What to check in a job offer letter before signing

Compensation: base salary, currency and pay schedule

The salary figure should match exactly what was discussed verbally or in writing during the hiring process. Check the currency, especially if the company is headquartered in a different country from where you will work. A Canadian company paying in CAD rather than USD makes a meaningful difference to your take-home pay.

Confirm how often you will be paid. In the US, bi-weekly (every two weeks, 26 pay periods a year) is common. In the UK, monthly is standard. In Australia, fortnightly is typical. A monthly schedule means you need to budget differently than a bi-weekly one, even if the annual figure is identical.

• Annual salary stated clearly, not just an hourly rate unless you are hourly
• Currency specified (USD, CAD, GBP, AUD)
• Pay frequency: weekly, bi-weekly, semi-monthly or monthly
• Overtime eligibility if you are a non-exempt employee in the US or equivalent classification elsewhere

Bonus, commission and equity terms

If a recruiter mentioned a bonus, it must appear in the offer letter. Look for the target percentage, the conditions that trigger it and whether it is discretionary or guaranteed. A letter that says 'eligible for a bonus at the company's discretion' gives you no enforceable right to any payment.

For equity, the letter should state the number of options or restricted stock units, the vesting schedule and the cliff. A standard schedule is four years with a one-year cliff, meaning you receive nothing if you leave before 12 months. Ask for the current strike price and the most recent 409A valuation if you are joining a private company in the US, so you can estimate what the options are actually worth.

Commission plans are sometimes attached as a separate document. Make sure that document is referenced in the offer letter and that you receive it before you sign.

• Bonus target percentage and whether it is discretionary or contractual
• Equity: number of units, vesting schedule, cliff period
• Strike price and 409A valuation for US private company options
• Commission plan document referenced and provided

Start date, job title and reporting line

The start date should be one you can actually meet. If you need to give four weeks' notice at your current employer, do not agree to a start date two weeks out. Most employers will accommodate a reasonable request to push the date back.

Check that the job title matches what was advertised and what you discussed. Title affects your LinkedIn profile, future salary negotiations and sometimes your visa status. In the UK and Australia, certain regulated roles require specific titles tied to qualifications.

The reporting line matters too. If you were told you would report to the VP of Engineering but the letter says 'Director of Operations', ask for clarification before you sign.

Benefits, leave and working conditions

Benefits are rarely spelled out in full in an offer letter, but the letter should reference the benefits package and tell you where to find the full details. At minimum, confirm health insurance start date (in the US, there is often a 30 to 90 day waiting period), retirement plan eligibility and any employer match.

Annual leave entitlement should be stated. In the UK, the statutory minimum is 28 days including bank holidays. In Australia it is 20 days plus public holidays. In the US there is no federal minimum, so the number in your offer letter is the only guarantee you have.

If the role is remote, hybrid or office-based, that should be written down. A verbal promise of two remote days a week is not enforceable if the letter says 'office-based full time'.

• Health insurance waiting period and coverage level
• Retirement or pension plan and employer contribution rate
• Annual leave days stated explicitly
• Remote, hybrid or on-site status written into the letter
• Probationary period length and conditions

Restrictive clauses to read carefully

Non-compete clauses restrict where you can work after you leave. Enforceability varies significantly. In California, non-competes are largely unenforceable. In the UK, they are enforceable if reasonable in scope and duration, typically no more than six to twelve months. In Australia, courts scrutinise them closely. In most US states, a clause covering a two-year period across an entire industry is likely to be challenged but may still cost you money to fight.

Non-solicitation clauses prevent you from poaching clients or colleagues after you leave. These are more widely enforced than non-competes, so read the scope carefully.

Intellectual property assignment clauses typically state that anything you create during employment belongs to the company. Some extend to work done outside office hours if it relates to the company's business. If you have a side project, disclose it before you sign and ask for a carve-out in writing.

Garden leave provisions in the UK and Australia mean the company can keep you on full pay but prevent you from working during your notice period. This is not inherently bad, but it affects when you can start a new role.

• Non-compete: duration, geographic scope, industry scope
• Non-solicitation: clients, colleagues or both
• IP assignment: scope, any carve-out for pre-existing work
• Garden leave or paid notice period terms

Conditions attached to the offer

Most offers are conditional on at least one thing. Common conditions include a background check, reference checks, proof of right to work and drug screening. The letter should list every condition so you are not surprised by a check you did not expect.

Right-to-work checks are mandatory in the US (Form I-9), the UK, Canada and Australia. If your eligibility to work depends on a visa, the letter should state whether the company will sponsor it and what happens to the offer if sponsorship is denied.

If the offer is contingent on passing a medical examination, that is relevant in safety-critical roles in Australia and the UK. Confirm what the examination covers and who pays for it.

• Background check: criminal, credit or both
• Reference check: number of references required
• Right-to-work documentation required
• Visa sponsorship commitment if applicable
• Drug screening or medical examination

How to respond if something is wrong

If a term does not match what was discussed, email the recruiter or HR contact with a specific, polite correction. For example: 'The letter states a start date of 3 November. We discussed 17 November to allow for my notice period. Could you confirm the updated date?' This creates a written record.

For substantive issues like a lower salary than agreed or a missing bonus, ask for a revised letter rather than a verbal assurance. Verbal promises made after signing are very difficult to enforce.

Most companies expect candidates to take two to three business days to review an offer. If you need more time, ask. A reasonable employer will grant it. If a company pressures you to sign within hours, that is worth noting.