I’m standing here at the bus stop in the pouring rain, watching the Grab app surge to $54 for a 15-minute ride to Orchard, and I’m about to lose my mind. I was looking at the latest COE (Certificate of Entitlement) prices this morning, and it’s official: we have reached peak insanity.
1. The COE Gatekeeping is unreal How is Category A COE still hovering at prices that could buy a literal apartment in other countries? We are paying over $100k just for a piece of paper that gives us the right to own a vehicle for 10 years. By the time you add the ARF (Additional Registration Fee), Excise Duty, and the dealer’s margin, a basic Japanese sedan costs as much as a Luxury Property down payment. We are essentially paying a “Success Tax” just to not be squeezed like sardines on the MRT.
2. The “Passive Income” drain Everyone in Singapore is obsessed with Wealth Management and Financial Planning, but a car is the single worst “investment” you can make here. Between the Bank Loan Interest Rates, the sky-high Car Insurance Premiums, and the Road Tax, you are burning money every second the car sits in your driveway. I see people taking out 7-year Car Loans just to look “High-SES” (Social Economic Status), but they’re eating grass at home because their monthly installment is 40% of their take-home pay.
3. The ERP and Parking “Hidden Costs” Even if you can afford the car, the “pay-as-you-glow” system never stops. The ERP (Electronic Road Pricing) gantries are like mini-heart attacks every time you drive into the CBD for work. Then there’s the Season Parking at HDB estates and the ridiculous hourly rates at Grade-A Office Buildings. You want to go for a “quick” dinner at a mall? That’s $5 in parking and $4 in ERP before you’ve even ordered your food. It’s a constant drain on your Disposable Income.
4. The EV Transition Trap The government is pushing Electric Vehicles (EV), but unless you live in a Landed Property or a high-end Condominium with dedicated EV Charging Stations, it’s a logistical nightmare. Who has time to wait 45 minutes at a public charger in a mall basement? We talk about Green Energy and Sustainability, but for the average Singaporean, the infrastructure isn’t catching up to the “vision.”
5. The “Public Transport” Gaslighting We are constantly told we have the “best public transport in the world.” Sure, it’s clean, but try getting from Jurong to Changi for an 8:30 AM meeting without losing your soul. The Private Hire Vehicle (PHV) market—Grab, Gojek, Tada—was supposed to be the solution, but with the current Voucher Codes being non-existent and the surge pricing, it’s becoming a luxury service.
Is the “Singapore Dream” now just being able to afford a Toyota Corolla without going into debt? We are so focused on Digital Banking and Portfolio Diversification, yet we can’t even solve the basic human need for efficient, private mobility without it costing a literal limb.
I’m tired of the “Car-Lite” narrative when the “Car-Owner” reality is only reserved for the top 5%. Anyone else just giving up and accepting that they’ll be taking the bus until they’re 60?
TL;DR: Between COE Prices, Petrol Duty, and ERP, owning a car in SG is a financial suicide mission. We are working for the car, the car isn’t working for us.
[+] blue_sg_warrior Bro, just use BlueSG. At least you only pay for the “pain” by the minute. But the parking hunt is a different kind of hell. 💀
[+] financial_advisor_ben This is why I tell my clients: don’t buy a car, invest that $200k in S-REITs or Global ETFs. The returns will pay for your Grab rides for life.
[+] cikgu_driver The worst is when you pay $150k for a car and you still get stuck in the BKE jam for 1 hour every morning. Paying for the privilege to sit in traffic. 🤡