Middle Class Confident Wages Will Rise, Primarily Due to Government Regulations

The Katadata Insight Center (KIC) surveyed the confidence level of the Indonesian middle class regarding changes in their income over the next year.

Of the 399 respondents, 52% of those employed are confident that their income will increase next year. An additional 9.8% believe it will increase significantly.

KIC further investigated the reasons behind this confidence among respondents who expect an income increase.

The most significant reason, a salary increase based on government regulations, was selected by 46.6% of the 249 respondents.

Next, additional income outside of salary or wages was chosen by 38.2% of respondents.

Another reason, an increase in company scale (including increased turnover, sales, etc.), was selected by 32.1%.

Finally, an improvement in the economy (encompassing increased purchasing power and other economic activities) was cited by 21.7%.

Other reasons accounted for 1.6%.

Generally, the KIC survey involved respondents aged 17-59, comprising 60% male and 40% female. Respondents were spread across 10 major Indonesian cities: Bandung, Medan, Surabaya, Jayapura, Jakarta, Semarang, Banjarmasin, Yogyakarta, Denpasar, and Makassar.

Data collection was conducted online from January 6-9, 2025, using a non-probability sampling method. The survey's margin of error is 4.6%.

The complete KIC survey report, titled "Indonesia's Middle Class Amidst Economic Uncertainty," is available at the following link: [https://databoks.katadata.co.id/publikasi/2025/02/18/katadata-middle-class-report](https://databoks.katadata.co.id/publikasi/2025/02/18/katadata-middle-class-report).

(See also: [https://databoks.katadata.co.id/keuangan/statistik/67b6e54b934d7/apa-kebiasaan-finansial-yang-dilakukan-kelas-menengah-ri](https://databoks.katadata.co.id/keuangan/statistik/67b6e54b934d7/apa-kebiasaan-finansial-yang-dilakukan-kelas-menengah-ri))