Why Should You Outsource Human Resources?
We can also help your benefits and worker’s comp costs go down drastically because you get to access our volume-driven costs so that the cost of our fees are even less. Subtract the salaries of staff who would have to do all the HR, and using a great PEO makes all the sense in the world for your business.
You started your company with a great idea, and you had the drive to get it up and running. Now that it is, you’ve discovered the headaches that HR can cause—the paperwork, the hiring and firing, the laws and regulations, the sleepless nights that take your attention away from doing your business. Working with a PEO is a great way to offload HR Services, allowing you to focus on what you do best.
A reputable PEO can offer a really affordable solution for all HR Services. These professionals already have bookkeeping, payroll and staffing software they use daily, so you don’t have to make the purchase yourself. They have also already recruited the most knowledgeable, experienced HR professionals, so you don’t have to hire them yourself. A PEO can help you find the best people to fill your needs, then take care of theirs so you can concentrate on growing your business.
How is using a PEO affordable? A good PEO only charges a transparent per-employee/month fee, like paycheck processing companies do, or a percentage of payroll, usually between 1% and 3% depending on the HR demands of your business and industry. All the other items on a PEO invoice are what you would pay anyway, such as taxes and worker’s comp. What is also great is that you always pay less when your headcount is down, because good PEOs only charge by a per-employee or percentage of salary basis. Most of the time this is far less expensive for a small employer than hiring an HR department, which is why PEOs are so popular with small businesses.
Human resources solutions
You can outsource your individual HR needs to a PEO, or they can take all of the HR-related risk off your hands by serving as your licensed Professional Employer Organization (PEO). A PEO becomes your own expert HR department while absorbing the constant stream of claims and liability, often to the extent that they will pay claims they lose. You hire and direct your employees, but the PEO “leases them back to you” for a small fee. As your HR department, the PEO can handle the human resources, benefits, workers’ compensation, payroll and government interaction while giving your employees stability and the advantages of volume-driven benefits costs.
Staffing
Experienced recruiters are skilled at finding talented people who will help you reach your goals, whether temporary or long-term. Let them handle the time-consuming process of setting up appointments, interviewing and following up. The systems used ensure your peace of mind by checking each candidate’s references and driving and criminal history before you even meet him or her. If you’re looking for temporary staff, they can send you the most qualified people by providing them with incentives like workers’ compensation, access to health insurance and paid holidays.
Bookkeeping
You are the visionary of the story of your company, not the bookkeeper, and you must have the time to focus on the creative and business aspects that will make it succeed. Skilled and trustworthy bookkeepers are hard to find and expensive to keep, but PEOs have a department filled with qualified bookkeepers and the tools of the trade. A reputable PEO will customize and maintain your books so you’ll have the critical information you need to make solid decisions.
Employee benefits
We work with large carriers and emerging health providers to offer innovative benefit programs that lower small business health costs by as much as 70%. Our exhaustive research combined with volume-leveraged buying power has resulted in benefit plans and combinations that help our employers save, or be able for the first time to offer attractively-priced, great health benefits to their employees.
- Medical plans
- Dental/vision
- Life insurance
- Disability
- Other benefits
Payroll
Taxes, insurance, employment laws, wage-garnishing and Social Security: these are only a few of the components of your payroll, and we haven’t even gotten to writing the checks on time! Payroll is a complicated web of mistakes waiting to happen to your bottom line, but it’s something PEOs specialize in. They have the expertise and resources to make it a worry-free process for you and your employees, every single pay period.
Workers’ compensation
When you choose to work with a PEO, they can upgrade your safety program and accept liability for workers’ comp claims. They maintain complete coverage for all their clients, and that significantly reduces your company’s liability for work-related accidents.
Whatever your business does and however you go about it, you didn’t get into it to handle the minutia of HR Services. It’s detail-driven work that falls under the microscope of several different government agencies, and the law changes every year. Consider working with a PEO so you can concentrate on what makes your company great.