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Salary in Indonesia: A comprehensive guide for foreign businesses

Setting the proper salary in Indonesia is essential for business success. Without proper salary benchmarking, foreign companies may struggle to attract top talent or risk financial issues.

For foreign businesses navigating Indonesia’s job market, the 2025 Salary Range Report from InCorp Indonesia is a crucial tool. This comprehensive resource aids in setting competitive and sustainable salary structures, providing key insights into salary benchmarks and ensuring fair pay for your workforce.

What is a salary range report?

A salary range report is a powerful tool that analyzes salary trends across industries, job roles, and regions. It’s like a compass for businesses, helping them navigate the complex landscape of salary structuring by considering market standards, employee qualifications, industry trends, and business financial capabilities.

InCorp Indonesia’s 2025 Salary Range Report provides a complete guide to salary in Indonesia, offering essential insights into minimum, median, and maximum salary benchmarks. By leveraging this data, foreign companies can ensure fair and competitive employee wages.

Why businesses need a salary guide in Indonesia

Here’s how our 2025 Salary Guide can help foreign companies optimize their salary structures and achieve long-term business success in Indonesia:

1. Enhance Employee Satisfaction

Fair pay makes employees feel valued, reducing turnover. A structured salary guide helps set competitive wages, keeping your best talent from leaving.

2. Attract Top Talent

Offering the right salary helps you stand out to job seekers. A salary guide ensures your pay matches or exceeds competitors, making hiring easier.

3. Manage Payroll Costs Wisely

A salary guide helps plan pay structures that fit your budget, allowing sustainable business growth.

4. Promote Fairness and Diversity

Clear salary guidelines reduce wage gaps and ensure fair pay for all employees. This strengthens your company’s reputation and attracts diverse talent.

5. Boost Productivity

When employees see a path to salary growth, they work harder. A salary guide helps set fair raises, motivating employees to perform better.

6. Ensure Legal Compliance

Labor laws require fair wages. Salary reports help businesses follow regulations, avoiding fines and legal trouble.

Whether you want to expand into Indonesia’s market or assess your company’s salary structure, InCorp Indonesia’s 2025 Salary Range Report is your key resource for valuable insights and benchmarking to salary in Indonesia.

Download the full report here:

The 2025 Salary Range Report

Ebook Download | Salary Guidebook

Simplify payroll and business operations with InCorp

Managing salary in Indonesia can be complex, especially for foreign companies unfamiliar with local labor laws. InCorp Indonesia (An Ascentium Company) provides business process outsourcing solutions to help companies efficiently manage operations and ensure legal compliance.

Our Services:

  • Payroll Outsourcing: Our fast and efficient payroll solutions reduce complexities and minimize errors.
  • Tax Reporting: Our streamlined tax reporting service reduces your administrative workload, allowing you to focus on business growth and be optimistic about the future of your company.
  • Recruitment Services: Optimize the hiring process from start to finish, saving time and ensuring the right talent for your company, making you feel efficient and productive.

Contact us today to discover how we can enhance your business efficiency and drive long-term success!

Get in touch with us.

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What you'll get

A prompt response to your inquiry

Knowledge for doing business from local experts

Ongoing support for your business

Disclaimer

The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind.

We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.

    Teddy Willy

    Branch Manager – Surabaya Office at InCorp Indonesia

    With 10 years of experience in business consultancy, Teddy Willy offers expertise in financial and production auditing, sales and marketing, channels and distribution, supply chain management, and human resources for every business sector in Indonesia.

Frequently Asked Questions

    For employment, the company is subject to:

    • Employee income tax article 21
    • VAT on both the service invoice and the salary invoice
    • 2% recovery tax on salary invoice

    The standard regulations state:

    • Minimum salary of IDR 3.9 mil for the Jakarta region
    • 12-day annual leave (minimum)
    • BPJS coverage
    • Holiday allowance

    To provide you with accurate pricing information for our HR outsourcing services, we consider the complexities of your inquiries and the dynamic nature of regulations in Indonesia. As a result, the pricing for the service may vary accordingly. For detailed information, please get in touch with our consultants.

    These are a few things you need to examine while performing an employee background check:

    • Criminal record
    • Educational background, qualifications, and professional certifications
    • Work and employment history
    • Sexual offense record
    • Alcohol and drug tests
    • Credit and financial background

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