Salary Transfer Letter Template for Indonesia

The Salary Transfer Letter is a crucial document in Indonesian employment practice, used whenever an employer needs to establish, modify, or formalize arrangements for paying an employee's salary through bank transfer. This document becomes necessary during new employee onboarding, when changing banking details, or when formalizing existing payment arrangements. The letter typically includes specific details about the employee's bank account, salary amount, payment frequency, and effective dates. Under Indonesian law, particularly the Manpower Law and banking regulations, employers must maintain clear records of salary payment arrangements. This document serves both as an instruction for payroll processing and as evidence of compliance with Indonesian wage payment regulations.

1. Letter Header: Company letterhead, date, reference number, and addressing details of the employee

2. Subject Line: Clear indication that this is a Salary Transfer Letter

3. Employee Details: Employee name, ID number, position, and department

4. Current Salary Information: Confirmation of current salary amount and payment frequency

5. Bank Account Details: Employee's bank name, account number, and account holder name

6. Transfer Arrangement: Specification of when transfers will occur and any relevant payment dates

7. Effective Date: Clear statement of when the salary transfer arrangement begins

8. Contact Information: Details of HR/Payroll department contact for any queries

9. Closing: Signature block for authorized company representative