Understanding a PEO
PEO Basics:
Investigating PEO Solutions
Outsourcing [core functions] of your business can be overwhelming. But a professional employer organization (PEO) is a flexible outsourcing solution that alleviates you of human resources, payroll, benefits, and risk management tasks so you can re-allocate your time to growth-generating projects. A PEO provides incredible advantages to small and medium-sized businesses, such as access to more competitive benefit offerings, streamlined benefits administration, and automated payroll processing. You remain in control of your team—scheduling employee coverage, hiring new talent, and overseeing operations—while reducing administrative tasks (i.e. submitting employees’ time worked, choosing benefit plans, and performance management).
Services
LL Roberts Group provides quality services to support your business needs. If you’re considering establishing or revising your employee handbook, our HR experts can help. They will work with you to create and maintain your workplace policies, procedures, and employee handbook. Other services available include payroll processing, benefits, and risk management. This allows you to focus on your customers, vendors, and employees with the same care and appreciation we strive to provide you.
- Extensive guidance and maintenance of employee handbooks, manuals, and personnel files
- Thorough development and management of HR forms
- Full performance review management including employee-related counseling from job descriptions, evaluations, hiring and new hire orientations
- Knowledgeable administration of HR compliance issues, including COBRA, FMLA, ACA, EEO, Title VII, and unemployment claims
- Group Medical Insurance
- Section 125 Cafeteria Plan
- 401(k) Retirement Plans
- Telemedicine, Identity Theft Protection, and Legal Services
- Dental Insurance
- Vision Insurance
- Life and AD&D Plans
- Flexible choices including paper paychecks, direct deposits, and/or pay cards
- Comprehensive payroll reports, journals, and summaries
- Full completion of required reporting forms (W-2s, W-3s, 940s)
- Thorough job cost analysis
- Accurate calculation of payroll tax withholdings (FICA, FUTA, SUTA)
- Expert-guided safety surveys, manuals, and recommendations
- Complete assistance with OSHA compliance
- Relief from deposits or audits on workers’ compensation insurance
Costs
Costs for a PEO vary across providers. The average cost for PEO services can range from 2% to 11% of total payroll (roughly $500 to $1,500 per employee, per year).
Generally, PEOs use one of the following payment structures:
- Extensive guidance and maintenance of employee handbooks, manuals, and personnel files
- Thorough development and management of HR forms
- Full performance review management including employee-related counseling from job descriptions, evaluations, hiring and new hire orientations
- Knowledgeable administration of HR compliance issues, including COBRA, FMLA, ACA, EEO, Title VII, and unemployment claims
Employee-Based Fee
This fee model is calculated based on the
number of employees.
Payroll-Based Fee
This fee model is typically used for businesses whose payroll is stable and not dependent on variables, such as commissions. A percentage of your annual payroll is calculated to determine the cost of services.
Choosing a PEO
Depending on which services you need, PEOs can handle one or all your main services – HR, payroll, benefits, and/or risk management. From customizing employee handbooks, processing payroll, and crafting job descriptions, to assisting with benefits open enrollment, payroll deductions, and developing a workplace safety program, LL Roberts Group is equipped with the expertise, resources, and tools to streamline your business.
PEOs can offer more options, especially for smaller businesses.Regardless of the size or industry, businesses that use PEOs typically see a noticeable return on investment. Not sure if a PEO is the best option? Reach out to LL Roberts Group where one of our seasoned professionals can learn more about your business and see if our PEO services are suitable for your unique needs.
