BPJS is the authority to provide social security in the forms of health and employment benefits. These two aspects are crucial for the general public and workers to enhance their well-being. Actually Health and Social Security is mandatory for companies that are established in Indonesia teritorry and have to onboard their employees in the BPJS program.
What is covered, and what benefit will we get? Let’s dig deeper into it!
What is BPJS?
BPJS is a legal institution designed to carry out social security programs that have been officially established since 2014. BPJS offers several programs, including National Health Insurance (JKN). JKN is administered through an insurance system, in which citizens pay a small fee to save for future medical bills.
In principle, all Indonesian citizens must engage in BPJS Indonesia programs. This also includes foreigners and workers who have lived in Indonesia for at least six months to contribute to the premiums program.
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Type of BPJS
BPJS aims to ensure the provision of guarantees that meet the basic living needs of every participant and/or their family members in a dignified manner. In order to do so, the government classified the type of BPJS as follows:
- BPJS Kesehatan (Healthcare Program)
- BPJS Ketenagakerjaan (Social Security Program)
BPJS Kesehatan or Healthcare Program
What is BPJS Kesehatan?
As explained, BPJS Kesehatan aims to offer a healthcare program to all residents, so when you register, you will be covered as follows:
- Outpatient Service (Rawat Jalan)
- Basic Health Care Provider: From your current location, you can contact the closest clinic or government clinic provider (Puskesmas) and get treatment with the available doctors you choose.
- Advanced Health Care Provider: If the basic healthcare provider is not able to provide the service that you need, they will refer you to a hospital or advanced medical clinic.
- Inpatient Service (Rawat Inap): if you require further medical treatment and are hospitalized.
How much is the contribution needed to pay?
The rate contribution is as follows:
| Employer Contribution | Employee Contribution |
| 4% | 1% |
The maximum monthly salary or pay used as the basis for computing the contribution amount for participants is Rp12,000,000.00 (twelve million rupiah); the provincial minimum wage is the lowest monthly pay or salary used as the basis for computation.
When should I pay the BPJS?
BPJS contribution is paid on the 10th of every month and the following business day if the 10th falls on a weekend or public holiday.
How to register a BPJS Kesehatan?
It’s pretty straight forward, you just have to register the company/legal entity and the employee after.
- Visit the website of https://new-edabu.bpjs-kesehatan.go.id/registrasibadanusaha/
- Fill in the form
- Submit
- Continue registering the employees, and you will get a notification.
Other than that, you need to prepare the following documents
- Company information, such as location, name, contact, form of business entity, type of main business, and others
- Company contact person information, such as name, position, telephone number, and email address for the activation link delivery process
- Information on participation in the JKN program, such as number of workers, number of families, Business License Number, NPWP, and others
Also read: Working contract in Indonesia: A guide for your agreements
BPJS Ketenagakerjaan or Social Security
What is a BPJS Ketenagakerjaan program?
BPJS Ketenagakerjaan is a legal institution that has a program to protect all formal employees and non-formal employees in Indonesia from a specific social risk.
BPJS Indonesia, through BPJS Ketenagakerjaan, administers Employment Social Security through five Employment Social Security Programs: Work Accident Insurance (JKK), Job Loss Insurance (JKP), Old Age Security (JHT), Pension Security (JP), and Death Insurance (JKM).
Who paid for the BPJS Ketenagakerjaan insurance?
Technically, the ones that paid for the insurance are employer and employee with the following bracket:
| Program | Paid by employer | Paid by employee |
| Work Accident Insurance | 0.24% | 0% |
| Old Age Security | 3.7% | 2% |
| Pension Security | 2% | 1% |
| Death Insurance | 0.3% | 0% |
However, the job loss insurance is not the obligation of the employer to pay but it will be funded by the government with terms and conditions if you are eligible for it.
Also read: How to Open a Bank Account in Indonesia for Foreigners (2024)
When should I register BPJS Ketenagakerjaan?
Ideally, when you start working in a company and pass the probationary period, you will be registered, and it is compulsory for the company to register.
Why is it important?
Having BPJS Ketenagakerjaan provides protection against work accidents, offering additional security for workers and their families. If you’re a foreign worker residing in Indonesia for more than 180 days, you must have BPJS Ketenagakerjaan for your work permit renewal. If a company fails to register its employees, authorities will issue written warnings, impose fines, and restrict access to certain public services.
How to register BPJS Ketenagakerjaan?
Before you are able to register the employees, you need to register the company, you may see the following how to register:
- You can either register online by clicking here or going to the nearest branch
- Fill in the form
- Submit and activation
- Fill in the employee information, please note you need at least register two people.
- Get the bill and pay
- You will receive your BPJS card
Understanding and effectively using BPJS is crucial and confusing at the same time. If you find it difficult and need expert guidance, don’t hesitate to reach out. Our consultant is here to help you at every stage. Get in touch right now to start confidently ensuring your social protection.
