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Creating a Perfect Offer Letter [+ Template]

How to make sure your offer letters send the right message to your new team members

by Elle Mason - June 14, 2022

“Congratulations!”

“We’re excited to offer…”

“We’re thrilled to extend to you…”

The offer letter – one of the most critical but overlooked parts of bringing on a new employee. And it’s easy to see why – when the job market isn’t in the favor of the employee, a standard boilerplate letter will probably get the job done. But at a time when employees have more options and opportunities – and as such, may have half a dozen similar-looking offers in their inbox – spending the time to customize and brand your offer letter can be the difference between an enthusiastic acceptance… or being ghosted.

This article will be an updated resource on creating an offer letter that’ll support retention from day one, especially in such a competitive talent war. It will cover tips for writing a strong letter in 2022, and also include a general template to follow.

Download Our Free Offer Letter Template

What is an offer letter and why does it matter?

An offer letter is a formal document that informs the applicant of the job/role, compensation, working location, and more. Offer letters are some of the earliest points of contact between an employer and a potential employee. And between the offer and the interviews, they can often be the detail that will influence whether or not an individual will want to work for that company – so it is essential to make sure that they are informative and well-written.

There are a number reasons why you should think carefully about how you write an offer letter for your company. For example:

  • You can use it to recruit talent by attracting top-tier candidates with a competitive salary and benefits package.
  • It helps you to avoid legal issues such as discrimination claims, and standardizes what elements go into an offer at your company.
  • It can provide key information to the candidate about the role they’ll be performing.
  • It helps you to avoid misunderstandings around details such as vacation time, sick days, and insurance coverage.

Basic Dos and Don’ts of Writing a Good Offer Letter

– Do include critical information about your company, such as the location, size, and industry. Remember: Employees may be interviewing with dozens of companies.

– Do mention details about the position you’re offering, including the compensation, benefits and worksite. If it’s on-site, confirm the office address; if it’s remote, be sure to mention that.

– Don’t include information such as age, marital status, gender, race, religion or similar characteristics. Focus on the role, the company, and the qualifications of the candidate.

How to create an offer letter

(Other than just offering compensation and benefits)

Personalize it: Receiving a generic, nameless letter doesn’t make anyone feel particularly special. Personalize the letter – you can mention the candidate’s name, their previous experience that stood out to you, something that particularly impressed you during the interview process, and anything interesting about their new role or how their contributions would fit in.

Be human: Often, in an effort to be professional and to avoid any legal issues, business communication can be quite clipped and stiff – but it doesn’t have to be this way! Your offer letter can sound like it came directly from a human, instead of a machine, and you can express enthusiasm, warmth, or excitement. Assuming this is aligned with your company culture, it will help employees feel like they’re picking a workplace where they can be more authentic in their expression.

Show your brand: Imagine if a candidate applied for 10 different roles in Marketing, interviewed with 5 companies, and received offers from 3. Now imagine that all of those offers are relatively aligned in terms of compensation and perks – how would they choose? Your brand is going to be one of the key differentiators. Are they looking for an office with more formality or somewhere more relaxed? Are they hoping to join a big, collaborative team or do they prefer to work alone? What are the organizational values? All of these details will drive their decision so the more an employer can demonstrate their company brand and personality, the more informed employees will be when it comes to picking the best fit for them.

Be brief but thorough: Although the offer letter should include the key details around the role, and aim not to overwhelm the candidate, that doesn’t mean you’re limited to only sharing the minimum. The offer letter is a great place to link to any additional or supporting information about the company and the culture: this can include specific pages of interest on the website, information about the team, more information about the onboarding process, and anything else that you think is relevant and unique to your organization.

Ultimately, offer letters are an essential part of the recruitment process. They’re not only used to provide information about the offer – but to persuade the candidate to accept it. Below is a template that you can customize for your own use by adding your own brand voice, personality, and any other enticing details.

Free offer letter template

SUBJECT: Job Offer from [Your Company]

Dear [Name],

After meeting you and learning more about [role-related information], we are thrilled to offer you the role of [Job Title] at [Company]. We were quite impressed with [details] and we know that your skills and talents would be a great asset to our business.

We’re thrilled to offer you:

[Salary information]

[Bonus information]

[Workplace/location information]

As well as our benefits, which include:

[Paid time off or vacation days]

[Medical insurance information]

[Retirement information]

[Any additional benefits]

We’re proud to be entering our [number of years in business] in the [industry] across [locations] with a company size of [approximate number of employees]. Below, you can find more information about our company, such as:

[Interesting detail / link]

[Interesting detail / link]

[Interesting detail / link]

As discussed, your expected start date will be [date], and you’ll be working directly with [Manager] as part of the [Team/Department].

Please don’t hesitate to reach out to [Name] via [phone number] or email if you have any questions or concerns – and if you accept, you can respond directly to this email! Ideally, we’d receive your response by [Date] but let us know if you need more time.

We look forward to hearing from you and we hope to welcome you to [Company].

Best,

[Name]

GoCo can streamline the offer letter process!

Full service digital offer letter management features:

    • Send digital offer letters in seconds
    • Candidates can easily access, review, and accept offer letters on their mobile devices or laptops
    • Transform existing offer letters (like the one in the template you include) into a digital, fillable, signable and reportable document
    • Templatize different offer letters based on employee type or department
    • Collect e-signatures and add a wide variety of custom fields
    • Send multiple documents in one step along with the offer letters
    • Automatically notify hiring managers when offers are accepted

See how GoCo can simplify your HR