Like many expats, who could blame you for considering retirement to an idyllic island destination, enjoying some of the world's most beautiful beaches and warm weather all year round? Indonesia ticks all these boxes, and it may be just what you're looking for. Below is some practical information on long-stay visa options commonly used by retirees in Indonesia, including the traditional retirement visa.
What you should know before retiring in Indonesia
Indonesia has long attracted retirees with its warm climate, diverse culture, high quality of life, and relatively affordable living costs. However, settling in Indonesia on a long-term basis requires some very careful planning, especially when it comes to immigration matters. Several visa categories exist for foreigners wishing to live in Indonesia, and figuring out the administrative process can sometimes be tricky!
One of the long-established pathways for retirees is the Retirement KITAS, a limited stay permit designed specifically for foreign nationals over a certain age who want to live in Indonesia without working. In recent years, Indonesia has also introduced alternative long-stay visas, such as the Second Home Visa, which may suit some retirees a little better depending on their personal circumstances.
The retirement visa in Indonesia
Foreigners who are aged 55 or over may apply for a Retirement KITAS if they wish to retire in Indonesia. This is a type of limited stay permit (ITAS) designed for retirees who can support themselves financially and do not plan to work in the country.
Applications for a Retirement KITAS must be sponsored by an Indonesian entity, which is typically a licensed immigration or travel agency approved by the Indonesian immigration authorities. The sponsor acts as the guarantor for the applicant throughout the visa application process.
The Retirement KITAS is valid for one year, and you can renew it annually, provided you continue to abide by immigration requirements. Holders of this permit can also apply for a Multiple Entry and Re-Entry Permit (MERP), which allows you to leave and re-enter Indonesia without canceling your stay permit, for as long as the KITAS remains valid.
Unlike some other KITAS categories, the retirement KITAS is strictly a non-working permit. It allows retirees to reside anywhere in Indonesia, but it does not grant the right to engage in employment or business activities.
Requirements for a retirement visa in Indonesia
If you're applying for a Retirement KITAS, you must meet several conditions set by the Indonesian immigration authorities. The most important requirement is that you must be at least 55 years old at the time of application. Unfortunately, early retirement is not sufficient if the age requirement is not met. Additional requirements typically include:
- The applicant does not intend to work in Indonesia.
- The applicant can demonstrate sufficient financial means to support themselves without employment.
- The applicant can show an income or financial resources generally equivalent to around USD 18,000 per year, assessed as pension income, savings, or a combination of both.
- The applicant holds valid health insurance covering their stay in Indonesia.
- The applicant has secured accommodation in Indonesia, usually demonstrated by a long-term rental agreement.
- The applicant may be required to demonstrate local economic contribution, commonly by employing domestic help.
As part of this application, you must formally declare that you won't be working while in Indonesia. Breaking this rule can result in serious penalties, including fines, visa cancellation, and possible deportation!
Eligibility for this Retirement KITAS may vary and change, depending on your nationality and the prevailing immigration policy at the time. So rather than relying on fixed country lists, you should confirm eligibility with an authorized sponsor or the nearest Indonesian embassy or consulate.
Administrative procedure for obtaining a retirement visa in Indonesia
The application process for a Retirement KITAS typically follows several stages and is usually handled through an approved Indonesian sponsor.
In general terms, the procedure includes:
- Sponsorship and pre-approval: The sponsoring agency submits the application to Indonesian immigration authorities. Once approved, a visa authorization is issued.
- Visa issuance abroad (VITAS): The applicant collects a Limited Stay Visa (VITAS) from an Indonesian embassy or consulate abroad and pays the required fees.
- Entry into Indonesia: The applicant enters Indonesia using the VITAS.
- Conversion to KITAS: Within a specified period after arrival, the applicant reports to the local immigration office to convert the VITAS into a Retirement KITAS. This step includes an interview and biometric data collection (photograph, fingerprints, and signature).
- Issuance of residence documents: Once approved, the KITAS and related residence documentation are issued.
Fees for a Retirement KITAS vary depending on official government charges and the services provided by the sponsoring agency. In practice, you should avoid relying on fixed price figures and request an up-to-date cost breakdown from your sponsor instead.
Once you've got your Retirement KITAS, you're considered a legal resident of Indonesia. While employment is prohibited, tax obligations may crop up, depending on the length of stay and income source. As tax residency rules are complex, professional advice is recommended here!
The Retirement KITAS is a temporary residence permit, but it can be renewed annually. There is no fixed maximum number of renewals, provided eligibility conditions continue to be met.
Permanent Residence Permit (KITAP) in Indonesia
Foreign retirees who have lived in Indonesia continuously on a Retirement KITAS for several years may be able to apply for a Permanent Stay Permit (KITAP).
Eligibility for a KITAP depends on:
- Length and continuity of lawful residence.
- Compliance with immigration regulations.
- Continued adherence to the non-working condition.
There is no automatic right to permanent residence, and approval remains at the discretion of Indonesian immigration authorities. Requirements and timelines may vary, so if you're thinking of this, you're strongly advised to confirm current rules with your sponsor, or the nearest Indonesian embassy or consulate, before applying.
Useful links:
Online visa application for Indonesia
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