Labor market

A work permit for Indonesia can only be obtained if the Indonesian company can prove that no local can do this work with sufficient qualifications.

According to countryvv, the average per capita income in Indonesia is 1,925 US dollars annually. Employees of foreign companies usually have a high income. In addition to the income, the costs for the apartment, the car and the school costs for children as well as the social security contributions are covered.

Uniform tax rate of 28% for corporate taxation. Individuals with annual income of more than 50 million rupiah but less than 250 million rupiah, tax rate of 15%. For recipients with an annual income between 250 million rupiah and 500 million rupiah, the uniform tax rate is 25% and incomes over 500 million rupiah are taxed at the top tax rate of 30%.

To start working in Indonesia, you should have at least a basic knowledge of the Indonesian language.

Cost of living

Alcoholic beverages, dairy products and imported products are considerably more expensive in Indonesia than in Germany. If you buy local products, on the other hand, you can live much cheaper.

You need around € 2,069.90 in Jakarta to maintain the same standard of living that you could have in Berlin with € 3,600.00 (assuming you rent in the cities).

• Consumer prices in Jakarta are 39.82% lower than in Berlin (excluding rent)
• Consumer prices including rent in Jakarta are 42.50% lower than in Berlin
• Rental prices in Jakarta are 48.63% lower than in Berlin
• Restaurant prices in Jakarta are 61.52% lower than in Berlin
• Food prices in Jakarta are 26.21% lower than in Berlin
• The local purchasing power in Jakarta is 71.93% lower than in Berlin

Average cost of living in Jakarta (from 08/2019 – 07/2020)

Average costs for local transport, utilities, clothing, leisure, education of Jakarta (from 08/2019 – 07/2020)

For example, a simple double room with shower / toilet in South Bali costs between 3 and 20 euros. Of course there are also expensive hotels here.

Anyone who goes to eat in food stalls pays 1 to 2 euros per person. It’s even cheaper in supermarkets. The local, quite drinkable Bintang beer costs around 1.30 euros per 0.65l bottle. A liter of gasoline costs about 33 cents.

Average rental prices / purchase and salaries of Jakarta (from 08/2019 – 07/2020)

Emigration and Living Indonesia

For vacation purposes, Indonesia is a very interesting country, also climatically. There are also some good options for immigrating. It should be noted that Indonesia is an earthquake prone area and tsunamis can occur. It is currently not possible for foreigners to purchase real estate. However, the government plans to create the legal basis so that foreigners can acquire ownership of land in Indonesia. Some advantages: Lots of forest, low cost of living (LHK-I 56.2).