Tapera in Indonesia: Is the Housing Savings Deduction Due?
Do you deduct Tapera from salaries in Indonesia? Since the Constitutional Court ruling, a private employer is not required to. What the rules still say.
References (4)
- UU No. 4 Tahun 2016 on Tabungan Perumahan Rakyat (Tapera), promulgated 24 March 2016 (Article 82). Article 1 point 3 defines a participant, including a foreign national holding a visa to work in Indonesia for at least 6 months. Article 7(1) made membership compulsory. Article 9(1) required employers to register their workers (Article 9(2), on registration, was also struck, paragraph 3.16). Articles 17(1) and 18 set who pays and deposits the savings. Article 72(1) set the sanctions.
- PP No. 25 Tahun 2020 on running Tapera, in force 20 May 2020 (Article 70), as amended by PP No. 21 Tahun 2024, in force 20 May 2024 (Article II). Article 7 and the elucidation of Article 7 letter j, as amended, set the groups of workers. Article 8(1) covers registration with the Tapera agency (BP Tapera). Article 15(1), (2) and (4)(b) and (c) set the rate, its split and who sets the calculation base. Article 20(1) to (3) covers payment. Article 68 sets the registration period for employers of private-company workers.
- Regulation No. 2 Tahun 2025 of the Tapera agency (BP Tapera) on participation, in force 12 June 2025. Article 3(1) sets the employer’s duties, including collecting the worker’s share by deduction from salary. Article 15(5): payment of workers’ savings begins after the Minister of Finance and Minister of Manpower regulations on the calculation base are issued.
- Constitutional Court decision No. 96/PUU-XXII/2024, pronounced 29 September 2025. Amar 2 and 3: UU 4/2016 is contrary to the 1945 Constitution and not binding so long as it is not restructured; it remains in force and must be restructured within at most 2 years. Paragraph [3.16]: “tidak ada lagi kewajiban hukum bagi pekerja maupun pemberi kerja menjadi peserta Tapera”. Paragraph [3.18] (sanctions). Paragraph [3.17]: the implementing regulations must conform to the decision. Paragraph [3.21]: “dari pengaturan yang sifatnya mewajibkan menjadi pilihan bagi pemberi kerja, pekerja, termasuk pekerja mandiri”. The record also sets out BP Tapera’s statement, as a related party, that collection from participants had not yet been carried out.
Tapera (Tabungan Perumahan Rakyat, public housing savings) is Indonesia’s housing savings scheme, set up by the Tapera Law (Undang-Undang, UU), UU 4/2016. Whether you call it the Tapera deduction (potongan Tapera) or the contribution (iuran Tapera), the answer for a private employer, as at 16 October 2026, is that no deduction is required.
On 29 September 2025 the Constitutional Court held compulsory membership unconstitutional. It ordered the law to be restructured by 29 September 2027.
Does a private employer deduct Tapera today?
Where it stands on 16 October 2026
Not required today. In decision 96/PUU-XXII/2024, the Constitutional Court held the duty to be a participant (UU 4/2016, Article 7(1)), the duty to register (Article 9(1) and (2)) and the payment of savings by employer and worker (Article 17(1)) unconstitutional. In its words, there is “no longer any legal obligation for workers or employers to be Tapera participants” (paragraph 3.16, our translation). The Law stays in force while lawmakers restructure it, which they must do by 29 September 2027.
The ruling covers the whole Law. The Court declared UU 4/2016 contrary to the Constitution, but left it in force and ordered it restructured within at most two years (amar 2 and 3, the operative part of the ruling; the reason, in paragraph 3.21, was to avoid a legal gap). It asked lawmakers to weigh carefully a move from compulsory provisions to a choice for employers, workers and the self-employed (paragraph 3.21, our translation). The sanctions article (Article 72(1)) was also held unconstitutional (paragraph 3.18).
How Tapera got here
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The Tapera Law
UU 4/2016 makes membership compulsory on paper.
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PP 25/2020
The rate, the payment day and the deadlines.
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PP 21/2024
Amends the regulation; the rate stays the same.
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Constitutional Court ruling
Compulsory membership held unconstitutional.
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Registration date on paper
Still printed in the regulation for private employers.
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Restructuring deadline
Lawmakers must have restructured the law by then.
What the Tapera regulation still prints
The government regulation that runs the scheme (Peraturan Pemerintah, PP), PP 25/2020 as amended by PP 21/2024, still states savings of 3% of salary or wages: 0.5% borne by the employer and 2.5% by the worker, paid by the 10th of the following month (Articles 15(1) and (2) and 20(2)). That is the rule on paper, set out here so that a figure seen elsewhere makes sense. The Court said the implementing regulations made under Article 16 of the Law must conform to its ruling (paragraph 3.17).
The Tapera agency’s own statement, recorded in the ruling, is that it had not yet collected savings from participants. Its participation rules, BP Tapera Regulation 2/2025, begin payment of workers’ savings after the Minister of Finance and the Minister of Manpower issue regulations on the calculation base (Article 15(5)).
Tapera and foreign employees
The Law’s definition of a participant included foreign nationals holding a visa to work in Indonesia for at least 6 months who had paid savings (UU 4/2016, Article 1 point 3). PP 21/2024 also lists foreign nationals working in Indonesia for at least 6 months among the salaried workers the regulation covers (elucidation of Article 7 letter j).
The Court’s finding in paragraph 3.16 is stated for “workers and employers” (pekerja maupun pemberi kerja). Our guide to hiring a foreigner in Indonesia covers the other steps in taking on a foreign employee.
What would change this, and how MAM helps
The restructured Tapera Law, due by 29 September 2027, is the next thing to watch. As at 16 October 2026, no Tapera deduction is required in the monthly pay run. Deductions that do apply each month include the contributions to the state social security bodies (Badan Penyelenggara Jaminan Sosial, BPJS), set out in our guide to BPJS contributions in Indonesia.
MAM’s payroll does not deduct Tapera for any client today. We alert our clients if the minimum wage, BPJS or other rates change.