Good news: Singapore's income tax is one of the lowest around, and it works in a friendlier way than it looks. You don't pay one big rate on everything — you only pay more on the parts of your income that cross into higher tiers. Let's break it down. 👇
📊 How the tiers work
The first $20,000 of your chargeable income is tax-free. After that, your income is sliced into bands, and each band has its own rate — from 2% rising up to 24% for very high earners.
The important part: a higher rate only applies to the slice of income inside that band, not your whole salary. So earning a little more never leaves you worse off overall.
💸 Reliefs lower the amount you're taxed on
Before your tax is worked out, reliefs are subtracted from your income — things like your CPF contributions, the Earned Income Relief, and reliefs for children, parents or a spouse. Less taxable income means less tax. (Your total reliefs are capped at $80,000 a year.) Add up yours in the income tax calculator, which itemises every relief for you.
✅ Simple ways to pay less (legally)
- Make a CPF cash top-up, or open an SRS account — both give you tax relief.
- Claim every relief you qualify for — for your children, parents, a non-working spouse, or NSman service.
- Donations to approved charities give a 250% tax deduction.
Not sure which ones help you most? The tax relief optimizer points you to the reliefs with the biggest impact for your situation.
🧮 Just want your number?
Pop your income and reliefs into the income tax calculator — it uses the latest YA2026 rates and shows exactly how your tax is built up, band by band. Working in Singapore on a pass? See the foreigner & expat take-home calculator instead.