Singapore permanent resident - Advantages

Is it worth becoming Singapore permanent resident for an expatriate?

In general, most of us admire about Singapore's life style, security, environment etc., and hence tempted to become a Singapore Permanent Resident (SPR). A one most important question everyone will ask before submitting the SPR application form is "What are the advantages and disadvantages(?) of becoming a SPR?".

Advantages:

In short,
- Job Security
- CPF contribution
- Long term visa for parents
- buy a house
- Education subsidy
- Medical subsidy
- business

For a regular foreign talent who is working in Singapore, the most crucial motivation to become an SPR is the job security. As a permanent resident, it is an easy process to change job where as while on work permit you are given only few weeks of temporary visa when a contract finishes. Any issues such as rejection of new job application by ministry of  manpower (mom) or not able to find a reasonable job during short notice will force him/her to quit Singapore.

Once you become a SPR, a compulsory Central Provident Fund (CPF) share will be paid by the employer into your CPF account. First two years (5%+4%, 15%+9%, your share+employer share) it will be small amount and from the third year onwards it becomes full contribution (20%+16%) and before we realize it becomes a great savings as years pass by.

As the SPR gets married (if not already) and settles here in Singapore with their family, it is increasingly evident that their family members visit Singapore often. Usually parents may end up visiting frequently depending on their age and commitments in their homeland. As a Singapore PR you can apply for a long term social visit pass for them and it is easy for your loved ones to fly in and out of Singapore.

Soon you realize that allot money is spent for accommodation and you may decide to buy a house in Singapore. Only Singapore citizens and permanent residents can buy the hdb apartments here. As a SPR you can opt for 80 to 90 percent loan from one of the many banks here. Your CPF money can be used to pay off the loan to the bank on a monthly basis and after certain years the house becomes your own.

Education is one of the most important component and the quality education here in Singapore is another reason for many to continue living here. The school fee for the SPR is about 30% less than that of the foreigners. However, Singapore citizen pays 20% less fee than SPR (fare). Detailed fee structures shall be referred here at http://www.moe.gov.sg/press/2006/pr20061219.htm

There are even some differences in fee structure paid in polyclinic if you need to visit there. The PR gets 10% less subsidy than citizen (50%) where as other gets no subsidy at all. See http://www.moh.gov.sg/mohcorp/pressreleases.aspx?id=12240 for details.

Working on an employment pass does not allow you to engage in any other business in Singapore. As a SPR you can involve in many different (legal only ok!) businesses and work hard to make more money.

The childcare subsidy is no longer available for SPR.

Disadvantages:

- National service

Is it a disadvantage? Next generation male SPR needs to go for national service. After all it is not bad at all. Many SPR's engages in a debate to discuss about the advantages and disadvantages of attending national service.


Are you a SPR already and do you agree with the above goods and bads?

Do you think of becoming a Singapore permanent resident? Are you convinced?

Is there anything else missing obviously?

Please share your comments.