end with an annual savings of $100K or more
2x: Small-to-medium businesses
using PEOs had double the annual
median revenue growth than those
68%: of small-to-medium businesses
using PEOs are more successful than
A great PEO can help lower your benefits cost, which will save you money and your employees money. This can mean better health insurance as well as other benefits like 401k, vision, dental, and other benefits.
Leveraging a PEO team can allow your Executive Team or existing HR team to delegate hiring/firing, benefits administration, and lots of other tasks. This lets your team have more time for strategic initiatives to help your company grow.
The minute you hire an employee, your risk exposure has increased. The average cost of employment related litigation is over $160k and 25% of lawsuits are more than $500k. A great PEO can help make sure you and your employees are protected from injury and potential litigation.
Implementing payroll in a timely, effective, and secure manner is paramount to employees and compliance. A PEO will be responsible for payroll compliance, filing taxes, and their customer service will handle employee questions and concerns.
One of the core services of a PEO is an human resource information system (HRIS). This is how your executive team and employees with all the services taken care of by their PEO — benefits, payroll, applicant tracking, performance management, etc. With a great HRIS, companies can increase productivity from the management team and employees.
It’s no surprise that most people using a PEO recommend it —
there’s a lot of value on the table. But PEOs are not all equal and
choosing the right one will affect how well they serve in these five
pillars of value and how much it costs.