Country fileIDIDRVerified 2026-09-20
ID
Employer of Record in Indonesia: what one employee really costs
Indonesia, Asia. One software engineer at $25,000 gross per year, priced through 12 providers with a published fee, on the ECB reference rates of 18 Sept 2026. Change the salary and headcount below.
- Employer on-cost
- +14.4%
- statutory charges on top of gross
- All-in per month
- $2,583 – $3,083
- salary + charges + published fee, cheapest to dearest listed provider
Hiring one software engineer in Indonesia at $25,000 gross a year costs about $301 a month in statutory employer charges (+14.4%), plus an EOR fee of $199 to $699 per month depending on the provider: $2,583 to $3,083 all-in, before deposits, FX margins and add-ons. Prices checked 2–24 Sept 2026.
Disclosure Some provider links on this page are affiliate links: if you become a customer after clicking, the provider may pay us a referral fee. It never changes the price you pay, and it never changes the numbers on this page, which come from official sources and are dated. How we are paid
Cost engine · preset to Indonesia
Price your own hire, line by line.
employee inatgross / year
≈ IDR 445,567,408 gross / year · IDR at ECB reference rate, 18 Sept 2026
| Per employee | Rate | Per month |
|---|---|---|
| Gross salary | $2,083 | |
| Old-age savings JHT (Jaminan Hari Tua), employer share | 3.70% | $77 |
| Work accident insurance JKK (Jaminan Kecelakaan Kerja), employer only | 0.24% | $5 |
| Death benefit JKM (Jaminan Kematian), employer only | 0.30% | $6 |
| Pension JP (Jaminan Pensiun), employer share capped | 2% | $12 |
| Health insurance JKN (BPJS Kesehatan), employer share capped | 4% | $27 |
| THR religious holiday allowance (Tunjangan Hari Raya Keagamaan) | flat | $174 |
| Employer on-cost | +14.4% | $301 |
| Cost of employment, before EOR fee | $2,384 |
RemoFirstLowest total
$2,583/ month · 1 employee
- Fee / mo
- from $199
- Per year
- $30,997
- Fee share
- 7.7%
Checked 2 Sept 2026
Get a RemoFirst quotePapaya Global
$2,883/ month · 1 employee
- Fee / mo
- from $499
- Per year
- $34,597
- Fee share
- 17.3%
Checked 2 Sept 2026
Get a Papaya quoteDeel
$2,983/ month · 1 employee
- Fee / mo
- from $599
- Per year
- $35,797
- Fee share
- 20.1%
Checked 2 Sept 2026
Get a Deel quoteEmployer charges from official sources; provider fees are list prices on the dates shown; deposits, FX margins and add-ons are not included. Not legal or tax advice. Methodology
14 providers, one scenario, all-in totals.
| Provider | EOR fee / employee / mo | All-in / mo, 1 hire | Deposit | Countries | Checked | Quote |
|---|---|---|---|---|---|---|
| RemoFirst EOR in 185+ countries from $199 per employee per month, no annual contract. | from $199 | $2,583 | Not stated on the pricing page | 185+ | 2 Sept 2026 | Get a quote from RemoFirst· $2,583/mo |
| Rivermate EOR in 180+ countries from $319 to $639 per employee per month. | from $319 | $2,703 | Not stated on the pricing page | 180+ | 2 Sept 2026 | Get a quote from Rivermate· $2,703/mo |
| Pebl Velocity Global, renamed Pebl in 2026. Prints $399 per employee per month. | from $399 | $2,783 | Not stated on the pricing page | 185+ | 22 Sept 2026 | Get a quote from Pebl· $2,783/mo |
| Playroll EOR in 180+ countries from $399 per employee per month; deposit of one month's salary. | from $399 | $2,783 | Fully refundable security deposit equivalent to one month's salary when onboarding an employee (pricing page). | 180+ | 2 Sept 2026 | Get a quote from Playroll· $2,783/mo |
| Multiplier EOR from $459 (annual) or $499 (monthly) per employee, plus mandated add-ons. | from $499 $459 billed annually | $2,883 | Refundable security deposit required per employee by the EOR terms (effective 1 June 2026), sized by Multiplier; not on the pricing page. | 150+ | 24 Sept 2026 | Get a quote from Multiplier· $2,883/mo |
