What is DKP-TKA?
DKP-TKA (Dana Kompensasi Penggunaan Tenaga Kerja Asing) is the mandatory compensation fund that Indonesian companies must pay for every foreign worker they employ. Think of it as a "foreign worker levy" that goes into a government fund dedicated to developing the skills of Indonesian workers.
The concept is straightforward: if your company needs foreign expertise, you contribute to a fund that helps train local workers to eventually fill those positions. It is not optional, not negotiable, and must be paid before your foreign worker's KITAS can be processed.
The legal basis is Presidential Regulation No. 20/2018 on Foreign Worker Employment, amended by Perpres No. 34/2021, and further regulated by Ministry of Manpower Regulation No. 8/2021.
How Much Does DKP-TKA Cost?
The rate is fixed at USD 100 per month per foreign worker. This rate has remained stable since 2018 and applies uniformly regardless of the worker's salary, position, or nationality.
DKP-TKA Cost Breakdown by KITAS Duration
| KITAS Duration | Monthly Rate | Total DKP-TKA | Payment Timing |
|---|---|---|---|
| 6 months | USD 100 | USD 600 | Upfront, before KITAS |
| 1 year | USD 100 | USD 1,200 | Upfront, before KITAS |
| 2 years | USD 100 | USD 2,400 | Upfront, before KITAS |
Important Notes on Pricing
- The fee is denominated in US Dollars, not Indonesian Rupiah
- Payment is converted to IDR at the prevailing Bank Indonesia exchange rate on the day of payment
- The full amount must be paid in advance for the entire KITAS period
- DKP-TKA is non-refundable once paid, even if the KITAS is cancelled early
- The fee applies to both new applications and extensions/renewals
Who Must Pay DKP-TKA?
DKP-TKA applies to all companies employing foreign workers who require RPTKA approval. This includes:
Companies That Must Pay DKP-TKA
| Company Type | DKP-TKA Required? | Notes |
|---|---|---|
| PT PMA (foreign-owned) | Yes | Most common scenario |
| PT PMDN (domestic company hiring foreigners) | Yes | Same rules apply |
| Representative Office (KPPA) | Yes | For their foreign staff |
| NGOs/Foundations | Exempt | Government-approved organizations |
| Diplomatic missions | Exempt | Embassy and consulate staff |
| Government projects | Conditional | Some exemptions apply |
KITAS Types That Trigger DKP-TKA
- E25B - Director KITAS (requires RPTKA, therefore DKP-TKA)
- E23 - Employee KITAS (requires RPTKA, therefore DKP-TKA)
- E25A-F - Other executive positions (requires RPTKA)
KITAS Types Exempt from DKP-TKA
- E28A - Investor KITAS (no RPTKA required)
- E33F - Spouse Dependent KITAS
- E33E - Child Dependent KITAS
- E33G - Remote Worker Visa (Digital Nomad)
- E311A - Retirement KITAS
The rule is simple: if the KITAS requires RPTKA, DKP-TKA must be paid. If no RPTKA is needed, no DKP-TKA is required.
Step-by-Step DKP-TKA Payment Process
The entire DKP-TKA payment process is handled through the Ministry of Manpower's online system. Here is the complete workflow:
Step 1: RPTKA Application via TKA Online
Before DKP-TKA payment, your company must first submit the RPTKA (Foreign Worker Employment Plan) through the TKA Online portal at tka-online.kemnaker.go.id.
Required documents for RPTKA:
- Company registration documents (NIB, AHU, deed of establishment)
- Foreign worker's passport copy
- CV/resume of the foreign worker
- Job description and organizational chart
- Skills transfer plan for Indonesian counterpart
- Company bank statements (3-6 months)
Step 2: RPTKA Approval and Payment Code
Once the Ministry of Manpower approves your RPTKA, the system generates a billing code (kode billing) for DKP-TKA payment. This code is specific to each foreign worker and RPTKA approval.
Key details on the billing code:
- Valid for a limited period (typically 30 days)
- Unique per foreign worker per RPTKA period
- Contains the exact amount in IDR (converted from USD at current rate)
Step 3: Bank Transfer Payment
DKP-TKA is paid via bank transfer to a designated government account. The payment can be made at:
Designated Banks:
- Bank Mandiri
- Bank BNI
- Bank BRI
- Bank BTN
Payment methods:
- Over-the-counter (teller) at designated bank branches
- Internet banking / mobile banking using the billing code
- ATM transfer using the billing code
Step 4: Payment Verification
After payment, the banking system automatically notifies the TKA Online platform. Verification typically takes:
| Payment Method | Verification Time |
|---|---|
| Internet banking | 1-2 hours (automatic) |
| ATM transfer | 2-4 hours (automatic) |
| Over-the-counter | 1 business day |
Step 5: Proceed with KITAS Application
Once DKP-TKA payment is verified in the TKA Online system, the RPTKA status updates to "DKP-TKA Paid" and you can proceed to the next step: applying for the VITAS (visa) through the Directorate General of Immigration.
