We understand that handling HR for your company can be an exhausting task, one which distracts you from focusing on the tasks that matter most. Additionally, many businesses might have specialized or industry-focused needs. Some might need certain types of legal or regulation compliance assistance. Your business is unique, but nonetheless, there will be a PEO service for your needs.
A PEO can handle benefits, payroll, organization, and can also aid with recruiting and training new employees. These services, representing a large client base, also have a great deal of negotiating power when it comes to tasks such as obtaining health insurance options. Businesses working with a PEO often will be able to offer employees more benefits than they would on their own.
Why Choosing The Best PEO Companies is Important?
PEO companies are one of the biggest competitive advantages for your business to attract and retain talent. A PEO service also takes the hassle of managing the HR functions of your business. The main benefits of using a peo company is the lower costs of benefits, management of paperwork and compliance and the lower cost using an outsourced HR team.
Factors for Evaluation of Your PEO Service:
PEO services have many facets to them, and all of them vary from company to company. They are all important, and we’ve spared no time in reviewing the market for the best all-around options. For your information, we reviewed the following when looking at services:
- Tax processing
- Payroll processing
- Health insurance options and support
- HR regulation compliance assistance or management
- HR management and consulting support
- Recruiting and onboarding support
- Safety compliance and risk management
- Time, attendance, and productivity tracking tools
- Customer service and feedback
- Additional features and specializations
There are dozens of high-profile PEO services companies to choose from, so we went through the effort of sifting through the services and selecting the best so that you can lead your company to its fullest potential.
Additionally, when making our recommendations, we wanted to make sure that regardless of which one you chose, you would receive a full PEO service solution. Therefore, if a standard service is not mentioned, please consider it as available.
Here are some PEO options for your business:
An accredited PEO service that works with over 8000 companies, Oasis Outsourcing is the largest private PEO service provider and is specialized in working with regulated industries (manufacturing, different kinds of financial services, etc.) and providing risk management for its clients. It uses an employee leading co-employment model to maximize your business’ effectiveness and relieve administrative tasks.
It is one of the more inexpensive programs available, and while rates will vary from business to business, a business with a few employees will still likely find a lower rate than most other PEO providers. You will also find the most support in several specialized industries, so if you have a business working in a sector with heavy regulations, Oasis is likely the right choice for you. If should be noted, however, that their customer support hours are relatively limited, so it may be difficult if your business primarily operates during weekends or evenings.
- Payroll management and reporting.
- Training and development support, which includes safety training.
- Handbook and training material creation aid.
- Human resources support.
- Risk management and labor law compliance resources.
- Employee self-service document support.
- Employee benefits program.
We recommend Oasis if you:
- Are a startup company looking for the best option to help you get your business off the ground.
- Are looking for hands-on help with industry-specific issues.
- Are looking for an inexpensive option that allows you to choose your services.
A prominent and IRS Certified (as well as ESAC certified) PEO service provider, Trient PEO is a great option in general, but particularly for those heavily interested in HR and labor law compliance. Trient PEO employs numerous representatives and consultants that are also employment lawyers, guaranteeing expertise that simply can’t be found elsewhere. This is true across the country. EngagePEO also provides more training options than many of its competitors, and these will help you get your business up to speed.
It does have a ten-employee minimum, so very small-to-small business might not find themselves interested, but businesses that need expertise and a more involved approach will find themselves at home with the service. Customers might also find relatively limited customer service options in terms of access, but they are available, and they are efficient in their operation.
- Operations and expertise in every state.
- A useful information center for questions you might have.
- Staff that also double as employment lawyers, ensuring that your company is working with the best minds in HR.
- Onsite training options and a robust online training platform regarding HR topics, allowing your company to run efficiently and with minimal internal conflict.
- Consultants that will work with you to find the best options, plan, and structure for your company.
We recommend Trinet PEO if you:
- Want more hands-on and online training options than you would find with other PEO services.
- Want some of the best up-to-date expertise and information on labor laws available.
- Are looking for a services PEO that will not miss a beat.
