For years, bringing in new people has been a long obstacle course of sifting through resumes, coordinating interviews, and onboarding. The process is time-consuming and super costly. But what if there’s a smarter way to land top-tier talent?

As companies in Singapore welcome remote work with open arms, remote assistants have emerged as the ultimate staffing solution. Whether you’re a startup or an established enterprise, VAs unlock a world of possibilities to enhance operational efficiency and drive growth.

Learn the true costs of hiring a part-time virtual assistant versus a full-time hire before you start growing your headcount.

The Rising SME Hiring Cost in Singapore 2026: A Reality Check

This is a tough time to be an entrepreneur in Singapore. You’re not only withstanding a long recruitment cycle, but also the high costs of the talent market and overhead.

Here are some country-specific nuances that drive the hiring costs in this country through the roof:

New CPF Ordinary Wage (OW) ceiling ($8,000)

When you hire local talent, salary is just one piece in your budget. You also consider CPF contributions for employers, which are mandatory savings payable to employees. These can add up to the base salary for the work they perform before any performance incentives.

The higher the ordinary wage, the higher the amount owed to eligible employees. Given Singapore's culture of rampant overtime, the new CPF can put a hole through your pocket.

Hidden Costs

Of course, the price of recruitment is not limited to salaries. You also must factor in the invisible cost of hiring. This includes the following:

• Skills Development Levy (SDL). This is a mandatory expense that is used to fund employee training and development programs. It’s a hidden cost that applies to the entire existing workforce, ensuring workers receive upskilling opportunities.

• Insurance. Depending on work risk, SG SMEs are required to pay various insurance costs. This includes health, liability and family coverage. And if you’re operating in Asia, you can expect employer-sponsored medical plans to rise 11.3% in 2026.

• Office Space per Square Foot in the CBD. As you know, renting an office space in Singapore doesn’t come cheap, especially when landlords charge “per square foot.”

  The central business district has the most expensive area in the country for commercial rent. The bigger the area, the higher the costs. This could take away 19 to 27% of the entire employee benefits budget.

Breakdown: The “True Cost” of Hiring Administrative Staff in Singapore 2026

The first thing that you think about when expanding your team is the cost. Do you have the budget to cover the employee’s salary?

Well, base compensation is just one of many other cost factors that you should know about. There are a whole lot of cost intricacies you should understand and weigh in on.

• Base Salary. This is the amount you will pay your employee for performing a job. It’s usually paid monthly, taking a huge portion of your employee costs.

• Hiring costs. The act of searching for the right person for the job costs money. These expenses include job posting fees, software tools for tracking (ATS) and HR staff spending. This raises costs and, even more so, depending on your hiring methods.

• Background checks. To avoid hiring mistakes, comprehensive background checks are also performed to ensure job suitability. Now, this adds another couple of hundred dollars to your growing employee expenses.

• Interviews. Interview preps, involving phone calls and schedule coordination, are another cost factor. On average, you’re likely to interview around 6 candidates, which increases the current price tag.

• Onboarding. Your financial woes don’t stop after you’ve extended an offer. Ensuring your newest team member acclimates well into your system and workflow is a necessary spend.

  From IT support to training courses, these are essential expenditures to get employees up to speed and achieve full productivity.

The hiring journey can stretch for days, lasting about 6 to 7 weeks. During those days when the position remains vacant, you incur major revenue and productivity losses.

Think about it; the economic damage of leaving a revenue-generating position unmanned for so long is a lost opportunity. The bottom line is that vacancies disrupt operations, resulting in lost revenue.

The Comparison Table: Full-Time Local vs. Part-Time Remote (VA)

Here’s a rundown on the virtual assistant vs. employee cost comparison in Singapore:

Full-Time Local Employee: A typical admin role in Singapore costs roughly SGD 3,000–4,000 in gross salary. From that tab, you’ll have to add 17% CPF, insurance and medical benefits, easily exceeding SGD 4,500–6,000 monthly.

Virtual Assistant (Part-Time/Flexible): Offshore VAs cost roughly USD 6–18 per hour ($960–$2,900 per month full-time equivalent) to hire.

If you need a translation, it’s as simple as this: remote hiring hacks your budget, saving you big time. They remove the hidden costs that increase employee costs.

And if you hire in places like the Philippines and Madagascar with lower costs of living, you can save even more.

Disclaimer: Calculations are based on projected 2026 figures from the provided search results.

Why a Part-Time Virtual Assistant is the "Lean" Choice for SMEs

So, how much can a Singapore SME save with a virtual assistant?

Outsourcing administrative tasks is nothing like throwing a posh party for new employees. You don’t have to spend out of control for the extra dishes and drinks. It’s basically an arrangement that lets you set your own budget.

Here’s why remote professionals give you the most value with zero waste:

Pay Only for Productive Hours (No “Water Cooler” Time)

Remote working breaks through the noise. Unlike traditional employees who are only productive 2 to 3 hours a day, VAs deliver results. They are 40% more productive, and guess what—you only pay for that high-value time.

Zero CPF, Office Overhead and Training Cost

Hiring full-time, on-site workers means being tied to a location and everything it entails. If you’re running an office in Singapore’s busy areas, that affects your payroll.

The good news is that virtual workers operate remotely, free from the restrictions and stringent policies of geography. They deliver their services using their own resources. There are no costs for office space, equipment, utilities or annual leave, which can add up to 50% of your basic compensation.

Plus, part-time VAs are not really employees but independent contractors. This eliminates the need to pay Singapore CPF contributions.

Many VA services also provide pre-vetted, experienced professionals, reducing recruitment and training expenses. Even better, most of these online helpers are willing to take a pay cut to be part of your team.

On Scale Scalability

Working with part-time remote professionals is a breath of fresh air. You can scale operations fast, moving from 10 to 20 hours a week without a new contract. This is crucial for managing fluctuating demand without incurring full-time overhead.

Beyond the Dollars: Productivity Gains for SG Founders

To achieve sustainable growth, you need a system that creates consistency, stability and progress. Low-value chores like email management and data entry may feel like work, but they don’t move the business forward.

Remote staffing solutions SG is restructuring how you operate. Their skillful support frees up your time to work on high-value projects that produce the best results.

Here’s how they can directly increase productivity levels:

• Workspace distraction is a billion-dollar costly diversion. Thankfully, by delegating non-core tasks to an admin virtual assistant, you can keep your head in the game. You can make smart decisions and prioritize strategic objectives.
• VAs are trained professionals with skills and experience to complete tasks with speed and accuracy.
• Remote assistants are efficient in time management; they can streamline workflows and communications, maximizing productivity.

Explore why Singapore startups need virtual assistants.

Making the Switch for a More Resilient Business

Switching to a remote part-time model can save a Singaporean SME over $50,000 annually per administrative role.

Specialized offshore VA services often cost under SGD 1,000–2,000 per month compared to over SGD 4,500–6,000 for a local full-time hire. With VAs, there’s zero CPF and administrative burden. This is a huge relief for busy founders, given that Singapore's CBD rents are among the highest in the world in 2026.

As a result, you will have more resources to reinvest in other areas of your business that need improvement.

At VAV, you can start collaborating with a skilled remote assistant for as low as $250 per month (2 hours a day, Monday to Friday). We have part-time VAs who can proactively transform with your needs, keeping you competitive.

Calculate your potential savings with VAV Remote Workers today.