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SettleMetric

IDOfficial rules, modeled

Freelancer taxes in Indonesia (2022).

A freelancer earning €60,000 a year in Indonesia keeps between 45,506 EUR and 59,821 EUR depending on the scheme — the best option is "PPh Final UMKM 0.5% — small-business final tax on gross turnover (PP 55/2022, made permanent for individuals by PP 20/2026)" at an effective burden of 0.3%. 3 schemes below, each computed from official rules.

VerifiedUpdated

3 schemes · 5 source records · every result follows the published scheme rules

ID · 2022

01

At €60,000 a year

A like-for-like view of every eligible scheme before the full rules below.

  1. 01PPh Final UMKM 0.5% — small-business final tax on gross turnover (PP 55/2022, made permanent for individuals by PP 20/2026)Best result at this incomeNet income59,821 EUREffective burden0.3%
  2. 02NPPN — deemed-profit norm for freelancers (pekerjaan bebas) + progressive PPhNet income54,506 EUREffective burden9.2%
  3. 03Standard progressive PPh on actual net profit (bookkeeping)Net income45,506 EUREffective burden24.2%

Reference profile: self-employed · €60,000 annual gross income · no deductible expenses · full-year tax residency.

Full rules

Inside each tax scheme

01activeSole proprietor

PPh Final UMKM 0.5% — small-business final tax on gross turnover (PP 55/2022, made permanent for individuals by PP 20/2026)

Effective burden at €60k

0.3%

What you pay

  • 01
    PPh Final UMKM 0.5% (first Rp 500m of turnover exempt for individuals)

    Progressive scale · base: annual revenue · allowance 500,000,000 IDR

    Annual revenue · IDRRate
    Any amount0.5%

Eligibility

  • Revenue cap 4,800,000,000 IDR/year
  • Activities: small-business turnover (usaha) with gross turnover ≤ Rp 4.8bn/year
  • Requires tax residency
  • 0.5% final income tax on gross business turnover for resident individuals with turnover ≤ Rp 4.8bn/year; the first Rp 500,000,000 of turnover per year is exempt for individuals. PP 20/2026 (effective 22 Apr 2026) made the 0.5% facility PERMANENT for individual taxpayers (Orang Pribadi) — the former 7-year window no longer applies to individuals, who may use it for as long as they stay under the Rp 4.8bn threshold. THE CATCH FOR NEWCOMERS: PP 55/2022 as revised still excludes sole proprietorships run by individuals with special expertise performing professional services (consultants, accountants, doctors, notaries and the like), which can exclude IT/consulting freelancers — confirm eligibility with DJP.

Net income examples

Gross/yearNet/yearBurden
30,000 EUR29,971 EUR0.1%
60,000 EUR59,821 EUR0.3%
120,000 EUR119,521 EUR0.4%

Computed by our open tax engine — assumes no deductible expenses, full-year tax residency. Rules as of Dec 30, 2022.

Important context

Only turnover above Rp 500m is taxed for individuals, so effective burden is far below the NPPN/progressive route — but see the eligibility note: the 7-year clock and the professional-services exclusion mean this is often NOT available to a foreign IT/consulting freelancer. Modeled with a progressive component (allowance 500m, single 0.5% bracket) because the DSL has no 'flat rate above a floor on revenue' primitive; arithmetic is identical to 0.5% × max(0, turnover − 500m). Does not model the monthly self-deposit mechanics or the loss of the facility once turnover exceeds Rp 4.8bn mid-year.

02activeSole proprietor

NPPN — deemed-profit norm for freelancers (pekerjaan bebas) + progressive PPh

Effective burden at €60k

9.2%

What you pay

  • NPPN deemed-expense norm (50% of gross, professional services — 10 provincial capitals incl. Jakarta) — 50% of revenue (deductible from profit) (a deduction that lowers the tax base, not a payment)
  • 02
    PPh Orang Pribadi (Pasal 17, UU HPP)

    Progressive scale · base: annual profit · allowance 54,000,000 IDR

    Annual profit · IDRRate
    ≤ 60,000,0005%
    60,000,000–250,000,00015%
    250,000,000–500,000,00025%
    Annual profit · IDRRate
    500,000,000–5,000,000,00030%
    > 5,000,000,00035%

