JOB OFFER LETTER: How to Write It, Template, and What Not to Do

job offer letter
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Before you make a decision, you will almost always need to look at a large number of resumes and interview a large number of potential employees. And now, after all of this effort, it is time to submit your job offer letter. You are aware that this stage of the hiring process is equally as crucial as any other stage since you need to make your job offer stand out in order to bring the best candidate on board. It is customary to follow up a verbal job offer with a written one to ensure the prospective employee fully understands and accepts the terms of the position. In this article, we are going to show you the template for a job offer letter, how to write one, what is included in the body, and what not to include. 

What Is a Job Offer Letter?

A job offer letter is a formal document that is sent to individuals who have been chosen for a job. It’s a good idea to get a written confirmation of a job offer so that both the employee and the employer are clear on the terms of the job.

Furthermore, the candidate may also receive a written or electronic version of the offer, depending on the company policy and the hiring procedure. After an applicant has been offered a position, whether over the phone or electronically, the offer should be confirmed in writing.

How Do I Write a Job Offer Letter?

To help the candidate decide whether or not to accept the offer, it includes an overview of the role, the organization, and other pertinent job specifics such as the start date, salary, benefits, and work hours.

When is the right time to submit a letter of employment offer? Some companies make hiring decisions on the spot, while others take more time. After an applicant has gone through a series of screening steps, like a background check, proof of employment eligibility check, reference check, etc., they may be given a verbal offer.

You should send a job offer by letter right away to keep your top candidate from being considered by other companies. Keep in mind that the best prospects will likely have their pick of numerous job offers, so don’t hesitate to make a competitive offer.

What to Include in the Body of a Job Offer Letter

These parts of a job offer letter template should always be there, but their order in the letter is up to the employer:

#1. Job Title

When writing a letter to offer a job, one of the first things you should do on the template mentions the job title of the role that the potential employee will be filling.

It’s possible that during the course of the interview process, you discussed a variety of different job titles with them. It is essential to communicate to the employee the job title that you would like them to assume so that there is no room for misunderstanding between the two of you. This will help avoid any potential misunderstandings.

#2. Job Responsibilities

It is also important to give a brief job description and outline of the duties that come with the position in an offer letter.

It’s possible the candidate forgot or you didn’t cover all of the responsibilities needed for the position. The candidate will like to have a written record of what was said so they can look back on it if they have any questions or concerns after the meeting.

#3. Salary and Commission

When discussing the terms of the wage offer, it is best to begin by describing the pay schedule. For example, if the employee will be paid bimonthly, the wage should be presented as such.

If the employee will also earn commissions, you need to explain the structure of the commission as well as the requirements that must be satisfied in order for them to get commission payments. 

#4. Name of Supervisor

The job offer letter is a good place to introduce the candidate to the name of their future manager or supervisor for the first time. This will likely be discussed in greater depth throughout the onboarding process.

This part of the job offer letter should be short and, if necessary, combined with other information. In addition, in-depth explanations of any part of the employment agreement or onboarding process can always be provided as time goes on.

#5. Compensation and Benefits

It is important to detail the candidate’s wages and benefits in your offer letter.

Include hourly rates (for non-exempt employees) or pay-per-period rates (for exempt employees) so that the company isn’t responsible for the whole amount if the employee leaves early. In a similar vein, describe the main perks your company has to offer its workers.

#6. Details About Your Workplace’s Location

Information about the workplace should also appear in the letter that you send out as part of the job offer.

To begin, please provide details regarding the location of the candidate’s primary place of employment (e.g., in the office, from home, or a hybrid of the two). Then, mention details like where the office is, how parking works, and how to get in.

As with the other items on this list, this offer letter is the ideal place to broach the subject. However, before the candidate shows up for their first day on the job, you may go over the worksite details again.

#7. Contact Information

Provide a contact number for the prospect to use if they have any further inquiries about the offer or would like to schedule a time to meet. By letting the applicant ask questions, you may encourage open communication and make it less likely that a qualified applicant who isn’t sure about the job will turn it down.

