Joseph Schooling is set to earn $1 million in prize money ©Getty Images

Swimmer Joseph Schooling, who clinched his first Olympic Gold medal in the 100 metres butterfly event at Rio 2016, is set to earn SGD1 million (£574,000/$743,000/ €665,000) in prize money.

To reward medal-winning athletes, an incentive scheme was devised by the Singapore National Olympic Council (SNOC) in the 1990s.

The Multi-Million Dollar Award Programme (MAP) provides a cash pay-out to athletes who win medals at the Olympics, Asian, Commonwealth and South East Asian Games.

Schooling, 21, clocked 50.39sec in his event to beat the likes of American great Michael Phelps and South Africa's Chad le Clos.

In a report by American television network CBS, it was revealed that “student-athletes are not allowed to be paid”, under National Collegiate Athletic Association rules.

As a Singaporean, however, Schooling is exempted.

An incentive scheme was devised by the Singapore National Olympic Council in the 1990s to reward medal-winning athletes ©Getty Images
An incentive scheme was devised by the Singapore National Olympic Council in the 1990s to reward medal-winning athletes ©Getty Images

“For competitive athletes, the cost of training at elite level requires an enormous financial investment over many years," said the SNOC.

"Of all athletes who dream of winning an Olympic medal, only a small percentage will find themselves on the podium at the Games.”

According to the SNOC, athletes will be entitled to awards for up to a maximum of three individual gold medals won at the South East Asian Games, up to two individual gold medals won at the Commonwealth Games and the Asian Games, and the first individual gold medal won at the Olympic Games.

The SNOC also noted that it is mandatory for all athletes to put back a certain percentage of the MAP awards to their National Sports Association, for future training and development. 

All awards are also taxable.