The terms and conditions of an employee's employment are outlined in an offer letter that a company sends to a potential employee. After an employment offer has been accepted, a formal written communication is sent. The job title, start date, compensation package, benefits, and any other pertinent information about the position are typically included in the offer letter. It might also include things like a non-compete clause, a probationary period, and a confidentiality agreement. Because it sets expectations for both the employer and the employee, the offer letter is an essential part of the hiring process.