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Letter Of Salary Confirmation for Indonesia

Letter Of Salary Confirmation Template for Indonesia

A Letter of Salary Confirmation is a formal document issued under Indonesian employment law that officially verifies an employee's current compensation details and employment status. The document adheres to Indonesian labor regulations, particularly Law No. 13 of 2003 on Manpower and related wage regulations. It includes essential information such as basic salary, mandatory allowances, and employment terms, presented on official company letterhead with authorized signatures and company stamp. This document serves multiple purposes, from visa applications to loan processing, and must comply with local documentation requirements while maintaining clarity and accuracy in salary reporting.

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What is a Letter Of Salary Confirmation?

The Letter of Salary Confirmation is a crucial employment document in the Indonesian business environment, used to formally verify an employee's compensation and employment status. This document is commonly required for various purposes, including visa applications, bank loans, credit card applications, rental agreements, or other situations where proof of income is necessary. The letter must comply with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and Government Regulation No. 78 of 2015 on Wages. It typically includes detailed salary information, employment status, and mandatory benefits as required by Indonesian regulations. The document must be issued on official company letterhead, include an authorized signature and company stamp, and may need to be accompanied by supporting documentation depending on its intended use.

What sections should be included in a Letter Of Salary Confirmation?

1. Letter Header: Company letterhead including full legal name, address, and registration number

2. Date and Reference Number: Official date of issuance and company's reference number for the letter

3. Subject Line: Clear indication that this is a Salary Confirmation Letter

4. Employee Information: Full name, employee ID, position/title, and department of the employee

5. Employment Status: Confirmation of employment status (permanent/contract) and start date

6. Salary Details: Current base salary, stated in both IDR and words

7. Mandatory Allowances: Fixed allowances as per Indonesian law including transport and meal allowances

8. Official Statement: Formal statement confirming the accuracy of the information

9. Authorized Signatory: Name, title, and signature of authorized company representative

10. Company Stamp: Official company stamp as required by Indonesian business practice

What sections are optional to include in a Letter Of Salary Confirmation?

1. Purpose Statement: Statement of the specific purpose for which the letter is issued (e.g., visa application, bank loan)

2. Additional Benefits: List of non-mandatory benefits provided to employee such as insurance coverage, bonuses

3. Tax Status: Employee's tax bracket and NPWP (tax identification number) if required for tax-related purposes

4. Historical Salary Information: Previous salary details if required to show salary progression

5. Working Hours: Confirmation of working hours and overtime arrangements if relevant

What schedules should be included in a Letter Of Salary Confirmation?

1. Salary Breakdown Attachment: Detailed breakdown of all salary components including basic salary, fixed allowances, and variable components

2. Employment Contract Reference: Copy or extract of relevant employment contract sections showing salary terms

3. Latest Payslip: Copy of most recent payslip as supporting evidence

4. Company Authorization: Internal document showing authority of signatory to issue salary confirmations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

Confirmation Letter

Sector

Sales

Cost

Free to use
Relevant legal definitions


















Clauses


















Relevant Industries

Banking and Financial Services

Manufacturing

Technology

Retail

Healthcare

Education

Construction

Mining

Agriculture

Transportation

Hospitality

Professional Services

Energy

Telecommunications

Public Sector

Non-Profit Organizations

Relevant Teams

Human Resources

Finance

Payroll

Legal

Administration

Employee Relations

Compensation and Benefits

Corporate Secretariat

HR Operations

Relevant Roles

Human Resources Director

HR Manager

Payroll Manager

Finance Director

Chief Financial Officer

HR Administrator

Payroll Officer

Finance Manager

HR Business Partner

Compensation and Benefits Manager

HR Operations Manager

Company Secretary

Administrative Manager

Legal Manager

Employee Relations Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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