How much should I pay for hiring a maid?

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Zeal Care
Oct 29, 2020 · 455 read
    

How much should I pay for hiring a maid?

 In Singapore, there are about 250,000 foreign domestic workers(FDWs) being employed. This means about one in five Singapore households employ a maid to help them with general housework, cooking, and to look after the elderly, young children or family members.

If you dont already know, hiring a maid in Singapore goes way beyond just the salary that you need to pay. In this article, we will help guide you through the various costs that you incur when employing a maid so that you can accurately budget for it.

 # 1 Salary

Salary is the biggest monthly cost that you will be paying.

Depending on which country your maid comes from, the salary that you can expect to pay may differ.

Country Minimum Monthly Salary

  • Philippines $600
  • Indonesia $550
  • Myanmar $460

 Do note that your FDWs need to be between the age of 23 to 50 at the time of application. They must also have a minimum of 8 years of formal education certificate. 

 Its important to remember that the minimum salary requirements stated above represent minimum value, and not the salary that you should expect to be paying, particularly if the FDW that you employ have prior experience working in Singapore or elsewhere. In general, if you are employing a maid with experience, you should to pay more than the minimum.

 # 2 Maid Levy

The current maid levy in Singapore is $300 per month. If you qualify for a concessionary levy, this will be reduced to $60. The concessionary rate applies to families with a young child, elderly family member or person with disabilities.

 # 3 Working On Rest Days

Your maid is entitled to a weekly rest day. This means about four days each month.

If your maid agrees to work on her rest day, you should compensate her with at least one days salary, or a replacement rest day taken within the same month. For example, if your maid only takes two days off each month, and works on the other two off days, you should compensate her with two  additional day of salary for the month.

Assuming her salary is $600 each month, the two additional days would cost $46 ($600 divide by 26, multiple by 2).

 # 4 Living Expenses

Living expenses is one of the unseen costs that you should not ignore.

Employing a maid is like having an additional adult living in your home. At the very least, you should account for the additional utility, groceries and public transportation costs incurred.

  • Utility $40/month
  • Grocery $120/month
  • Transport $40/month

Total $200/mont

 Total Recurring Costs Each Month*

  • Salary $600
  • Maid Levy $60
  • Working On Rest Days $46
  • Living Expenses $200

Total $906/month

* Assuming a salary of $600 per month, working on two rest days and with concessionary levy.

 One-Off Lump Sum Cost

Besides the monthly cost, you also need to pay for other one-off expenses when employing a maid, such as insurance, airfare, medical screening, employment agency fee and application fees.

If this is the first time you are employing a maid, and you dont have anyone that you know whom you wish to hire, the easiest way to find a suitable help will be to engage a maid agency. The right maid agency will help you source for the right helper based on your requirements.

 An agency will also handle most of the applications or guide you through them such as work permit application, medical screening, airfare and insurance requirements. Most maid agencies will charge a fixed cost for their services.

contact us to check the service fee.

 Placement Fee/Maid Loan

Most maid agencies will have this component called a placement fee, sometimes also known as a maid loan. This is basically an amount which is a loan that you pay to the maid agency on behalf of the maid. Think of this as what the maid is paying the agency in order to work in Singapore.

 Placement fee/maid loan are not considered as part of your expenses since you will be receiving  the loan back through deductions made from the maids salary in the initial months.


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