How Does a PEO Service Work?
The relationship between a PEO and an employer is often called a “co-employment" relationship. This is because the PEO assumes many of the employment related responsibilities such as payroll, risk and benefit management, while the employer continues to manage and run the day-to-day operations.
The employer remains the primary (onsite) employer, while the PEO manages many of the back end administrative tasks. The advantages gained through this partnership include reduced liabilities, one service entity, simplifying the process and more time to spend on growing your Ironville business.
More Benefits Include:
- Reduced rates on Kentucky workers' compensation insurance.
- Complete payroll management.
- Access to great employee benefits.
- Professional HR help.
- And more!
Who Uses a PEO?
With over 900 PEO companies in the US, any business can find value these services. Currently, PEOs work with between 156,000 and 180,000 small and mid-size businesses, employing between 2.7 and 3.4 million people.
How Much Do PEO Services Cost?
On average, a PEO company's administrative fee is between 2-4% of your annual payroll. But many PEOs offer a number of a la carte services as well, like employee background checks, drug testing, employee handbooks, time and attendance systems and more.
Some may also include benefits within their management fee, like free employee life insurance or Employment Practices Liability Insurance (EPLI). Understanding your needs and how a PEO will impact your Ironville operations is one of the many ways we can help.
Since 2001, ELQ has helped thousands of employers access a PEO provider that improved their business efficiencies, while reducing their employment related costs. Need to lower your workers' compensation insurance rates? We can help. Want to outsource payroll headaches? We can help with that too. Call, ask questions and see how the services we provide can save you time and money.