| Papaya Global EOR starting from $499 per employee per month, quote-based, 160+ countries. | from $499 | $2,883 | Not stated for EOR on the pricing page (the contractor block states 'No deposit required'). | 160+ | 2 Sept 2026 | Get a quote from Papaya Global· $2,883/mo |
| Borderless AI EOR at $579 per employee per month, no deposit or pre-funding, 170+ countries. | $579 | $2,963 | No deposit: 'No upfront deposits or pre-funding required' (pricing page). | 170+ | 24 Sept 2026 | Get a quote from Borderless AI· $2,963/mo |
| Atlas HXM EOR from $599 through its own entities, plus an Agent of Record at $199. | from $599 | $2,983 | Not stated on the pricing page | 160+ | 21 Sept 2026 | Get a quote from Atlas HXM· $2,983/mo |
| Deel EOR in 130+ countries, starting at $599 per employee per month. | from $599 | $2,983 | Not stated on the pricing page | 130+ | 2 Sept 2026 | Get a quote from Deel· $2,983/mo |
| G-P EOR in 180+ countries from $599, with no minimum contract length. | from $599 | $2,983 | Not stated on the pricing page | 180+ | 24 Sept 2026 | Get a quote from G-P· $2,983/mo |
| Oyster EOR in 120+ countries at USD 699 per employee per month; refundable deposit. | $699 | $3,083 | Refundable deposit required for EOR team members 'to initiate the engagement and to ensure on-time payments' (pricing FAQ). | 120+ | 24 Sept 2026 | Get a quote from Oyster· $3,083/mo |
| Remote EOR in 90+ countries at $699 per employee per month, no deposit. | $699 | $3,083 | No deposit: 'We collect reserve payments in rare, high risk circumstances' (pricing FAQ). | 90+ | 2 Sept 2026 | Get a quote from Remote· $3,083/mo |
| Rippling EOR bundled with the Rippling platform; custom quote only. | Quote only | — | Not stated on the pricing page | — | 24 Sept 2026 | Get a quote from Rippling |
| Safeguard Global EOR sold alongside entity setup and payroll; no price published. | Quote only | — | Not stated | 187+ | 21 Sept 2026 | Get a quote from Safeguard Global |
Same salary and statutory charges in every row; only the fee segment changes.
What Indonesia adds on top of the salary, and where each rate comes from.
Rates apply to the base named in each line; capped lines stop growing above the ceiling. Engine assumptions: Work accident (JKK) class: very low risk, 0.24% = 0.24.
| Line | Employer rate | Base & ceiling | Source |
|---|---|---|---|
| Old-age savings JHT (Jaminan Hari Tua), employer shareAll wage-earning workers registered with BPJS Ketenagakerjaan | 3.70% | Gross salary The heaviest contribution line at this page's salary, and the one with no ceiling at all: 5.7% of monthly wages in total, 3.7% from the employer and 2% from the employee, on the whole salary however high it goes. The health line carries a higher rate, 4%, but its base stops at IDR 12,000,000 a month, so in money JHT costs the employer roughly three times as much here. Wages here mean basic pay plus fixed allowances, which is the base BPJS calls upah. | BPJS Ketenagakerjaan2026-09-20 |
| Work accident insurance JKK (Jaminan Kecelakaan Kerja), employer onlyEmployer-only cover; rate set by the employer's risk grade | 0.24% | Gross salary Five grades published by BPJS: very low 0.24%, low 0.54%, medium 0.89%, high 1.27%, very high 1.74% of monthly wages. Modelled at the very-low grade for an office-based provider entity, on the assumption shown above. No ceiling: unlike the pension and health lines, JKK is charged on the whole salary. | BPJS Ketenagakerjaan2026-09-20 |
| Death benefit JKM (Jaminan Kematian), employer onlyEmployer-only cover for death outside work | 0.30% | Gross salary 0.3% of monthly wages, employer only, uncapped. It pays a lump sum and a funeral grant to the family, and a schooling benefit for the children of a worker who has paid in long enough. | BPJS Ketenagakerjaan2026-09-20 |
