- Up to S$5,000 in work expenses are anticipated for two-thirds of employees each year.
- Despite the fact that 28% of Singaporean workers believe that payments should be made within five days, 20% of them delay up to a month to be reimbursed by their employer.
- While anticipating reimbursement, nearly 30% have withdrawn funds from their personal savings.
Singapore, October 14, 2025 – A new study from Airwallex, a leading global financial platform, reveals that long reimbursement delays are forcing employees to cover significant out-of-pocket costs. The research discovered that over half (56%) of respondents spend up to S$5,000 annually on business-related expenditures out of pocket, as indicated by a survey of 500 Singaporean employees. Alarmingly, an additional 23% report spending up to S$15,000, while 5% claim that their expenditures exceed S$20,000 annually before being reimbursed.
The hospitality and leisure sector is the industry with the highest out-of-pocket expenditure, with 15% of employees reporting expenses exceeding S$20,000. Manufacturing (13%) and education (8%) follow, completing the top three sectors with the highest personal financial exposure.
The research has identified two critical issues: the lengthy wait times for reimbursement and the exorbitant upfront payments that numerous employees encounter. Nearly one-fifth of respondents (19%) reported that it takes between three and four weeks to receive their money back, while 8% wait for over a month. Singaporean employees indicated that the ideal reimbursement timeframe would be four to five business days when queried, indicating a significant discrepancy between expectations and reality.
The research revealed that nearly 25% of respondents are reimbursed within four to five working days, whereas only 6% receive payment on the same day. This is reassuring.
The study highlighted several key issues faced by employees regarding expense reimbursements:
- Delayed Reimbursements: A quarter (25%) of employees expect to be reimbursed within six to 10 working days, yet the majority (53%) wait longer.
- Financial Strain: Two-fifths (41%) of employees report financial stress due to reimbursement delays, with younger workers (aged 18-34) feeling the impact most acutely. Worryingly, 28% of employees have dipped into their personal savings to cover workplace expenses.
- Credit Card Usage: 52% rely on credit cards to cover business expenses, risking debt and interest charges if reimbursements are delayed.
- Workplace Consequences: 12% have skipped company events to avoid upfront costs, and 7% say they have quit a job due to the reimbursement process.
A Call for Change
85% of employees believe that having company corporate cards would alleviate concerns about expense reimbursements, which underscores a clear need for improved systems. Improving expense management procedures could be a critical step in supporting employee well-being and financial stability as businesses continue to navigate economic uncertainty and talent retention challenges.
Lionel Tan, Director, Account Management, SME & Growth, Airwallex, said, “We’re focused on helping businesses remove unnecessary friction from day-to-day financial operations. By simplifying expense management, we’re easing the pressure on employees who would otherwise be out of pocket, while giving businesses greater visibility and control over company spend. With tools like instant reimbursements, real-time spend controls, and seamless integrations with accounting platforms, we’re making it easier for businesses to operate efficiently both at home and abroad.”
Modern tools such as Airwallex can assist businesses in creating a more supportive and efficient work environment, as financial well-being becomes more significant for employee retention and satisfaction.