A solid PEO solution, CoAdvantage can service clients in every state, providing a solid platform for you to build your business on. It is a great human resource system and tool and prides itself on the tools it created to let owners and managers know whom to focus on in their company.
It is a PEO that clearly knows exactly what it is doing, and it does it well. While it may not have some of the specialized services and offerings of the other PEO services we review, companies are satisfied with CoAdvantage and it is an excellent offering.
- Every general service a PEO provides, including payroll, benefit administration, etc.
- Strong performance management assets to help you find the best performers in your company and keep them.
- A competitive set of employee benefit offerings, including every type of insurance an employee would want, retirement plans, and other employee perks programs.
- Government compliance reporting, other legal and risk management, and unemployment and workers’ compensation claim management.
We recommend CoAdvantage if you:
- Still would like a strong hand in choosing the best employees and want the data to support you in that effort.
- Are otherwise uncertain where your company might be headed but want a strong option to support your company and its employees regardless.
- Are looking for an efficient option to reduce HR costs.
A smaller, adaptable and accredited (by the ESAC) PEO provider. They’re based in Florida and have been working with businesses since 1997. Alphastaff is for companies who are willing to try a different, adaptive approach while still receiving excellent services and advice. They will happily provide guidelines to companies in different stages of their development, from startup to enterprise, and will treat you right throughout that growth.
While they are able to provide nearly any benefits that you might require, it should be noted that you might be served better by other PEO providers if you’re looking for something specialized or heavily structured. Those in heavily regulated industries outside of healthcare might also find better service with another provider.
- An adaptive, personalized approach to service that isn’t afraid to try new ideas.
- A service willing to take on a lot of responsibility, letting you tackle the other portions of your business.
- Benefit advisory services to help you and your company navigate insurance and other benefit options.
- Competitive retirement plan and benefit options for employees.
- Healthcare industry support, not necessarily common among PEO providers.
We recommend Alphastaff if you:
- Think that your business would benefit from a more individual, personalized approach.
- Are looking for a tailored solution to your unique business’ needs, with an opportunity to adapt and expand those options later.
- Run a company in the healthcare industry and require specialized support
A competitive PEO service provider that is new to the industry. Justworks offers the payroll support and HR management expertise you require at a price your business can afford. With few exceptions for outstanding situations, Justworks will be the most inexpensive PEO option that still provides everything your business will likely need. While additional services, such as insurance or some employee benefits will likely cost extra, it still comes in under par for the industry.
User-friendly, transparent, and comprehensive, there are few negative aspects of the service to bring up. Justworks doesn’t offer some of the specialized services and support required by some industries or offered by more experienced providers. It is a great option for startups, small companies, and those with little experience handling benefits and payroll.
- An easy-to-use employee dashboard that can manage paid-time off requests, benefits enrollment, and various financial and tax documents.
- an inexpensive pricing plan, which generally won’t rise above $99 an employee for any small to medium business.
- Payroll support for any situation.
- 24/7 support accessible through multiple channels.
- The standard array of benefits, including healthcare and retirement account options.
- Compliance support and tax filing management.
We recommend Justworks if you:
- Are a small company looking for an affordable PEO option, especially if you aren’t yet looking to provide the whole host of employee benefits.
- Are OK using a PEO that hasn’t been around as long, but still provides great service.
- Would like to use a service with strong self-service and online support options.
Best PEO By State:
Every business will have its own needs, but there’s a right option for every company. While you may want to consider it further as this is certainly a huge decision to make for your business, consider one of the following above curated options. You, your company, and your employees deserve the best service available, and you deserve to get it as soon as possible.
If you have any questions or comments you would like to share about the above services, please leave a comment below so we can hear your thoughts.
FAQ About PEO Companies
What is a PEO – A PEO (professional employer organization) service allows a business to outsource its employee management, have other HR tasks handled for them, and get personnel management support when needed (with most PEOs).
How Much Does It Cost To Use A PEO – Generally it costs between $1,000 – $2,000 per year per employee to use a PEO. The more employees you have the lower the cost
Should I Pay myself using a PEO as the founder – Depending on the corporate structure of your business you should definitely should be using a PEO to do your own payroll.