Why should a company use a PEO?

why should a company use a peo

Professional employer organizations (PEOs) are all-in-one solutions for basic business pain points. PEOs understand the sacrifice business owners make tending to administrative tasks like payroll, human resources, compliance, and employee benefits. Through PEO services, streamline your business efficiencies with a team of industry experts navigating you through the ins and outs of administrative processes.

Benefits of Using a PEO

PEOs offer payroll efficiency, human resources scale and expertise, employee-related compliance, and access to benefits to assist business owners focus on productivity, growth, and revenue.  A PEO is a co-employment partnership with a client company, where the client remains responsibility for day-to-day operations, tracking hours worked, and distributing payroll funds. The PEO undertakes workers’ compensation and unemployment claims, administrative HR and back-office efficiencies, oversees payroll, develops employee benefit plans, and ensures compliance with various policies and procedures, including Family Medical Leave Act, OSHA, discrimination and termination procedures, and other local, state, and federal regulations.

Payroll Efficiency

Payroll has many components, such as payroll taxes, preparing and filing W-2s, creating reports, tracking employee time and leave, and managing garnishments and unemployment claims. Payroll processing can be a complex, time-consuming process that requires business owners to sacrifice their valuable time to ensure accuracy and timely delivery of payroll. PEOs can take the payroll burden off your shoulders and provide more efficient ways to deliver payroll processing services.

Human Resources Scale and Expertise

Because PEOs are HR experts, PEOs can help provide human resources solutions to manage, develop, and engage employees. We can assist with all aspects of HR including recruiting and onboarding to time and attendance and performance management. Integrating HR technology, our partner PEOs can provide online and paperless services with a secure, cloud-based solution offering 24/7/365 access to employee information and management software.

Employee-Related Compliance

Compliance in the workplace can apply to various areas, such as taxes, payroll, time and attendance, employment screenings, risk management, and safety. PEOs are HR experts with many years of experience that guides them through the ins and outs of employee-related compliance issues. PEOs can mitigate risks, reduce liabilities, and ensure compliance with all local, state, and federal laws and regulations.

Access to Benefits

From basic insurance needs like medical, dental, vision, 401(k), and life insurance, to supplemental and ancillary benefits like disability, accident, critical illness, and telemedicine, PEOs are able to offer more expansive employee benefits packages. By leveraging group buying power, PEOs can negotiate benefits packages that might not be available direct to customer.

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on a PEO.

HR, payroll, benefits, compliance — all under one roof.

A professional employer organization (PEO) can handle everything from HR to employee benefits and more so you can focus on the essentials of running your business. Learn how a PEO can help you grow your business.