Indonesian Rupiah
Date Format

calendar icon Public holidays calendar


0.24% - 1.74% - Work Accident
3.70% - Old Age
0.30% - Death
2.00% - Pension
4.00% - Health
2.00% - Old Age
1.00% - Pension
1.00% - Health
5.00% - Up to 50,000,00
15.00% - 50M - 250M
25.00% - 250M - 500M
30.00% - Over 500M

Minimum Wage

There is no official national minimum wage. It is decided individually in each of the provinces.

Working Hours

Full time employment is considered 40 hours weekly maximum, and 7 hours daily (
Limited to 3 hours daily, 14 hours weekly and subject to employees consent.


10% standard rate.


Payroll Frequency
Salaries are paid monthly. Paydays vary depending on the employer.

Mandatory Benefits

Pension Fund
Employers contribute 2% of workers wages, and employees continbute 1% of their salary.
Social Security
Social Security includes contributions to health care, work accidents, procident fund, and death benefit. Employers maximum total contribution is 11.74% of workers wages. Employees contrirbution equals 4% of their monthly saalry. The salary cap for contributions is IDR 7,703,500.


Termination Process
There is no legal notice period on termination. Employer can terminate an employee with or without a cause. Also if the employee has been unable to work for over six months due to legal reasons, the employer can terminate them. Employers can also terminate employees if they have been absent without a reason for over five working days.
Advance Notice
Employees are expected to provide a written termination letter and one months notice.
Severance Pay
Severance pay total varies depending on the type of dismissal. If an employee is dismissed with cause, they are entitled to one month’s average wage pay and service appreciation pay which includes two month's’ salary for the first three years in the company. Afterwards for every three years in the company, one month’s average salary is added to the service appreciation pay up to 24 years. If the employee is dismissed without a cause, they receive two times the average severance payments.