How Much Do Accounting Services Cost in Singapore?

How Much Do Accounting Services Cost in Singapore?

Singapore, as a global business hub, has a well-developed financial and regulatory ecosystem that requires businesses to maintain proper accounting records. Whether you are a startup, SME, or large corporation, engaging professional accounting services is crucial for compliance with the Accounting and Corporate Regulatory Authority (ACRA) and the Inland Revenue Authority of Singapore (IRAS).

The cost of accounting services in Singapore varies widely based on several factors, including the complexity of the business structure, the volume of transactions, and the specific services required. In this article, we will explore the different types of accounting services available, their associated costs, and how businesses can determine the right service provider based on their budget and needs.

Types of Accounting Services in Singapore

Accounting services in Singapore generally include the following:

1. Bookkeeping Services

2. Financial Statement Preparation

3. Tax Filing and Compliance

4. Payroll Processing

5. Audit and Assurance

6. Advisory Services

7. Corporate Secretarial Services (Closely Related to Accounting)

Each of these services has its pricing model, which can be charged on a monthly, quarterly, or annual basis.

1. Bookkeeping Services Costs in Singapore

Bookkeeping is one of the fundamental accounting services that every business needs. It involves recording day-to-day financial transactions, reconciling bank statements, and maintaining financial records.

Factors Affecting Bookkeeping Costs

• Number of transactions: The more transactions, the higher the cost.

• Complexity of financial records: If your business has multiple revenue streams or operates in various industries, bookkeeping can become more complicated.

• Software usage: Some firms use cloud-based solutions like Xero or QuickBooks, which may have additional subscription costs.

Cost Estimates for Bookkeeping

• Freelancers: SGD 100 - 500 per month (ideal for micro-businesses)

• Small firms: SGD 300 - 1,000 per month

• Established accounting firms: SGD 1,000 - 3,000+ per month (for larger SMEs and corporations)
  

2. Financial Statement Preparation Costs

ACRA mandates that all companies prepare financial statements annually, which include:

• Balance sheet

• Profit and loss statement

• Cash flow statement

• Notes to financial statements

If a company is exempt from audit, financial statements still need to be prepared for tax reporting purposes.

Cost Estimates for Financial Statement Preparation

• Small businesses (fewer transactions): SGD 500 - 1,500 per year

• Medium-sized businesses: SGD 1,500 - 5,000 per year

• Large corporations: SGD 5,000 - 10,000+ per year

For companies requiring consolidated financial statements (e.g., with multiple subsidiaries), the cost will be significantly higher.

3. Tax Filing and Compliance Costs

Tax compliance in Singapore includes corporate tax filing, GST filing, and personal tax filing for business owners.

Corporate Tax Filing

Every company must submit its Estimated Chargeable Income (ECI) within three months after the end of the financial year and file Form C-S/C annually.

• Small businesses: SGD 400 - 1,200 per filing

• Medium-sized businesses: SGD 1,200 - 3,000 per filing

• Larger firms with tax complexities: SGD 3,000 - 10,000+ per filing

GST Filing

Companies with annual revenue exceeding SGD 1 million must register for Goods and Services Tax (GST) and file GST returns quarterly.

• GST registration: SGD 200 - 500 (one-time)

• GST filing: SGD 300 - 800 per quarter

Personal Income Tax for Business Owners

Many accounting firms also offer tax services for business owners, including tax optimization strategies.

• Basic personal tax filing: SGD 150 - 500

• Complex personal tax filing (including rental income, investments, etc.): SGD 500 - 2,000
  

4. Payroll Processing Costs

Payroll processing includes computing salaries, CPF contributions, and issuing payslips.

Payroll Pricing Structure

• Per employee basis: SGD 20 - 50 per employee per month

• Flat rate for small businesses: SGD 200 - 800 per month (for companies with up to 10 employees)

• Larger firms with 50+ employees: SGD 1,500 - 5,000+ per month

Many firms bundle payroll services with corporate secretarial services, which can lead to cost savings.

5. Audit and Assurance Costs

Certain companies in Singapore are required to conduct annual audits if they exceed two of the following three criteria:

• Total revenue exceeds SGD 10 million

• Total assets exceed SGD 10 million

• Company has more than 50 employees

Cost Estimates for Audits

• Small businesses: SGD 3,000 - 10,000

• Medium-sized companies: SGD 10,000 - 30,000

• Large corporations: SGD 30,000 - 100,000+

The cost of an audit depends on the complexity of the financial records, industry requirements, and the experience of the audit firm.

6. Advisory Services

Accounting firms also offer financial advisory services, which may include:

• Financial forecasting and budgeting

• Cash flow management

• Mergers and acquisitions consulting

• Business valuation

Cost Estimates for Advisory Services

• Hourly consultation: SGD 150 - 500 per hour

• Project-based advisory: SGD 3,000 - 50,000+, depending on complexity
  

7. Corporate Secretarial Services (Closely Related to Accounting)

While not strictly an accounting service, corporate secretarial services are often bundled together with accounting services. These services include:

• Filing annual returns with ACRA

• Maintaining statutory registers

• Board meeting minutes preparation

Cost Estimates for Corporate Secretarial Services

• Basic package: SGD 360 - 800 per year

• Comprehensive package (includes compliance monitoring and additional filings): SGD 1,000 - 3,000+ per year

Factors That Influence Accounting Service Costs

1. Company Size and Complexity – Larger firms with more transactions pay higher fees.

2. Industry Regulations – Industries such as financial services and construction may require more compliance work.

3. Frequency of Service – Monthly bookkeeping costs more than quarterly services.

4. In-House vs Outsourced Services – Hiring a full-time accountant costs significantly more than outsourcing.

How to Choose the Right Accounting Service Provider

When selecting an accounting firm, consider the following:

• Reputation and experience – Established firms provide better reliability.

• Service packages – Some firms offer bundled services at discounted rates.

• Technology adoption – Cloud-based solutions can enhance efficiency.

• Cost transparency – Avoid hidden fees by requesting detailed pricing.
  

Conclusion

The cost of accounting services in Singapore varies significantly depending on the scope of services, business size, and complexity of financial transactions. Small businesses can expect to spend SGD 500 - 2,000 per year for basic accounting needs, while larger companies may spend SGD 10,000 - 50,000+ annually for comprehensive financial management.

Outsourcing accounting services can save costs compared to hiring in-house accountants, while also ensuring compliance with Singapore’s stringent regulatory requirements. When choosing an accounting provider, businesses should balance affordability with quality to ensure accurate financial reporting and compliance.

For businesses looking for accounting services in Singapore, engaging a reliable provider can help streamline operations and enhance financial management.