How to Write a Cover Letter That Passes ATS in 2024
Learn proven strategies to craft an ATS‑friendly cover letter, with templates, stats, and step‑by‑step tips that boost your interview chances.
Key Takeaways
- 1.Identify ATS‑friendly formatting before you type
- 2.Use data‑backed keyword placement to match job descriptions
- 3.Validate your cover letter with free parsing tools before submission
Understanding ATS and Its Impact on Cover Letters
Applicant Tracking Systems (ATS) now screen > 98% of large‑enterprise applications, according to a 2023 LinkedIn Talent Insights report. While most job seekers focus on resume parsing, the cover letter is the first free‑text field most ATS engines evaluate for relevance and tone. If the system flags a cover letter as unreadable or irrelevant, it can be auto‑rejected before a human ever sees it. This reality means the cover letter is no longer a decorative add‑on; it is a technical document that must obey both human persuasion principles and machine‑readability rules.
Research from the Society for Human Resource Management (SHRM) shows that 62% of recruiters admit they skim cover letters for keyword matches before reviewing the resume. That statistic underscores the need to treat the cover letter as a second resume, but with a narrative hook. Understanding how ATS tokenizes text—splitting on spaces, punctuation, and line breaks—helps you avoid hidden pitfalls like invisible characters or unsupported fonts that can corrupt the parsing process.
Example
“Jane, a marketing analyst, submitted a cover letter with a decorative header and bullet icons. The ATS stripped the header and misread the bullet symbols as random characters, causing her keyword count to drop from 12 to 4, and the application was rejected. After re‑creating the letter in plain text with simple line breaks, her keyword hits rose to 11 and she secured an interview.”
- ATS scans cover letters for keywords, years of experience, and education level
- Most ATS ignore images, tables, and special characters
- A plain‑text or simple HTML format yields the highest parsing success rate
Start every cover letter in a plain‑text editor (e.g., Notepad) to strip hidden formatting, then paste into your final document using a standard font like Arial 11pt.
Why ATS Parsing Matters Even for Cover Letters
The ATS treats the cover letter as an additional data source. It extracts nouns, verbs, and dates to cross‑reference against the job posting. A mismatch can lower the candidate's relevance score, pushing the application down the queue or sending it to a rejection bin. Understanding this process lets you engineer the letter to speak the system’s language while still sounding authentic to a recruiter.
Core Elements ATS Looks For in a Cover Letter
A well‑structured ATS‑friendly cover letter contains four core elements: a targeted opening, a quantified achievement paragraph, a skills‑keyword match section, and a concise closing call‑to‑action. According to a 2022 CareerBuilder analysis of 5,000 hiring managers, 71% said they could instantly spot a cover letter that lacked a clear value proposition. ATS algorithms similarly prioritize sections that contain numbers and action verbs, because they signal measurable impact.
Each element should be labeled with plain headings (e.g., "Professional Summary") that the ATS can recognize as separate sections. Avoid creative headings like "Why I’m Your Next Rockstar"—the parser may treat them as generic text and miss the underlying keywords. By aligning your headings with common HR terminology, you improve the likelihood that the system maps your content to the relevant job criteria.
Example
“Tom applied for a senior software engineer role. His original cover letter opened with "I am excited to bring my passion for code," which the ATS flagged as vague. He revised the opening to "Senior Software Engineer with 8+ years delivering micro‑service architectures for fintech firms," matching the posting’s title and years‑of‑experience requirement. The ATS relevance score jumped from 45% to 82%, and Tom was moved to the interview stage.”
- Opening: 2‑3 sentences tying your role to the target position
- Achievement paragraph: 2‑3 bullet‑style lines with metrics
- Skills match: List 5‑7 exact keywords from the job posting
- Closing: 1 sentence with a clear next‑step request
Copy the exact phrasing of the required skills from the job posting and embed them naturally within each section; this boosts exact‑match scoring without keyword stuffing.
Quantified Achievements vs. Vague Statements
ATS engines assign higher weight to numbers because they are easy to parse. Replace "improved performance" with "boosted system throughput by 27%". Even if you lack exact figures, use approximations like "served over 10,000 users"—the system still registers the numeric token and improves relevance.
