The Hourly Invoice contract serves as a foundational document for professional service providers operating under Indonesian jurisdiction who bill their clients on an hourly basis. This document type is essential when services are provided with variable time commitments and need detailed time tracking and billing transparency. It incorporates critical elements required by Indonesian law, including provisions from the Civil Code, tax regulations, and electronic transaction laws. The contract typically includes hourly rates, billing procedures, payment terms, and tax considerations, making it suitable for both domestic and international business relationships where Indonesian law governs. Common applications include consulting services, professional advisory, and project-based work where time-based billing is the preferred compensation method.
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1. Parties: Identification of the service provider and client, including their complete legal names, business registration numbers, and addresses
2. Background: Brief context of the business relationship and purpose of the hourly billing arrangement
3. Definitions: Key terms used throughout the document, including 'Hourly Rate', 'Services', 'Working Hour', etc.
4. Scope of Services: Detailed description of the services to be provided on an hourly basis
5. Hourly Rates: Specified hourly rates for different types of services or service providers
6. Time Recording: Methods and requirements for tracking and recording billable hours
7. Invoicing Process: Frequency of invoicing, required supporting documentation, and submission process
8. Payment Terms: Payment deadline, accepted payment methods, and late payment consequences
9. Tax Provisions: VAT and withholding tax requirements under Indonesian law
10. Term and Termination: Duration of the agreement and conditions for termination
11. Governing Law: Specification of Indonesian law as governing law and jurisdiction
1. Minimum Hours Guarantee: Used when there's a minimum number of billable hours guaranteed per period
2. Multiple Resource Rates: Include when different personnel categories have different hourly rates
3. Currency Conversion: Required when billing in foreign currency, specifying exchange rate mechanisms
4. Expense Reimbursement: Include when additional expenses beyond hourly rates may be charged
5. Service Level Agreement: Used when specific performance metrics need to be maintained
6. Confidentiality: Include when sensitive information will be handled during service provision
7. Intellectual Property: Required when services may result in creation of intellectual property
8. Force Majeure: Include when need to address circumstances preventing service delivery
1. Schedule A - Rate Card: Detailed breakdown of all applicable hourly rates and personnel categories
2. Schedule B - Time Recording Template: Standard format for recording and submitting billable hours
3. Schedule C - Invoice Format: Template meeting Indonesian tax and regulatory requirements
4. Appendix 1 - Service Description: Detailed description of services covered under the agreement
5. Appendix 2 - Authorized Personnel: List of personnel authorized to perform services and their qualifications
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