NNRoad offers employment solutions enabling companies to directly hire staff on-ground without a legal entity in Indonesia. Our Employer of Record (EOR) services provide hassle-free management of your employees by navigating through employment laws and requirements, which allows you to focus your time and effort on day-to-day profit-generating activities.
- The hiring of and termination of employees/local labor contracts (contract administration - engagement, extension termination and conversion to permanent hire, confidentiality agreement).
- On-boarding and off-boarding employees following local law practice.
- Complete payroll solution and tax computation.
- Employee management – employee record, timekeeping, bonus and allowance management, expense and claims, and leave employee database management accordingly to the local law.
- Mandatory social benefits administration like Social security (BPJS Ketenagakerjaan), Health program (BPJS Kesehatan).
- Working VISA application assistance, if needed.
- Local individual income tax reporting, if needed and tax clearance for expatriates.
Specific procedures need to be followed by Employers in Indonesia when processing payroll. Payroll compliance includes tax payments and social security contributions which must be withheld by employers and this requires a deep understanding of the national and local labour regulations. The best way is to manage it is by outsourcing your Indonesian Payroll to NNRoad which will save you all the hassle and worry of doing it right.
- Registering the necessary company and personnel information for payroll calculation in the payroll software and system.
- Calculation of gross salary, salary deductions (e.g. social insurances, unpaid leaves, etc.), and net salary based on information provided by the Company including irregular payments such as incentive/bonus, commission, allowance, severance, retirement payment, etc.
- Providing a monthly payroll summary to the Company.
- Payroll disbursement - Issuing payment notice to the Company for payroll distribution to employees.
- Employee’s enrollment to the company’s social security insurance when they join the company.
- Employee un-enrollment to the company’s social security insurance when they leave/exit the company.
- Calculation and contribution of social security benefits.
- Year-End Adjustment and Annual Declaration.
Indonesia has its finance and tax regulations, and all local companies are required to abide by them. To help companies comply with the financial and tax reporting requirements, NNRoad’s Accounting and tax reporting services in Indonesia are modelled. The business could reduce the operating costs and administrative burden, by outsourcing their business accounting and tax obligations to NNRoad.
- Full set accounting services in compliance with local legislation and accounting standard.
- Entering bookkeeping data records into accounting software.
- Sorting and matching transaction documents against bank statements/ preparation of bank reconciliation.
- Preparation of year-to-date balance sheet.
- Monthly and Annual Tax reporting (withholding tax).
- Monthly VAT report, as required.
- Consolidation accounting and preparation of financial statements on a monthly, quarterly or annual basis as required.