Formatting Rules That Keep Your Letter Machine‑Readable
Formatting is the silent gatekeeper of ATS success. A 2023 Jobscan study of 12,000 cover letters found that documents using tables, text boxes, or complex HTML lost an average of 18% of keyword recognition compared to plain‑text equivalents. The safest format is a single‑column, left‑aligned layout with standard fonts (Arial, Calibri, Times New Roman) sized 10‑12 pt. Margins should be set to 1 inch on all sides to avoid text clipping during PDF conversion.
When you must submit a PDF, ensure it is generated from the original Word file without any “Save As > Optimized PDF” options that embed fonts as images. Run a quick test by opening the PDF in a text editor (e.g., VS Code) and confirming that the raw text appears in a readable sequence. If you see garbled characters, the ATS will likely fail to parse the content.
Example
“Lena submitted a cover letter with a two‑column table to align dates and achievements. The ATS read the left column as the main body and ignored the right column, dropping all her quantified results. She re‑formatted the same content into a single column with line breaks; the parser captured all 6 metrics, and her application passed the initial screening.”
- Use a single column; avoid multi‑column layouts
- Stick to standard fonts: Arial, Calibri, Times New Roman
- Save as PDF → “Standard (publishing online)” preset
- Do not embed images, logos, or decorative headers
- Leave a blank line between sections for clear token separation
After finalizing the document, run it through a free ATS parser like ResumeWorded’s Cover Letter Analyzer; if the tool flags formatting errors, revert to plain text and rebuild the PDF.
Why PDFs Can Still Be Problematic
Even though PDFs preserve layout, some ATS engines still extract text by converting the PDF back to plain text. If the PDF contains embedded fonts or non‑standard encodings, the conversion can produce invisible Unicode characters that break keyword detection. Always test the PDF with a text‑extraction tool before sending.
Keyword Optimization: Research, Placement, and Density
Keyword optimization is the cornerstone of ATS compliance. A 2021 Gartner survey revealed that 78% of hiring managers rely on keyword match percentages to rank candidates. Start by extracting the top 8‑10 nouns and verb phrases from the job description—these are the terms the ATS will prioritize. Use a spreadsheet to map each keyword to a specific sentence in your cover letter, ensuring at least one exact match per skill.
Placement matters as much as presence. The ATS scores keywords higher when they appear in the opening paragraph, section headings, and the concluding call‑to‑action. However, over‑loading a single paragraph can trigger “keyword stuffing” filters that penalize readability. Aim for a density of 1‑2% per keyword across the entire letter, which translates to roughly one occurrence every 100 words for a 400‑word letter.
Example
“When Michael applied for a data‑science manager role, the posting listed "machine learning," "predictive modeling," and "cross‑functional leadership" as core requirements. His first draft only mentioned "machine learning" once. After mapping the keywords, he added "predictive modeling" in the achievements paragraph and re‑phrased a sentence to include "cross‑functional leadership" in the closing. His keyword match rose from 57% to 93%, moving his application to the shortlist.”
- Extract keywords using tools like TextRazor or Jobscan’s keyword extractor
- Create a keyword‑to‑sentence matrix before you write
- Insert each keyword at least once in the opening, middle, and closing sections
- Maintain a natural tone—avoid forced repetitions
- Check final density with a word‑counter plugin
Use the find‑replace function in Word to highlight each keyword after drafting; this visual audit ensures you haven’t missed any required terms before the final export.
Balancing Exact Matches and Synonyms
ATS engines often use stem matching, so "manage" and "management" may both count. However, exact phrase matches (e.g., "project management") carry higher weight. Use exact phrases where possible, and sprinkle synonyms in supporting sentences to keep the narrative engaging for human readers.
Writing Compelling Content Without Triggering Rejection
Even an ATS‑perfect cover letter must persuade a human recruiter. Research from the Harvard Business Review (2022) indicates that recruiters spend an average of 6 seconds scanning each cover letter before deciding to read further. Therefore, the first 2‑3 sentences should combine a keyword‑rich hook with a quantifiable achievement that answers the recruiter’s primary question: "What can this candidate deliver?"
Avoid common pitfalls such as generic salutations ("To Whom It May Concern"), over‑use of buzzwords, and excessive personalization that introduces non‑standard language. Instead, use a direct address (e.g., "Dear Hiring Manager" or the hiring manager’s name if known) and weave a brief narrative that aligns your career trajectory with the company’s mission—while still keeping the language simple enough for the ATS to parse.
