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A Professional Employer Organization , or PEO, allows businesses to outsource their administrative needs to a third party that specializes in these duties. This can include (but is not limited to) managing human resources, taking care of payroll, overseeing workers’ compensation issues, and offering employeebenefits.
Handling employeebenefits and other HR services in-house is extremely difficult for many small businesses. According to research by Secure Data Recovery, 88% of employees have worked at a small business without a dedicated HR team. Professional employer organizations (PEOs) offer a cost-effective solution to this problem.
Employeebenefits and compensation Managing employeebenefits and compensation involves multiple processes to ensure your organization stays compliant, controls costs effectively, and promotes the health and well-being of your workforce. Curious about how a PEO can help at the end of the year and beyond?
For employers, it can be a complex and time-consuming process, fraught with paperwork, deadlines, and the need to ensure that all employees are well-informed and supported. In this guide, we’ll explore practical strategies to streamline open enrollment and how a PEO can help busy SMBs make the most of their benefit election cycle.
Are rumors about companies that have had professional employer organization problems keeping you from hiring a PEO? But let’s take a close look at six myths about PEOs. But rest assured — a PEO is employer for certain purposes only (e.g., As a co-employer, a PEO works right alongside your business.
Overall HR Tech M&A Trends and Insights Three big things to note: 1) Lots of movement in the PEO space. I haven’t really listed deals below on this, but there are so many payroll companies and smaller PEOs with leaders reaching retirement age that are selling off the company. We follow the team at HRTech.sg
Quick look: A PEO partnership can help small businesses grow, stay compliant, offer competitive benefits, and retain valuable employees. However, some organizations shy away from a PEO out of fear that a co-employment relationship is the same as employee leasing. What is employee leasing?
According to the National Association of Professional Employer Organizations (NAPEO), 180,000 small and midsize businesses use professional employer organizations (PEOs).¹ Larger companies are also increasingly turning to PEOs. Rigorous vetting and requirements set CPEOs apart from PEOs. What is a certified PEO?
Choosing the right professional employer organization (PEO) for your company is a huge project. A mismatch between your company’s culture and that of your PEO, or partnering with a financially unstable PEO, can spell trouble both for your company and your employees. Are you a certified PEO?
Professional employer organizations (PEOs) : Organizations that enter into a joint-employment relationship with a business and provide comprehensive solutions for HR, payroll, risk and compliance, employeebenefits, recruiting, and more. And the PEO industry is booming. In this instance, a PEO could be the answer.
It’s a welcome problem that has an easy solution, that of a PEO. But what exactly is a PEO? This article aims to give you a definition and show you how your business can benefit from one. What is a PEO: Professional Employer Organization. Many business owners confuse PEOs with temporary staffing businesses.
In this article, we’ll pick apart these acronyms (plus several other related terms) so it’s clear what they all mean, and point out how each of these alternative human resource services compares to PEO companies. How PEO Companies Compare To 4 Alternatives. How PEO Companies Compare To 4 Alternatives. PEO vs. ASO.
Here’s how brokers who partner with a PEO can help clients avoid dishonest providers and offer their employees reputable virtual solutions. By partnering with a PEO, brokers can provide a trusted employeebenefits package, including telehealth services, that has been vetted by a seasoned benefits administration and management team.
Level up your performance and talent management strategies with a PEO Daily responsibilities often leave small business leaders strapped for time, and as pivotal as performance and talent management are, they may fall to the wayside so more urgent matters can be addressed.
Designed to highlight critical industry developments, ExtensisHR’s 2024 Trends Report features insight from our professional employer organization (PEO) subject matter experts. AI-powered programs can also find skill gaps and patterns of bias in promotion and compensation, helping to create a fair and diverse culture.
If you’re investigating outsourcing your HR needs, you may have run into two different services that seem similar: administrative services organization (ASO) and professional employer organization (PEO). Both offer services to small and mid-size businesses, but there are a few key differences you should know as you evaluate an ASO vs. PEO.
Here, we explore the importance of payroll, how PEO payroll services impact SMBs across the country, and all the other ways PEOs help businesses, too. Other companies offload their payroll responsibilities to a payroll service provider or a professional employer organization (PEO). Some PEOs, like ExtensisHR, are IRS-Certified.
A professional employer organization (PEO) provides a range of services to companies that want to outsource human resources administrative tasks. Many PEOs employ certified employeebenefits specialists and certified payroll professionals. PEOs and their clients are considered co-employers.
Quick look: A comprehensive total rewards strategy is just that: rewarding (for businesses and employees alike). Total rewards include compensation, benefits, well-being initiatives, and recognition, and help companies increase productivity, retention rates, and talent acquisition success.
ReviewSNAP™, an acclaimed Web-based performance management system, announced today that it has entered into a partnership with Oasis Outsourcing, one of the largest Professional Employer Organizations (PEO) in the United States. These tools help enhance employee engagement, productivity and morale and, as a result, the overall bottom line.
In this article, we’ll pick apart these acronyms (plus several other related terms) so it’s clear what they all mean, and point out how each of these alternative human resource services compares to PEO companies. How PEO Companies Compare To 4 Alternatives. How PEO Companies Compare To 4 Alternatives. PEO vs. ASO.
In this article, we’ll pick apart these acronyms (plus several other related terms) so it’s clear what they all mean, and point out how each of these alternative human resource services compares to PEO companies. How PEO Companies Compare To 4 Alternatives. How PEO Companies Compare To 4 Alternatives. PEO vs. ASO.
