Singapore EP Changes: Budget 2026 Salary Thresholds

Budget 2026 (12 February 2026) raises Singapore’s Employment Pass qualifying salary to S$6,000 — S$6,600 in financial services — for new applications from 1 January 2027 and renewals from 1 January 2028, lifts the S Pass floor to S$3,600, and increases the Local Qualifying Salary to S$1,800 from 1 July 2026. COMPASS scoring and Fair Consideration advertising still apply on top.

None of these changes takes effect overnight — which is precisely why 2026 is the year to re-price roles, review renewal calendars and adjust hiring plans. Here is what is changing, in what order, and how employers and agencies placing talent into Singapore should prepare.

What are the new thresholds?

Pass / measure	Current	New	Effective
EP — general sectors	S$5,600	S$6,000	New apps 1 Jan 2027; renewals 1 Jan 2028
EP — financial services	S$6,200	S$6,600	New apps 1 Jan 2027; renewals 1 Jan 2028
EP — age 45+ (top of scale)	—	Up to S$11,500 (S$12,700 FS)	From 1 Jan 2027
S Pass — general	S$3,300	S$3,600	New apps 1 Jan 2027; renewals 1 Jan 2028
Local Qualifying Salary (full-time)	S$1,600	S$1,800	1 Jul 2026
WP levies (marine shipyard / process, basic-skilled)	—	+S$100 / +S$150 per month	From 2028

Qualifying salaries continue to scale with age, topping out at S$11,500 (S$12,700 in financial services) at 45+. These measures sit alongside, not instead of, COMPASS: applicants must still score 40 points, and Fair Consideration advertising rules still apply.

Who feels the EP qualifying salary 2027 first?

The effects arrive earlier than the date suggests: any offer extended in late 2026 for a January 2027 start must already meet S$6,000/S$6,600, and Singapore does not grandfather indefinitely — at renewal, the requirement in force at that time applies. An EP holder hired at S$5,700 today needs a raise to clear the new floor when the pass renews after the cut-over. Re-price roles budgeted near today’s thresholds now, model the compounding age-scaled requirements for mid-career hires, and factor the CPF changes from the same Budget into total cost.

What changes with the Local Qualifying Salary in July 2026?

From 1 July 2026, a full-time local employee must earn at least S$1,800/month (up from S$1,600) to count fully toward S Pass and Work Permit quota; locals on S$900–1,800 count as half a headcount, and local part-timers must earn at least S$10.50/hour. For quota-dependent sectors — construction, process, marine, manufacturing, services — this is the change with immediate cash-flow impact: underpaying local staff directly shrinks the foreign workforce you may engage. The enhanced Progressive Wage Credit Scheme co-funds part of the uplift through 2028.

Levies, the ONE Pass and the wider picture

Basic-skilled (R2) Work Permit levies rise around S$100/month in marine shipyard and S$150 in process from 2028; higher-skilled (R1) rates are unchanged — a deliberate nudge toward upskilling. At the top of the market, a ONE Pass (AI and Tech) track launches in January 2027, replacing Tech.Pass: eligibility at S$30,000 fixed monthly salary over the preceding year, or senior experience at a technology company of significant scale (≈US$500m valuation, US$200m revenue, US$500m AUM or US$30m raised). The signal is consistent: tighten the mid-market, compete harder for elite AI talent. Access Financial employs Singapore-based professionals through its EOR with pass strategy, payroll and CPF handled end to end — stress-test your 2027 hiring budget against the new thresholds with us.

Summary — key takeaways

EP floor rises to S$6,000 (S$6,600 FS) for new applications from 01/01/2027, renewals from 01/01/2028; no indefinite grandfathering.
LQS moves first: S$1,800 from 1 July 2026 — audit local payroll before then to protect quota.
S Pass to S$3,600; selected R2 levies up from 2028; COMPASS and Fair Consideration unchanged on top.
ONE Pass (AI and Tech) replaces Tech.Pass from January 2027 at S$30,000/month or senior big-tech experience.
2026 to-dos: re-price 2027 offers, map renewals falling after the cut-over, re-run COMPASS for borderline candidates.

FAQ

What is the new EP qualifying salary?

The new EP qualifying salary is S$6,000 per month for general sectors and S$6,600 for financial services, applying to new applications from 1 January 2027 and renewals from 1 January 2028. Requirements scale with age up to about S$11,500 (S$12,700 in financial services) at 45+, and candidates must still clear the 40-point COMPASS framework on top of the salary floor.

When does the Local Qualifying Salary increase?

The Local Qualifying Salary increases on 1 July 2026: full-time locals must earn at least S$1,800 a month (up from S$1,600) to count fully toward S Pass and Work Permit quota entitlement, locals on S$900–1,800 count as half a headcount, and local part-timers must be paid at least S$10.50 per hour. Audit quota-counted local payroll before the date.

What replaces Tech.Pass?

Tech.Pass is replaced by the ONE Pass (AI and Tech) track launching in January 2027. Eligibility requires a fixed monthly salary of at least S$30,000 over the preceding twelve months, or senior experience at a technology company of significant scale — broadly US$500 million valuation or market cap, US$200 million annual revenue, US$500 million under management, or US$30 million raised.