With LawDepot’s Proof of Employment or Income Letter template, you can select and customise the kind of verification letter that best suits your needs.
Key components of a Proof of Employment or Income Letter
The key elements of a Proof of Income or Proof of Employment Letter include:
- Employee or income earner’s name and contact information
- Employer’s name and contact information when applicable
- Details about the position or income, whichever applies (e.g., hours, title, and salary)
- Recipient’s details (e.g., a new or prospective employer, immigration services, or landlord)
- Signature and contact details of who is verifying employment or income
LawDepot’s customisable template allows you to choose if your letter is to prove employment, income, or both, and prompts you to include what is needed for your letter’s purpose.
Employment verification letter best practices
Employers, HR representatives, or agencies need to ensure they follow best practices for verification letters, such as:
- Printing on a company’s letterhead for situations like immigration
- Protecting employee confidentiality by using secure services or encrypted emails when sending the letter
- Following privacy laws like the Privacy Act 1988
- Avoid adding sensitive information like disciplinary history, medical information, or medical leave
It’s also important to note that anyone requesting an income or employment verification letter must comply with any laws and regulations in their field. Landlords, for instance, can ask for proof of income during the application process, but they must follow privacy laws and be consistent with their tenant requirements.
For example, in New South Wales, landlords cannot use policies or procedures that discriminate against a group of people, such as requiring a higher income based on a tenant's protected characteristics (e.g., age, disability, or pregnancy).
Additionally, job applicants have the right to decline sharing their income history with an employer. Always check your local laws or talk to a solicitor if you have any questions about what is allowed in your letter.
Common use cases in Australia
Employees may need proof of their employment or income for situations and applications with significant financial requirements, including the following:
- Mortgage or loan applications: Financial institutions such as banks or mortgage lenders may request income or employment verification.
- Rental or lease applications: Landlords may request proof of income during the application process to ensure a tenant can meet their rent obligations.
- Immigration or visa applications: In addition to other required documents, a proof of employment letter is common to demonstrate an applicant’s employment status or ability to support someone immigrating to Australia.
- Employment applications: Prospective employers may request verification of a candidate's current or former employment during the hiring process.
Additional needs for proof of employment or income can include purchasing insurance, applying for a credit card, or financing a car.
How to write a Proof of Employment or Income Letter
Have your Proof of Employment or Income Letter in minutes with LawDepot’s easy-to-use questionnaire. We’ll prompt you to include the details needed to write a valid, tailored letter.
Select the type of letter you need and complete the following steps:
1. Determine the purpose of the letter
Select what the letter is for (e.g., loan application, lease application, or immigration or visa purposes). This helps customise your letter to fit your needs.
Then add your or the employer's details to indicate who is issuing the verification letter.
2. Add the employment or income information
Depending on your needs, you’ll then add either the employment information (e.g., work hours, start date, and job title) or the compensation (e.g., salary, commission, and other sources of income).
If you are writing a letter to prove employment, you may include compensation if required, and you have the employee’s consent.
3. Name the recipient
Continue by specifying who is receiving the verification letter. This can include their name, company name, and address. If you don’t know the recipient’s name, the template will use "To Whom It May Concern" as its greeting or salutation.
Employers must obtain an employee’s consent to share their information.
4. Finalise your letter
If it’s applicable, you can add additional details to your letter. For example, if you’re an employer, you can add details about the employee’s character and strengths at work. Or you can name supporting documents as part of your proof of income.
If you’re writing a letter to verify employment, add the name and contact details of the person who’ll be signing the letter. The person signing the letter should be familiar with, or have access to, the employee’s personnel files in case the recipient contacts them with questions or requests further information.
Sign or request signatures on your letter using LawDepot's eSign – no printer or postage needed.
Proof of Employment Letter FAQs
