PEO Service Advantages
A PEO company helps you streamline employment administrative tasks, save money and gain time. The advantages include big discounts on Texas work comp insurance rates, complete payroll management and access to affordable group healthcare.
HR outsourcing has become one of the hottest business trends for more than a decade now and continues to experience double-digit growth each year, so let's see how your Mesquite business can benefit.
PEO Statistics
PEOs provide services to 175,000 small and mid-sized businesses, employing 3.7 million people. Between 2008 and 2017, the number of work-site employees in the PEO industry grew at a compounded annual rate of 8.3 percent.
This is roughly 14 times higher than the compounded annual growth rate of employment in the economy overall during the same period. Plus, businesses in a PEO arrangement grow 7-9 percent faster, have 10-14 percent lower turnover, and are 50 percent less likely to go out of business.
Workers' Comp Benefits with a PEO
PEO companies co-employ with thousands of businesses, so their bulk work comp power provides huge savings up front. They are also able to save you money long term with effective risk and claims management.
More Work Comp Benefits Include:
- Little to no down payments.
- Pay-as-you go plans.
- No Audits.
- Timely certificates of insurance.
- Drug free workplace.
- Fraud investigation.
- Better communication.
What Do PEOs Charge for Services?
Much less than in-house costs. The average administrative costs in using a PEO service are between 2% - 4% of your annual payroll. For example, if you have a $500k payroll - a 2% management fee would be $10k yearly. Considering complete payroll, work comp, employee benefits, risk management and HR services are included - the value of outsourcing with a PEO can't be beat. More importantly, you'll notice the time savings your business has gained to operate and work on growth instead of paperwork.
Why ELQ?
As America's leading PEO brokerage since 2001, we're experts in the HR outsourcing industry. PEOs are all different and offer varied benefits, services and pricing. We work with you to learn your Mesquite company's specific needs and help you access the right PEO solution. Finding a PEO that best fits your business takes time and research, but we've done the vetting for you - that's what we do! What you can save depends on your current situation, so call today to see how we help better your business.
