Answers to Common PEO Questions
LL Roberts Group understands the need to explore all options and answer any and all questions you may have regarding PEOs. If you have any questions that are not answered here, please drop us a line so one of our experts can reach out to you.
A professional employer organization (PEO) is a co-employment arrangement where the PEO becomes the employer of record. This arrangement allows business owners access to stronger benefit options, “A”-rated workers’ compensation carriers, industry experts, integrated technology, and much more at an affordable cost. While most PEOs offer human resources, employee benefits, safety and risk management, payroll, and workers’ compensation services, LL Roberts Group can offer mix and match services. This allows us to customize solutions based on your specific organizational and industry-specific needs.
Businesses of all sizes can benefit from using a PEO. Small to medium-sized businesses (SMBs) can take advantage of a PEO’s benefit offerings. Due to PEOs becoming employer of record, SMBs can access a wider range of employee benefits that they might not be able to afford on their own. Larger organizations can utilize a PEO’s integrated technology and industry expertise to streamline back-office administration. Alleviating administrative tasks can help large companies focus on nourishing their business and elevating their successes.
Why would I outsource those services?
We value your existing team and have no intention of replacing them. In fact, we are happy to help support them. A PEO can undertake their tedious tasks like onboarding and new hire forms, processing payroll and filing taxes, assisting with online open enrollment, and creating workplace safety programs, your staff can focus on the people management side of things, like setting schedules, conflict resolution, and performance management. Our goal is to simplify your day-to-day operations so you can strengthen your bottom line.
The main difference between an ASO and PEO is that an ASO does not form a co-employment relationship with your employees. This means that while an ASO manages your administrative functions, you maintain your business under your federal employer identification number (FEIN). Additionally, ASOs do not provide benefits or workers’ compensation coverage, but are able to assist in obtaining coverage.
A common myth with PEOs is that the PEO strips the business owner of all their control. Though a PEO undertakes most of the administrative responsibilities and liabilities, the employer maintains control of their day-to-day operations and people — the two things that help drive their business to greater success.