Key Facts: Indonesia Wages
- Country
- Indonesia (IDN)
- Continent
- Asia
- Currency
- Indonesian Rupiah (IDR)
- Minimum Wage
- Rp33,058 /hr ($1.84 USD)
- Average Gross Monthly Salary
- Rp3,500,000 /month
- Average Gross Annual Salary
- Rp42,000,000 /year
- Median Individual Income
- Rp24,000,000 /year
- Standard Work Week
- 40 hours
- Data Source
- Ministry of Manpower (Kementerian Ketenagakerjaan); 2026 DKI Jakarta UMP verified via Keputusan Gubernur DKI Jakarta No. 1142 Tahun 2025 (jdih.jakarta.go.id/dokumen/detail/14763)
- Last Updated
- 2026-05-04
Indonesia — Average Salary & Wages
Indonesian Rupiah (IDR) Data verified Jan 2026 Sources
The average salary in Indonesia is
Rp42,000,000 a year
But half of all workers earn less than Rp24,000,000 .
The average is lifted by bonuses and high earners. Most workers earn less than that.
The minimum wage in Indonesia is Rp33,058/hr ($1.84 USD) as of 2026. The average gross monthly salary is Rp3,500,000 ($194.87 USD). The median monthly income is Rp2,000,000 ($111.35 USD).
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Send money to Indonesia with Wise →Median income estimates. Large informal economy makes precise figures difficult. Significant urban-rural and inter-island disparity.
National average monthly wage for formal sector workers. Over 55% of workforce is in the informal sector with substantially lower earnings. Urban wages are roughly 1.5-2x rural wages.
About the Indonesia economy
Indonesia is the largest economy in Southeast Asia, with GDP at the official exchange rate of $1.396 trillion in 2024 and real growth holding near 5 percent in each of the last three years. Services generate 43.8 percent of output, industry 39.3 percent, and agriculture 12.6 percent (OpenFactBook, 2024 est.). The export basket leans on commodities; coal, palm oil, iron alloys, lignite, and garments led exports in 2023, with China absorbing 24 percent of the total. The iron alloys reflect a deliberate downstreaming policy. Indonesia banned exports of unprocessed nickel ore and now accounts for more than half of the world's nickel production, processed through a fast-growing domestic smelting industry built largely with Chinese investment.
The labor force totals approximately 143.144 million workers as of 2024. Headline unemployment is low at 3.3 percent, but youth unemployment for workers aged 15 to 24 runs at 13.1 percent (OpenFactBook, 2024 est.). The defining feature of the labor market is informality. BPS-Statistics Indonesia recorded 86.58 million informal workers in February 2025, or 59.40 percent of all employed people. Informal workers fall outside minimum wage coverage and most social protection. About 9 percent of the population lived below the national poverty line in 2024.
Minimum wages are set province by province as the UMP, recalculated each year. Government Regulation No. 49 of 2025 fixed the 2026 formula as inflation plus economic growth multiplied by an alpha coefficient between 0.5 and 0.9, with each provincial wage council choosing its own alpha (ANTARA). Jakarta sets the highest floor at Rp5,729,876 per month for 2026, a 6.17 percent increase over 2025. West Java holds the lowest at Rp2,317,601, up 5.77 percent; across the 36 provinces, 2026 increases ranged from 2.73 percent in West Nusa Tenggara to 9.08 percent in Central Sulawesi. The gap means the statutory floor in the capital is roughly two and a half times the floor in the cheapest province.
• SECTOR RATES
DKI Jakarta
Rp5,729,876 /mo
Since 2026-01-01
Highest provincial minimum wage in Indonesia. +6.17% from 2025 (IDR 5,396,761).
West Java (Karawang regency)
Rp5,257,834 /mo
Since 2025-01-01
Karawang district rate (UMK), among the highest regency-level rates due to industrial zones.
Central Java
Rp2,236,080 /mo
Since 2025-01-01
Significantly lower than Jakarta; reflects lower cost of living.
East Nusa Tenggara
Rp2,371,407 /mo
Since 2025-01-01
Among the lowest provincial minimum wages.
Minimum Wage Trend
Since 2020, the minimum wage has grown +34% in nominal terms.
• PPP ADJUSTED
In Indonesia, the minimum wage has the purchasing power of $6.96/hr in the United States, adjusted for local cost of living using the World Bank PPP conversion factor.
In Context
At minimum wage, a full-time worker in Indonesia earns Rp5,729,943/mo. That is 164% of the average gross salary.
