An employer in Indonesia pays DKPTKA (Dana Kompensasi Penggunaan Tenaga Kerja Asing, the foreign worker compensation levy) of US$100 per position per person per month for every foreign employee (TKA), for the whole period of the RPTKA approval (Pengesahan RPTKA, the approved foreign worker plan), before that approval is issued (Government Regulation 34/2021, Art. 23, in the ministry's official English translation; PP 41/2023, Annex). Less than a month is charged as a full month (Ministry of Manpower Regulation 8/2021, Art. 35). The levy is the employer's cost: Law 13/2003 Art. 47, as amended by Law 6/2023, puts the obligation on the employer, not the worker.
The bill appears in TKA Online, the Ministry of Manpower's foreign worker portal, as a payment notice with a billing code, paid into the state treasury through a designated bank. Proof of payment unlocks the RPTKA approval, the recommendation on which the work visa and stay permit are issued. Since November 2022 the money cannot be refunded, even when the employee never arrives.
Parliament passed a Labour Protection Law on 6 October 2026; its text was not yet published on 19 October 2026, so the figures below follow PP 34/2021, PP 41/2023 and Permenaker 8/2021.
Summary
| Question | Rule | Basis |
|---|---|---|
| Who pays | Every employer of foreign workers, per worker and per position | Law 13/2003 Art. 47; PP 34/2021 Art. 23 |
| Who is exempt | Government agencies, foreign missions, international bodies, social and religious institutions, certain teaching positions | PP 34/2021 Art. 25 |
| How much | US$100 per position per person per month; a partial month counts as a month | PP 41/2023 Annex; Permenaker 8/2021 Art. 35 |
| When | Upfront for the whole approval period, once the payment notice is issued | PP 34/2021 Art. 23; Permenaker 8/2021 Art. 36 |
| Where | New approvals, cross-province extensions and special economic zones: state treasury via SIMPONI billing code. Other extensions: the regional government's bank | PP 34/2021 Art. 24; Permenaker 20/2019 Art. 2 |
| Proof | Deposit receipt and notice; payment is a condition of the approval, which is the visa recommendation | PP 34/2021 Art. 23(5) and Art. 14 |
Who pays and who is exempt
Every employer allowed to hire foreign workers under PP 34/2021 Art. 3 pays; an individual may not employ one at all (Art. 9). Six groups are exempt (Art. 25): government agencies, foreign diplomatic missions, international bodies, social institutions, religious institutions, and certain teaching positions set by the Minister of Manpower. These employers use a separate non-DKPTKA route, and the social, religious and educational ones must attach an exemption letter from the relevant ministry (Permenaker 8/2021 Art. 11).
A commercial company has no exemption: directors, commissioners, heads of representative offices and temporary assignees are not in the Art. 25 list; Art. 7 only excuses them from counterpart and language training. Where no RPTKA approval is needed at all (Art. 19), the regulation is silent, so ask the ministry's foreign worker directorate first.
How much, and for how long
PP 41/2023 sets the unit as per person per month per position at USD100, which its explanatory notes call a ceiling; Permenaker 8/2021 Art. 35 uses the same amount for the national and the regional version. Neither mentions an exchange rate, so budget in US dollars.
The period follows the RPTKA approval: up to 2 years for work longer than six months, 6 months for temporary work, and 5 years in a special economic zone (PP 34/2021 Art. 17 and 23). A 2-year approval means 24 months of levy in one payment.
Worked example (illustration). A company brings in two engineers, one position each, on a 12-month approval: 2 × 12 × US$100 = US$2,400, paid once before the approval is issued. A third specialist who comes for 20 days to install a machine costs US$100.
When and where to pay
The sequence in TKA Online (Permenaker 8/2021 Art. 6, 18 and 19): account, RPTKA filing, online feasibility interview, candidate data, verification within 2 working days. Once the data is complete and correct, the directorate issues the payment notice with the billing code, the amount and the deadline (Art. 36; PP 34/2021 Art. 23), and the approval follows the payment.
Where it goes depends on the approval (PP 34/2021 Art. 24):
- New approvals, extensions for workers based in more than one province, and special economic zone approvals: state treasury, with a SIMPONI billing code (Permenaker 20/2019 Art. 2 as amended by Permenaker 15/2022).
- Extensions for workers based in more than one regency or city within one province: provincial revenue.
- Extensions for workers based in a single regency or city: regency or city revenue.
Regional payments go to a bank appointed by the regional government, and the notice then shows a bank account instead of a billing code (Permenaker 8/2021 Art. 36), under local levy rules. Extensions are filed at least 30 working days before expiry (PP 34/2021 Art. 21). A 13 October 2025 notice on TKA Online warns that paying on wrong worker data is the employer's responsibility, so check the payment order first.
Proof, the visa chain, and no refunds
Payment is a condition of the RPTKA approval, and the approval is the visa and stay permit recommendation; the ministry sends the worker's data to Immigration online (PP 34/2021 Art. 14 and 23). Without the receipt, the chain from RPTKA to KITAS stops at the approval stage and the work visa cannot be applied for.
Permenaker 15/2022, in force since 14 November 2022, deleted the refund chapter of the 2019 rules: non-tax revenue in the treasury cannot be returned under central government accounting policy.
If it is not paid
There is no separate criminal offence for DKPTKA. Law 13/2003 Art. 190, as amended by Law 6/2023, makes a breach of Art. 47 an administrative matter, and PP 34/2021 Art. 36 lists the sanctions: a fine, suspension of pending applications, and revocation of the RPTKA approval. Non-payment sits in the revocation group (Art. 40), and revocations go to Immigration (Art. 41).
Without the levy no approval is issued, so an employee who has already started is working without one. The fine for that is Rp6,000,000 per position per person per month, rising in steps to Rp36,000,000 for six months, counted from the day the worker entered Indonesia and payable within 2 weeks (Art. 37). After that, applications are suspended and a late charge of 2% per month runs for up to 6 months before the debt goes to the state receivables office (Art. 38).
A criminal penalty exists only for an individual who employs a foreign worker (Law 13/2003 Art. 42(2) with Art. 185): imprisonment of up to 4 years and/or a fine of up to category IV, which is Rp200,000,000 under Art. 79 of the Criminal Code, as re-scaled by Law 1/2026 Annex I item 175. That is the upper limit; the Rp100 million to Rp400 million range in Law 6/2023 lapsed on 2 January 2026.
Foreign employees working more than six months must also join BPJS Ketenagakerjaan, the state social security scheme (PP 34/2021 Art. 8); withdrawing that balance on departure is covered in withdrawing JHT when leaving Indonesia.
Checklist for HR and finance
- The approval type is right: new, extension, special economic zone, or non-DKPTKA with an exemption letter.
- Positions, headcount and period in the RPTKA match the employment contracts.
- The worker's data on the payment notice matches the passport before anyone pays.
- The billing code is paid before the deadline and the receipt filed with the approval; extensions go in 30 working days before expiry, budgeted in US dollars, because a cancelled arrival means no refund.
General information as of 19 October 2026, not legal or tax advice. Rules change, so check official sources or talk to us about your situation.
