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Whether the job is a newly created position within your organization, or one you’re switching to from another company of your own accord, there’s no better way to get started than by creating an offer letter—a formal document that lays out who gives what and how much.
The “offer letter template word” is a free offer letter template that can be used for any type of job. The document includes the basic information about the company, as well as how much you will be paid and what benefits are included in your employment contract.
The communication that a hiring manager sends to an applicant after they are offered a job is known as an offer letter. Although offer letters usually contain basic information such as the job description and pay, their primary purpose is to persuade an applicant to take the position. As a result, offer letters should clearly explain the advantages of the position and make accepting it simple for the receiver.
The following is a free offer letter template. It’s also available as a Word document.
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What Should an Offer Letter Contain?
Depending on the business, sector, and kind of position, offer letters may vary. A formal offer letter, on the other hand, typically contains a few items.
Name of the Candidate
The date, a greeting, and the candidate’s complete name should all appear at the top of each offer letter. The tone of the letter should reflect your company’s ethos, so start with something passionate yet professional.
Name and logo of the company
Similarly, ensure that the business name is prominently shown at the top of the letter. The letter will seem more professional and indicate to the receiver that it is a genuine offer if it is written on the official business letterhead.
Job Description & Title
Include the official job title at the top of the letter so that the recipient understands precisely what they’re getting. If there are any changes from the job title used during the recruiting process, the letter should describe those variances and why the title is changed. Similarly, the letter should define the role’s reporting structure, give information about basic duties, and specify whether the position is full-time, part-time, or remote.
Compensation
Detail how the employee will be paid after you’ve provided the job title and a short explanation of the function. The yearly pay or hourly rate, as well as how often the employee will be paid—weekly, bimonthly, or otherwise—should be included in this part of the offer letter. This section of the offer may also be used to explain any extra remuneration, such as stock or performance-based incentives.
Summary of Advantages
In many instances, the benefits package of a job is just as significant to applicants as the pay. As a result, an overview of advantages should be included in the cover letter. If you have access to summary papers from your company’s benefits providers, you may attach them to the offer letter as an attachment.
You may add basic information regarding perks in the offer letter if applicable:
- Insurance protection
- 401(k) savings plan
- Paid vacation
- Accounts with a wide range of spending options
- Assistance with education
- Work schedules that are flexible
- You can work from home.
However, keep in mind that some recruiting managers would rather reserve precise information regarding the benefits package until the job contract.
Statement of At-Will
At-will employment, with a few restrictions, implies that an employer or employee may cease employment at any time and for any cause. With the exception of Montana, every state is at-will, therefore if your company (or new employee) is not based in Montana, you may include at-will wording in your offer letter. Many companies, like the benefits summary, prefer to save this wording until the employment agreement. In any case, we suggest consulting with a lawyer to verify you have included all of the required wording.
Contingencies are available.
Job offers that are subject to further evaluations or criteria should state this clearly and prominently so that the receiver is sure to notice it. This may involve a background check, credit review, drug test, or other assessment, depending on the kind of employment. You should also provide information about the following stages and if you need any urgent action from the applicant if there are any contingencies.
Commencement Date
During the interview process, a hiring manager will often address the employee’s availability. Even if you’ve previously discussed it with the applicant, an official start date should be included in the offer letter. If the start date is contingent on offer conditions, specify that in the letter and give a deadline for meeting the extra criteria.
Period of the Offer
Offer periods are essential because they allow applicants to think about the job offer, talk to family members about it, and compare it to other offers. Requiring a response within a certain time frame keeps the recruiting process on track and allows you to move on to other applicants if your initial choice refuses. In general, offer durations vary from 24 hours to one week, but you may select whatever term works best for the job and recruiting schedule.
Acceptance Methodology
Provide information about how to accept or reject an offer in addition to letting applicants know how long they have to accept or decline an offer. This information in the offer letter provides your prospective workers a feeling of security and trust in the acceptance process, while also guaranteeing that you don’t miss their answer. Regardless of how you want applicants to react to the offer letter, always provide your contact information, such as your phone number or email address.
Disclaimer
Finally, add a part in the offer letter that states that the letter is not a legally enforceable contract. An attorney can assist you in drafting this section of the letter as well as reviewing the whole offer to verify you haven’t included any contractual wording.
When Is It Appropriate to Send an Offer Letter?
The start of the onboarding process is signaled by an offer letter. Before having your HR staff write an offer letter, it’s better if you talk with the applicant. Many businesses prefer to make a verbal offer, which is less formal than a written letter but allows the hiring manager to assess the candidate’s enthusiasm. Is the pay you’re thinking about too low? Will the candidate attempt to reach an agreement? What is the minimum amount of notice they must provide their present employer? Knowing these details ahead of time will save you from having to make changes to the letter afterwards.
How to Write a Letter of Offer
Send an email with the entire offer information, either in the body of the email or as a PDF attachment, after you’ve spoken with your prospective employee about the offer. Attach any relevant papers that may assist them in making a choice, such as benefit plan paperwork and business rules, in addition to the offer itself. This is also a good time to simplify the onboarding process by giving papers that employees must complete prior to their first day on the job.
Who is responsible for sending the job offer letter?
If at all feasible, the recruiting manager for the position should send an offer letter. This shows the receiver that the offer is genuine and that the business is prepared to engage into an employment contract. This is appropriate as well if the applicant has been interviewing with another team member—or if the company’s owner likes to send offer letters. What matters most is that the offer is precise, succinct, and professional.
After You’ve Sent the Offer Letter, What Should You Do?
With luck, your applicant will accept the job offer right away—but in many instances, this isn’t the end of the journey. As a result, recruiting managers should anticipate inquiries from candidates about perks and other aspects of the offer. In addition, whether it’s pay, vacation time, or other perks, a recruiting manager should be prepared to negotiate the conditions of the offer.
Conclusion
The process of preparing and delivering an offer letter is an exciting and crucial part of the recruiting process. It also sets the tone for the onboarding process and informs the employee on what to anticipate in the future. Draft offer letters containing essential data including a job description, salary and perks, and how to accept or reject the offer to ensure applicants have the information they need.
The “simple job offer letter sample doc” is a free template that can be used to help you write an offer letter. The document includes the basics of what to include in your offer letter and how to format it.
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