Best PEO Services

Professional employer organizations work under a unique co-employment model to provide personalized services like health benefits and payroll processing to small businesses at low costs. The advantage to using a PEO as a small business owner is receiving corporate HR support and development and having the backing for Fortune 500-level benefits at low premium costs. The co-employment model is one where your employees are signed over to a parent company – in this case, the PEO – for legal and tax reasons. Don't worry, though – if you partner with a PEO, you still have full control over your business, important business decisions and your employees' day-to-day workflow. A successful PEO will take the white-knuckled, humdrum corporate administrative tasks out of your hands so you can spend more time doing what made you successful in the first place: running your business.

Before we dive into which PEO is the best for which type of business, it's important to consider some information about the PEO industry, what contract and pricing structures look like when partnering with a PEO company, and some important factors and questions to keep in mind in your search. If you already have a handle on a lot of this information, you can dive right into our best picks and reviews, both of which are listed below.

In addition to pricing and cancellation information, there are a few things you should keep in mind as you search for the right PEO service. You should go over a lot of this information – while it may be available on a company's website – with a member of the organization's sales team so you can get a full understanding of the services it offers.

• Additional fees: Make sure you ask the company upfront if there are any additional fees. Some companies charge for canceling service, for example. Make sure you thoroughly review the material the sales team gives you to spot any fees associated with service. If you're not sure, ask the sales representative. Also keep in mind that the cost structure, whether per employee or as a percentage of income, does not include additional costs for healthcare and other benefits plans.
  
  
• Employee minimums: Many of the companies we reviewed required a minimum number of employees to offer PEO service – usually five or 10. As you browse PEO services, keep in mind that you may need a minimum number of employees to qualify for the PEO offering. If you don't qualify, a lot of companies offer ASO or HR outsourcing services, which may make sense for your business. Just be aware that, while these services may be similar to the PEO model, it is a different agreement.
  
  
• Experts: Make sure the PEO service you partner with is providing you with a designated team of experts who can handle your HR, risk management, benefits and payroll needs. You want to partner with a company that provides specialists in each area, as well as a relationship manager to help you use all the services at your disposal. Sometimes the HR consultant doubles as a relationship manager, which is also a good option.
  
  
• Plan structure: One final thing to pay attention to is how the company structures its plan. Some PEO services offer a one-size-fits-all solution, so you'll receive all your features for the same monthly fee. Others offer services that you can add and remove to tailor the plan to your small business's needs. There are advantages and disadvantages to both. A one-size-fits-all solution means you can grow into all the features without changing the pay structure, while an a la carte option is more personal to your business.

We compiled a list of almost 60 PEO services by analyzing industry trends, considering companies featured on other review sites, reviewing top industry players and searching the NAPEO website. Once we established our main list of companies, we whittled them down to 35 companies for consideration by analyzing their small business services, establishing whether they were national PEOs, reviewing their accreditation and NAPEO membership, and grading their online presence.

From the list of 35, we chose 11 companies that stood out as industry leaders and wrote reviews. We picked these 11 companies by diving deep into their services and reviewing their HR, payroll, benefits and risk management offerings. We also established what kind of training resources and customer reviews the company had.

From the list of 11 companies we reviewed, we chose five that stood out as best picks for customer service, small business, startups, very small businesses and midsize businesses. We reviewed the 11 companies' pricing structure, contract requirements, online and mobile access, personalized experience, and standout features. We also tested their sales teams' customer service and feedback via email. Of the five best picks we determined, we dug even deeper into the customer service and features the plans offer. We spoke as small business owners with each company on the phone, establishing important features like plan structure and service cancellation. These five companies withstood each round of our testing and stood out in their customer service calls.

More than 150,000 small businesses partner with PEOs across the country to get high-quality benefits and proper HR support to keep their businesses running smoothly. There are more than 800 PEO services companies serving and operating in all 50 states. A PEO must adhere to both state and federal regulations, so some companies are divided up by region or even state. As you search for a PEO, make sure you keep your own state and region in mind – some PEOs are only qualified to serve small businesses in some states. Most of the companies we reviewed are qualified to offer coverage in all 50 states. If you're curious about whether a PEO operates in your state or not, you can look it up in the National Association of Professional Employer Organizations' directory.

