Indonesia

Last Update by Katie, 09 Jul 2024

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Exchange Rate

18 Sep 2024

 

Cost of Living

Indicative value for a working adult in a city: Jakarta

Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff

Living Requirement Indicative Amount (IDR)
McDonalds Set Meal 55,000
Monthly Train and Bus Tickets 200,000
3 Bedrooms Rental (City Center) 20,042,255
3 Bedrooms Rental (Outskirt) 10,220,620

Current Inflation Rate

2.4%

Wage

Minimum Wages

  • Minimum wage depends on the province or city.
    In Jakarta, 4.64M IDR per month, 29,000 IDR per hour

Median Salary

Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.

Job Level Monthly Salary (IDR)
Entry-Level
Fresh Graduate
 4.64 million
Mid-Level
5 Years
 10 million
Experienced & Managerial Level
10 Years
 18 million
Specialized & Senior-Level
15 Years
 50 million

Annual Salary Growth

5.8%

Statutory Contribution

Country Level

Type Employer Rates Employee Rates Notes
Death/ Life Insurance (JKM) 0.3% - All staff
Work Accident Insurance (JKK) 0.24% – 1.74% - All staff
Old Age Benefit (JHT) 3.7% 2% All staff
Pension (JP) 2%,
On salary up to 10,042,300 IDR per month
Maximum contribution capped 200,847 IDR 		1%
On salary up to 10,042,300 IDR per month 		All staff
Health Insurance (BPJS) 4%
Capped at 480,000 IDR 		1%
Capped at 120,000 IDR per month 		All staff
Mandatory13th Month Salary (THR) 1 month salary - All staff

Income Tax

Residents

  • Tax period: 1st January- 31st December of the previous year.
    Tax filing start date: 1st January of the following year.
    Tax filing due date: 31st March of following year.

Country Level

Taxable Income Rate
60 million 5%
60 million - 250 million 15%
250 million - 500 million 25%
500 million - 5 billion 30%
> 5 billion 35%

Non-residents

  • Flat rate of 20%

Working Hours

Statutory

40 Hours
8 hours a day, 5 days a week

Typical practice

40 Hours
Monday - Friday

Overtime

  • Monday - Friday, and Saturday up to 13:00, overtime pay:
    - First hour - 1.5 x 1 hour pay rate: 1.5 x 1/173 x monthly salary.
    - Next hour - 2 x 1 hour pay rate: 2 x 1/173 x monthly salary.
  • Overtime during Saturday after 13:00, Sunday and Public Holidays, overtime pay:
    - First 5 hours: 2 x 1 hour pay rate: 5 hours x 2 x 1/173 x monthly salary
    - 6th hour: 3 x 1 hour pay rate: 1 hour x 3 x 1/173 x monthly salary
    - 7th hour - 8th hour: 4 x 1 hour pay rate: 1 hour x 4 x 1/173 x monthly salary

Employment Contract

Permanent (PKWTT)

Contract Format

Can be verbal or in writing, in Indonesian. Bilingual Indonesian and English or other mutually understood languages are permitted for expat contracts

Payroll Currency

IDR

Probation

Up to 3 months in writing and cannot be extended or repeated

Contract Period

No minimum duration

Termination

  • Notice during probation for staff
    - 30 days in writing
    Notice during probation for employers:
    - 7 days in writing
  • Voluntary resignation:
    - 30 days
  • Involuntary termination
    - Employers issue notice 14 working days prior to the effective date of termination
  • Severance:
    - Less than 1 year:1 month's salary
    - 1 - 2 years: 2 months' salary
    - 2 - 3 years: 3 months' salary
    - 3 - 4 years: 4 months' salary
    - 4 - 5 years 5 months' salary
    - 5 - 6 years: 6 months' salary
    - 6 - 7 years: 7 months' salary
    - 7 - 8 years: 8 months' salary
    - 8 - 9 years: 9 months' salary
  • Long Service Pay:
    - 3 -6 years: 2 months’ salary
    - 6 - 9 years: 3 months’ salary
    - 9 -12 years: 4 months’ salary
    - 12 -15 years: 5 months’ salary
    - 15 - 18 years: 6 months’ salary
    - 18 - 21 years: 7 months’ salary
    - 21 - 24 years: 8 months’ salary
    - Over 24 years: 10 months’ salary

Public Holiday

13 days

Country Level

Date Name
01 Jan New Year's Day
08 Feb Muhammad's Ascension to Heaven
09 Feb Chinese New Year
10 Feb Lunar New Year's Day
14 Feb Residential Election
11 Mar Day of Silence
12 Mar the Holy Day of Silence
29 Mar Good Friday
31 Mar Easter Day
03 Apr Eid al-Fitr
08 Apr - 09 Apr Eid al-Fitr
10 Apr - 11 Apr Eid al-Fitr
12 Apr Eid al-Fitr
15 Apr Eid al-Fitr
01 May Labor Day
09 May Feast of the Ascension of Jesus Christ
10 May Ascension of Jesus Christ
23 May Buddha's Birthday
24 May Vesak Day
01 Jun Pancasila Day
17 Jun Eid al-Adha
18 Jun Eid al Adha
07 Jul Islamic New Year's Day
17 Aug Independence Day
16 Sep Birth of the Prophet
25 Dec Christmas Day
26 Dec Christmas Day

Leave

Leave Type Entitlement Notes
Annual Leave (Cuti Tahunan) 12 working days All staff after 1 year service
Long Service Leave (Cuti Besar) Up to 1 month All staff after 6 years continuous service in the 7th and 8th year
Sick Leave (Cuti Sakit) Up to 12 months All staff
Menstrual Leave (Cuti Haid) 2 days per month All women without prior notice
Maternity Leave (Cuti Melahirkan) 3 months
1.5 months before the birth, 1.5 months after
1.5 months in the event of a miscarriage 		All expectant mothers
Paternity Leave (Cuti Paternal) 2 days Father, to take after a birth or a miscarriage
Marriage Leave (Cuti Nikah) 3 days
2 days 		All general staff
All staff members with children getting married
Baptize/Circumcision/Religious Leave (Cuti Keagamaan) 2 days per event All staff
Compassionate/Bereavement Leave (Cuti Kematian) 2 days All staff

Reference

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