Minimum wage in
Indonesia.

SALARY PAYMENT IN Indonesian Rupiah (IDR, Rp)

CONTRACT LANGUAGES Bahasa Indonesia / English

PAYROLL TAX 10.24% – 11.74%

PAYROLL CYCLE Monthly

TIME TO HIRE 12 hours
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Horizons-owned entity with local country experts in Indonesia.

We offer fair, scalable, and transparent pricing on Indonesia PEO service. Contact us for a cost breakdown

End service in Indonesia with no additional penalties or fees.

Including vision, dental, death & disability, travel, and more.

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Indonesia

What is the minimum wage in Indonesia per hour?

The minimum wage in Indonesia fluctuates wildly depending on the province or city. The minimum wage in Jakarta, Indonesia is 5.06M IDR/month.

This works out to a minimum wage of IDR 29,000 per hour in Jakarta.

Are there regional variations in Indonesia’s minimum wage?

Yes, it does vary by region. Outside of Jakarta, the minimum wage is generally lower, with the lowest minimum wage at 1.68M IDR/month.

How has minimum wage in Indonesia changed in the last 5 years?

Due to the huge range of minimum wages active in Indonesia, we will focus on the minimum wage of Jakarta. The minimum wage in Indonesia (Jakarta) has increased at a steady rate over the last 5 years, at an average rate of IDR 250,000 (USD $16.25) per month per year.

Indonesia – Minimum Wage Over the Years

Date	Min. Wage, Monthly (IDR)
2022	4.64M
2021	4.42M
2020	4.27M
2019	3.95M
2018	3.64M
2017	3.35M
2016	3.10M
2015	2.70M

How does the minimum wage in Indonesia compare to surrounding countries?

Southeast Asia is a varied region, with some very strong economies and some very unstable economies. Indonesia’s minimum wage is higher than in some countries but significantly lower than in others, such as Singapore.

Is there a different minimum wage for foreigners in Indonesia?

The minimum wage for foreigners seeking employment in Indonesia is the same as for locals seeking employment. There is no special minimum wage for foreigners in Indonesia.

Hiring in Indonesia, Made Easy

Your business can easily hire employees in Indonesia without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.

FAQs

What is the difference between the average salary and the minimum wage in Indonesia?

The average salary in Indonesia is approximately double the minimum wage in Indonesia; in reality, an employee’s salary will depend on a range of factors including the employee’s location, previous experience, experience level, and market conditions. For markets like Indonesia, employers should go into the hiring process with an open mind and a flexible budget.

Is it possible to hire skilled employees close to the minimum wage?

It is generally not possible to hire skilled employees at the minimum wage in Indonesia. Compared to other markets, however, average salaries are relatively low. While skilled employees may be hired at a lower cost than in more developed markets, these employees usually expect a higher pay rate than the minimum or even the average salaries.

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Gabor SzedlakCo-founder & COO at MindLabs (UK)

"I truly appreciated the thoroughness and the professionalism of Horizons personnel while we hired internationally with them. They were knowledgable on all subject matters pertaining to international employment."

Gary PaskyVP Software Development, PICS ITech (USA)

"On deciding to begin commercial activities in Asia Pacific, we needed a provider to handle the employment and remuneration of our workforce. With Horizons the result was fast, efficient, and fit-for-purpose. We recommend Horizons as an EOR provider.”

Chris MorrellManaging Director, Schaeffler Group (Germany)

"The collaboration with the Horizons team is excellent. Both our local employee as well as our HQ in Germany are more than pleased with the support provided and the simplicity of the service. We can highly recommend the Horizons solution to anyone."

Christoph EngelbertCo-Founder & CTO, Clevabit (Germany)

"We needed an EOR that could provide expert support for payroll in APAC. We are pleased with Horizons’ expertise and the fact that they are flexible, responsive, and easily accessible from Belgium. They were able to provide services within the short timeline we required."

Katia FlamandHuman Resources, Devian Chemicals (Belgium)

Minimum wage in
Indonesia.

What is the minimum wage in Indonesia per hour?

Are there regional variations in Indonesia’s minimum wage?

How has minimum wage in Indonesia changed in the last 5 years?

Indonesia – Minimum Wage Over the Years

How does the minimum wage in Indonesia compare to surrounding countries?

Is there a different minimum wage for foreigners in Indonesia?

Hiring in Indonesia, Made Easy

FAQs

Success stories from businesses we’ve helped enter and grow in new markets.

Client Testimonials

180+

100+

24x5

130+

180+

100+

24x5

130+

The Global Workforce Payment Platform

What to expect when you connect with Horizons

Minimum wage in Indonesia.

What is the minimum wage in Indonesia per hour?

Are there regional variations in Indonesia’s minimum wage?

How has minimum wage in Indonesia changed in the last 5 years?

Indonesia – Minimum Wage Over the Years

How does the minimum wage in Indonesia compare to surrounding countries?

Is there a different minimum wage for foreigners in Indonesia?

Hiring in Indonesia, Made Easy

FAQs

Success stories from businesses we’ve helped enter and grow in new markets.

Client Testimonials

180+

100+

24x5

130+

180+

100+

24x5

130+

The Global Workforce Payment Platform

What to expect when you connect with Horizons

Minimum wage in
Indonesia.