Pay Increase Email Template

Managers should send the pay increase letter to an employee on part of their team. An email from HR might feel more impersonal. But here’s a template from each just in case.

It’s a good idea to have an in-person meeting (or face-to-face video meeting if you’re remote) ahead of time before sending a salary increase letter.

Here’s what to cover in the meeting:

• Let them know about the pay raise
• Explain why the employee deserves the extra salary (consistent high-quality work, project performance, etc.)
• Briefly mention future expectations (without putting unnecessary pressure on the employee)
• Discuss the employee’s career path if the pay raise corresponds to more responsibility or increased duties

If you’re an HR professional, see if the employee’s direct manager will have this meeting with their team member.

After this meeting, you can customize a sample pay increase letter to give employees confirmation of the raise discussed. The format of this letter should be simple, with a positive tone. After all, this is great news! 

Here’s what to cover in the email:

Andy important information about the new salary (date effective, percentage increase, bonus schemes, etc.)

Reaffirm the appreciation expressed in the meeting 

If necessary, send an updated contract for the employee to sign and return.

Pay raise email template from manager to employee

Subject line: Your new salary

Hi [Employee_name],

I’d like to confirm the [10%] salary increase we discussed. This brings your annual gross salary from [$70,000] to [$77,000]. Your salary will be officially updated on [September 1st] so you’ll see the boost on your [September] paycheck.

[I’ve attached your new employment contract with the updated salary – please read it, sign it and send it to HR/ Please pass by HR’s office to sign your updated contract by end of this week.]

Thank you for all your hard work. As your manager, I’m very pleased with your performance and commitment and [Company_name] appreciates your efforts and achievements so far. This pay raise is well-deserved.

Keep it up!

[Your name]

Pay raise email template from HR to employee

Subject line: Your new salary

Hi [Employee_name],

As discussed, you’ll be getting a [10%] increase in your salary. This brings your annual gross salary from [$50,000] to [$56,000]. Your salary will be officially updated on [January 1st] so you’ll see the boost on your [January] paycheck.

Please pass by my office to sign your updated contract by end of this week. [If you’re unable to come, I’ll send you the new contract via email and you can print it, sign it and scan it to send back to me.]

Thank you for all your hard work. [Company_name] appreciates your efforts and achievements so far. This pay raise is well-deserved.

Keep it up!

[Your name]