When Will the THR Be Disbursed? Don't Be Late in Paying It to Employees!
March 18, 2025
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One of the key responsibilities of a business owner is providing the Holiday Allowance (THR) to employees. The big question is: When will the 2025 THR be disbursed?
Knowing when THR must be paid is crucial to ensure compliance with government regulations. You certainly don’t want to face penalties for failing to meet this obligation.
To avoid delays in THR payments, here’s a complete guide on when the allowance should be disbursed and how to calculate it for each employee.
When Will THR Be Disbursed?
The distribution of THR (Religious Holiday Allowance) in Indonesia is regulated under Article 6, Paragraph (6) of Law No. 13 of 2003 on Manpower, which mandates employers or companies to fulfill their employees’ rights by providing THR.
Based on previous years’ policies, THR for private-sector employees must be paid no later than seven days before the holiday.
Referring to the Joint Ministerial Decree (SKB) of Three Ministers No. 1017 of 2024 and the determination of 1 Ramadan by the Minister of Religious Affairs, Eid al-Fitr 1446 Hijri is expected to fall on March 31, 2025.
This means you must ensure that THR is paid to all employees celebrating Eid al-Fitr no later than March 24, 2025.
Also Read: Use Labamu's Online Store Feature to Boost Your Sales During Ramadan!
Employees Entitled to THR and Its Calculation
Employees who are entitled to receive THR (Tunjangan Hari Raya) are those who have worked continuously for at least one month, regardless of their employment status—whether they are under an Indefinite-Term Employment Agreement (PKWTT), Fixed-Term Employment Agreement (PKWT), or working as freelancers.
However, the calculation differs between employees who have worked for 12 months or more and those who have worked for less than 12 months. Here are the applicable rules.
1. Employees Who Have Worked for 12 Months or More
If you have employees who have worked continuously for 12 months or more, they are entitled to receive THR equivalent to one month's salary.
This one-month salary may consist of several components, such as base salary without allowances, net salary, or base salary plus fixed allowances.
2. Employees Who Have Worked for Less Than 12 Months
Employees who have worked for less than 12 months are still entitled to receive THR, but the calculation differs. Their THR will be calculated proportionally based on their length of service using the following formula:
(Length of Service ÷ 12) × Monthly Salary
For example, if an employee earns IDR 3,500,000 per month but has only worked for seven months, the THR calculation would be as follows:
(7 ÷ 12) × IDR 3,500,000 = 0.5833 × IDR 3,500,000 = IDR 2,041,666
So, the THR amount that must be paid to this employee is IDR 2,041,666.
Penalties for Failing to Pay THR
If you, as an employer, fail to fulfill your employees' rights by not paying their THR, you will face administrative sanctions in accordance with Article 79 of Government Regulation (PP) No. 36 of 2021 on Wages.
These administrative sanctions may include a written warning, business activity restrictions, temporary suspension of certain or all production operations, and, in the most severe case, a complete business shutdown.
Additionally, if you delay the THR payment, you will still be subject to a penalty of 5% of the total THR amount due. This fine will be applied from the deadline for THR payments, which is seven days before the holiday (H-7).
THR for Civil Servants (ASN) in Indonesia
If you are currently working as a Civil Servant (ASN), you are also entitled to receive Tunjangan Hari Raya (THR), just like private-sector employees.
However, unlike private-sector employees, ASN typically receive their THR earlier, usually around 10 days before Idul Fitri. So, if the government sets Lebaran for March 31, 2025, ASN can expect to receive their THR on March 21, 2025.
Groups of ASN and Non-ASN Eligible for THR
The following groups of civil servants (ASN) and non-ASN are entitled to receive Tunjangan Hari Raya (THR):
State apparatus, including ASN, Candidate Civil Servants (CASN), Government Employees with Work Agreements (PPPK), the Military (TNI), the Police (Polri), and state officials.
Retirees and benefit recipients, such as retired civil servants, pension recipients, and individuals receiving PNS allowances.
Non-ASN Groups Eligible for THR
In addition to ASN, the following non-ASN groups are also entitled to receive Tunjangan Hari Raya (THR):
Those who have signed an employment agreement with an authorized official, in accordance with applicable laws and regulations.
Individuals with an official appointment decree, as per the relevant regulations, which explicitly states their right to receive THR and/or the 13th-month salary, as determined by the staffing supervisory official.
Groups of Civil Servants (ASN) Not Entitled to THR
According to Article 5 of Government Regulation (PP) No. 14 of 2025, the following groups of ASN are not eligible to receive THR:
ASN on unpaid leave.
ASN assigned outside government institutions and directly paid by the institution where they are assigned, whether domestically or abroad.
That’s the explanation regarding when THR is disbursed and the regulations set by the government. So, make sure not to delay or neglect paying THR to employees. Also, ensure you receive THR according to your entitlement.
For those needing assistance in managing their business during the holiday season, you can use Labamu. This app features an Employee Management tool that helps keep your store running smoothly and securely, even while you’re away celebrating Eid with family.
In addition to the mobile app, Labamu can also be accessed via Labamu Desktop on your laptop or PC. Simply open your browser, log in with your email, and enjoy seamless access anytime. Labamu also offers many other useful features to support business growth, such as Reports, Billing, and Debt Tracking.
So, what are you waiting for? Download Labamu now on Google Play or the App Store!