- Monthly (full-time)
- Rp5,729,943 at min. wage
- Share of avg. salary
- 164% gross, before tax
- USD equivalent
- $319.02/mo monthly
- Nominal growth
- +34% since 2020
Wage Breakdown
- Hourly
- Rp33,058
- Monthly
- Rp5,729,876
- Annual
- Rp68,758,512Based on 12 monthly payments
Indonesia sets minimum wages at provincial (UMP) and district/city (UMK) levels. DKI Jakarta consistently has the highest rate. The 2026 DKI Jakarta UMP of IDR 5,729,876/month was set by Keputusan Gubernur DKI Jakarta No. 1142 Tahun 2025 (issued 23 December 2025), a 6.17% increase from 2025's IDR 5,396,761. Government Regulation No. 51/2023 established a formula-based approach (economic growth, inflation, PPP index). Wages vary dramatically: Java and Kalimantan provinces tend to be higher while eastern Indonesia provinces are significantly lower.
Work Week
- Standard
- 40 hrs/wk
- Maximum
- 40 hrs/wk
- Overtime
- 1.5x pay
Manpower Law sets 40 hours/week: either 7 hrs/day for 6 days, or 8 hrs/day for 5 days. Overtime limited to 4 hrs/day, 18 hrs/week. First hour of overtime: 1.5x; subsequent hours: 2x. Rest day overtime starts at 2x rate.
How Indonesia Compares
| Metric | Indonesia | Asia Avg. | Asia Highest |
|---|---|---|---|
| Min. wage (USD equiv.) | $1.84/hr | $2.61/hr | $11.89/hr (Israel) |
| Avg. salary (USD equiv.) | $194.87/mo | $1,185.31/mo | $4,472.55/mo (Singapore) |
Countries with Similar Minimum Wages
| Country | Min. Wage /hr (USD) |
|---|---|
| South Africa | $1.84 |
| Morocco | $1.83 |
| Dominica | $1.85 |
| Lebanon | $1.81 |
| Bolivia | $1.88 |
| Indonesia | $1.84 |
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Bhutan Cost of Living
Wages tell half the story. See purchasing power, prices, and quality-of-life context for Indonesia on our sister site.
Cost of living in Indonesia on costofliving.is →Frequently Asked Questions
What is the minimum wage in Indonesia?
The minimum wage in Indonesia is Rp33,058/hr (approximately $1.84 USD), effective since 2026-01-01. Indonesia sets minimum wages at provincial (UMP) and district/city (UMK) levels. DKI Jakarta consistently has the highest rate. The 2026 DKI Jakarta UMP of IDR 5,729,876/month was set by Keputusan Gubernur DKI Jakarta No. 1142 Tahun 2025 (issued 23 December 2025), a 6.17% increase from 2025's IDR 5,396,761. Government Regulation No. 51/2023 established a formula-based approach (economic growth, inflation, PPP index). Wages vary dramatically: Java and Kalimantan provinces tend to be higher while eastern Indonesia provinces are significantly lower.
What is the average salary in Indonesia?
The average gross monthly salary in Indonesia is Rp3,500,000 (approximately $194.87 USD). National average monthly wage for formal sector workers. Over 55% of workforce is in the informal sector with substantially lower earnings. Urban wages are roughly 1.5-2x rural wages. Source: BPS - Statistics Indonesia (Badan Pusat Statistik) (2024).
How many hours is the standard work week in Indonesia?
The standard work week in Indonesia is 40 hours, with a legal maximum of 40 hours. Overtime is paid at 1.5x the normal rate. Manpower Law sets 40 hours/week: either 7 hrs/day for 6 days, or 8 hrs/day for 5 days. Overtime limited to 4 hrs/day, 18 hrs/week. First hour of overtime: 1.5x; subsequent hours: 2x. Rest day overtime starts at 2x rate.
How has the minimum wage in Indonesia changed over time?
The minimum wage in Indonesia has changed as follows: Rp4,276,349 in 2020, Rp4,416,186 in 2021, Rp4,641,854 in 2022, Rp4,901,798 in 2023, Rp4,901,798 in 2024, Rp5,396,761 in 2025, Rp5,729,876 in 2026. This represents 7 recorded adjustments.
What is the minimum wage in Indonesia in USD?
The minimum wage in Indonesia converts to approximately $1.84/hr in US dollars, based on current exchange rates. Actual purchasing power may differ due to local cost of living.
What is the average salary in Indonesia in USD?
The average gross monthly salary in Indonesia is approximately $194.87 per month in US dollars, based on current exchange rates. Actual purchasing power may differ due to local cost of living.
How does Indonesia's minimum wage compare to the Asia average?
Indonesia's minimum wage ranks #15 out of 34 countries with statutory minimum wages in Asia, placing it near the median for Asia.
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