How to write an Offer Letter?

Offer letter

Gone through a bunch of Resume’s with a critical eye, conducted several rounds of interviews and found your perfect candidate for the job but not sure how to write an offer letter?

You also made a verbal offer to the candidate and negotiated the salary and now you think if written “Offer Letter” is really necessary?

Yes, it is! Not giving the candidate a written offer letter can lead to confusion later on. You must have discussed job description and salary with the candidate but it’s very easy for both the employer and the employee to forget what has been discussed, having an offer letter makes it easier for both employer and employee to keep discussions on record.

The following guide explains how to write and what to include in your written offer letter.

How to write an Offer Letter –

 

  • Use a template – The simplest and easiest way to write an offer letter is to find a template. You can simply google “Offer Letter Templates” and you will find many templates which you can use for the candidate.
  • The long and short – There are two ways to write an offer letter, one is either you can write a short offer letter pointing out the details, benefits and orientation once your candidate accepts the offer letter, or long way in which you can give them all the information at once. Both ways have their own advantages and disadvantages.
  • Avoid using phrases like ‘job security’ ‘we are a family’ or ‘in the future’ as it implies indefinite future of employment.
  • Avoid written statements of annual salary rather provide salary amounts in weekly or yearly terms.

What to include –

 

  • Basic Information – Include all the basic information like title of position, the start date, probation period and full or part-time status
  • Salary – Include how much the employee will be paid with salary break up and how will they get paid. Include benefits which you’ll give to the employee apart from the salary.
  • Job Responsibilities – List Head of the Departments name, expected start date and primary tasks also make note that these tasks may expand or evolve over time.
  • Company Policies – Make sure company policies are clearly listed and employee sign at every page of the company policies.
  • Closing – Include a contact where employee can reach out to if s/he have any questions regarding the offer letter or its content.

Sample Offer Letter –

Dear [first name],

We are pleased to offer you a job as a [role title] at [company name]. We trust that your experience and skills will be a valuable asset to our company.

If you are to accept this offer you will be eligible to the following in accordance to our company’s policies:

  • Annual gross salary of Rs. [total annual salary] paid in [monthly or semi-monthly] installments by check or direct deposit
  • Up to [percent]% of your annual gross salary will be given to you as a performance bonus
  • Standard benefits including:
    • [vacation days number] days of annual paid time off
    • [sick days number] days of sick leave
    • Medical and dental insurance
    • 401k/retirement plan
    • Flex time arrangements
    • Tuition reimbursement for career development courses
    • Free use of certain facilities out of hours and subject to availability
    • Childcare
    • [more benefits]

To accept this offer sign and date this job offer letter as indicated below and email it back to us by [date].

If you accept this offer, your hire date will be the [date]. Your immediate supervisor will be [supervisor’s name].

We at [company name] hope that you’ll accept to work with us and look forward to welcoming you aboard. Feel free to call [employee name]  if you have any questions or concerns.

Sincerely,

[Sender Name]

 

Signatures:

___________________________________________________
Company Representative (Sign)
___________________________________________________
Company Representative (Print)
___________________________________________________
Date

 

___________________________________________________
Applicant (Sign)
___________________________________________________
Applicant (Print)
___________________________________________________
Date

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