Example
“Sofia’s original opening read, "I am thrilled to apply for the role because I love your company's culture." The ATS missed any skill keywords. She rewrote it to, "Experienced UX Designer with 5 years delivering user‑centered interfaces for SaaS platforms, eager to apply my expertise in usability testing to support Acme’s upcoming product launch." The revised line hit three core keywords and captured the recruiter’s attention.”
- Start with a strong, keyword‑rich opening line
- Follow with a 1‑2 sentence achievement that includes numbers
- Tie your experience to the company’s recent initiative or product
- Close with a clear call‑to‑action (e.g., "I look forward to discussing…")
- Proofread for spelling; misspelled keywords are ignored by ATS
After drafting, read the letter aloud. If a sentence feels forced for the sake of a keyword, rewrite it to maintain natural flow while preserving the term.
The Power of Numbers in Narrative
Numbers act as anchors for both ATS and human readers. Even a simple figure like "served 3,200 customers" provides a concrete metric that the parser flags as a numeric token, boosting relevance, while the recruiter sees tangible impact.
Testing and Validating Your Cover Letter for ATS
Before hitting send, run your cover letter through at least two independent ATS simulators. A 2024 study by the University of Michigan’s Career Center found that candidates who validated their documents with multiple parsers increased interview callbacks by 23% compared to those who relied on a single tool. Popular free options include Jobscan’s Cover Letter Analyzer and RezScore’s document checker. Each tool highlights missed keywords, formatting errors, and readability scores.
When testing, compare the parsed output (usually displayed as plain text) with your original draft. If you notice missing sections, hidden characters, or misplaced line breaks, adjust the source document accordingly. Additionally, check the overall relevance score; aim for 80%+ to stay competitive for high‑volume roles. Remember that different ATS platforms (e.g., iCIMS, Greenhouse, Taleo) have slightly varied parsing algorithms, so a multi‑tool approach gives you broader coverage.
Example
“Carlos submitted his cover letter to one ATS simulator and saw an 85% match, but a second tool flagged that his "Project Management" heading was read as plain text rather than a section title. He added a bolded "Professional Summary" heading, re‑ran the test, and both tools now displayed a clean section hierarchy, leading to a successful interview invitation.”
- Upload your cover letter to Jobscan and note the keyword match %
- Run the same file through RezScore for formatting feedback
- Copy the parsed plain‑text version and verify all sections appear
- Adjust any missing elements and re‑test until scores stabilize
- Save a final version with a timestamped filename for version control
Create a simple checklist (see below) and tick off each item after each test run; this habit ensures no detail slips through the cracks.
Quick ATS Validation Checklist
- Use a standard font and size - Save as PDF (Standard publishing preset) - Include at least three exact keyword matches - Ensure headings are plain text (no special characters) - Verify numeric data appears as digits, not words
Advanced Strategies: AI Tools, Custom URLs, and Multi‑Job Variants
For candidates targeting multiple roles, leveraging AI‑assisted customization can save time while maintaining ATS compliance. Tools like ChatGPT‑4 with prompt engineering can generate role‑specific cover letters in seconds, but you must still manually verify keyword placement and formatting. A 2023 MIT Sloan paper warned that AI‑generated cover letters often contain hallucinated achievements, which ATS parsers flag as unrecognizable entities, reducing relevance scores.
Another advanced tactic is embedding a short, trackable URL (e.g., a personalized portfolio landing page) in the closing paragraph. While most ATS ignore URLs, some modern parsers extract the domain and treat it as a keyword match for "portfolio" or "portfolio.com". Ensure the URL is plain text (no hyperlink formatting) to avoid being stripped. Finally, maintain a master template with placeholders for role‑specific data; swap in the appropriate keywords, metrics, and company references for each application, then run the final version through the validation checklist.
Example
“Nina applied to three product‑manager positions at different tech firms. She used an AI prompt that inserted the company name and key product line, then manually replaced the metrics with role‑specific numbers (e.g., "increased user retention by 12%" for Firm A, "cut onboarding time by 20%" for Firm B). Each version passed the ATS test with >85% relevance and landed her three interview offers.”
