Permanent employees (PKWTT)
One month's wages = basic salary + fixed allowances, or wages without allowances. Still entitled if terminated within 30 days before the holiday.
How to calculate THR
THR is based on continuous length of service up to the holiday date and one month's wages, under Article 3 of Permenaker No. 6 of 2016. It takes three steps.
- Count length of service up to the holiday. Use full months. Less than one month of service is not yet entitled to THR.
- Determine one month's wages. Wages without allowances, or basic salary plus fixed allowances. Non-fixed allowances are excluded; see allowances in Indonesia.
- Apply the formula. 12 months or more = one month's wages. 1–11 months = months of service ÷ 12 × one month's wages.
THR = (months of service ÷ 12) × one month's wages · capped at 1 × one month's wages
Example: Gege started work on 15 June 2026 with monthly wages of IDR 5,000,000. By Eid al-Fitr on 10 March 2027, Gege's service is 8 months 23 days, or 8 full months. Gege's THR = 8 ÷ 12 × IDR 5,000,000 = IDR 3,333,333.
THR table by length of service
With monthly wages of IDR 5,000,000, THR is IDR 1,250,000 after 3 months, IDR 2,500,000 after 6 months, IDR 3,750,000 after 9 months, and IDR 5,000,000 after 12 months or more. The table uses the same engine as the calculator above.
| Length of service | Wages IDR 4,000,000 | Wages IDR 5,000,000 | Wages IDR 7,500,000 | Wages IDR 10,000,000 |
|---|---|---|---|---|
| Less than 1 month | Not entitled | Not entitled | Not entitled | Not entitled |
| 1 month | IDR 333,333 | IDR 416,667 | IDR 625,000 | IDR 833,333 |
| 2 months | IDR 666,667 | IDR 833,333 | IDR 1,250,000 | IDR 1,666,667 |
| 3 months | IDR 1,000,000 | IDR 1,250,000 | IDR 1,875,000 | IDR 2,500,000 |
| 4 months | IDR 1,333,333 | IDR 1,666,667 | IDR 2,500,000 | IDR 3,333,333 |
| 5 months | IDR 1,666,667 | IDR 2,083,333 | IDR 3,125,000 | IDR 4,166,667 |
| 6 months | IDR 2,000,000 | IDR 2,500,000 | IDR 3,750,000 | IDR 5,000,000 |
| 7 months | IDR 2,333,333 | IDR 2,916,667 | IDR 4,375,000 | IDR 5,833,333 |
| 8 months | IDR 2,666,667 | IDR 3,333,333 | IDR 5,000,000 | IDR 6,666,667 |
| 9 months | IDR 3,000,000 | IDR 3,750,000 | IDR 5,625,000 | IDR 7,500,000 |
| 10 months | IDR 3,333,333 | IDR 4,166,667 | IDR 6,250,000 | IDR 8,333,333 |
| 11 months | IDR 3,666,667 | IDR 4,583,333 | IDR 6,875,000 | IDR 9,166,667 |
| 12 months or more | IDR 4,000,000 | IDR 5,000,000 | IDR 7,500,000 | IDR 10,000,000 |
THR by employment status
Every employee with at least one month of service is entitled to THR, whether permanent or on contract. Only the way one month's wages is determined differs.
Contract employees (PKWT)
Same formula as permanent employees. Not entitled if the contract ends before the holiday.
Daily workers
One month's wages = average wages over the last 12 months, or the monthly average over the period worked if less than 12 months.
Piece-rate workers
One month's wages = average wages over the 12 months before the holiday, per the 2026 Minister of Manpower Circular.
