Reducing the Cost of Living in Singapore

🌸 Barakah Budgeting: How Muslim Families Can Reduce Cost of Living in Singapore

In a city like Singapore where the cost of living is one of the highest in the world, many Muslim families are feeling the squeeze. Whether it's trying to save for Umrah & Haj, balancing kids’ school expenses, or just stretching your dollar till payday, the struggle is real.

However, Alhamdulillah, Islam gives us guidance on living moderately (wasatiyyah), avoiding waste (israf), and relying on halal means of provision (rizq). In this blog, we’ll explore practical, faith-aligned strategies for reducing your household expenses—without compromising on quality of life or values.

🍳 1. Cook at Home – The Sunnah and the Savings

Why it works:
In Singapore, a simple weekday meal out can cost $7–$12 per person. Multiply that by 4–6 family members and it’s easy to see how food costs skyrocket.

Home-cooked meals = Lower costs + Better nutrition + Barakah.

Tips to make it practical:

• Batch cook weekly. Make sambal, ayam masak merah, or beef rendang in bulk and freeze.

• Create a 2-week rotation meal plan that includes budget staples like eggs, tofu, tempeh, and canned sardines.

• Use “Prophet’s Pantry” items. Dates, lentils, barley, olive oil—sunnah foods are affordable and filling.

Estimated monthly savings:
If a family reduces eating out from 12 to 4 meals a month, they can easily save $300–$400 a month

🚌 2. Swap Private Transport for Public Alternatives

Why it works:
Car ownership in Singapore can cost over $1,500/month (COE, petrol, maintenance, insurance). In contrast, an adult EZ-Link card for buses/trains costs under $150/month. 10 times lesser!

Switching to public transport = Massive cost savings + Environmental reward.

Practical strategies:

• Sell the car if not essential and reallocate funds to education savings or takaful.

• Use contactless credit cards with rebates (to get more savings for other essentials!)

• Download apps like SimplyGO to optimise routes and avoid unnecessary transfers.

Bonus for families:
Children under 7 travel for free, and student cards offer deep discounts for primary to tertiary students.

Estimated monthly savings:
Selling a car could free up $1,000–$1,500/month—enough to fund a child’s tuition classes, madrasah education and even a family holiday. You can also use the money to invest for your future retirement!

🛍 3. Buy Groceries Across the Causeway

Why it works:
Groceries and daily necessities in Johor Bahru (JB) are often 20–50% cheaper than in Singapore. You need to spend some time to travel to JB so plan in advance and reap the benefits!

Going to JB monthly = Big savings on essentials + More Halal variety.

How to plan it wisely:

• Visit once or twice a month. Go early in the morning to avoid traffic.

• Focus on bulk items. Rice, milk formula, diapers, wipes, home cleaning products.

• Shop at local hypermarts such as Mydin, NSK, Maslee or Lotus’s. These are Muslim-friendly and offer halal-certified products at good value.

• Use apps like Youtrip or Revolut to reduce unnecessary currency exchange costs

• Take this opportunity to top up petrol, wash your car and eat a nice meal with your family

Estimated savings:
A typical haul of $200 in JB could easily cost $350 in SG—savings of >$150 per trip.

Islamic perspective:
Your wealth is an amanah (trust) given by Allah. Use it wisely and get the barakah of wealth

🧾 4. Track Your Spending the Halal Way

Why it works:
You are aware of your expenses, in terms of what is important and what is not necessary. Use the information to optimize your spendings in the future. Budgeting is the first step to barakah-based financial planning.

Faithful tracking = Peace of mind + Prevention of waste.

Recommended tools:

• Use an app such as Money Manager to track daily expenses

• Categorize expenses: Needs (necessities), Wants (luxuries), and Spiritual (zakat, sadaqah).

• Apply the 50/30/20 principle for your income budgeting:

  • 50% Needs

  • 30% Protection, Education, Umrah/Hajj

  • 20% Emergency fund, Investing

Budgeting tip for families:
Have monthly “money check-ins” —review bills, goals, and dreams together.

💡 5. Switch to Affordable, Faith-Aligned Insurance & Investment Plans

Why it works:
Many families are overpaying for conventional insurance that may conflict with Shariah such as Whole Life Insurance. In Singapore, Term plans are the best option for the Muslim community to provide comprehensive coverage at a much lower premium.

Shariah-based risk management = Ethical protection + Lower cost + No riba.

Recommended steps:

• Review your current policies—how much are you paying vs. actually covered?

• Ask for a free consultation from a Shariah-based financial advisor.

• To accumulate wealth, consider plans such as unit trusts or investment-linked policies (ILPs) based on shariah funds such as global sukuk or Shariah equity.

Estimated savings:
Switching from conventional insurance plans to optimized ethical shariah-based coverage can save $100–$200/month.

📱 6. Tap Into Community Deals & Halal Discounts

Why it works:
One of the secrets that many people are not taking advantage of. There are actually Telegram channels, FB groups, and apps sharing affordable deals and discounts

Community tips = Less waste + More value + Greater awareness.

Channels worth following:

• “SG Muslim Parents” (FB Group) – budgeting tips, secondhand baby gear

• Telegram: @HalalDealsSG – halal buffets, groceries, enrichment promo codes

• MUIS – Zakat updates, free religious & legacy planning seminars

Also explore:

• Preloved platforms like Carousell for toys, clothes, books.

• Jumble sale or events at mosques or CCs for clothes

🕌 7. Embrace Wasatiyyah in All Spending

Why it works:
Living within your means is not only smart—it’s sunnah. Islam promotes wasatiyyah (moderation) and tawakkul (trust in Allah’s provision). Live with barakah and contentment.

Living simply = More contentment + Financial resilience + Barakah.

Daily reminders:

• Start each spending decision with “Is this a need or a want?”

• Involve children—teach them how budgeting is part of being grateful to Allah.

• Choose experiences over things—family walks at the beach, reading Quran together, family adventures to the museum and nature parks

📌 Final Thoughts: You Don’t Have to Sacrifice to Save

Managing the cost of living doesn’t mean living miserably. You don't have to show off to others by buying the latest car or upgrading to private property. You only need to work on pleasing Allah SWT through your intentions and actions. In fact, simplifying your lifestyle, being more intentional, and aligning your spending with your Islamic values often results in more barakah, not less.

As your trusted Shariah-based financial advisor, I’m here to guide your family not just to survive—but to thrive in a halal, dignified, and blessed way. Let's plan together, insyaAllah

Your Islamic Financial Planner,

Syukri Ismail