Employers Resource

3 Ways the PEO Model Works for Small Business

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The purpose of a Professional Employer Organization is to relieve your business of its HR and employee related administrative tasks. One of the greatest advantages of this partnership is the PEO model.

The PEO model is one of the best-kept secrets of successful small to midsize businesses. In this article we’ll look at 3 of the main ways the PEO model works as a secret weapon for your small business.

Learn How PEO Services Help Startups Succeed

Here’s 3 Ways The PEO Model Works for You

1. Co-Employment Model

The PEO Model means the Professional Employer Organization works as a “co-employer” so it can relieve you and your HR staff of employee administrative burdens. This frees up your time to focus on more strategic business initiatives. Co-employment means the PEO takes care of tasks like:

PEO Role

  • Employee Benefits Administration
  • Workers’ Compensation
  • Human Resources
  • Payroll and Tax Administration
  • Managing Employment Tasks

Your Role

When you partner with a PEO, you have the freedom to focus on more strategic business initiatives, such as:

  • Managing the Core Business
  • Staff Selection
  • Day to Day Employee Performance
  • Determining Employe Compensation Levels
  • Engagement and Recruitment
  • Growing Your Business

Checkout the Co-Employment Model Infographic Here

Small town downtown with several people walking along the brick sidewalk, American flag on the right side

2. Benefits Solutions

Since PEOs are the co-employers of thousands of employees, they allow you to offer Fortune 500 caliber insurance and benefits plans to your employees. They make these options more accessible to your small business. You can use these competitive plans to attract and retain the top employees in your industry.

A PEO can administer and even assist your employees with their benefits. The benefits a PEO might offer include:

  • Group Dental, Vision, and Life Insurance
  • Accidental Death and Dismemberment (AD&D) Insurance
  • Hospital Indemnity Insurance
  • Group Short-Term and Long-Term Disability
  • Company Wellness Programs
  • Health Reimbursement Account (HRA) options
  • Flex Spending Account options
  • Slavic 401(k) Plans
  • Group Health Plans

3. Compliance Help

The PEO Model means the co-employers share responsibilities and liability. They are personally invested in state and federal compliance for your business because of this shared liability.

The PEO will provide employee handbooks and manuals and will maintain them to ensure compliance. They will also provide your business with top-of-the-line workers’ comp policies and custom safety programs to lower your risk and costs related to workplace injuries. Other compliance help includes:

  • ADA
  • Payroll and Tax
  • OSHA
  • ACA
  • And many more from the “alphabet-soup” of compliance headaches!

What’s It like Working with the PEO Model?

Employers Resource is a PEO licensed in all 50 states, and we strive to make the experience easy, simple, and safe. With Employers Resource, you won’t have to get through a call center or read pages of contracts. We like to keep things simple and rewarding in our partnerships. Our contract is one page, front and back. We offer a 100% satisfaction or your money back guarantee, the strongest money back guarantee in the industry. To learn more, contact us today for a free custom quote.


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