All the HR Solutions a PEO Can Provide Your Growing Business

As an entrepreneur, I know firsthand that starting and expanding a business requires laser focus. You want to devote your limited time and resources directly toward growing your company. But handling every single human resources task yourself can quickly distract you from higher-level strategic priorities.

If you feel overwhelmed by HR responsibilities, partnering with a professional employer organization (PEO) could be a game-changer for your business. PEOs become an extension of your team, allowing you to offload time-consuming HR tasks.

In my experience guiding small and medium-sized businesses, PEOs offer a multitude of valuable HR solutions. Here are some of the key ways partnering with a PEO can benefit your growing company:

Strategic HR Consulting

PEOs don‘t just handle HR tasks—they provide strategic guidance to set you up for success. A 2017 PEO study found that 78% of clients believe their PEO helped improve company operations and results.

As an entrepreneur, you’ll have access to high-caliber HR expertise to help you make smarter decisions. A PEO can provide strategic support with:

  • Compensation Planning: Develop competitive pay and bonus structures that attract top talent.
  • Training Programs: Design training programs that close skills gaps and boost productivity.
  • Employee Handbooks: Create handbooks that clearly communicate workplace policies and expectations.
  • Compliance Issues: Advise on compliance to avoid costly lawsuits and legal issues.

Fortune 500-Level Benefits

One major perk of using a PEO is gaining access to big-company benefits typically out of reach for small businesses. According to the National Association of Professional Employer Organizations, 99% of PEO clients said their PEO helped improve employee benefits.

PEOs leverage their size and scale to secure quality coverage at lower group rates. They can provide benefits like:

  • Health Insurance: Medical, dental, and vision plans
  • Retirement Planning: 401(k) plans, matching contributions, planning services
  • Life and Disability Insurance
  • Pre-tax Spending Accounts: FSAs, HSAs, transit accounts
Benefit PEO Plan Small Biz Plan
Health Insurance $300/mo $500/mo
Dental Insurance $50/mo $75/mo
401(k) Fees 0.5% Assets 1.5% Assets

PEOs handle the legwork of managing enrollment, answering employee questions, and resolving claims issues—allowing you to focus on big-picture strategy.

Payroll Off Your Plate

Handling payroll incorrectly can lead to missed tax filings, fines, and other headaches. But PEOs completely take this risky and time-consuming task off your plate.

PEO services include:

  • Paying employees and handling deductions
  • Filing payroll taxes and forms (W-2s, 940s, 941s)
  • Providing digital paystubs and yearly tax documents
  • Ensuring compliance with wage, tip, and overtime laws

You save time and reduce the risk of tax penalties or lawsuits. PEOs take care of it all!

Access to Specialized Recruiters

Finding and hiring talent can be difficult for small companies with limited resources. But according to a 2017 NAPEO survey, 96% of PEO users say their PEO improved access to qualified job candidates.

PEOs give you access to dedicated in-house recruiters who become an extension of your hiring team. PEO recruiters can:

  • Source, screen, and interview suitable candidates
  • Manage job postings on top sites like Indeed, LinkedIn, etc.
  • Provide HR expertise during hiring and onboarding
  • Ensure legal compliance throughout the recruiting process

Ongoing Regulatory Guidance

Staying compliant with constantly changing state and federal regulations is tough. But PEOs regularly train on the latest HR laws and regulations to keep your company out of legal trouble.

PEOs can advise on thorny issues like:

  • Federal and state wage and hour laws
  • Required workplace postings and notices
  • Employee handbook best practices
  • I-9 compliance and E-Verify
  • Sexual harassment training requirements
  • OSHA, ADA, FMLA, and other regulations

Leaning on your PEO’s expertise reduces the risk of costly lawsuits for noncompliance.

Deep HR Experience

Unlike solo HR consultants, PEOs boast extensive in-house HR experience across thousands of companies. According to NAPEO, the average PEO has been in business for 14 years and employs 11 HR professionals.

When evaluating PEOs, look for:

  • Decades of HR experience
  • Specialized expertise in key areas like recruiting, benefits, payroll
  • HR teams with professional certifications (PHR, SPHR, SHRM)
  • Membership in leading PEO associations (NAPEO, ESAC, etc.)

This level of HR knowledge cannot be matched by solo practitioners.

If you want to get back to focusing on growing your business, partnering with an experienced PEO is a strategic move. Contact [Avitus Group] today to learn more about PEO services that can meet your evolving business needs.

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