A PEO differs from an HR outsourcing or administrative services organization because of its co-employment model. A lot of these companies offer ASO and HR outsourcing services for smaller businesses and can easily transition to full PEO services once your company gets big enough.

There are two main organizations that offer accreditation in this industry. The IRS offers PEO accreditation, meaning that the PEO in review has a healthy balance sheet and is capable, from a financial standpoint, of providing the services it advertises. The Employer Services Assurance Corporation also certifies PEOs, assuring the company's overall quality and ability to follow through on its offerings. Only 5 percent of PEOs are accredited by the ESAC. Not every company we reviewed has accreditation, but all our best picks are accredited by both the ESAC and the IRS.

List of 12Best PEO Services

Questco

https://questco.net

Questco offers a full range of PEO services to meet your small business needs. It offers human resource solutions, payroll services, employee benefits, risk management compliance and a cloud-based platform to manage all your services.

Genesis HR

https://genesishrsolutions.com

Genesis HR has been providing small businesses with PEO services for 25 years. This PEO takes administrative tasks, like HR support, payroll processing and tax compliance, off your plate so you can focus on running your business. It can handle all your HR management, payroll, benefits, risk management and support needs. Genesis offers extensive training resources in addition to its PEO services offerings.

JustWorks

https://justworks.com

JustWorks is a PEO solution that provides tools for payroll, compliance and HR processing. In addition to PEO services, JustWorks offers advanced resources for your HR and business needs.

Engage PEO

http://www.engagepeo.com

Engage PEO is a solid offering in human resources, risk management, payroll and benefits services. It also has a strong training program that includes onsite and online training on a variety of topics.

Best Employment Solutions Team

http://www.bestpeo.com

Best Employment Solutions Team (BEST) is a national PEO service that provides services like benefits administration, risk management consulting, and human resource outsourcing for small and midsize businesses.

Oasis Outsourcing

http://www.oasisadvantage.com

Oasis Outsourcing provides solid PEO Services for more than 8,000 companies across the United States. It provides extensive training resources and personalized service, and offers a flexible contract and pricing structure that is ideal for startups.

Insperity

https://www.insperity.com

Insperity provides PEO services to businesses that need benefits administration, payroll processing, risk management resources and human resource consulting. This company excels in the employee training and HR outsourcing spaces, and its competitive pricing and contract structure puts it on par with competitors.

Paychex

https://www.paychex.com

Paychex offers extensive and in-depth PEO services in benefits administration, risk management services, human resources outsourcing and payroll software. This national company operates in all 50 states, so you'll have access to its services no matter where you are in the U.S. It also provides solid on-site and virtual training resources, so you can ensure your company has access to the latest HR training solutions.

TriNet

https://www.trinet.com

TriNet offers hands-on human resources support and PEO services, including benefit administration, risk management software, payroll processing and training resources. This provider divides its HR teams to address specific industries and supports the automotive, financial services, health care, hospitality, life sciences, manufacturing, nonprofit, professional services, real estate, skilled trades, retail and technology industries.

ADP TotalSource

https://www.adp.com

ADP TotalSource is a branch of the large human resources management company ADP. Because it's backed by a major organization, partnering with ADP means you get top-of-the-line offerings at potentially lower costs than you'd see with some competitors.

XcelHR - PEO Services

http://www.buyerzone.com

XcelHR provides many benefits if you use its services. This PEO company offers assistance with payroll, employee benefits, risk management and administrative tasks for companies of all sizes.

Premier Employer Services

http://www.buyerzone.com

Premier Employer Services' PEO service assists in all areas of human resources to help you manage your company and your employees. It offers solutions for payroll, risk management and benefits, as well as basic administrative tasks.