2026–2027 holiday dates & THR payment deadlines
THR must be paid in full no later than 7 days before the holiday. For Christmas 2026 the deadline is Friday, 18 December 2026, and for Eid al-Fitr 2027 it is Wednesday, 3 March 2027. THR is paid once a year for each employee's own religious holiday, unless agreed otherwise in writing.
| Holiday | Religion | Date | THR deadline |
|---|---|---|---|
| Christmas 2026 | Christian & Catholic | Friday, 25 December 2026 | Friday, 18 December 2026 |
| Chinese New Year 2027 | Confucian | Saturday, 6 February 2027 | Saturday, 30 January 2027 |
| Nyepi 2027 | Hindu | Monday, 8 March 2027 | Monday, 1 March 2027 |
| Eid al-Fitr 2027 | Muslim | Wednesday, 10 March 2027 | Wednesday, 3 March 2027 |
| Vesak 2027 | Buddhist | Thursday, 20 May 2027 | Thursday, 13 May 2027 |
| Christmas 2027 | Christian & Catholic | Saturday, 25 December 2027 | Saturday, 18 December 2027 |
Special cases: resignation, termination, contract expiry
THR entitlement depends on the employment status on the holiday. These five cases come up most often.
Resigned before the holiday
Permenaker 6/2016 does not require THR, unless the employment agreement or company regulations say otherwise.
Terminated shortly before the holiday
Permanent employees terminated within 30 days before the holiday are still entitled to THR that year (Article 7(1)).
Contract ended
PKWT employees whose contract ends before the holiday are not entitled to THR (Article 7(3)).
Transfer within a group
If service continues, the new company pays THR, unless the previous company has already paid it (Article 8).
Higher company policy
If the employment agreement, company regulations, collective agreement, or custom provides a higher THR, the higher amount applies (Article 4). Use the advanced options in the calculator.
Is THR taxable?
Yes. THR is employment income and is subject to withholding tax in the month it is paid. This calculator shows gross THR, the employee's entitlement before tax. For the tax side, see the income tax calculation guide.
Penalty for late THR payment
Employers who pay THR late are fined 5% of the total THR due, counted from the end of the H-7 deadline. The fine does not cancel the obligation to pay THR (Article 10 of Permenaker 6/2016). Employers who do not pay THR face administrative sanctions (Article 11).
Example: total THR for all employees is IDR 120,000,000 and the company pays late. The fine is 5% × IDR 120,000,000 = IDR 6,000,000, and the IDR 120,000,000 THR must still be paid in full. Fines are used for worker welfare.
Employees whose THR is late or unpaid can report to the Ministry of Manpower THR complaint post (Posko THR) or the local manpower office.
Key THR terms
- THR (Tunjangan Hari Raya)
- Religious holiday allowance: non-wage income employers must pay employees or their families before a religious holiday.
- Religious holidays
- Eid al-Fitr for Muslim employees, Christmas for Catholic and Protestant Christians, Nyepi for Hindus, Vesak for Buddhists, and Chinese New Year for Confucians.
- Length of service
- Continuous period of employment up to the holiday date. This calculator uses full months; remaining days are not counted.
- One month's wages
- The THR base: wages without allowances (clean wages) or basic salary plus fixed allowances.
- Fixed allowance
- An allowance paid regularly regardless of attendance, such as a position or family allowance.
- Pro-rata THR
- THR for 1 to less than 12 months of service: (months of service ÷ 12) × one month's wages.
- PKWTT
- Perjanjian Kerja Waktu Tidak Tertentu: an indefinite-term (permanent) employment agreement.
- PKWT
- Perjanjian Kerja Waktu Tertentu: a fixed-term (contract) employment agreement.
- Daily worker
- A worker paid per working day; one month's wages for THR is based on average wages.
- Piece-rate wages
- Wages based on output; one month's wages for THR is the average of the last 12 months.
- H-7
- Seven days before the holiday: the latest date THR must be paid in full.
Frequently asked questions about THR
What is THR in Indonesia?
THR (Tunjangan Hari Raya) is a mandatory religious holiday allowance that employers in Indonesia must pay to employees before their religious holiday, regulated by Minister of Manpower Regulation (Permenaker) No. 6 of 2016. The holidays are Eid al-Fitr, Christmas, Nyepi, Vesak, and Chinese New Year. See the overview of Indonesian labour law for the wider framework.
How is THR calculated?
Employees with 12 months of service or more receive one month's wages. Employees with 1 to less than 12 months receive pro-rata THR: (months of service ÷ 12) × one month's wages. Example: monthly wages of IDR 5,000,000 and 6 months of service give THR of IDR 2,500,000.
How much THR do I get with less than one year of service?
