Employment Contract Template (US)
Updated on July 30, 2026
Most US employment doesn't legally require a written contract — the vast majority of jobs are "at-will," meaning either side can end the relationship at any time, for almost any reason, without one. A written employment contract still matters for setting out pay, duties, benefits, and any additional terms like confidentiality or a non-compete, and for making the at-will relationship explicit rather than assumed.
The contract below is the form: choose above it whether to include a non-compete, type straight into the highlighted blanks, and both parties sign on the signature lines. Download a clean Word or PDF file with no sign-up and no watermark.
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Employment Contract
This Employment Contract is made on between of (the "Employer") and of (the "Employee").
1. Position and Duties
- Job title:
- Start date:
- Duties:
2. Probationary Period
The Employee will serve a probationary period of months from the start date, during which either party may end the employment on notice to the other.
3. Compensation and Benefits
- Salary / wage:
- $
- Pay frequency:
- Benefits:
4. At-Will Employment
Employment under this Contract is at-will: either the Employer or the Employee may terminate the employment relationship at any time, with or without cause or notice, except as otherwise required by applicable law (for example, Montana law requires good cause for discharge once the Employee has completed the probationary period set out above).
5. Confidentiality
The Employee agrees to keep confidential all non-public business, technical, and customer information of the Employer, both during and after employment, except as required by law.
6. General
This Contract is governed by the law of and represents the complete agreement between the parties regarding the Employee's employment.
The Employer
Date:
The Employee
Date:
At-will employment — and the one state where it's different
In every state except Montana, employment is presumed at-will unless a contract says otherwise: either the employer or the employee can end it at any time, with or without cause or notice, subject to anti-discrimination and other statutory protections. A written contract can preserve that at-will relationship explicitly, or depart from it (for example, with a fixed term or a for-cause termination standard) — but a contract that isn't carefully worded can accidentally waive at-will status by implying job security it didn't mean to promise.
Montana is the genuine exception. Under the Montana Wrongful Discharge from Employment Act, once an employee completes the employer's probationary period, the employer needs "good cause" to discharge them — defined by statute as reasonable job-related grounds such as unsatisfactory performance, disruption of operations, or violation of written policy. If the employer hasn't set a probationary period, the default is 12 months from the start date, extendable by the employer up to a combined maximum of 18 months, and during that period either side can still end the employment at-will.
Non-compete clauses: the rules changed a lot, and keep changing
Non-compete enforceability is decided entirely at the state level, and the map has shifted sharply. California, Minnesota, North Dakota, and Oklahoma treat employee non-competes as void outright. Washington's ban (House Bill 1155) takes effect June 30, 2026 and voids non-compete covenants regardless of when they were signed. Other states — including Colorado, Illinois, Massachusetts, Oregon, and Washington DC — only allow them above a wage threshold, and those thresholds change; Tennessee's 2026 law sets a $70,000 floor. There's no federal ban currently in force. If a non-compete matters for this role, confirm the current rule in the employee's state before relying on this clause — it's genuinely one of the fastest-moving areas of US employment law.
The clauses, explained
- Position, start date and duties
- Identifies the employer and employee, the job title, start date, and a description of duties.
- Compensation and benefits
- Salary or wage, pay frequency, and any benefits provided.
- Probationary period
- The initial period before standard performance or termination terms fully apply. In Montana, this period also has a specific legal effect (see above) even if the contract doesn't mention it.
- At-will employment
- States that employment may be ended by either party at any time, with an exception noted for Montana law once the probationary period ends.
- Confidentiality
- A standard clause protecting the employer's confidential business information during and after employment.
- Non-compete (optional)
- Only include this if it's genuinely needed and enforceable in the employee's state — see the note above. Left out by default.
Requirements checklist
Employment law varies significantly by state — check your state's labor agency for anything specific to your situation.
Montana good-cause rule after probation
Once an employee completes the probationary period (12 months by default if the employer doesn't set one, extendable to a maximum of 18 months), Montana law requires "good cause" to discharge them — the only state where at-will employment doesn't apply after that point.
39-2-904, 39-2-910 & 39-2-903(5), MCANon-compete bans and thresholds vary sharply by state
California, Minnesota, North Dakota and Oklahoma void employee non-competes outright; Washington's ban takes effect June 30, 2026; several other states only enforce them above a wage threshold that changes over time. Confirm the current rule before including a non-compete clause.
2026 non-compete law tracker
How to use this template
- Fill in the position and pay. Type the employer and employee details, job title, start date, and compensation into the highlighted blanks.
- Set the probationary period. Fill in the length of any probationary period — if left blank in Montana, a 12-month default applies by law.
- Decide on a non-compete. The selector above the contract adds the non-compete clause or leaves it out entirely. Only include one if it's genuinely needed, and check whether it's enforceable in the employee's state first.
- Sign and download. Both parties sign on the signature lines, then download the contract as a Word or PDF file.
Frequently asked questions
Do I legally need a written employment contract in the US?
No, not for most jobs — at-will employment doesn't require one. A written contract is still useful for setting clear expectations on pay, duties, and any additional terms like confidentiality.
Does at-will employment apply in every state?
In every state except Montana, yes. Montana requires "good cause" to discharge an employee once they've completed the employer's probationary period, under its Wrongful Discharge from Employment Act.
Can I include a non-compete clause?
It depends entirely on the state. Several states (California, Minnesota, North Dakota, Oklahoma, and Washington from June 30, 2026) void them outright, and others only enforce them above a wage threshold. Check current state law before relying on one.
What happens if I don't set a probationary period?
In most states, nothing special — employment is at-will regardless. In Montana specifically, a default 12-month probationary period applies automatically if the employer doesn't set one, and it can be extended up to a combined maximum of 18 months.
Can this contract accidentally waive at-will employment?
Yes — language that implies job security, a fixed term without saying so intentionally, or a promise to only terminate "for cause" can override the at-will presumption in most states. Keep those terms deliberate, not accidental.
Related templates
Disclaimer
This template and guide are provided for general information only and do not constitute legal advice. Employment law, including non-compete enforceability, varies by state and changes frequently. Confirm current requirements with an employment attorney or your state's labor agency before relying on this document.