Common DKP-TKA Scenarios
Scenario 1: New PT PMA with One Foreign Director
Your company has just been established and you need an E25B Director KITAS for the foreign director.
DKP-TKA calculation:
- 1 foreign worker x USD 100/month x 12 months = USD 1,200
- At exchange rate of IDR 16,000/USD = IDR 19,200,000
Scenario 2: Company with Multiple Foreign Workers
Your PT PMA has 3 foreign workers: 1 director (E25B) and 2 employees (E23).
DKP-TKA calculation:
- 3 foreign workers x USD 100/month x 12 months = USD 3,600
- Each worker's DKP-TKA is processed separately through their individual RPTKA
Scenario 3: KITAS Extension/Renewal
Your foreign worker's 1-year KITAS is expiring and you need to extend it.
DKP-TKA for extension:
- Same rate: USD 100/month x 12 months = USD 1,200
- Must be paid again for each renewal period
- Previous period's DKP-TKA does not carry over
Scenario 4: Early KITAS Cancellation
Your foreign worker leaves Indonesia 6 months into a 12-month KITAS.
Refund policy:
- DKP-TKA is NOT refundable
- The remaining 6 months of prepaid DKP-TKA is forfeited
- This is one reason some companies prefer 6-month KITAS periods for uncertain situations
Penalties for Non-Payment or Late Payment
Failure to pay DKP-TKA has serious consequences:
Administrative Penalties
- RPTKA suspension - Your approved RPTKA will be suspended until payment is made
- KITAS processing halt - Immigration will not process the KITAS without confirmed DKP-TKA payment
- Company blacklisting - Repeated non-payment can result in your company being blacklisted from hiring foreign workers
- RPTKA revocation - In severe cases, the Ministry can revoke your existing RPTKA approvals
Legal Penalties
Under the Manpower Law (UU No. 13/2003 as amended), companies that employ foreign workers without proper documentation (including DKP-TKA payment) face:
- Administrative sanctions - Written warning, temporary suspension of business activities
- Criminal penalties - Fines up to IDR 400,000,000 for employing foreign workers without proper permits
- Immigration penalties - The foreign worker may be subject to deportation
How to Avoid Penalties
- Set calendar reminders for DKP-TKA payment deadlines
- Pay immediately upon receiving the billing code (do not wait until the last day)
- Keep all payment receipts and confirmation documents
- Work with a licensed immigration agent who tracks these deadlines
DKP-TKA vs Other Immigration Fees
Understanding where DKP-TKA fits in the overall cost structure helps with budgeting:
| Fee Type | Amount | Paid To | Purpose |
|---|---|---|---|
| DKP-TKA | USD 100/month | Ministry of Manpower | Worker compensation fund |
| RPTKA processing | Varies | Ministry of Manpower | Application processing |
| VITAS fee | USD 110-335 | Immigration | Visa issuance |
| ITAS fee | IDR 2,000,000 | Immigration | Stay permit issuance |
| MERP/STM | IDR 1,000,000 | Immigration | Re-entry permit |
| Agent service fee | Varies | Immigration agent | Professional services |
Frequently Asked Questions About DKP-TKA
Can the foreign worker pay DKP-TKA themselves?
No. DKP-TKA is the legal obligation of the employer (sponsoring company), not the individual foreign worker. While in practice some companies may deduct this from the worker's compensation package, the payment must come from the company's account.
Is DKP-TKA required for part-time foreign workers?
Yes. There is no reduced rate for part-time employment. The full USD 100/month applies regardless of working hours.
What if we overpay DKP-TKA?
Overpayments can be credited to future periods through a formal request to the Ministry of Manpower. However, the process is bureaucratic and time-consuming. It is better to ensure accurate payment from the start.
Does DKP-TKA apply to foreign workers in Special Economic Zones (KEK)?
Special Economic Zones may have modified rules regarding foreign worker requirements, but DKP-TKA generally still applies. Check with the KEK authority for your specific zone.
Can DKP-TKA be paid in installments?
No. The full amount for the entire KITAS period must be paid upfront in a single payment. There is no installment plan available.
Tips for Managing DKP-TKA Payments
- Budget in advance - Include DKP-TKA in your annual HR budget for each foreign worker
- Track exchange rates - Since the fee is in USD but paid in IDR, exchange rate fluctuations affect the actual payment amount
- Maintain records - Keep all payment receipts for at least 5 years for audit purposes
- Use a professional agent - Immigration agents handle the TKA Online system and payment coordination, reducing the risk of errors
- Plan for renewals - Remember that DKP-TKA must be paid again for each renewal period
How Bali Zero Can Help
Navigating the DKP-TKA payment process alongside RPTKA applications and KITAS processing can be complex, especially when dealing with multiple foreign workers. Bali Zero handles the entire workflow from RPTKA submission to DKP-TKA payment coordination to KITAS issuance.
Get in touch:
- Email: hello@balizero.com
- Website: balizero.com
We manage every step so your foreign workers can focus on building your business in Indonesia.
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