1. InterNations worldwide
2. »
3. Guides
4. »
5. Indonesia Expats
6. »
7. Jakarta Expats
8. »
9. Jakarta Guide
10. »
11. Working in Jakarta

Jakarta at a Glance

Doing Business in Jakarta

Jakarta is also known as the "Big Apple" of Southeast Asia.

Business Visa

It is incredibly difficult to get a business or working visa for Indonesia in general. Those planning on working in Jakarta should have found an employer before their move. If you already have a signed contract and a starting date for working in Jakarta, then your employer will probably take care of all the paperwork for you. However, if you would like to move to Jakarta first and get a feel for the city before working in Jakarta, please note the following restrictions on visa regulations:

• The Indonesian business visa is a bit tricky. It is only valid for 60 days and you may not actually work in Jakarta with this visa, but only conduct business. This would be of interest to people required to work on a short-term project in Jakarta, or fly there for a series of meetings with a Jakarta business partner, etc.
• The IMTA is a work permit handed out to companies enabling them to employ foreigners. It is important to note that the Indonesian government has passed a regulation requiring companies to hire locals before foreigners. Therefore it is beneficial to inquire whether or not a company has this permit before applying there. Additionally, you may be able to convince your future employer to file for the IMTA prior to your departure to Jakarta.

As can be seen from the limited number of options for expats to find regular and legal work in Jakarta, it is best to stick to finding an employer who has an IMTA before making any plans of moving here.

Taxation and Social Security

If you have successfully jumped the hurdles of finding work in Jakarta and getting a valid permit, your next step will be figuring out the tax system. As of 1984, people working in all of Indonesia are required to have a personal tax number, a NPWP. The website of the Directorate General of Taxes of the Republic of Indonesia will provide you with the necessary forms available for download to ensure that you are registered and pay taxes accordingly.

Keep in mind that Indonesia has a double taxation treaty with 48 nations, among them the United States and the United Kingdom. For more information regarding your next steps it is advisable to contact the bureau of revenue in your country of residence prior to working in Jakarta.

As Indonesia did not always have a social security system, the government has been trying to get a nationwide system up and running over the past few years. The current regulation as of 2004 applies only to companies with more than 10 employees. Employers are required to provide their workers with social security benefits for accidents and illnesses caused at the workplace, old age, and maternity leave. Keep in mind however, that only some, not all, medical costs will be covered by this social security system.

Health and Safety

It is important to keep in mind that Jakarta is a megacity with not enough space for its inhabitants, yet with the tendency to crowd them all into one central area. This results in the usual problems with water and sewage, garbage, and air pollution. Jakarta is often flooded, which inevitably results in the spread of various diseases.

This should by no means discourage you from working there, but you should be aware of the problem. The World Health Organization encourages expats living and working in Jakarta and Indonesia as a whole to get the following vaccinations before moving here.

-         Japanese encephalitis

-         Typhoid fever

-         Rabies

-         Hepatitis A and B

You have little to worry about you safety while working in Jakarta as there is very little dangerous or organized criminal activity in the city and its outskirts. Petty crimes, such as pick pocketing and money scams, will be found in almost any larger city, and Jakarta is no exception. But if you handle yourself well, and take care of your valuables, it should not be all that different than your country of origin.