Eligibility

  • Revenue cap 4,800,000,000 IDR/year
  • Activities: freelance-professional-services (pekerjaan bebas) incl. IT/computer, consulting, engineering, design
  • Requires tax residency
  • NPPN (Norma Penghitungan Penghasilan Neto, PER-17/PJ/2015) lets an individual with gross turnover below Rp 4.8 billion/year compute net income as a fixed norm percentage of gross instead of keeping full books. The taxpayer must notify DJP of the NPPN election within the first 3 months of the tax year. Requires an NPWP (tax ID) and Indonesian tax residency (183-day rule or intent to reside).

Net income examples

Gross/yearNet/yearBurden
30,000 EUR28,411 EUR5.3%
60,000 EUR54,506 EUR9.2%
120,000 EUR105,506 EUR12.1%

Computed by our open tax engine — assumes no deductible expenses, full-year tax residency. Rules as of Jan 1, 2022.

Important context

Norm modeled at 50% — the PER-17/PJ/2015 net-income percentage for professional/consulting services (KLU 69xxx, e.g. accounting/consulting) in the 10 provincial-capitals group (Jakarta, Denpasar, etc.); the same 50% is used in DJP-style worked examples for freelance developers. NEEDS MANUAL REVIEW: the exact PER-17 Lampiran I line for computer-programming/IT (KLU 62010/62020) could not be fetched from an official machine-readable table; one secondary source cites 50% and another 62.5% for KLU 62 — confirm the precise KLU-and-region cell before publishing (a 62.5% norm would raise the €60k burden materially). Single filer assumed (TK/0, PTKP 54m); marriage/dependents raise PTKP and lower tax. Does not model regional (kabupaten/kota) variation, the 20% surcharge for taxpayers without an NPWP, or DTA relief. PTKP amounts unchanged since PMK-101/2016.

03activeSole proprietor

Standard progressive PPh on actual net profit (bookkeeping)

Effective burden at €60k

24.2%

What you pay

  • 01
    PPh Orang Pribadi (Pasal 17, UU HPP)

    Progressive scale · base: annual profit · allowance 54,000,000 IDR

    Annual profit · IDRRate
    ≤ 60,000,0005%
    60,000,000–250,000,00015%
    250,000,000–500,000,00025%
    Annual profit · IDRRate
    500,000,000–5,000,000,00030%
    > 5,000,000,00035%

Eligibility

  • Requires tax residency
  • The default regime for a resident individual carrying on business/freelance work who keeps full accounting records: PPh Orang Pribadi (Pasal 17, UU HPP) on actual net profit (revenue minus deductible business expenses), after PTKP. Mandatory once gross turnover exceeds Rp 4.8bn/year (NPPN and the 0.5% final tax are then unavailable). Requires an NPWP and Indonesian tax residency.

Net income examples

Gross/yearNet/yearBurden
30,000 EUR24,506 EUR18.3%
60,000 EUR45,506 EUR24.2%
120,000 EUR87,506 EUR27.1%

Computed by our open tax engine — assumes no deductible expenses, full-year tax residency. Rules as of Jan 1, 2022.

Important context

Single filer (TK/0, PTKP 54m). Business income of a resident individual has no separate social-security payroll levy in the way employees do; BPJS Kesehatan/Ketenagakerjaan contributions for the self-employed are modest flat/percentage premiums and are not modeled here. Does not model the 20% NPWP-less surcharge, regional variation, or DTA relief.

02

Try your own numbers

Change income, currency and expenses to recalculate every active scheme for Indonesia.

full calculator
  1. 1 PPh Final UMKM 0.5% — small-business final tax on gross turnover (PP 55/2022, made permanent for individuals by PP 20/2026)
    59,821 EURnet/year
    0.3% burden
  2. 2 NPPN — deemed-profit norm for freelancers (pekerjaan bebas) + progressive PPh
    54,506 EURnet/year
    9.2% burden
  3. 3 Standard progressive PPh on actual net profit (bookkeeping)
    45,506 EURnet/year
    24.2% burden