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How to Evaluate a PEO
Thomas Engasser • June 29, 2019
How PEO Consultants can Improve Your PEO Relationship
A PEO is a Professional Employer Organization
Professional Employer Organizations provide comprehensive HR solutions for small and mid-size businesses. A company would utilize a PEO to assist with things such as Payroll, Employee Benefits, Human Resources, Tax Administration, Regulatory Compliance, State Compliance, and Cost Management.
By reducing administrative tasks internally that revolve around paperwork and providing regulatory compliance assistance, PEOs help businesses improve productivity, increase profitability, and improve the employee experience.
​Through a PEO, the employers of small businesses gain access to employee benefit programs such as: 401(k)plans; health, dental, life, and other insurance; dependent care and other benefits at a scale and price point that is usually only available to larger companies.
Not all PEO Solutions are the Same
PEO solution offerings can vary wildly as they each look to assist their clients differently. This does not mean that one PEO is necessarily better than another. What it does mean is that one may be a better fit for you and your business as opposed to some of their competitors. This could be due to HR and Payroll Technology, Size of Employers the PEO targets, Tax strategies, HR services, Health Insurance Carriers and other various options that the PEO implements.
PEO Consultants Work With Your Broker
PEO Consultants
like the team at PEO Focus assist with making it easier to understand where each PEO excels and can help eductate you on which ones will provide you with the most value based on your needs. They can help you navigate which offerings will work best for your employee base. Does your business have employees in multiple states, employees that are all salaried or work hourly shifts, work in an office or out in the field, offer expense reports or have those with 1099 needs? This is just the beginning of a line of questions that must be considered to see if a PEO can cater to your needs. We help make things more transparent so you can make educated decisions for your employees.
HR Strategy to Bring Value to Your Business
Just as you have built your business in this fashion, so has each PEO. They invest in a few key areas that can bring value to a range of business types but that may not be a good fit for others.
In addition they have trained their sales teams to focus on the areas in which they excel. Unfortunately this also means these sales teams may not even know about the areas of their solution that could impact you negatively. By utilizing a PEO Consultant
to work along side your PEO or other members of your team you are able to add expertise to your organization. This will help save time and money by adding transparency to the process and allowing you to focus your energy on how to get the most value out of your PEO relationship.
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