---
title: "Placement Fees for Indonesian Migrant Workers: Who Pays?"
description: "Law 18/2017 Article 30: migrant workers may not be charged placement costs. Employers pay, except costs itemised in the Placement Agreement."
lang: en
canonical: "https://kariraman.com/en/work-abroad/placement-costs/"
datePublished: "2026-10-07"
dateModified: "2026-10-08"
sources:
  - "https://peraturan.go.id/files/uu18-2017bt.pdf"
  - "https://peraturan.go.id/files/permen-p2mi-no-17-tahun-2025.pdf"
  - "https://www.peraturan.go.id/files/permen-p2mi-no-2-tahun-2026.pdf"
  - "https://peraturan.go.id/files/permen-p2mi-no-34-tahun-2025.pdf"
  - "https://siskop2mi.bp2mi.go.id/profil/lembaga/list_lembaga/p3mi"
  - "https://www.moj.go.jp/isa/content/930004452.pdf"
  - "https://polri.go.id/layanan/spkt"
  - "https://peraturan.go.id/files/uu21-2007.pdf"
---

> Markdown version of https://kariraman.com/en/work-abroad/placement-costs/. Cite that HTML page and its update date.

# Placement fees for Indonesian migrant workers: who pays and what is lawful?

Written by KarirAman editorial team Approved by [Kaiser Khan](https://kariraman.com/en/authors/kaiser-khan/) (editor), 8 October 2026 Updated 8 October 2026

Law 18/2017 Article 30: migrant workers may not be charged placement costs. Employers pay, except costs itemised in the Placement Agreement.

## Summary

- Law 18/2017 Article 30(1): Indonesian migrant workers may not be charged placement costs.
- Ministerial Regulation P2MI 17/2025 Article 2(6): placement-cost components are borne by the employer.
- Exceptions are lawful only for certain jobs where a law, international law, an agreement between countries or a cooperation agreement with the employer provides for them.
- A P3MI must list each cost component charged to the worker, with its amount, in the Placement Agreement.
- Any request for money outside that document, in cash or to a personal account, is a red flag.

## Who pays placement costs for Indonesian migrant workers?

There is no single cost figure for every route, but the rule on who pays is clear, and the order matters. First, Law 18/2017 Article 30(1) says migrant workers may not be charged placement costs. Second, Regulation P2MI 17/2025, set on 19 August 2025, says placement-cost components are borne by the employer, and a worker may be charged only costs that are written and itemised in the Placement Agreement where a lawful exception applies. Third, any request for money outside that document, in cash or to a personal account, is a red flag.

## Which costs count as placement costs?

Regulation P2MI 17/2025 Article 2 splits placement costs in two. Preparation costs: language, technical and other training required by the destination, competency certification, the agency's service, local transport from home to the departure point, the work visa, the outbound ticket, the return ticket and accommodation. Placement-related costs: medical and psychological checks, migrant worker social security, apostille, and documents such as the marital-status letter and the passport. Costs for personal needs are not placement costs.

## Do I pay for my passport, medical check, psychological test and visa?

Under Regulation P2MI 17/2025 Article 2, medical and psychological checks, the passport and the work visa are placement cost components, and Article 2(6) puts them on the employer. You may pay for them only where a lawful exception under Article 3 applies and the cost is written and itemised in the Placement Agreement. If you are asked to pay for a medical check or psychological test at an appointed provider before that agreement exists, treat it as a red flag.

## Is a loan or salary deduction to cover departure costs legal?

Be careful. Where a component may lawfully be charged to the worker under an Article 3 exception, Regulation P2MI 17/2025 points workers to government programme financing or other lawful financing. A loan from an agency or an individual repaid through wage deductions that are not itemised in the Placement Agreement is a red flag. Law 18/2017 Article 72 bans charging employer-borne components to workers, and Law 21/2007 names debt bondage as one of the means used in human trafficking.