A Professional Employer Organization (PEO) allows its clients to outsource many of their human resource functions, share employment liability, and, oftentimes, gain economies of scale to bring an improved benefits package to their employees. How can PEO services help my company? Workers’ compensation claims.
Insurance brokers and professional employer organizations (PEOs) are supposed to be competitors, right? Actually, brokers and PEOs can form mutually advantageous partnerships that result in better service for their clients. Furthermore, brokers themselves can benefit significantly from working with a PEO.
Business owners planning to outsource some or all of their HR tasks will most likely look at both PEO and ASO options. The ASO vs. PEO comparison is important because either model may be the best choice, depending on the organization’s needs. What is a PEO? Workers’ compensation coverage. Unemployment taxes.
Employeebenefit administration and analysis In today’s hyper-competitive market, employees consider their benefits a critical component of their total compensation. PEOs help businesses manage various aspects of their HR, recruiting, employeebenefits, payroll, and risk management.
Co-employment is a contract and sharing of employer responsibilities between a PEO and its client, an employer. Benefits of the co-employment business model used by PEOs include giving client companies access to a broader spectrum of employeebenefit plans, sharing employer risk, and shifting fiduciary liability of 401(k) plans to the PEO.
Professional Employer Organizations (PEOs) help businesses manage essential HR tasks like payroll, employeebenefits, and compliance. By partnering with a PEO, companies can focus on growth while outsourcing time-consuming administrative work.
A Professional Employer Organization (PEO) is a firm that provides comprehensive HR solutions to businesses by handling payroll, employeebenefits, regulatory compliance, tax administration, and other workforce management functions. You may read more about PEO statistics here. How Does A PEO Work?
Our weekly recap of funding, mergers & acquisition, and partnership news from the human resource, recruitment and employeebenefits marketplace is below. Specialty Program Group Acquires Dallas-Based Workers Compensation Business From MarketScout . JazzHR and PrismHR Partner to Deliver Best-in-Breed PEO Hiring Solution .
They can choose either a standard payroll service provider (PSP) or a professional employer organization (PEO). Here we’ll compare and contrast PEO vs. payroll services alone. What is PEO? Those that are certified PEOs offer additional PEO advantages. Over time, however, PEOs may be more cost-effective.
Keep reading to find out whether your ideal solution is purely payroll, or if you might benefit more from a slightly different option (that still includes payroll services): a PEO. Below we outline what a payroll company will do for you vs. what you’ll get with a different (and more holistic) option, the PEO. What is a PEO?
That’s when a partnership with a professional employer organization (PEO) may be helpful. Explore ExtensisHRs PEO solution , or contact us today to learn more. They may also act as a sounding board, alerting business leaders of industry news and trends and presenting ideas on staying competitive and compliant.
This is where partnering with a Professional Employer Organization (PEO) can make all the difference. Here are some reasons why working with a PEO is a strategic move for businesses in 2025. A PEO helps you stay compliant by: Providing expert guidance on state and federal employment laws. Is a PEO Right for Your Business?
For example, a small business of 20 employees likely doesn’t need to have a full-time HR person, because, frankly, that person won’t have a full-time job ( but to be clear, the need for an HR function exists at all company sizes ). An Attractive HR Department Alternative: PEOs. Professional Employer Organizations (PEOs).
Quick look: Employee expectations for well-being benefits top the list of priorities among business leaders since a lack of these offerings coincides with greater job dissatisfaction. As a result, a focus on benefit relevancy is as important , if not more so, than the number of benefits available.
Co-employment sits at the heart of the relationship between professional employer organizations (PEOs) and their clients. According to NAPEO , co-employment is the contractual allocation and sharing of certain employer responsibilities between a PEO and client. With co-employment, risk is shared between the PEO and your company.
Fisher Phillips : A law firm specializing in labor, employment, corporate compliance and governance, data security, employeebenefits, and more. PEOs feature a co-employment relationship and also offer SMB employers access to competitive benefits through the PEO’s purchasing power and economies of scale.
As a business leader, you may have heard the term “PEO” before, but you may not know what they are or how they can help. PEO stands for Professional Employer Organization. And businesses who partner with a PEO 7-9 percent faster, have 10-14 percent lower employee turnover, and are 50 percent less likely to go out of business.
It is likely not the best use of your (or your employees’) time to deal with the administrative issues and intricacies involved with having employees. Partnering with a PEO helps you to save money, conserve valuable resources, and take care of your employees all while giving you more time to focus on more important tasks.
But there’s one area where you can make a huge impact—your employeebenefits package. Additionally, they assist with childcare costs when employees return to work, demonstrating a strong commitment to fostering a family-friendly environment. Take Mustard Made , for example.
Quick look: As a small business, it can be challenging to manage day-to-day operations while maintaining focus on growth, which is why it’s helpful to partner with a PEO. PEO customers have a 2x higher growth rate When compared to non-users, SMBs working with a PEO reportedly grow twice as fast. annually, compared to 1.9%
If you’re considering entering into an agreement with a professional employer organization (PEO) , chances are you have questions about how PEO pricing works. To help you understand how PEO pricing works, let’s discuss these items first. Employer overhead (in excess of compensation) typically costs between 1.25% and 1.4%
Unlike a Professional Employer Organization (PEO) , which enters into a co-employment arrangement, an ASO allows companies to maintain full control over their workforce while outsourcing administrative burdens such as payroll processing, compliance management, benefits administration, and HR support.
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