- Use AI for first drafts, but edit for exact keyword matches
- Keep a master cover letter template with placeholders like {ROLE}, {COMPANY}
- Insert a plain‑text portfolio URL in the final line
- Run each variant through at least two ATS simulators
- Track version numbers to avoid sending outdated letters
After AI generation, run a plagiarism check; duplicate content across multiple applications can be penalized by both ATS and recruiters.
Maintaining Consistency Across Variants
Store each customized cover letter in a cloud folder with naming convention "Company_Role_Date.pdf". This prevents accidental reuse of a version that contains the wrong company name, which ATS would flag as a mismatch and could lead to immediate rejection.
“Most job seekers underestimate how much a well-written resume improves your chances. Investing 30 minutes in a properly formatted, keyword-optimized resume can double your interview callback rate.”
Related resources
Frequently Asked Questions
Can I use a PDF cover letter, or should I stick to Word?
Both formats can work, but PDF is safer for preserving layout across devices. However, some legacy ATS platforms still parse Word (.docx) more reliably because they extract text directly from the file’s XML structure. If the job posting specifies a format, follow it. Otherwise, create a Word document, apply ATS‑friendly formatting, then export to PDF using the “Standard (publishing online)” preset. After export, open the PDF in a plain‑text editor to confirm the content appears correctly. This double‑check ensures the ATS will read your keywords and sections without loss.
Why this matters: Choosing the right file type avoids parsing errors that can erase your hard‑earned keyword matches.
How many keywords should I include in my cover letter?
Aim for 8‑12 exact keyword phrases that appear verbatim in the job description. Research shows that a relevance score above 80% (which typically requires 10‑12 matches for a 400‑word letter) dramatically improves the chance of moving past the ATS. Distribute them evenly: at least one in the opening, two in the achievements section, and the rest across the skills match and closing. Remember to keep density around 1‑2% to prevent the parser from flagging the document as keyword‑stuffed.
Why this matters: Over‑loading a letter with keywords can look spammy to recruiters and may trigger ATS penalties.
Is it okay to include graphics or a logo in my cover letter?
No. Most ATS engines ignore images and may interpret them as unreadable characters, causing the parser to skip entire sections. A 2023 Jobscan analysis found that documents with logos lost an average of 15% of keyword detection. Stick to plain text and simple formatting. If you want to showcase a personal brand, place a link to an online portfolio in the closing paragraph, but keep the link as plain text (e.g., www.yourname.com/portfolio).
Why this matters: Visual flair can impress a human reader, but it often sabotages machine parsing.
How do I ensure my cover letter isn’t flagged for plagiarism when using AI?
AI tools can inadvertently reproduce phrasing from training data. After generating a draft, run it through a plagiarism checker like Copyscape or Grammarly’s plagiarism detector. If any sentences match existing web content, rewrite them in your own voice. Additionally, personalize the narrative with specific metrics from your experience; unique data cannot be duplicated and signals authenticity to both ATS and recruiters.
Why this matters: Original content maintains credibility and avoids automatic rejection by some ATS filters that scan for duplicated text.
Should I include a cover letter if the application says ‘no cover letter needed’?
Even when a posting says a cover letter is optional, submitting an ATS‑optimized one can give you a competitive edge. Recruiters often still review attached letters, and the ATS will parse any supplemental document for keywords. If you choose to attach one, ensure it follows the same formatting rules as the resume to avoid parsing conflicts. If you decide not to attach, consider incorporating a brief “letter” within the body of the application form, using the same ATS‑friendly structure.
Why this matters: Optional cover letters are a low‑effort way to boost keyword relevance without hurting your application.
What’s the best way to test my cover letter on the exact ATS a company uses?
It’s rarely possible to access a company’s proprietary ATS, but you can approximate by using the most common platforms: iCIMS, Greenhouse, Taleo, and Workday. Upload your cover letter to each platform’s free demo or to third‑party simulators that emulate their parsing logic. Compare the extracted plain‑text output across tools; if a section disappears in any one, adjust the formatting until it appears consistently. This multi‑platform testing mirrors the diversity of ATS environments you’ll encounter.
Why this matters: Different ATS engines have subtle parsing differences; testing across several reduces the risk of a hidden failure.
About the Author — GrowMyResume Team
The GrowMyResume team combines decades of experience in HR, recruiting, and career coaching. We help job seekers build professional resumes that land interviews. Our advice is backed by data from thousands of resumes and real-world recruiting experience.
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