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A Salary Verification Letter is used to verify both the employment history and the salary and other compensation received by an employee. This letter can be drafted either by an employer or an employee who then delivers the letter to their employer to sign and send. An employee might need a Salary Verification Letter in the following circumstances:
In some cases, a potential employer may request a Salary Verification Letter from the current employer of an employee to confirm that the employee worked for the employer for the salary stated in their application and/or resume. An employee can use this letter as proof of representations made in their resume. A Salary Verification Letter may also be used to secure a loan, mortgage, or credit line from a financial institution as it serves as a evidence of their ability to repay.
How to use this document
This letter includes basic information regarding the employee's time with the employer. The letter includes important details such as the employee's position and how long they have worked with the employer. The letter then goes on to detail the employee's yearly salary as well as any additional monetary compensation they may receive, such as bonuses or commission.
Once the letter has been completed, it can be signed and sent to the recipient. The employee may also keep additional copies of the document for their records and for future use.
There are no relevant laws in Australia regarding Salary Verification Letters. This is an informal letter provided to an employee by their employer as a courtesy.
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