| Pension JP (Jaminan Pensiun), employer share3% of monthly wages in total, employer 2% and worker 1%, charged up to a wage ceiling | 2% | Gross salary , capped at IDR 126,568,800 / yr The ceiling is what makes this line small on a professional salary: BPJS states the contribution base is capped at IDR 10,547,400 of monthly wages, so the employer's 2% stops at about IDR 211,000 a month. The cap is reviewed each year, and the same page publishes 2026 pension benefits of IDR 411,400 to IDR 4,932,300 a month, so check the figure with the provider before signing a long quote. | BPJS Ketenagakerjaan2026-09-20 |
| Health insurance JKN (BPJS Kesehatan), employer share5% of monthly pay in total, employer 4% and worker 1%, on pay capped at IDR 12,000,000 a month | 4% | Gross salary , capped at IDR 144,000,000 / yr A separate fund from BPJS Ketenagakerjaan, with its own ceiling written into the presidential regulation: article 30 sets the contribution at 5% of monthly pay, 4% on the employer and 1% on the worker, and article 32 caps the pay used for the calculation at IDR 12,000,000 a month. The employer's share therefore stops at IDR 480,000 a month. The floor is the local minimum wage. Cover extends to the worker's spouse and up to three children at no extra premium. | Presidential Regulation 64/2020 amending Regulation 82/2018 on health insurance, art. 30(1) (5% of monthly pay: 4% employer, 1% participant) and art. 32(1) (pay ceiling IDR 12,000,000 a month)2026-09-20 |
| THR religious holiday allowance (Tunjangan Hari Raya Keagamaan) | 1 month | Added to the annual costA legal obligation, not a custom, and the biggest employer line in this ledger — at the example salary it is worth more than the five contribution lines put together. The wage regulation makes the religious holiday allowance compulsory and requires payment no later than seven days before the religious holiday; the ministerial regulation sets the amount at one month of wages for twelve months of continuous service, prorated by months worked below that, and is owed from one month of service. Wages for this purpose are clean wages, or basic pay plus fixed allowances. It adds 8.33% to annual cost. Note what does not follow: the wage regulation classifies the THR as non-wage income, and BPJS contributions are charged on monthly wages, so the THR itself carries no social security on top. | Government Regulation 36/2021 on wages, art. 8(1) (religious holiday allowance is non-wage income) and art. 9 (employers are required to give it, paid no later than seven days before the holiday); Minister of Manpower Regulation 6/2016, art. 2–3 (one month of wages at twelve months of service, prorated from one month)2026-09-20 |
| Statutory severance and long-service pay on termination not in total | — | Carried at zero because it is contingent on the contract ending, not a monthly charge, but it is the largest single exposure of an Indonesian hire. Ending an indefinite contract triggers a statutory package — severance pay, long-service reward and compensation for rights — whose multiples depend on the reason for the termination and the length of service. It belongs in an exit budget rather than in an on-cost, and it is the first thing to ask a provider about: whether it funds the accrual monthly or invoices it when the hire ends. | Deel2026-09-20 |
| Statutory annual leave (12 days after one year) not in total | — | Paid time inside the salary rather than an extra contribution. Twelve working days a year once twelve months of continuous service are complete, accruing at one day a month. Indonesian employers also observe collective leave days (cuti bersama) fixed each year by joint ministerial decree, which are normally deducted from this entitlement. | Deel2026-09-20 |
| Employer on-cost at $25,000 | +14.4% | $3,609 a year, $301 a month |
EOR or your own entity
Fees scale with headcount. An entity does not.
