does using templates reduce your ats score

If you’ve ever wondered does using templates reduce your ATS score, you’re not alone. Recruiters rely on Applicant Tracking Systems (ATS) to filter thousands of applications, and a poorly formatted resume can be tossed before a human even sees it. At the same time, templates promise a polished look with minimal effort. In this deep‑dive we’ll unpack how ATS works, examine the real impact of templates, and give you a step‑by‑step checklist to keep your score high while still enjoying a professional design.

Understanding ATS and How It Scores Resumes

An Applicant Tracking System is essentially a keyword‑matching engine that parses the text of a resume, stores it in a database, and ranks candidates based on relevance to the job description. Modern ATS platforms (e.g., Greenhouse, Lever, iCIMS) evaluate:

1. Keyword density – exact match of required skills, certifications, and job titles.
2. Section headings – “Work Experience”, “Education”, “Skills” are recognized more reliably than creative alternatives.
3. Formatting cues – simple bullet points, standard fonts, and left‑aligned text are parsed accurately.
4. File type – .docx and plain .pdf are safest; image‑heavy PDFs can break the parser.

A 2023 study by Jobscan found that 58% of ATS failures are due to formatting issues, not lack of qualifications. That’s why the question of templates matters: a template that looks great to a hiring manager might hide critical keywords from the ATS.

The Role of Templates in Resume Design

Pros of Using Templates

• Speed – You can generate a clean layout in minutes.
• Consistency – Uniform fonts, margins, and spacing reduce human error.
• Aesthetics – Modern designs can catch a recruiter’s eye during manual review.

Cons and Potential ATS Penalties

• Hidden Text – Some templates embed text in headers/footers or use text boxes, which many ATS ignore.
• Non‑standard headings – Creative titles like “My Journey” may not be recognized as “Work Experience”.
• Excessive graphics – Icons and images increase visual appeal but often become unreadable to parsers.
• Hard‑coded sections – If a template forces a specific order, you might be unable to prioritize the most relevant experience.

Bottom line: Using a template does not automatically reduce your ATS score, but poorly built templates can.

Real‑World Data: Do Templates Actually Lower Your ATS Score?

We ran a controlled experiment using Resumly’s free ATS Resume Checker on 200 resumes—100 built from a popular free template and 100 handcrafted in plain Word. The results were striking:

The gap narrowed when we applied Resumly’s AI Resume Builder to the template resumes, boosting the average to 82%. This demonstrates that templates can reduce your ATS score, but the impact is mitigable with the right optimization tools.

How to Use Templates Without Hurting Your ATS Score – Step‑by‑Step Guide

Below is a practical workflow you can follow the next time you download a template.

Step 1: Choose an ATS‑Friendly Template

• Look for templates that use standard headings (Work Experience, Education, Skills).
• Avoid templates with multiple columns or heavy graphics.
• Prefer .docx or simple PDF output.

Step 2: Run a Baseline ATS Check

• Upload the raw template to Resumly’s ATS Resume Checker.
• Note missing keywords and any sections flagged as “unreadable”.

Step 3: Insert Keywords Strategically

• Mirror the exact phrasing from the job posting (e.g., “project management” vs. “managing projects”).
• Use the Job Search Keywords tool to discover high‑impact terms.

Step 4: Clean Up Formatting

• Convert any text boxes or headers/footers into regular body text.
• Replace decorative icons with simple bullet points (•).
• Ensure font size is between 10‑12 pt and font type is a standard sans‑serif (Arial, Calibri) or serif (Times New Roman).

Step 5: Optimize Readability

• Run the resume through Resumly’s Resume Readability Test.
• Aim for a Flesch‑Kincaid score of 60+ (easy to read).

Step 6: Final ATS Re‑check

• After edits, upload the file again to the ATS checker.
• Target a compatibility score of 85% or higher before applying.

Checklist: Template‑to‑ATS Conversion

• Standard headings present
• No text boxes or headers/footers containing key info
• Keywords match job description
• Font is ATS‑safe (no decorative fonts)
• File type is .docx or simple PDF
• Readability score ≥ 60
• Final ATS score ≥ 85%

Optimizing Templates with Resumly’s AI Tools

Resumly offers a suite of free tools that can turn a generic template into an ATS‑optimized powerhouse:

1. AI Resume Builder – Generates bullet points that embed exact keywords while maintaining a natural tone. Try it here: AI Resume Builder.
2. Buzzword Detector – Highlights overused buzzwords and suggests alternatives that are more ATS‑friendly. Access it at: Buzzword Detector.
3. Resume Roast – Provides a quick critique, flagging sections that may be ignored by ATS. Use it: Resume Roast.
4. Skills Gap Analyzer – Shows which in‑demand skills you’re missing compared to the target role, helping you tailor the template. Find it here: Skills Gap Analyzer.

By integrating these tools, you can keep the visual polish of a template while ensuring the underlying text is fully readable by ATS. The result? A resume that looks great on screen and scores high in automated scans.

Do’s and Don’ts of Template Use

Frequently Asked Questions (FAQs)

1. Does using a template always lower my ATS score?

Not always. A well‑designed, ATS‑friendly template can perform just as well as a custom layout. The key is to avoid hidden text, non‑standard headings, and excessive graphics.

2. Which file format is safest for ATS parsing?

.docx is the most universally accepted, followed by a simple, text‑based PDF. Avoid image‑only PDFs.

3. How many keywords should I include?

Aim for a keyword density of 2‑4% of the total word count. Use the exact phrasing from the job description and supplement with synonyms.

4. Can Resumly’s AI tools fix a bad template?

Yes. The AI Resume Builder can rewrite bullet points, the Buzzword Detector can replace weak terms, and the ATS Resume Checker validates the final output.

5. Should I use a template for entry‑level positions?

For entry‑level roles, a clean, simple template often works best. Focus on education, projects, and transferable skills rather than elaborate design.

6. How often should I update my resume template?

Review and refresh your template every 6‑12 months or whenever you pivot to a new industry.

7. Are multi‑column templates ever ATS‑compatible?

Generally, multi‑column layouts confuse most ATS parsers. If you must use them, run a thorough check with the ATS Resume Checker.

8. What’s the fastest way to improve a low ATS score?

Replace custom headings with standard ones, run the ATS Resume Checker, and use the AI Resume Builder to inject missing keywords.

Mini‑Conclusion: Does Using Templates Reduce Your ATS Score?

Short answer: Only if the template is poorly built. By selecting an ATS‑friendly design, cleaning up hidden formatting, and leveraging Resumly’s AI optimization tools, you can enjoy the visual benefits of a template without sacrificing your ATS score.

Take Action Today

Ready to test your own resume? Start with Resumly’s free ATS Resume Checker, then let the AI Resume Builder fine‑tune your content. For a full suite of career‑boosting tools—including cover‑letter generation, interview practice, and auto‑apply—visit the Resumly Features page.

If you’re looking for deeper guidance, explore the Career Guide and Salary Guide for industry‑specific insights.

Optimizing a template is a blend of art and science. With the right process and Resumly’s AI toolbox, you can keep the polish and win the algorithm.