## When may a worker be charged part of the costs?

Under Regulation P2MI 17/2025 Article 3, the cost burden may be shifted for certain jobs or services when laws (including the destination's laws), international law, bilateral, regional or multilateral agreements, or a cooperation agreement between the placement body and the employer provide for it. In that case the cost becomes the worker's, and the worker is directed to government financing programmes or other lawful financing.

## What must the Placement Agreement say?

Regulation P2MI 17/2025 Article 5 requires a P3MI to list the placement-cost components and amounts charged to the worker and/or the employer in the Placement Agreement. The Minister may also cap each component (Article 6). If a P3MI breaks the rules, the Minister may impose a written warning, a temporary halt of placement activities, or revocation of its SIP3MI licence (Article 8). Read the agreement before you sign and keep a copy.

## What if my own employer sends me abroad?

Under Regulation P2MI 17/2025 Article 4, placement costs of workers placed by a company for its own needs are borne entirely by that company. So if your employer sends you to work at its branch or partner abroad under this scheme (UKPS), you do not bear placement costs.

## Which official services are free of charge?

Two are worth knowing. Registering as a prospective migrant worker on Sisko P2MI for placement through a P3MI is free under Regulation P2MI 2/2026 Article 28. Issuing and extending the E-KPMI, the electronic migrant worker card checked by immigration when leaving and entering Indonesia, is also free under Regulation P2MI 34/2025 Article 10. If anyone asks you to pay for either, refuse and report it.

## What happens if an agency charges costs the employer should bear?

Law 18/2017 Article 72(a) forbids anyone from charging a prospective worker placement-cost components that the prospective employer has borne, and Article 86 makes this a criminal offence. A P3MI that breaks the cost rules can also face administrative sanctions under Regulation P2MI 17/2025 Article 8, up to losing its licence.

## Do destination countries have their own cost rules too?

Yes, and they apply alongside Indonesian rules. For example, for Japan's Specified Skilled Worker status, one requirement is that the worker was not charged a security deposit and did not sign a contract with penalties. Rules per country and route are on each KarirAman route page.

## Before you pay anything to work abroad

- The agency is listed as an Aktif P3MI on SISKOP2MI and is not on the sanctions list.
- Every cost requested is written in the Placement Agreement with its component and amount.
- There is a clear lawful exception if you are asked to bear a component the employer normally pays.
- Payment goes to an account in the company's name, not a personal account, and you get an official receipt.
- Nobody charges you for registering on Sisko P2MI or for issuing your E-KPMI.
- You keep copies of the Placement Agreement, receipts and all your chats.

## Which official channels can you contact?

If you are asked to pay costs that are not written in the Placement Agreement, report it to KP2MI. If an individual cheated you, report it to the police as well.

- **Ministry for the Protection of Indonesian Migrant Workers (KP2MI)** Overseas recruitment, illegal agents and migrant-worker protection [0800-1000](tel:08001000) [+62-21-29244800](tel:+622129244800) [WhatsApp 0811-8080-141](https://wa.me/628118080141) [kp2mi.go.id](https://kp2mi.go.id/)
- **Agencies under administrative sanction (SISKOP2MI)** Check whether a placement agency is under sanction [siskop2mi.bp2mi.go.id](https://siskop2mi.bp2mi.go.id/profil/lembaga/list_lembaga/p3mi_sanksi)
- **Police call centre 110** Emergencies and crime reports; formal reports are made at the SPKT of the nearest Polres or Polsek [110](tel:110) [polri.go.id](https://polri.go.id/layanan/spkt)

## Frequently asked questions

**Do I have to pay to work abroad, or is it free of all costs?**

Placement costs are borne by the employer, so you may not be charged them, but you may still spend some money: Regulation P2MI 17/2025 Article 3 allows exceptions for certain jobs. Personal needs are also not placement costs. What is certain is that any cost charged to you must be written and itemised in the Placement Agreement.

**Is BP2MI Regulation 9/2020 on placement fee exemptions still in force?**

No. Regulation P2MI 17/2025 Article 9 revoked BP2MI Regulation 9/2020 on placement fee exemptions and its amendment, BP2MI Regulation 1/2021. Since then, placement costs follow Regulation P2MI 17/2025.

