What the Heck Is A PEO and How Would It Benefit My Business?
If you own a small to medium-sized business that employs people, you could use a PEO. PEO stands for Professional Employer Organization, which is an entity that offers employers a way to outsource everyday Human Resource tasks like Payroll, Employee Benefits and Workers’ Compensation. Taking advantage of the power of a PEO’s pooled resources can offer greater efficiency within your business operations.
Benefits of a PEO:
- Full-service Human Resources Department at your fingertips, leaving the intricacies of compliance to the experts
- Employee Benefits programs similar to large companies, providing you with protection from volatility in premiums and a wide variety of plans
- Management of Workers’ Compensation insurance and claims
- Payroll administration services managed by professionals
- Access to employee development services like employee skills testing, management training programs, and risk management programs
- Customized Human Resources Information Systems, giving you and your employees online access to tools and records
- Internal Human Resource professionals have the time to manage individualized needs with your business rather than dealing with endless paperwork
How Does a PEO Work?
You and a PEO enter into a co-employment relationship, where the PEO becomes the employer of record for tax and insurance purposes. The PEO then manages the everyday tasks of human resources administration and payroll, while you retain the overall management of your employee’s work. The PEO offers cost savings for these services by pooling their resources for the benefit of their clients.
Where Do I Find a Reputable PEO?
Wharton Insurance & Financial Services partners with WorkSmart Systems Inc. an Indianapolis-based PEO founded in 1998. Our long-standing relationship is built on a commitment to providing cost-effective services based on best practices in human resources administration. For more information on how your company could benefit from a PEO, give us a call at 317.663.4138 or send us an email.
