Offer Letter Generator.

A standard offer letter names the employer and the candidate, the designation and department, the reporting manager, the work location, the annual CTC in figures and words, the joining date, the probation period, the notice period, a line on working hours and leave as per company policy, a confidentiality clause, the list of documents to bring on joining, a statement that the offer is subject to background verification, and the date until which the offer is valid. It ends with the signature of an authorised person and an acceptance block for the candidate. Detailed matters such as the salary break-up, leave entitlement, code of conduct and any restrictive covenants belong in the appointment letter and company policies rather than in the offer.

An offer letter becomes a binding contract once the candidate accepts it, usually by signing and returning it, because the Indian Contract Act treats an offer plus acceptance with consideration as an agreement. In practice courts are reluctant to force an employee to join or an employer to employ, so the remedy for a broken offer is limited to damages that can be proved, and Indian employers rarely pursue candidates who do not join. What the letter reliably does is fix the agreed terms, which matters when there is a later dispute about the CTC, the joining date or the notice period. Conditions such as background verification and document checks should be stated expressly so that the employer can withdraw if they fail.

The offer letter is issued after selection and before joining. It is short, states the key terms and asks the candidate to accept. The appointment letter is issued on or around the joining date once the candidate has actually reported and submitted documents; it is the detailed employment contract, with the salary annexure, leave rules, working hours, code of conduct, intellectual property and confidentiality terms, termination provisions and any restrictive clauses. Many small businesses issue only one document and call it either name; that works for very small teams but leaves the employer without a proper record of the detailed terms, so the two-step approach is recommended.

Show the annual CTC in the offer letter and put the break-up in the appointment letter annexure. CTC is the total cost the employer bears, including the employer contribution to Provident Fund, ESI where applicable, gratuity provision, insurance premiums and any fixed bonus. The in-hand or net salary is what remains after employee PF, professional tax and TDS, and it depends on the candidate tax regime and declarations, which the employer does not know at offer stage. Candidates do want to know the take-home figure, so mention the approximate monthly gross in the letter, as this tool does, and point them to the CTC to in-hand calculator for the rest.

Six months of probation with a 30-day notice period is the most common combination for junior and mid-level roles in Indian SMBs; three months probation is also frequent for entry-level and hourly roles, and senior positions often carry 60 or 90 days notice. State Shops and Establishments Acts set minimum notice for confirmed employees, typically 30 days or one month of wages in lieu after a qualifying period of service, and some states require the notice to be the same for both parties. Keep the notice period symmetric, state clearly whether it applies during probation, and avoid periods longer than 90 days, which candidates resist and which tribunals may read down.

The offer letter should say that salary is subject to statutory deductions such as Provident Fund, ESI and Professional Tax as applicable; the exact contributions belong in the salary annexure. Whether they apply depends on the business: EPF registration is mandatory once an establishment has 20 or more employees, though many smaller firms register voluntarily, and ESI applies to establishments with 10 or more employees in notified areas for staff earning up to Rs 21,000 a month. Professional Tax is a state levy with its own slabs. If your business is below these thresholds, the generic wording still holds, because it says as applicable.

You can, but be careful. Training bonds that require an employee to repay actual training costs if they leave within a stated period have been upheld when the amount is reasonable and the training was real; penalties far exceeding the cost are generally struck down. Non-compete clauses that operate after employment ends are unenforceable in India under Section 27 of the Indian Contract Act, although non-solicitation of clients and confidentiality obligations are usually respected. Such clauses belong in the appointment letter or a separate agreement rather than in the offer letter, and for anything beyond a plain confidentiality clause it is worth a short consultation with a lawyer.

No. The company, candidate and salary details are used only in your browser to render the letter, the print view and the copied text. Nothing is saved on our side and nothing is transmitted; there is no login and no history. Save the PDF or paste the text into your HR folder before closing the tab, and treat the candidate information with the care that personal data deserves under the Digital Personal Data Protection Act.