Comprehensive Analysis of Audit Accounting Costs for Singapore Companies - Find Out How Much It Really Costs!

How Much Does Company Auditing and Accounting Cost in Singapore? A Comprehensive Guide to Help You Understand!

When starting a business in Singapore, especially a Private Limited Company Pte. Ltd., business owners inevitably face a key question How much will annual financial auditing and accounting cost? This issue not only affects regulatory compliance, but also directly impacts operational costs. For startup founders or SME owners, understanding the composition and influencing factors of these fees is crucial for better financial planning and avoiding unnecessary expenses.

1. Basic Requirements for Company Auditing and Accounting in Singapore

According to the Accounting and Corporate Regulatory Authority ACRA, all registered companies in Singapore are required to submit financial statements and file an Annual Return each year. Additionally, under the Companies Act, companies that meet the definition of a Small Company may be exempt from audit, while others must engage a registered accounting firm to perform financial audits.

The criteria for a Small Company are as follows all three must be met simultaneously

1. Annual revenue not exceeding SGD 10 million;

2. Fewer than 50 employees;

3. All shareholders are natural persons not corporate shareholders.

For companies that do not qualify for audit exemption, auditing is a mandatory requirement, and accounting is the foundational work of the audit process.

2. Components of Auditing and Accounting Fees in Singapore

Typically, the costs of auditing and accounting services in Singapore include the following components

1. Accounting Services Bookkeeping Fees

Accounting involves organizing daily financial transactions-such as income, expenses, accounts receivable, and accounts payable-into standardized financial statements. This usually includes

Monthly or quarterly bookkeeping;

Bank reconciliation;

Invoice and document management;

Tax filing support e.g., GST filing, IRAS submissions.

In the Singapore accounting market, bookkeeping fees are generally determined by the complexity of the business and transaction volume. Typically

Startups or companies with low transaction volume SGD 200-500 per month;

Mid-sized companies SGD 500-1,000 per month;

Companies with complex operations or multi-currency transactions higher fees.

2. Audit Fees

Audit fees are usually charged annually, and vary based on company size, financial complexity, industry type, and the qualifications of the auditing firm. Approximate price ranges are

Small businesses SGD 2,000-5,000;

Mid-sized businesses SGD 5,000-10,000;

Large enterprises or specialized industries e.g., finance, healthcare, real estate over SGD 10,000.

Recent media reports indicate that with stricter compliance requirements for SMEs, some small accounting firms are offering bundled services that combine bookkeeping and auditing at more competitive prices. For example, some providers offer annual financial service packages priced between SGD 8,000 and SGD 12,000, covering full-year bookkeeping, auditing, and tax support.

3. Key Factors Affecting the Cost

1. Business Complexity

Higher transaction volumes and complex financial elements e.g., multi-currency, intercompany transactions, inventory management increase the time required for bookkeeping and auditing, thus raising costs.

2. First-Time Audit

First-time audits often involve organizing and adjusting historical records, which is more time-consuming and therefore more expensive than subsequent audits.

3. Choice of Accounting Firm

Singapore’s accounting market is mature, with both large international firms e.g., the Big Four and local small-to-mid-sized firms. Larger firms charge more, but offer higher service quality; smaller firms offer more competitive pricing, suitable for SMEs.

4. Use of Accounting Software

More businesses are adopting cloud-based accounting tools like Xero and QuickBooks for financial management. While these tools improve efficiency, they still require professional oversight and adjustment. Software use can reduce labor costs, but not fully replace professional bookkeeping.

4. How to Reduce Auditing and Bookkeeping Costs

1. Prepare Financial Documents in Advance

Providing bank statements, invoices, and contracts upfront helps accounting professionals work more efficiently and reduces rework costs.

2. Choose the Right Accounting Service Provider

Don’t chase the lowest price alone-consider service quality, expertise, and customer reviews.

3. Use Cloud Accounting Tools

These reduce manual data entry and improve accuracy.

4. Maintain Regular Communication and Review

Identifying financial issues early avoids the need for rushed, costly year-end corrections.

5. Industry Trends and Recent Developments

According to a 2025 survey of the Singapore accounting industry, more SMEs are opting for outsourced financial services-where a professional accounting firm handles bookkeeping, tax filing, and auditing in one package. This model reduces internal HR costs and improves financial professionalism.

In recent years, Singapore has also been promoting digital transformation, encouraging companies to adopt e-invoicing and electronic accounting systems to improve financial transparency and compliance efficiency. This trend has driven accounting firms to enhance their technological capabilities and offer more intelligent and automated service options.

Conclusion

In summary, the cost of auditing and bookkeeping for Singapore companies varies based on company size, business complexity, and the service provider. However, these costs are generally manageable. By selecting the right service provider, preparing documents in advance, and leveraging modern accounting tools, business owners can effectively control costs while ensuring financial compliance.

For startups and SMEs, choosing a cost-effective and reliable accounting service is a critical step toward sustainable growth.