An Appointment Letter is one of the most commonly generated HR documents. It formally communicates an employee's role, joining date, and compensation details. This article provides a ready-to-use template structure for an Appointment Letter in HRStop, including the placeholders and salary formula configuration required.
Before You Begin
Before setting up the Appointment Letter template, ensure the following:
- The document template (.docx file) is prepared with the required placeholders enclosed in double curly brackets {{ }}
- You are familiar with how to upload a template. Refer to: Adding a Document Template
- You understand how placeholders and custom keys work. Refer to: Using Customer Keys (Placeholders) in Document Templates
Navigation Path: Control Panel → Forms/Policies → Document Templates → Add New
Sample Appointment Letter Template
Download the sample Appointment Letter template prepared with the correct placeholders and salary structure. Use this as a reference to prepare your .docx file before uploading it to HRStop. [Download sample of AppointmentLetter]
The template follows this structure:
- Date and employee permanent address
- Subject and salutation
- Appointment confirmation with designation, department, organisation, and joining date
- Reference to Annexure A (Compensation) and Annexure B (Terms and Conditions)
- Authorised signatory and employee acceptance block
- Annexure A — Salary breakup table with all placeholder keys
- Annexure B — Terms and conditions of employment
Placeholders Used in an Appointment Letter
An Appointment Letter uses two categories of placeholders — predefined System Keys for employee and company information, and Custom Keys for salary components. The salary structure in the template is built using these Custom Key placeholders, with formulas configured to auto-calculate values during document generation.
Employee & Company Information
The following predefined System Keys can be used directly in the document template:
| Placeholder | Description |
|---|---|
| {{Employee.Name}} | Full name of the employee |
| {{Employee.Designation}} | Designation of the employee |
| {{Employee.DateOfJoining}} | Date of joining of the employee |
| {{Employee.Department}} | The department the employee belongs to |
| {{Employee.EmployeeCode}} | Unique employee code assigned in the system |
| {{Employee.PermanentAddress}} | Permanent address of the employee |
| {{Company.OrganisationName}} | Name of the organisation |
| {{Today's.Date}} | Date on which the document is generated |
Salary Components
Salary-related fields in the Appointment Letter use Custom Key placeholders. These are configured with formulas so the system automatically calculates all salary components when a base CTC value is entered during document generation. The following salary breakup structure is used in the template, with Annual (Ann.) and Monthly (Mon.) keys as placeholders:
| Name of the Employee | {{Employee.Name}} | Designation | {{Employee.Designation}} | ||
|---|---|---|---|---|---|
| Salary Break-Up | |||||
| Earnings (A) | Monthly | Annually | Deduction (B) | Monthly | Annually |
| Basic | {{Mon.Basic}} | {{Ann.Basic}} | TDS | {{Mon.TDS}} | {{Ann.TDS}} |
| HRA | {{Mon.HRA}} | {{Ann.HRA}} | ESIC | {{Mon.ESIC}} | {{Ann.ESIC}} |
| Medical Allowance | {{Mon.Med}} | {{Ann.Med}} | Provident Fund | {{Mon.PF}} | {{Ann.PF}} |
| Conveyance Allowance | {{Mon.CA}} | {{Ann.CA}} | Profession Tax | {{Mon.PT}} | {{Ann.PT}} |
| Special Allowance | {{Mon.SA}} | {{Ann.SA}} | |||
| Gross Earning (A) | {{Mon.Gross}} | {{Ann.Gross}} | Gross Deduction (B) | {{Mon.B}} | {{Ann.B}} |
| Net Salary (A-B) | {{Mon.Net}} | {{Ann.Net}} | |||
Configuring Custom Key Formulas
Once the template is uploaded, define the formulas for each Custom Key in the Custom Key section of the template configuration. The following formulas represent a standard Indian payroll structure:
| Custom Key | Formula |
|---|---|
| Ann.Gross | 0 |
| Ann.Basic | if(Ann.Gross<180000,Ann.Gross,Ann.Gross*0.5) |
| Ann.HRA | if(Ann.Gross<180000,0,Ann.Basic*0.5) |
| Ann.CA | if(Ann.Gross<180000,0,19200) |
| Ann.Med | if(Ann.Gross<180000,0,15000) |
| Ann.SA | Ann.Gross-(Ann.Basic+Ann.HRA+Ann.CA+Ann.Med) |
| Ann.PT | 0 |
| Ann.TDS | 0 |
| Ann.Net | Ann.Gross-Ann.B |
| Mon.Basic | Ann.Basic/12 |
| Mon.HRA | Ann.HRA/12 |
| Mon.CA | Ann.CA/12 |
| Mon.Med | Ann.Med/12 |
| Mon.Net | Ann.Net/12 |
| Mon.SA | Ann.SA/12 |
| Mon.PF | Ann.PF/12 |
| Mon.PT | 0 |
| Mon.TDS | Ann.TDS/12 |
| Mon.Gross | Ann.Gross/12 |
| Mon.ESIC | if(Mon.Gross>21000,0,0.0075*Mon.Gross) |
| Ann.ESIC | Mon.ESIC*12 |
| Ann.B | Ann.TDS+Ann.PF+Ann.PF+Ann.ESIC |
| Mon.B | Ann.B/12 |
| Ann.PF | if((Ann.Gross-Ann.HRA)>180000,21600,(Ann.Gross-Ann.HRA)*0.12) |
For values that need to be entered manually during document generation — such as Gross, Professional Tax, or Bonus — set the formula value to 0. These can be updated at the time of generating the letter.
Generating the Appointment Letter
- Single Employee: To generate the Appointment Letter for an individual employee, refer to: Generating a Document. When generating, enter the base Annual CTC value in the CTC field. The system will automatically calculate all salary components based on the formulas configured. For detailed guidance on entering CTC values during generation, refer to: Generating Salary Letters by Entering CTC
- Multiple Employees: To generate Appointment Letters for multiple employees simultaneously, refer to: Generating Documents in Bulk
Where It Reflects
Once generated, the Appointment Letter is available based on the document generation options selected:
- Downloaded directly to the user’s device
- Stored in the employee’s document folder (if Save to Employee Document Folder is enabled)
- Published for employee access (if Publish to Employee is enabled)
Important Notes
- Only users with authorized administrative access can create or modify document templates.
- Ensure all Custom Keys used in the .docx file are configured with the correct formulas before generating the document.
- Formula-based values are calculated automatically when the base CTC is entered during document generation.
- For components like Professional Tax and Bonus that vary by employee, set the formula to 0 and update manually during generation.
- Preview the document before final generation to verify all values are correctly populated. Refer to: Previewing a Document Before Generation
- Password protection can be enabled for the generated document if required. Refer to: Enabling Password Protection on Generated Documents
Related Articles
- Document Templates: Overview
- Adding a Document Template
- Using Customer Keys (Placeholders) in Document Templates
- Generating a Document
- Generating Documents in Bulk
- Setting Up a Relieving Letter Template
- Setting Up an Experience Letter Template
- Generating Salary Letters by Entering CTC
- Enabling Password Protection on Generated Documents