**The agency wants a down payment before any Placement Agreement. Is that allowed?**

Regulation P2MI 17/2025 Article 5 requires a P3MI to list each cost component charged to the worker, with its amount, in the Placement Agreement. A demand for money before that document exists, especially in cash or to a personal account, is a red flag. Ask for a written breakdown and check the P3MI on SISKOP2MI.

**Where can I report an unlawful charge?**

Report to KP2MI through the official channels at the end of this page. KP2MI can impose administrative sanctions on a P3MI, from a written warning to revoking its SIP3MI licence. If an individual cheated you or you see signs of trafficking, make a police report at the SPKT desk or call the Polri Call Center 110.

## Who wrote and reviewed this page?

Written by KarirAman editorial team Published 7 October 2026 Updated 8 October 2026

Prepared with AI assistance. Checked against official sources and approved for publication by Kaiser Khan (editor). Approval date: 8 October 2026.

## Sources

The facts on this page come from these sources. Dates show when we opened them.

1. [Undang-Undang Nomor 18 Tahun 2017 tentang Pelindungan Pekerja Migran Indonesia](https://peraturan.go.id/files/uu18-2017bt.pdf) Kementerian Hukum RI (peraturan.go.id) · UU 18/2017 · accessed 7 October 2026
2. [Peraturan Menteri P2MI/Kepala BP2MI Nomor 17 Tahun 2025 tentang Biaya Penempatan Pekerja Migran Indonesia](https://peraturan.go.id/files/permen-p2mi-no-17-tahun-2025.pdf) Kementerian Hukum RI (peraturan.go.id) · Permen P2MI 17/2025 · accessed 7 October 2026
3. [Peraturan Menteri P2MI/Kepala BP2MI Nomor 2 Tahun 2026 tentang Tata Cara Penempatan Pekerja Migran Indonesia oleh Pelaksana Penempatan](https://www.peraturan.go.id/files/permen-p2mi-no-2-tahun-2026.pdf) Kementerian Hukum RI (peraturan.go.id) · Permen P2MI 2/2026 · accessed 7 October 2026
4. [Peraturan Menteri P2MI/Kepala BP2MI Nomor 34 Tahun 2025 tentang Kartu Pekerja Migran Indonesia Elektronik](https://peraturan.go.id/files/permen-p2mi-no-34-tahun-2025.pdf) Kementerian Hukum RI (peraturan.go.id) · Permen P2MI 34/2025 · accessed 7 October 2026
5. [SISKOP2MI: Profil Lembaga P3MI, detail dan daftar sanksi administratif](https://siskop2mi.bp2mi.go.id/profil/lembaga/list_lembaga/p3mi) KP2MI/BP2MI (SISKOP2MI) · accessed 7 October 2026
6. [Initiatives to Accept Foreign Nationals and for the Realization of Society of Harmonious Coexistence: Specified Skilled Worker System (explanatory material)](https://www.moj.go.jp/isa/content/930004452.pdf) Immigration Services Agency of Japan · accessed 7 October 2026
7. [Sentra Pelayanan Kepolisian Terpadu (SPKT)](https://polri.go.id/layanan/spkt) Kepolisian Negara Republik Indonesia · accessed 7 October 2026
8. [Undang-Undang Nomor 21 Tahun 2007 tentang Pemberantasan Tindak Pidana Perdagangan Orang](https://peraturan.go.id/files/uu21-2007.pdf) Kementerian Hukum RI (peraturan.go.id) · UU 21/2007 · accessed 7 October 2026

**How to cite**

KarirAman (2026). Placement fees for Indonesian migrant workers: who pays and what is lawful?. Updated 8 October 2026. https://kariraman.com/en/work-abroad/placement-costs/

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**Change log**

- 8 October 2026 : Added who pays for the passport, medical check-up, psychological test and work visa, and the risks of departure-cost loans and wage deductions.
