Offer-Letter
An offer letter is a written document from a company that formally tells you they want to hire you. It states your job title, CTC, joining date, and the conditions attached to the offer. In India, most tech companies send the offer letter before you resign from your current job.
How It Works
The offer letter arrives after the company decides to hire, usually within 3 to 7 working days of the final interview round.
What it contains
A standard offer letter in Indian tech hiring includes your full name and job title, your total CTC with a full breakdown, your joining date, your work location, and a validity window of 3 to 7 days within which you must sign and return it.
Conditions attached
Almost every offer letter in India is conditional. The two most common conditions: the offer is valid only if your background verification clears, and only if you submit proof of your last drawn salary. Some companies add a clause requiring you to commit to your notice period.
Offer letter vs. appointment letter
These are two separate documents. The offer letter comes first. It confirms the company's intention to hire you. The appointment letter comes after you join. It is your full employment contract and covers leave policy, confidentiality clauses, and notice period terms in detail.
What to do after you receive it
Read every line before you sign. Check that the CTC breakdown matches what was discussed in the interview. Confirm the joining date gives you enough time to serve your notice. If you want to negotiate salary or the joining date, do it now. Once you sign, changes become harder to make.
Example
Kavya is a product manager at a Bengaluru SaaS company. After her fourth interview round, she receives an offer letter from a Series B startup. The letter states her role as Senior Product Manager, her CTC as ₹28 LPA split into ₹20 LPA fixed and ₹8 LPA variable, and a joining date 45 days out. The letter is valid for 5 days. She checks that the variable pay is tied to individual quarterly targets rather than company performance and signs on day 3.
Common Mistakes
1. Signing before negotiating: Once you sign, most companies treat the CTC and joining date as final. If you want a higher base or a later start date, raise it before you sign.
2. Not checking the CTC breakdown: A CTC of ₹20 LPA can mean ₹16 LPA fixed and ₹4 LPA variable at one company and ₹12 LPA fixed and ₹8 LPA variable at another. Your monthly take-home depends entirely on the fixed component.
3. Missing the validity window: Offer letters in India typically expire in 3 to 7 days. Missing the deadline can void the offer at some companies without any further notice.
FAQs
1. Is an offer letter legally binding in India?
It is a formal commitment but not a full employment contract. The appointment letter you receive after joining carries more legal weight and detail.
2. Can a company withdraw an offer after I resign from my current job?
Yes, if background verification fails or the company faces a sudden budget cut. This is uncommon, but it does happen. Read the conditional employment clause carefully before you resign.
3. What should I check in the offer letter before signing?
Check your CTC breakdown, the fixed vs. variable split, the joining date, job title, work location, and whether relocation support is mentioned if the role requires you to move.
4. Is it okay to ask for more time before signing?
Yes, ask the HR contact for a 2 to 3-day extension if you need it. Most companies agree to a short extension without any issue.
5. What is the difference between an offer letter and an appointment letter?
The offer letter comes before you join and confirms the company wants to hire you. The appointment letter arrives on or after your joining date and is the full employment agreement.
