How to Transfer Salary from Singapore to Indonesia (SGD to Rupiah) Without Maximum Deductions
Working in Singapore as an expatriate or migrant worker is a major accomplishment, but routinely sending a monthly salary from Singapore to Indonesia often presents its own challenges. For you, every dollar earned in Singapore is the result of hard work, and you certainly want to ensure your family back home receives the maximum amount of Rupiah from the Singapore Dollars you send.
Ironically, the process of transferring your SGD to Rupiah salary can trigger significant financial losses. Many workers are surprised to see their salary deductions due to hidden fees, fluctuating exchange rates, and complicated procedures. You are looking for the safest, most legal, and most efficient method to send your full monthly salary.
This article is your complete and detailed guide. We will dissect the available transfer methods, show where your salary deductions often occur, and outline why using a regulated Fintech like Transfez.com is the best way to send your monthly salary from Singapore to your Indonesian account routinely and without maximum deductions.
Core Principles of Salary Transfer
Before choosing a method, you must understand two basic principles that will determine whether you send your monthly salary efficiently or not.
Top Priority: Mid-Market Rate
This is the core of maximizing your salary. The biggest hidden salary deduction lies in the exchange rate. Banks or service providers often sell currency at a rate different from the Mid-Market Rate the rate you see on Google.
The difference between the rate they offer and the mid-market rate is their profit margin, and this is what consumes more of your salary than the upfront transfer fee. Therefore, the principle is simple: you must use a provider that offers a rate that is closest to the Mid-Market Rate for your SGD to Rupiah salary transfer. The smaller the margin they take as profit, the more Rupiah your family receives in Indonesia.
Legality and Fund Security
When you transfer salary from Singapore to Indonesia, security and legality are non-negotiable. Your salary must be guaranteed. It is important to choose a fully regulated provider.
In Singapore, regulation is under the supervision of MAS (Monetary Authority of Singapore). Choosing a provider that is licensed under MAS is mandatory, as it guarantees your funds are handled according to the highest financial security standards and complies with Anti-Money Laundering (AML) rules. By choosing a regulated platform like Transfez.com, you get bank-level security assurance without significant exchange rate losses.
Comparison of the Best Salary Transfer Methods from Singapore to Indonesia
Choosing the right way to transfer salary from Singapore to Indonesia will have a major impact on your finances every month. Here is a comparison of the available options:
Option 1: Traditional Singaporean Banks (SWIFT)
Major banks in Singapore (such as DBS, UOB, or OCBC) certainly offer international transfer services, often through the SWIFT network.
Disadvantages for Monthly Salary: This method is proven to be the least efficient. First, SWIFT fees are expensive and there are often hidden fees from intermediary banks. Second, the rates they offer have a large margin from the mid-market rate. Third, the transfer time can take 2 to 5 business days, which is less than ideal for timely monthly payments. For sending a monthly salary, this method results in maximum deductions.
Option 2: Digital Money Transfer Providers (Fintech)
Fintech was created to solve the rate and fee problems created by traditional banks. This is the best solution for efficient salary transfer.
Primary Recommendation: Transfez.com
Advantages for Salary: Transfez revolutionizes the way you transfer your salary from Singapore to Indonesia due to its full transparency. They offer very competitive rates (close to the Mid-Market Rate), minimizing your salary deductions. In addition, the transfer speed is often real-time or within hours, far better than SWIFT. Transfez.com is the easiest and safest way to send money from a Singapore bank account to Indonesia.
Option 3: Non-Formal/Personal Services
Some people are tempted to use personal or non-formal money transfer services with the allure of very high exchange rates.
Strong Warning: Although the rates offered may seem tempting, the risks you take are very large. Non-formal services do not have legal cross-border fund transfer regulations and are not bound by MAS or PPATK (Financial Transaction Reports and Analysis Centre) rules. Using these services risks scams, lost money, and breaking the law, which is clearly not worth it for sending a monthly salary that must be guaranteed for security.
How to Transfer Salary from Singapore to Indonesia Using Transfez.com
Since Transfez.com is the best solution for efficiently transferring your SGD to Rupiah salary, here are the practical steps you can follow:
Registration and Verification
The security of your funds is a priority. Therefore, all regulated providers are required to conduct identity verification.
1. Register an Account: Download the Transfez app and register your account.
2. Verify Identity: Upload the required documents (such as your ID or Passport). This process only needs to be done once at the beginning, ensuring your subsequent transfers are legal and secure.
Setting Up Routine Salary Transfers
Once your account is verified, the process of sending your monthly salary becomes very quick.
1. Enter Transfer Details: Select Singapore as the sending country and Indonesia as the receiving country. Enter the amount of salary you want to send.
2. Check Real-Time Rate: On the Transfez app screen, you will instantly see the SGD to Rupiah exchange rate today and the net amount of Rupiah your family will receive. Transfez will display a very competitive rate, helping you save on SGD to Rupiah transfer fees significantly.
3. Transfer to Transfez Account: Once you are satisfied with the rate, you simply transfer the Singapore Dollars from your Singapore bank account to the Transfez account provided.
Take Advantage of the Best Exchange Rates
Make sure you always take advantage of the real-time exchange rate feature. With Transfez.com, exchange rates are always displayed transparently, allowing you to compare them with the Mid-Market Rate and ensure you get the most honest and maximum exchange rate.
Post-Transfer Prospects and Procedures
Routine and large salary transfers require compliance with regulations in both countries.
Transfer Amount Regulations
Even though you are transferring your full salary, there are limits you must be aware of.
- Transfer Limits: All transfer services have daily or monthly transfer limits. You need to understand the limits at Transfez so that your salary transfer is not hindered.
- PPATK Compliance: Because this is a salary transfer with a large nominal amount, Transfez will ensure that your transaction complies with the PPATK rules in Indonesia for cross-border fund transactions, guaranteeing all your transfers are legal and correctly reported.
Transfer Speed to Indonesian Account
One of the biggest advantages of Fintech is speed. Transfez uses the local Indonesian payment network (BI-FAST or real-time transfer) instead of the slow SWIFT channel. This means your salary funds will reach the destination account quickly—often within minutes ensuring your family has immediate access to the funds.
Managing Taxes and Reporting
Using a legal platform like Transfez.com for your salary transfer from Singapore to Indonesia gives you a clear audit trail. This is essential for:
- Proof of Income: You have a valid transaction record as proof of legitimate income abroad, which is important for tax reporting and other compliance.
Read Also: Targeting Singapore For Your Next Job? Follow This Guide
Conclusion
For anyone routinely sending a monthly salary from Singapore to Indonesia, cost efficiency is no longer an option it is a necessity. Choosing to continue using traditional banks with hidden fees and poor rates is an accumulated financial loss.
The best solution is to switch to a transparent, secure Fintech provider focused on the Mid-Market Rate like Transfez.como.. With low fees and competitive rates, you ensure that the Rupiah received in Indonesia is the maximum amount from the Singapore Dollars you send. Always prioritize regulation (MAS) and fee transparency for the security of your monthly salary.
Ready to secure and maximize every Rupiah from your salary? Download the Transfez.com app now and compare the SGD to Rupiah rates for your monthly salary transfer!
Download Transfez App
Transfez App can help you transfer money abroad more quickly and efficiently. Jack Finance can also help your business in making transactions abroad. For those of you who want to send money to relatives who are abroad because they are studying, working, or traveling, Transfez will be ready to help. This app is available on Android as well as iOS.
