Essential PEO Facts:

How a Professional Employer Organization Can Transform Your Business

 
 

what is a peo?

Professional employer organizations (PEOs) enable clients to cost-effectively outsource the management of human resources, employee benefits, payroll and workers' compensation. PEO clients focus on their core competencies to maintain and grow their bottom line. We take care of your back office so you can take care of what matters most — growing your business.

let compliance handle your back-office operations

 
 
 

  • Efficient Payroll Processing

    Tax Filing and Withholding

  • Employee Benefits Administration

    Employee Relations & Compliance

    Onboarding & Offboarding

  • Workers’ Compensation Insurance

    Mitigating Legal Risk

  • Economies of Scale

    Reduced Administrative Burden

  • Compliance Assistance

    Employment Practices Liability Insurance (EPLI)

 
 

PEO FACTS

  • Approximately 250,000 small and mid-sized businesses and 2.5 million people are part of PEO arrangements.

  • PEOs provide access to health care for as many as 4 to 6million people.

  • The average size of a small business client of a NAPEO member is 20 employees.

  • According to one business study, 40 percent of small businesses in PEO relationships upgrade their total employee benefit offerings as a result of the PEO relationship.

  • While only 27 percent of small businesses overall offer employee retirement plans (according to the NFIB), approximately 95 percent of NAPEO’s members offered retirement plans to their small business work site employees. Virtually all of those offered some level of matching contributions.

  • To date, 40 states have adopted some form of PEO legislation and PEOs operate in all 50 states.

  • Actuarial data shows that PEOs aggressively manage workers’ compensation risks and reduce the basic costs of workers’ compensation by as much as 25 percent for small business enterprises.