THR is pro-rated. With monthly wages of IDR 5,000,000, 3 months of service gives IDR 1,250,000, 6 months gives IDR 2,500,000, and 9 months gives IDR 3,750,000. Use the calculator above for your exact dates.
Do new employees with less than one month of service get THR?
No. Article 2 of Permenaker 6/2016 requires THR for employees with at least one month of continuous service. From one month onwards, THR is calculated pro-rata.
When is the THR payment deadline for 2026–2027?
THR must be paid in full no later than 7 days before the holiday: Christmas 2026: by 18 December 2026; Chinese New Year 2027: by 30 January 2027; Nyepi 2027: by 1 March 2027; Eid al-Fitr 2027: by 3 March 2027; Vesak 2027: by 13 May 2027; Christmas 2027: by 18 December 2027. Holiday dates follow the Joint Ministerial Decree (SKB 3 Menteri) on national holidays; the final Eid al-Fitr date is set by the Minister of Religious Affairs.
Is THR based on basic salary only?
Not always. One month's wages for THR means wages without allowances (clean wages) or basic salary plus fixed allowances, under Article 3(2) of Permenaker 6/2016. Non-fixed allowances, such as attendance-based meal allowances, are excluded. Read more about allowances in Indonesia.
Do contract employees (PKWT) get THR?
Yes. Contract employees with at least one month of service are entitled to THR using the same formula as permanent employees. If the contract ends before the holiday, the employee is not entitled to THR (Article 7(3)).
How is THR calculated for daily workers?
For 12 months of service or more, one month's wages is the average monthly wage over the last 12 months before the holiday. For less than 12 months, it is the average monthly wage over the period worked. Piece-rate workers use the 12-month average.
Do employees who resign before the holiday get THR?
Permenaker 6/2016 does not require THR for employees who resign before the holiday. Employers may still pay it if the employment agreement, company regulations, or collective labour agreement (PKB) say so.
Do employees terminated before the holiday still get THR?
Yes, if they are permanent employees (PKWTT) terminated within 30 days before the holiday (Article 7(1) of Permenaker 6/2016). This does not apply to contract employees whose contracts end before the holiday.
Can THR be paid in installments?
No. Minister of Manpower Circular No. M/3/HK.04.00/III/2026 confirms that THR must be paid in full, not in installments, no later than 7 days before the holiday.
What is the penalty for paying THR late?
Employers who pay THR late are fined 5% of the total THR due, counted from the deadline, and must still pay the THR in full (Article 10). Employers who do not pay at all face administrative sanctions (Article 11). Employees can report to the Ministry of Manpower THR complaint post (Posko THR).
Is THR the same as a 13th-month salary?
No. A 13th-month salary or year-end bonus is voluntary and set by company policy. THR is a legal obligation tied to each employee's religious holiday, with a fixed formula and payment deadline. Some companies pay both.
Do foreign employees in Indonesia get THR?
Permenaker 6/2016 applies to workers employed by companies in Indonesia under an employment relationship. Check the employment agreement and company regulations for how THR is applied to expatriate staff. For THR on your entire payroll, see Gadjian payroll.
More THR and HR guides from Gadjian
Automate THR in your payrollGadjian calculates THR, salaries, and payslips for every employeeIndonesia labour law overviewEmployment contracts, wages, and termination rulesAllowances in IndonesiaFixed vs. non-fixed allowances and why they matter for THRHR glossaryKey Indonesian HR and payroll terms explainedHow to calculate THR step by stepOfficial formula with worked examples (in Indonesian)THR rules for contract employeesPKWT entitlements (in Indonesian)THR for daily workersAverage-wage method (in Indonesian)Late THR payment penalties5% fine and administrative sanctions (in Indonesian)
For the wider legal framework, read the overview of Indonesian labour law. To calculate THR for your whole team at once, use Gadjian payroll software.
Sources & legal basis
- Permenaker No. 6 of 2016 on Religious Holiday Allowance for Workers in Companies (full text, Indonesian)
- Status of Permenaker 6/2016 in the BPK legal database (in force)
- Minister of Manpower Circular No. M/3/HK.04.00/III/2026 on the 2026 religious holiday allowance
- Joint Ministerial Decree (SKB 3 Menteri) on 2027 national holidays and collective leave
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