harder. While income may increase over the years, spending usually will exponentially increase more than income and you observe that your saving rates decrease over the years.

Usually, many people in Singapore have a target saving amount in mind, such as a lump sum for weddings, renovation, downpayment of HDB, or car purchase. In this article, we will be using 50k as a target savings and see how it is achievable for you based on your salary and savings timeframe.

After CPF deduction, this is the percentage of your salary that you need to save per month consistently for x number of years to hit that magical $50k in savings. There are multiple assumptions in mind while doing the below calculation.

  1. Salary remains constant during the x number of years.
  2. Savings are not used for investments to compound further savings
  3. You are able to save that % of salary per month consistently for x number of years

Savings Time Frame

The first thing you need to establish is – how long you have to save the money before you need to use it. If you do not have any purpose for it, you might not want to stress yourself too much by tightening your purse string too hard. Usually, many people have a purpose in mind for saving that sum of money. In Singapore, generally timeframe for big purchases is quite fixed and many people know the rough timeline of when they need lump sum cash.

Spendings Review

While you are earning that income, it may be entirely possible that it is almost impossible for you to save x% of your salary due to your spending. Are you paying too much for your mobile bill? Could your spending on this be reduced? Sit down and eliminate exessive or unnecessary spending to ensure that you are on the right track. This also allows you to have a clearer understanding of where your money is going.

Expectations VS Reality

If you have reviewed your spending, and you are still unable to hit your monthly savings goal, it is probably time to shift the goalpost or to change the soccer player entirely. Are you able to extend your savings time frame to make it more attainable? Are you able to lower the saving target to a sum more achievable?

If not, you may be looking for an increase in income, or looking to reinvest your savings to generate further income. An increase in income or alternative source of income will help you to achieve your goal without compromising your quality of life. If you are stretching yourself too tight, reconsider your expectations. Don’t burn out trying to reach an arbitrary goal. Health and mental health is always far more important than a number in your bank account.


This article is a guide to help you visualize how much you need to budget from your salary to hit that $50k saving goal in Singapore. Usually, the best way to hit it is the “see no evil” approach whereby you simply transfer x amount of money out of your salary debiting account to a separate account so that you will have no chance of touching them at all.

Do not despair if you are saving less for some months. The important lesson here is that you need to be consistent and ensure that you are making conscious decisions to hit your goals! All the best in your saving journey!

Last Updated: 17 Jan 2024

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