Religious Holiday Allowance 2026 Released! Here's How to Calculate It If Your Work Tenure Is Less than a Year

As the religious holidays approach, the Religious Holiday Allowance (THR) has become one of the most anticipated benefits for workers. Beyond helping meet expenses during celebrations, THR is a worker’s right regulated under Indonesia’s labour regulations.

Each year, many workers want to know how much THR they will receive and how to calculate it. Although it appears straightforward, not all workers understand how to calculate THR correctly, particularly those with less than one year of service.

For this reason, it is important to understand the basic formula for THR calculation so workers can determine their rightful entitlements.

Basic Provisions for THR Calculation

Generally, the amount of THR received by workers is determined based on length of service. There are two main categories in THR calculation: workers who have worked a minimum of 12 months and workers with less than 12 months of service.

According to the Ministry of Manpower, the provisions are as follows:

One month’s salary for workers with 12 months of continuous service or more. This means that if a worker has worked for one year or more continuously at the same company, that worker is entitled to receive THR equal to one full month’s salary.

For workers whose tenure has not reached one year, THR is calculated proportionally using the following formula:

Length of service ÷ 12 × one month’s salary

Workers with one month of continuous service but less than 12 months are still entitled to THR even if their tenure has not reached one year. The amount is adjusted according to the length of employment at the company.

THR Calculation Simulation

To make it easier to understand, here is an example simulation of THR calculation for workers with less than 12 months of service.

For example, Andi is a worker with 3 months of service and receives a monthly salary of IDR 5,000,000. Based on the provisions, workers with less than 12 months of service are entitled to receive THR proportionally, using the formula:

Length of service ÷ 12 × one month’s salary

Therefore:

3 ÷ 12 × IDR 5,000,000 = IDR 1,250,000

From this calculation, the worker is entitled to receive THR of IDR 1,250,000. This amount is obtained from the ratio of length of service to the total 12 months, which is then multiplied by one month’s salary.