The Minister of Finance issued Decision No. 492/KMK.06/2004 of 2004 on Management Fees Associated with the Old Age Pension Program (“KMK” or “Decision”) to facilitate the implementation of Article 26 of the Government Regulation Number 22 Year 2004 on Management and Investment Funds of the Employee Social Security Program (“GR”). The GR restricts percentage of management fees that can be levied from consumers at maximum 2% of the Old Age Pension Program investment fund and mandated the ministry of finance with determining the allowable percentages.

The KMK further details article 26 of the GR by determining percentage of allowed levies in accordance with the amount of the fund invested:

In the event the funds under management exceed the upper limit of this Decision  (exceeds IDR 35 trillion) the percentage of allowed levies will be determined by the ministry of finance. This Decision has been in force since 18 October 2004. (mma)