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Zantara AI
AI HR Advisor
Questions about how this applies to your case?
Bali Zero handles visas, company setup, tax and property compliance in Indonesia. Ask us directly on WhatsApp.
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Topics
Zantara AI
AI HR Advisor
Bali Zero handles visas, company setup, tax and property compliance in Indonesia. Ask us directly on WhatsApp.
Chat with Bali Zero on WhatsAppHiring in Indonesia requires understanding local requirements. Here's your step-by-step guide.
From recruitment to onboarding
| Component | Description | Taxable |
|---|---|---|
| Basic salary | Core compensation (min 75%) | Yes |
| Fixed allowances | Transport, meals | Yes |
| Position allowance | Role-based | Yes |
| Performance bonus | Variable | Yes |
| THR | Religious holiday bonus | Yes |
| Overtime | Extra hours pay | Yes |
Estimate employer total cost
Contributions:
Cap: IDR 12 million base salary
Coverage:
| Program | Employer | Employee | Total |
|---|---|---|---|
| JKK (Work Accident) | 0.24-1.74% | 0% | Varies |
| JKM (Death) | 0.30% | 0% | 0.30% |
| JHT (Pension Fund) | 3.70% | 2% | 5.70% |
| JP (Pension) | 2% | 1% | 3% |
Choose the right contract
| Feature | PKWTT (Permanent) | PKWT (Fixed-term) |
|---|---|---|
| Duration | Indefinite | Max 5 years |
| Probation | Max 3 months | Not allowed |
| Termination | Cause + severance | At end date |
| When to Use | Core/ongoing roles | Projects/temporary |
For PKWTT (Permanent) only:
For PKWT (Fixed-term):
| Requirement | Detail |
|---|---|
| Frequency | Monthly (most common) |
| Method | Bank transfer |
| Currency | IDR |
| Pay slip | Required |
| Deductions | BPJS, PPh 21, loans |
Employer must:
| Mistake | Impact |
|---|---|
| No written contract | Defaults to PKWTT |
| Late BPJS registration | Fines and penalties |
| Using PKWT for permanent roles | Contract becomes PKWTT |
| Probation in PKWT | Clause is void |
| Not collecting NPWP | Tax reporting issues |
| Missing tax withholding | Employer liability |
AI-powered answers from our knowledge base
Suggested questions:
Estimated total
Employer BPJS: ~10.24% of salary
Rp 17.786.000