Registration of BPJS

The obligation to pay the BPJS Health and Employment for employees shall be carried by the company. In monthly basis, the companies shall be required to calculate and pay for BPJS Employment contributions and also BPJS Health contributions so that the status of their employees’ participation in those two government programs remains active.

That is correct, the companies shall be required to register their workers as BPJS Health participants. This is regulated in Law Number 24 of 2011 concerning the BPJS, and if the employers violate this regulation, they will be threatened with imprisonment – with a maximum prison sentence of 8 years and a maximum fine as much as IDR 1 billion.

Yes, the companies must also pay the BPJS Health contributions for employees regularly every month.

BPJS Health contributions are 5% of wages / salary. Out of this 5%, the company shall cover 4% while the employee will pay 1% of the wages / salary.

In the event that the company is in arrears with (having late payment for) BPJS Employment, then the certain fines will be incurred accordingly. The fine for late payment of BPJS employment is 2% of the contribution to be paid each month.

BPJS Health can be deactivated if the participant passes away or if the participant is dismissed from their employment by the company due to layoffs or requests for resignation. By deactivating it, the deceased participants concerned shall not have any obligation to pay the monthly contributions.

It actually is not very difficult to understand about the BPJS Health. The most important thing is to understand the amount of the contribution to be made, which is 5%, of which 4% shall be borne by the company while the other 1% shall be borne by the employee.

In conclusion, companies shall be required to register BPJS employment for all of their contract employees who work with a minimum term of employment agreement of 3 consecutive months. However, for contract employees who work with an employment agreement for less than three months, the companies shall be only required to register them in the JKM and JKK programs.

Included in Employment BPJS
The company employees are included in the BPJS Health PPU participant category. This is because they work and receive salaries from employers or entrepreneurs. Therefore, the employee BPJS membership must be registered by the company.

SAGA Consulting can help the clients who need any assistance with registration of BPJS Employment for all of their company employees with a simpler and faster process.

BPJS membership is divided into 2 categories as follows:

• Wage Earner Workers / PPU
• Non-Wage Earner Workers

Wage Earner Workers

Everyone who works and receives salary, wages or other forms of compensation from an employer. Like office workers or factory workers.

The Guarantees Provided:

• Old Age Security
• Work (Employment) Accident Insurance
• Work (Employment) Loss Guarantee
• Death Guarantee
• Pension Guarantee

Non-Wage Earner Workers

Individuals who carry out the business activities independently to earn income. Such as Doctors, Traders, Online motorcycle taxis (ojek online) and others

Guarantees Provided:

• Old Age Security
• Work Accident Insurance
• Death Guarantee