Pinoy in Singapore

It’s a question most Pinoy expats will eventually face.  It’s the question Mr. Tsiken and I are currently looking into. 

So what are the pros and cons of sticking to your employment pass vs going for the permanent resident status?  Here’s what I gathered so far:

• National Service for all your male children – some may view this as a con but it’s only fair that you do service for a country that has also done you service – be it Philippines or Singapore. 
• Forced Savings through CPF – this is the equivalent of GSIS or SSS in the Philippines.  A certain amount of your salary is put into the fund for your own retirement benefits.  You can also invest part of your CPF in the financial market or use it to buy a house.  Essentially what this means is that your take home pay is going to be smaller so if you’re salary is just enough to get you by, then you will need to make adjustments to your living expenses to accomodate the decrease in take home pay.  Another good point about CPF is that your company also puts in a certain amount into your CPF account.  So you effectively get more out of the company your work for.  But you can only get your savings once you turn 55. – For more information on CPF visit www.cpf.gov.sg
• Unlike an employment pass which is tied to the company you work for, a PR can look for other jobs and not have to worry about employment sponsorship.
• If you included your dependents in your PR application, then its easier for them to find work because a lot of vacancies are only open to PR and Singapore citizens.  (ie Odd jobs, non-IT/engineering are mostly only open to PRs and citizens)
• If you have kids, it’s way cheaper to send them to school if you have PR status.
• You are eligible to buy your own HDB unit. 
• You can buy your car with less cashout compared to non-PRs/citizens.
• Some say it’s easier to get a visa to other countries if you have PR status.

For me, it would seem that getting a PR status would be wise if you see yourself retiring/living in Singapore for a good number of years, or if you have a family and you want them to be with you. 

For some, Singapore is just a stepping stone for them – maybe they’re planning to come back to Manila after a few years coz there’s no place like home or some are still open to employment in other parts of the world like the US, Australia.  Then a Personalized Employment Pass would probably be better.  You can simulate your own forced savings and even get to pick where you want to invest your money – say a house in the Philippines for example.  

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Ms. Tsiken is also looking for other points of view that she may missing.  Feel free to comment.