Indonesia is the world's largest archipelago, with more than 17,000 islands, and one of the most popular places on earth for remote workers, surfers and retirees. Most foreigners head to Bali, but Jakarta is a major business hub, and Lombok, Yogyakarta and the Gili Islands attract those seeking a quieter life. Indonesia has introduced proper long-stay visas in recent years and has become much stricter with people working on tourist visas.
Visa and residence options
All visas are applied for online through Indonesia's official e-Visa portal. The main long-stay options are:
- E33G Remote Worker KITAS: Indonesia's digital nomad permit since 2024. It is a one-year limited stay permit for people employed by companies outside Indonesia earning at least US$60,000 a year. It does not allow you to work for Indonesian clients.
- Second Home Visa: a five- or ten-year limited stay permit for people who can show substantial funds, for example a deposit in an Indonesian state bank. It suits wealthy retirees and long-term residents.
- Retirement KITAS: for people aged 55 and over with a pension or income, health insurance and a local sponsor; renewable annually.
- Work KITAS: for employees of Indonesian companies, which must have an approved foreign worker utilisation plan (RPTKA).
- Investor KITAS: for shareholders of a foreign-owned Indonesian company (PT PMA) meeting investment minimums.
Visa on arrival (30 days, extendable once) is available to many nationalities but does not permit work, and immigration has stepped up enforcement in Bali.
How much does it cost to live in Indonesia?
Daily costs are low, but housing in popular Bali areas has risen sharply. Our Indonesia data puts a one-bedroom at around $400 a month and a three-bedroom at around $800 on average. Villas with pools in Canggu, Seminyak or Uluwatu often cost $1,000 to $2,500 a month or more, usually paid annually in advance. For a detailed breakdown of Bali prices, see our Bali cost guide.
Local food at a warung costs a few dollars, scooters rent for around $70 to $100 a month, and coworking spaces are plentiful in Bali. Imported food, wine and international schools are expensive.
How Indonesian tax works
Indonesia generally treats people as tax residents if they are present for more than 183 days in any 12-month period, according to the Directorate General of Taxes. Residents pay progressive rates of 5% to 35%. Since 2023, qualifying foreign experts who become tax residents may be taxed only on Indonesian-source income for their first four years, but this requires meeting specific conditions.
E33G holders whose income comes from abroad are not supposed to be treated as earning Indonesian-source income, but tax residency rules still apply, so get professional advice if you will stay most of the year. VAT is nominally 12%, though most goods and services are taxed at an effective 11%. Use our tax calculator for estimates.
Healthcare
Expats use private hospitals such as Siloam, BIMC and Mayapada in Jakarta and Bali. Care for routine issues is good, but serious cases are often sent to Singapore, so international health insurance that covers medical evacuation is essential.
Daily life
Indonesian culture values harmony, respect and community (gotong royong). Raising your voice or showing anger in public causes loss of face. Indonesia has the world's largest Muslim population, while Bali is mostly Hindu, with temple ceremonies almost daily. On Nyepi, the Balinese Day of Silence, the whole island shuts down for 24 hours, including the airport.
Traffic in Jakarta and south Bali is heavy, and infrastructure outside main areas is basic. Internet is generally good in Bali's nomad hubs.
Is Indonesia a good place to move?
Indonesia suits remote workers with solid foreign income, retirees over 55 and people drawn to its culture and nature. Use the right visa from the start, budget for housing and health insurance, and expect a slower pace of bureaucracy.
