How to Write a Salary Letter?
A salary letter is a letter that contains the verification of an employee's salary and other benefits. Employers usually write this letter. Employees can also write this letter and have their employers sign it for approval.
The annual average salary of an American office worker in 2020 is $37,198, according to the website, Salary. This amount of money alone can sustain the living expenses of the employee, depending on his lifestyle. If your employee needs to spend on something, a salary letter serves as a request for approval.
If you need some ideas in writing a salary letter, refer to our tips below.
1. Introduce the Employee
The first part of the letter's body should give a background about the employee. Write the employee's full name, position, employment status, and the starting date in the letter. There has to be a confirmation of the employee's identity before anything else.
2. Describe the Salary
The next part should tell the salary of the employee. Write the amount of compensation monthly and annually. Add the bonuses and commissions if there are any. The salary adjustment is also proof of how much the employee earns.
3. Include the Responsibilities
This part justifies the salary of the employee in the payroll. Describe what he does in the company. Include some tasks that he does every day.
4. Provide Additional Information
End the letter by adding your contact information. You can make yourself a reference if someone asks about the employee. Write the proper salutation to wrap up your letter.
What should you remember when writing a salary letter?
Since salary letters are pretty straightforward, you only need to remember a few things. First, have a transparent approach in writing about the employee. Be honest on how much he earns. Second, always write concisely. Write your letter as simply as possible.
Why does an employer write a salary letter?
An employer writes the salary letter of an employee to provide details if the employee needs to buy something, such as a car or a house. With this letter, the employee can offer a clear overview of the employee's payment capabilities.
Is performance one of the key indicators for a salary increase?
A big yes. When an employee does well and goes above and beyond his tasks, his salary needs a raise. A good work attitude and hard work come with performance.
Can you negotiate your salary before accepting a job offer?
Yes. You can do so much negotiation between the interview and accepting the job offer. You haven't signed an official and valid document so there's nothing that should hold you back. Sometimes, you can counter a salary offer. You need to ask for at least 105 of what you're currently earning to maintain the flow of your earning potential.
Can salary cause job dissatisfaction of employees?
Yes. When an employee earns less and does tasks that are not stated in his job description, it makes him dissatisfied with what he earns. Salary dissatisfaction is a common cause of resignation.