#8. Potentials and Restrictions

Make it clear if the job offer is contingent on the candidate passing a background check or drug test, signing a confidentiality or noncompete agreement, or having the right certification.

Please be aware that the Immigration Reform and Control Act of 1986 requires all people who want to work in the United States to fill out Form I-9 and send it to the employer. It’s smart to include a short statement about the situations in which the company could take back the job offer.

What Not to Include in a Job Offer Letter 

If you want to increase the chances that a candidate accepts your offer of employment and gets off to a good start with your company, design a compelling job offer. Here are things you shouldn’t include in a job offer letter:

#1. Don’t Surprise Candidates

Keep potential employees in the loop during the hiring process to avoid any unpleasantness after an offer is made. For example, if it is an entry-level job, it should say so in the job title and description. Transparency can help candidates make decisions with all the information they need.

#2.  Avoid Talking About  Compensation in Annual Terms

Specify the hourly rate of pay (e.g., $25 per hour) if that is how you want to compensate the worker. If they will be paid a salary, tell them how much they can expect to make each week. Do not state their wage in annual terms, as this may not accurately reflect their real compensation, which may vary according to the number of hours worked or the number of weeks worked. You don’t want the worker to think an annual wage guarantees 12 months’ compensation or a lifetime job. Be sure to mention any bonus or commission structure, but know that it might alter at any time.

#3. Dont Make Promises Such as (Promises of Promotions, Pay Raises, or Bonuses)

Don’t say anything that could be interpreted as a promise about how long or stable the working relationship will be. In the job offer letter, state that the employee is at-will and the letter is not a contract. Either you or the employee can end the job at any time and for any reason allowed by law. Except in Montana, all other states treat employment as “at-will.” If you think the job will be short-term, include the term and the option to quit.

#4. Please Don’t Take It Personally if Potential Employees Try to Negotiate Over Their Salaries

After getting a job offer in today’s competitive job market, some applicants may try to negotiate a lower starting salary or other perks. The applicant may request a greater salary, better benefits, the option to work from home, or some other kind of employee appreciation. Update your employment offer letter to indicate if you can fulfill their standards or make a counteroffer they accept. Make it obvious that you can’t adjust the offer and use your company’s benefits to persuade the candidate.

What Happens After the Job Offer Letter?

Even if it’s good news that a possible employer is interested in hiring you, you should still be careful. Now, before you accept the job, learn how to talk to your possible supervisor well.

Accepting a job offer immediately isn’t always a good choice. You should think it over carefully before making a final decision. Here is what happens after the job offer letter:

#1. Inform the Employer That You Have Seen the Job Offer

After getting a job offer, it’s important to convey your enthusiasm to the hiring manager. Your acceptance or rejection of the offer will speak volumes about the kind of worker you are and set the tone for the rest of your career with the company.

To make a smart choice, though, you need enough time to carefully think about the offer and gather all the information you need. Avoid working for a company that pressures you to make a quick choice.

Don’t procrastinate responding to a job offer; the business may rescind the offer and recruit someone else in the meantime.

#2. Examine the Job Offer Carefully

When considering a job offer, it’s important to weigh the salary with other factors like benefits, vacation time, and incentives. Check if the wage is in line with market or industry standards by consulting internet resources and tools to compare it to salaries for similar roles at similar organizations.

Assess all of the perks to see whether they meet your requirements. For example, you might be willing to work for less money if the company gives you more paid vacation time and the option to work from home. Find out if there is any preparation work, certifications, or testing you must pass before beginning employment.

#3. Make an Alternative Offer

You may want to make a counteroffer if the offer is too low. Start off by showing your appreciation for the offer and your desire to get started. Then, explain how your past work will help the company and how you’ll contribute to its success as a whole.

The next step is to submit a counteroffer that illustrates the wage range you believe is more acceptable for you and your experience level based on your study and the prevailing market standards. However, you should expect the corporation to reject your counteroffer.

#4. Let Other Prospective Employers Know

If you’ve applied to a lot of places and gotten offers from more than one, you need to let them all know that you’ve decided to take a job with someone else. Instead of continuing to be considered for the job, write a short email explaining that you have another offer from another company and would like to withdraw your application.