An Indonesian entity for a foreign owner means a PT PMA with a minimum investment plan, a business identification number, then registration with two separate social security bodies — BPJS Ketenagakerjaan for the four employment programmes and BPJS Kesehatan for health — each with its own reporting portal and its own ceiling. Statutory employer charges are moderate, around 6% of pay before the THR, and the THR takes the total to about 14%. The real reasons to weigh an entity are work permits for foreign staff, the termination exposure, and the fact that both BPJS registrations must be in the legal employer's name.
Fees grow with every hire; the charges line is owed under an entity too.
| Headcount | RemoFirst fees / yr | Borderless AI fees / yr | Statutory charges / yr |
|---|---|---|---|
| 1 | $2,388 | $6,948 | $3,609 |
| 3 | $7,164 | $20,844 | $10,826 |
| 5 | $11,940 | $34,740 | $18,043 |
| 10 | $23,880 | $69,480 | $36,085 |
| 20 | $47,760 | $138,960 | $72,171 |
Statutory charges are owed either way; the provider fee is the only line an entity removes, against the cost of incorporating and running local payroll.
Employment terms that move the cost
- Paid leave
- 12 days
- Public holidays
- 15
- 13th month
- Mandatory
- Probation
- up to 3 months
- Notice
- Probation of up to three months, and only on an indefinite contract — a fixed-term contract cannot carry one. No minimum notice period is set by statute; thirty days is the general practice for either side, seven days during probation. What matters financially is not the notice but the termination package: ending an indefinite contract triggers statutory severance, long-service reward and compensation for rights, scaled by the reason and the length of service.
- Reviewed
- 2026-09-20
Get a quote for Indonesia.
The lowest published total here, next to the two providers searched for most often (the rule). Totals for 1 hire at $25,000. Ask each provider about deposits, FX margins and mandatory add-ons for Indonesia: those are the lines that move.
Get a RemoFirst quote· $2,583/mo Get a Papaya quote· $2,883/mo Get a Deel quote· $2,983/mo
Disclosure Some provider links are affiliate links; they never change the numbers on this page. Details
Questions people ask before booking a demo
- How much do statutory employer contributions add to a salary in Indonesia?
- About 14% at this page's example of US$25,000, and more than half of that is the THR. On a monthly salary of about US$2,083 the employer pays roughly US$77 of JHT old-age savings, US$5 of work accident cover, US$6 of death benefit, US$12 of pension and US$27 of health insurance — about US$127 a month, or 6% of pay — plus US$174 a month of THR accrual. Total employer on-cost is about US$301 a month on top of the salary.
- Is the THR an extra cost on top of the annual salary?
- Yes, and it is a legal obligation rather than a custom. The wage regulation requires employers to pay the religious holiday allowance no later than seven days before the religious holiday, and the ministerial regulation sets it at one month of wages for twelve months of continuous service, prorated below that and owed from one month of service. Providers quote Indonesian salaries as twelve monthly payments and add the THR as a separate line, which adds 8.33% to the annual cost.
- Do BPJS contributions apply to the THR as well?
- No, and it matters more than it looks. BPJS contributions are charged on monthly wages — basic pay plus fixed allowances — while the wage regulation classifies the religious holiday allowance as non-wage income, alongside incentives, bonuses and service charges. So the THR is paid gross: an extra month of salary with no social security on top of it. Cost models that apply the 6% of contributions to thirteen months rather than twelve overstate the Indonesian employer bill.
- Why do the pension and health lines stop growing on higher salaries?
- Because both are capped, and at very different levels. The pension contribution base is capped at IDR 10,547,400 of monthly wages, so the employer's 2% stops at about IDR 211,000 a month, and the presidential regulation caps health insurance pay at IDR 12,000,000 a month, so the employer's 4% stops at IDR 480,000. JHT, work accident and death cover have no ceiling at all, which is why the effective rate settles near 6% rather than falling further.
- Which Indonesian employer charges depend on the provider rather than the employee?
- Mainly the work accident grade. BPJS sets JKK on five grades from 0.24% to 1.74% of wages according to the employer's line of business, and under an EOR the employer of record is the provider, so its registered activity picks the grade — up to 1.5 points of pay between the extremes. The pension ceiling is reviewed annually as well, so a quote written on last year's cap will understate that line slightly.