Offer Letter vs Appointment Letter: The Difference and What to Check

An offer letter is a company's formal proposal to hire you: it states the role, salary, joining date and key conditions, and asks you to accept. An appointment letter is issued when you join, or soon after, and sets out the full terms of employment: designation, pay, probation, notice period, working hours, leave and other conditions. In short, the offer letter says "we'd like to hire you"; the appointment letter says "you are now employed on these terms". Under India's labour codes, employers must give workers an appointment letter.

Offer letter: what it usually contains

• Job title and department.
• Salary or CTC, often with a breakup annexure.
• Expected joining date and location.
• Conditions, such as background verification, documents and medical check.
• A deadline to accept.

Before accepting, read the salary breakup carefully; see CTC vs in-hand salary. For how to respond, see accept or decline email samples.

Appointment letter: what it usually contains

• Your designation, grade and reporting manager.
• Date of joining and place of work.
• Detailed salary structure.
• Probation period and confirmation rules.
• Notice period during and after probation.
• Working hours, leave and holidays.
• Confidentiality, intellectual property and code of conduct references.
• Any service bond, non-compete or non-solicit clauses.
• Conditions for termination.

What the law says

The government's summary of the four labour codes, which came into force on 21 November 2025, lists mandatory appointment letters to all workers as one of the key changes, to give written proof of employment. If you haven't received one after joining, ask HR for it in writing.

Why the appointment letter matters

The appointment letter is what you'll rely on if there's a dispute about notice period, salary, probation or termination. It's also useful for loans, visas and background verification later. Keep a signed copy safely.

What to check when you get it

1. Does it match the offer? Salary, designation, location and joining bonus should be the same as promised.
2. Notice period: some companies set longer notice than mentioned at offer stage; see notice periods.
3. Probation terms: length and what happens if extended; see probation basics.
4. Bonds and recovery clauses: see service bonds.
5. Restrictive clauses: non-compete or moonlighting rules; see side jobs while employed.

If something differs from what you agreed, raise it with HR before signing. Polite questions are normal; you don't have to sign immediately.

Other letters you'll come across

• Letter of intent (LOI): an early, sometimes non-binding signal before the formal offer.
• Confirmation letter: issued when you complete probation.
• Salary revision letter: after appraisals.
• Relieving and experience letters: when you leave.

Keep a folder with every employment letter you receive. It saves time and trouble at every future job change. For what HR asks when you join, see joining documents checklist.