Updated on March 8th, 2023
An offer letter is generally a letter offering employment for full or part-time work. It can be made to be binding or non-binding, depending on the terms. After both parties sign, the letter is converted to a formal agreement.
An offer letter is sent by a hiring party when seeking to fill a position.
How to respond to an offer letter?
Is an offer letter legally binding?
What happens after you sign an offer letter?
Can you negotiate after signing an offer letter?
Can you reject an offer letter after signing?
By Type (9)
- Acceptance – To an organization for the acceptance of a role.
- Business Purchase – To make a proposal for the acquisition of a company.
- Counter-Offer (negotiating salary) –
- Employment Offer – To offer any type of part or full-time work.
- Interview Offer – To request an in-person or virtual meeting with a potential candidate.
- Rejection – To outright reject an offer for employment.
- Real Estate – To place a bid on a property that converts to a legally binding contract after both parties sign.
- Services – For a company offering their services to obtain new customers.
- Settlement Offer Letter – Proposes a solution to an ongoing dispute.
Offer Letter vs Contract
How to Write an Offer Letter (7 Steps)
Writing an offer letter is an important step in the hiring process, and it’s important to make sure the letter is professional and clearly written. Here are some tips on how to write a job letter:
1. Start with a Greeting
In a polite manner, it is recommended to greet the candidate by name and thank them for their interest in the position. Showing gratitude for to the person is the first step in the employer-employee relationship.
2. Include the Job Details
It should include details about the position, such as the title, start date, and main responsibilities. Other items such as pay, schedule, and benefits should be mentioned if available.
3. Mention Contingencies
If there are any contingencies to the offer, they should be clearly defined in the letter. This may include a background check, consumer report, or drug testing.
4. Show Enthusiasm
It is important to express enthusiasm about the position and how the organization could benefit from the individual’s talents. Any mission statements or goals are written in this section.
5. Provide Contact Information
Include the hiring manager’s contact details and company information. At the very least, a phone number and e-mail should be mentioned.
6. Close with a Call-to-Action
Give clear instructions on how the candidate can respond to the offer. If there is a deadline or expiration date, it should be included as part of this section.
7. Personalize and Review
The letter should include personalization, such as adding the organization’s logo, border, or any other effects to give a personal and professional look.
[ADDRESS LINE 1]
[ADDRESS LINE 2]
[CITY, STATE, ZIP CODE]
RE: OFFER OF EMPLOYMENT
Dear [APPLICANT’S NAME],
We are pleased to offer you employment under the following terms:
1. POSITION. We are pleased and honored to offer you the position of [JOB TITLE]. We believe that your skills, experience, and qualifications make you an ideal fit for our team.
2. ROLE. While working, you will be required to report to [MANAGER/SUPERVISOR NAME] under the department of [DEPARTMENT’S NAME] and be responsible for the following:
- [RESPONSIBILITY #1]
- [RESPONSIBILITY #2]
- [RESPONSIBILITY #3]
3. PAY. This is a ☐ full-time ☐ part-time position with a starting pay of $[AMOUNT] ☐ per hour ☐ year (salary). The total compensation may come with additional performance-based benefits and bonuses such as:
- [BENEFITS #1]
- [BENEFITS #2]
- [BENEFITS #3]
To be eligible for employee benefits, you must work for a period of [#] days (“eligibility period”).
4. TIME OFF. While working for us, you will be entitled to the following time off and vacation days after the eligibility period has been satisfied: [ADD TIME OFF]
5. CONTINGENCY. This offer is valid until [DATE] and includes the following contingencies: [ADD CONTINGENCIES]
We hope that you will accept this offer to join our organization. You may indicate your agreement with the terms mentioned herein by signing and dating below and returning to us.
SIGNATURE AND ACCEPTANCE:
Print Name: ______________________