#5. Do Not Accept a Job Offer

If you decide to decline a job offer, you should send a polite email to the hiring manager thanking them for their consideration but explaining why you are unable to accept the position. Though it’s not required, it’s always good to let a potential employer know why you’re passing on their job offer. This can help you keep a nice working relationship in the event that you ever decide to reapply for a position with their company.

#6. Acknowledge with a heartfelt thank you

Sending a thank-you email to a potential employer shows honesty, even if you ultimately decide not to take the job offer. This will look fantastic on your resume, plus it will give you the chance to double-check the specifics of your work with the company. Additionally, the email will act as a reminder to complete and submit the necessary joining documentation. Also, read CANDIDATE RELATIONSHIP MANAGEMENT SYSTEMS: Guide To The Processes.

Can the Offer Letter Be Denied?

For reasons of ethics, a company that has already extended an offer to you for a specific position within the company must not revoke that offer. As a result, you can sue the company based on the terms of the offer letter if they breach them.

Template for a Job Offer Letter

Dear [Candidate Name],

[Company name] is delighted to offer you the [full-time, part-time, etc.] position of [job title] with an anticipated start date of [start date], contingent upon [a background check, drug screening, etc.]. 

You will be responsible for [a brief description of job responsibilities and expectations] as the [job title].

You will report directly to [manager’s or supervisor’s name and title] at [workplace location]. Working hours are [days of the week, hours of the day]. 

 The starting salary for this position is [dollar amount] per [hour, year, etc.]. Payment is on a [weekly, biweekly, monthly, etc.] basis by [direct deposit, check, etc.], starting on the [date of the first pay period]. In addition, you will be eligible to receive [discuss additional compensation potential]. 

 [Company name] offers a comprehensive benefits program, which includes medical insurance, a 401(k), paid time off, etc. 

 Your employment with [company name] will be on an at-will basis, which means you and the company are free to terminate employment at any time, with or without cause or advance notice. This letter is not a contract indicating employment terms or duration.

 Please let us know that you will take advantage of this offer by signing and sending back this letter by [offer end date]. 

 Sincerely,

 [Your Signature] [Printed Name] [Your Job Title]

Candidate Signature: 

Candidate Printed Name: 

Date: 

Helpful Hints for Evaluating a Job Offer

There are a few factors to keep in mind while weighing a job offer in order to make a wise choice. If you do this, you’ll give yourself a better shot at future success. Take the following into account as you weigh a job offer:

#1. Identify and Analyze Prospects for Expansion

Think about whether or not this new role will provide you with opportunities for growth and development. Verify if there is room for growth in your new position within the organization. Having room for advancement helps you get closer to your professional dreams.

#2. Give Some Thought to the Alternatives

You should carefully weigh the pros and cons of leaving your current job before accepting a new one. For a job with better chances of getting a promotion, you might have to give up something, like a shorter commute or a higher starting salary. Before making a final choice, make sure you’ve thought through all of the potential outcomes.

#3. Get a Thorough Grasp of the Job Description

Check that you fully grasp the terms of the job offer. In other words, you need to know the specifics of your compensation, including your salary or hourly rate, as well as any benefits you may be eligible for.

Conclusion

The job offer letter serves as the initial step in orienting a new hire to your company’s onboarding procedure. By giving the new hire a solid foundation on which to build, you may make their initial days and weeks on the job easier for everyone involved. Making a detailed plan for training and other related activities is a good way to get things done.

Job Offer Letter FAQs

What are things you should do after accepting a job offer?

  • Put your acceptance of the job in writing
  • Give your current employer that you’re accepting a job offer
  • Inform the other contenders
  • Build up your contacts
  • Help with the transition
  • Maintain regular contact with your new superior.

Is a job offer letter legally binding?

Once the employee accepts the employment and signs the offer letter, it becomes a legally binding contract.

Can an employer take back a job offer?

Yes. After you accept a job offer letter, the company can still back out without explaining why.

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