Job Offer Letter Format (With Useful Examples)

By Indeed Editorial Team

Updated 28 November 2022 | Published 8 November 2021

Updated 28 November 2022

Published 8 November 2021

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.

An offer letter is an official document that establishes a professional relationship between the employee and employer. It is a physical representation of a verbal employment offer and includes all the details, such as company name, work location, job position, job responsibilities, employee information and other critical employment information. A company may send an offer letter as an acknowledgment of acceptance to a new employee in a standard legal format. In this article, we discuss what to include in an offer letter and look at some examples of the same.

Related: What Is an Employment Verification Letter? (With Templates)

Basic offer letter format

A basic offer letter format comprises the company's logo and contact information, along with the essential employment details of the respective employee. Here are the seven key things to include in an offer letter:

1. Opening and basic information

An offer letter may start with basic information such as the name and address of the employer, contact details of a hiring manager, employee's joining date, job title, salary, work duration and location. The opening part of the letter may also include a salutation and the personal details of the candidate, like name, contact details and address. Mention all the policies and legal information clearly. It is good to avoid vague phrases or lengthy sentences in the opening part.

Related: Guide: How To Write A Joining Letter

2. Job role description and responsibilities

In this section of an offer letter, the company can add the formal job title and job description, the work profile, the role of the candidate, their responsibilities under the job title and the name and designation of the reporting manager. Here, the employer can also provide salary and payment details, either monthly or yearly, to avoid any confusion or miscommunication. This includes the breakup of the salary, such as base pay, PF contribution, allowances and bonuses. You can mention the employment tenure here as well.

3. All benefits-related information

After discussing salary details, you can add a section about the benefits that the company offers the employee. This helps to build trust among employees and maintain the reputation of the company. Benefits-related information may include:

  • health insurance details

  • life insurance plans

  • provisions for educational assistance

  • short- and long-term disability coverage

  • accidental death coverage

  • benefits disbursement information

  • flexible spending account details

Related: How To Write A Job Offer Acceptance Letter (With Samples)

4. Leave policy

The leave policy section may briefly mention the total number of paid leaves available for the employee. You can also mention national holidays and special holidays that the company may provide. If you have a different leave policy for employees who are on their probation period or clauses regarding half-day leave or emergency leave, you can mention that here as well.

5. Terms of employment and offer letter validity

Every organisation or company may have a distinct set of rules for its employees, mentioned in a detailed manner in a typical offer letter format. In addition, this section may also talk about the documents that the employee may provide at the time of joining. Standard documents for the verification process may include educational certificates, proof of residence, salary certificates and experience letters from the previous employer.

Related: Tips For Politely Rejecting A Job Offer (With Examples)

6. Termination policy and notice period

Having a written termination policy that covers legal aspects, such as what makes up voluntary termination and involuntary termination, helps avoid wrongful claims and lawsuits. Therefore, it is important to add a termination policy in an offer letter. It may explain the different types of terminations and the circumstances under which the employer may terminate the employee's contract.

This section may also mention the voluntary resignation policy for employees if they want to do so in the future. You can also add details about the employee's notice period. Clearly state the official notice period that the employee may serve in case they resign from the post. Notice periods may vary from two weeks to two months, depending on how long the knowledge transfer takes, hence it is always good to mention a range.

7. Closing statement

The closing statement can contain contact details such as phone number and email address of the employer or the hiring manager if an employee has questions and may require contacting you to discuss doubts. You can mention the work culture of your organisation in two or three sentences and end the offer letter with the signature of the employee and date. Also, you can add a note explaining that an offer letter is only for informational purposes and not a binding contract until the employee signs and sends it back to the company.

Related: How To Write A Job Appointment Letter (With Samples)

Offer letter examples

Here are some examples of offer letters:

Example 1

Here is an example of an offer letter for the position of a marketing coordinator:

Dear Ms Priya,

New Ray Marketing Agency is happy to offer you the position of Marketing Coordinator at our company. Below are the details of your full-time role as a marketing coordinator:

Responsibilities:

  • assist the marketing manager with the ideation, development, and execution of strategic venue marketing plans

  • assist with branding strategies, plus promotional communication projects and media buys

  • create and develop venue marketing collateral for show segments, such as promotional flyers, calendars, rack cards, and posters

  • handle community outreach programs and manage related guest relations/public relations

  • partner with advertising agencies/consultants/freelancers and other marketing suppliers, as well as including contract management

Salary and Benefits:
In this position, New Ray Marketing Agency offers you an annual CTC of Rs. 3,60,000. You will be paid on a monthly basis, on the first of every month. You are eligible for bonuses and commissions as a part of your compensation package. Your bonuses are Rs. 2,500 per quarter, which will begin after the first 90 days. Other benefits offered by the company include group insurance, health care, transportation, stock plan and dental care.

Further Information:

You will report to Mr Rahul Sharma, the Marketing Manager of our company. Your working hours will be from 9 am to 6 pm from Monday through Friday. You will have an off for two days per week, i.e. on Saturday and Sunday.

We are excited to have you onboard at New Ray Marketing Agency and hope that you accept this offer to join us. If you agree with the terms of the letter, kindly sign, scan and send it across by October 29th. Your joining date shall be November 1, 2021.

We look forward to hearing from you and hope that you accept our offer to join New Ray Marketing.

Sincerely,

Ms Diana Rogers
Human Resources Recruiter | New Ray Marketing Agency
(92000 00089)

Example 2

Here is an example of an offer letter for the position of a project manager:

Dear Mr Anuj Mehta,

We are glad to offer you the position of Project Manager at Webasto Manufacturers. Please find below the details of the proposed employment.

Position: Your designation will be as Project Manager and you will report to Mr Arjun Pillai, Senior Executive of Webasto Manufacturers Pvt. Ltd. This is a full-time position for 54-hours per week. Your regular schedule will be from Monday to Saturday from 9 am to 6 pm. Your employment with the company will be 'at will'. You or the company may terminate your employment for any reason, with or without cause.

Salary & Benefits: The company will pay you Rs. 20,000 as a salary, per month. It is payable under the company's standard payroll schedule, beginning from the first date of every month. All compensations mentioned in this letter are subject to reduction to reflect payroll taxes and other tax deductions.

Bonus: You will be awarded a bonus based on objective criteria established by the company. Your bonus will be equal to no more than 2% of your annual base salary.

Employment Benefits: As an employee of our organisation, you will be eligible to participate in company-sponsored benefits. Our company offers comprehensive benefits including vacation policy, stock option, private health and dental insurance plan.

Privacy & Confidentiality Agreement: You are required to observe all of the company's privacy policies and procedures. You may not engage with other employment, consulting and business activities while working in our company.

Termination Conditions: The company may end employment for just cause without notice and payment in case the employee violates any of the company's terms and conditions.

Interpretation, Amendment and Enforcement: This letter replaces any prior agreement between you and the company. It constitutes a new complete agreement between you and the company regarding the matter set forth herein.

You may accept the agreement with these terms by the 5th of November. Upon your acceptance of this letter, our legal team will provide further paperwork and instructions.

Kindly feel free to reach out to me with concerns, if any.

Sincerely,
Ms Myra Smith
Director of Human Resources, Webasto Manufacturers Pvt. Ltd.

Explore more articles