Benefits of a California PEO Service
California PEO services take the responsibilities of payroll, HR, risk management and more off a business owner's shoulders, so the focus can be on doing what you do best. In addition, the right California PEO company can offer your business the opportunity to attract more talented employees by providing great employee benefits plans and other perks.
Plus, PEOs assume many of the liabilities associated with payroll, tax filings, employee benefits, and compliance related to any employee laws. By outsourcing non-income producing work to a California PEO Company, business owners are then free to focus on sales, service and management of employees.
Some of the most common PEO benefits include:
- Better Medical Benefits
- PEOs offer a range of life and health insurance as well as supplemental policies.
- Payroll Administration
- PEOs offer payroll services that generally include paper checks, direct deposit and visa paycards. They can also assist with tax reporting and wage garnishments.
- Retirement Planning
- Many PEOS offer a variety of retirement savings plans including 401ks.
- Compliance Enforcement
- Professional HR experts offer valuable assistance on compliance and employment related issues that reduce liabilities.
- Workers’ Compensation
- Pay-as-you-go California workers' compensation insurance, with little to no money down and no annual audits at discounted rates.
- Employee Assistance Programs (EAPs)
- Some PEOs will offer EAPs to help with life/family needs.
How Does a PEO Work in California?
When working with a PEO company, your business enters into a shared or co-employment relationship. The PEO becomes the administrative “employer of record" and is responsible for payroll, tax reporting, benefits, risk management and more. You maintain direct control of the day-to-day activities of your employees, while the PEO manages the paperwork.
Save Time and Money by Using a California PEO
Far less than in-house costs, the average administrative fee when using a PEO service is between 2% - 4% of your annual payroll. For example, if you have a $300k payroll - a 2% management fee would be $6k yearly. Considering complete payroll and benefits administration, along with risk management and HR services - the value of outsourcing with a PEO can't be beat. More importantly, you'll notice the time savings your California business has gained to operate and work on growth instead of paperwork.
There are many benefits to using a California PEO, but time is one of the biggest reasons business owners say they work with a PEO. Instead of being responsible for the growing list of governmental compliance demands, an employer can focus on growing their business, instead of the business of employment and spend more time improving employee performance.
Other PEO Advantages Include:
- Huge Savings on Workers' Compensation Insurance
- Unemployment Claims Management
- Staying up to date with California Employee Laws
- Complete HR Support
- Payroll Management
- No audits
- OSHA compliance
- Risk management and safety programs
Find Top PEO Companies in California
ELQ has been working and vetting PEOs since 2001. We have the experience that employers in California need to find the right fit for their businesses. We are the nation's premier PEO broker and take pride in saving you and your business time and money. Let us do the detailed work of matching you with your ideal PEO so you can do your best work. Request a California PEO quote today!