Why Use A PEO?
Outsourcing payroll, insurances and HR issues makes sense because it's work that's not producing revenue - and takes time away from things that do. For over 40 years now, employee leasing companies that provide services to the janitorial and commercial cleaning industry have offered a number of great benefits including:
Almost any type of business can benefit by using these services. They are effective in white, grey, and blue collar industries- even non-profit organizations use PEO companies. Whether it is a very small doctor's office or a trucking business employing thousands of workers, co-employment through a PEO is a time and money saving solution.
How Much Does A PEO Service Cost?
Much less than in house costs as reported by the Small Business Administration. Employee leasing companies charge an average annual fee between 2% to 4% of payroll, well below the 9-13% estimate shown by the SBA. Imagine unloading the headaches of purchasing check stock and updating payroll programs yearly, while someone else manages the hassles of tax reporting, W2s, garnishments and more - delivering payroll right to your office. A weekly payroll of three thousand dollars can be done for less than a hundred dollars a week!
Reasons to Use a PEO Company
- Reduce payroll, HR, benefits, and administrative costs
- Eliminate workers' compensation insurance audits
- Attract employees with Fortune 500 employee benefits
- Focus on running your business
- Ensure regulatory compliance
- Manage liabilities and risks
- Instill workplace safety programs
- Certified HR services including employee handbooks, company policies, etc.
The time savings alone is worth the costs, but in most cases you'll actually put money back into your cleaning business with a PEO provider. With a PEO's master work comp policy that provides huge savings, reduced rates on employee benefits and online payroll services for less than you could do on your own - it's worth looking into.
Plus, healthcare reform compliance laws have many commercial cleaning companies scrambling for affordable options. Some of the employee leasing Minimum Essential Coverage (MEC) plans available are both ACA compliant and affordable.
Call ELQ to get answers, pricing and quotes. We've saved thousands of employers millions of dollars in insurance costs and time since 2001.