Sometimes, an employee may want to prove his/her employment status to third parties such as financial institutions, insurance companies, or other potential employers. When such a need arises, the best way to respond is by providing an employment verification letter. This letter can be issued either by the manager or the human resource department. Without getting into other details, let’s first look at what an Employment Verification Letter means.
An Employment Verification Letter, sometimes known as proof of income letter or employment letter is a document that verifies the employment status of an individual, their job details, and employment history. Oftentimes, this letter is used to validate the eligibility of the individual towards certain benefits such as loans. Also, the letter can be used to determine the level of experience one has in a particular field. What’s more, some individuals use the letter to show proof of address and residency.
Typically, the Employment Verification Letter often contains various information such as the employment details, salaries, the date the employee started working, employment title, phone number, work performance, and others. However, in some circumstances, the letter can cover a wide range of information upon request by the third party.
When should you request an Employment Verification Letter?
Usually, the Employment Verification Letter does come handy in a number of situations. Here are some occasions in which the letters may be needed:
When applying for a job
The job hunt can be one of the most challenging processes ever. Even after you’ve been invited for an interview, the most probable question your potential employer will ask is to validate your experience and qualifications. In this case, providing them with an Employment Verification Letter can help save you the headache.
When purchasing or renting a property
Real estate is one of the most costly investments around. For this reason, most landlords will want to verify that their tenants are earning what’s enough for the monthly rent. On the other hand, if you are buying a property, the financial institutions will need the Employment Verification Letter to confirm your loan eligibility and other financial support.
What to Include in an Employment Verification Letter
Unlike other official letters, an Employment Verification Letter is usually short and simple. When writing the letter, however, you should be keen to include all the necessary components. Also, note that the type of information included in the Employment Verification Letter will depend on what the requesting party needs. Basically, a standard letter should contain the following information:
Employer contact information
Here, you will include your employer’s information details, including the name of the company, the address, and phone numbers, and so on. Make sure the details provided are valid or up to date.
In this section, you will include the employee’s address, employment details, contact information, and others. After the details, you’ll include a statement confirming the employee’s work position in the company.
Here, you’ll include the information regarding payments, whether its salary based, commission, or wages. Plus, you can indicate any other benefits and bonuses that the individual is entitled.
In order to make your letter official, you need to sign it at the end. Also, mention the dates the signatures were appended.
How do you Request an Employment Verification Letter?
When planning to request an Employment Verification Letter either from your current or former employer, you need to keep it professional. First and foremost, you need to consult with your human resource department. This will help you understand the rightful process of making your request. Usually, different companies have different policies regarding the Employment Verification Letter. Therefore, once you’ve received the consent from the HR departments, you can go ahead and make your request. While some companies allow the HR department to give templates, others allow managers and supervisors to draft the letters. In order to remain relevant, make sure you stick by the company’s policies and recommendations.
Sample Letters & Examples
Manager Green World Inc.
222 South West Rd.
New York, NY, 220220
[Date of writing]
[Name of the Requester]
[Address of the requester]
This letter is to certify that Mr. John Harman is an employee of your company since 1st January 2020. He serves as an assistant, human resource manager.
Mr. Harman currently earns a salary of $500,000 paid on an annual basis. On top of this, there are other additional annual bonuses and allowances of $100,000. Attached are some of the proof of payments, w-2 form as well as other pay stubs. I can confidently say that the information provided is all correct to the best of my knowledge.
Should you need any other information or question, please don’t hesitate to contact me at 616-21212121 or [email protected]
Frequently Asked Questions
Yes. Your former employer can deny you the Employment Verification Letter as there is no law demanding them to offer one upon request. However, if the request is demanded by the government agency, they will have to respond to it.
Yes. There are some situations where a new hire wants to purchase a property and is requested to produce their Employment Verification Letter. In such cases, the employer can provide them with a copy of their official job offer to serve as Employment Verification Letter.
If you feel that the requester is asking for information you are not comfortable sharing, such as marital status, you can simply write ‘decline to answer.’ This is because if you answer such questions, you may violate HIPAA guidelines.
This will depend on the company’s policies. If the company allows employees to draft their own verification forms, then as a manager/HR, you need to read and confirm everything before signing it. Plus, make sure the employee signs their name before yours and keep a copy for reference.