The Best PEO Service Providers of 2019

by Matt D'AngeloLast Modified: January 3, 2019

Home / Human Resources / Managing

Intro

Best Picks

What to Expect in 2019

PEO Pricing

Negotiation Tips

Our Methodology

Reviews

State of the Industry

Common PEO Service Questions & Answers

Map

Services

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Intro

Professional employer organizations (PEOs) take HR, payroll and benefits headaches out of your hands so you can focus on running your business. These companies operate under a unique co-employment model, where your employees will legally appear on a PEO's books, but remain under your control. This model allows for PEOs to leverage major health benefits plans with the best providers. It also means it has experience when it comes to handling HR problems or new payroll practices. PEOs can also provide workplace training, workers' compensation insurance and various other types of benefits. A PEO can handle your administrative tasks and give you the kind of benefits that will attract new workers.

Best Picks

Customer Service

Very Small Businesses

Startups

Small Businesses

Midsize Businesses

Best Customer Service

ADP TotalSource

ADP TotalSource represents more than half a million employees across the nation. It offers extensive services that are ideal for businesses of all sizes. What set this company apart from others we reviewed, however, was the attention to detail and support we received from its sales team. Part of our review process involves posing as small business owners shopping for PEO services for our business. ADP was one of the few companies that extended a service brochure to us. When we explained that we were looking at competitors, the representatives offered advice on what questions to ask and what services to look for in our search. This level of attention was unmatched by other sales teams we reviewed. TotalSource's friendly and helpful sales team, in addition to its robust PEO services, are why we selected it as our best pick for customer service.

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Best for Very Small Businesses

TriNet

TriNet has an attractive offering for very small businesses, which includes a flexible pricing structure and no long-term contracts. TriNet also doesn't have an employee minimum for service, so you can sign up for TriNet's PEO services no matter how small your business is. TriNet provides HR services, risk management, payroll software and benefits administration, which are all included in its PEO plan. Very small businesses can use TriNet's services to grow and offer competitive benefits and HR solutions to beat competitors. In addition to all these features, the TriNet representatives we interacted with were kind and helpful. For these reasons, TriNet earns our pick for best PEO for very small businesses.

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Best for Startups

Oasis Outsourcing

Oasis Outsourcing is an ideal PEO solution for startups because of its pricing and contract structure. Oasis supports businesses of any size – it doesn't have an employee minimum, although your agreement structure may depend on how big your company is. While it does require a one-year contract, you can receive a full refund if you cancel your service within the first 90 days. Oasis is one of the only PEO services we reviewed with an offer like this. Startups are small and agile businesses, so Oasis' refund structure means that if anything changes with your business, it's easy to get your money back. Oasis also gives you the ability to mix and match services as you require – as your business grows, you can add or remove services accordingly. For these reasons, Oasis Outsourcing earns our pick for best PEO for startups.

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Best for Small Businesses

Insperity

Insperity's HR outsourcing services, risk management, payroll administration and employee benefit plans make it a great option for small business owners. Insperity provides a dedicated team to handle each area of the PEO service. A standout feature from Insperity is its employee training solutions. Insperity partners have access to thousands of online courses for HR topics and other educational materials. You can also set up onsite or online training sessions tailored to your business's needs. For these reasons, Insperity earns out best pick for PEO for small businesses.

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Best for Midsize Businesses

Paychex

Paychex is ideal for midsize businesses because of its scalability and the HR generalist the company provides to help you manage your services. The HR generalist remains the point person as your business grows and changes, which means you'll receive personalized coverage even as your business grows. Paychex is certified by the IRS and accredited by the Employer Services Assurance Corporation, making it a leading player in the industry. Not all the companies we reviewed had this level of certification. Paychex represents thousands of employees and businesses of varying sizes, so you'll be joining a company that has the infrastructure to support your business as it grows. For these reasons, Paychex earns our pick for best PEO for midsize businesses.

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Editor's note: Interested in a PEO service? Fill out the questionnaire below to have our vendor partners provide you with information for free.

What to Expect in 2019

PEOs are growing at a rapid rate. As business owners look to offset administrative tasks and offer better benefits, PEOs are answering the call. Currently, PEOs employ 3.7 million worksite employees and have annual wages around $176 billion. These numbers are only expected to increase in the coming years, offering small businesses better benefits options and more HR resources.

Before we dive into which PEO is best for various types of businesses, it's important to consider some important information about the industry, including commonalities with PEOs, such as contractual obligations and pricing structures, plus important factors and questions to keep in mind as you search for a PEO.

If you already have a handle on a lot of this information, you can dive right into our best picks and reviews below.

After researching dozens of PEOs and spending hours on the phone with providers, we've identified the Best PEO for Very Small Businesses, the Best PEO for Startups, Best PEO for Small Businesses, Best PEO for Midsize Businesses, and the Best PEO for Customer Service.

PEO Pricing

PEOs offer two main forms of pricing: They either charge a per-employee fee or a percentage of your total payroll.

There are advantages and disadvantages to both types of pricing, and whether a PEO that charges you per employee or as a percentage of your payroll is right for you depends on your business, how many employees you have and the overall structure of the PEO plan.

There aren't any free trials with PEOs. Oasis Outsourcing was the only company that offered a plan that resembled a free trial, and it's in the form of a 90-day, money-back guarantee. During the initial phase of shopping for a PEO, ask the sales representative questions and iron out the details of service and how they relate to your business.

PEO contract length and structure vary by company. Some PEOs offer long-term contracts only, while others don't require any contract at all – choose what's best for your business. Cancellation policies also vary widely among companies and which plan you enroll in. Generally, you need to provide a 30- to 60-day notice before canceling your service. Some companies allow you to leave at any time for any reason; others charge you a fee for leaving.

It's critical that you ask about the PEO's cancellation policy before you reach an agreement – you want the freedom and flexibility to cancel the service if you need to.

Negotiation Tips

Below are additional crucial items to address with the PEO service you're considering hiring. You should go over this information – even though it may be available on the company's website – with a member of the PEO's sales team so you gain a complete understanding of the PEO's services.

Additional fees. 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 PEOs we evaluated had an employee minimum; that is, they required a certain minimum number of employees – usually five or 10 – in order to qualify for their service. As you browse PEOs, keep in mind that you may need a minimum number of employees to qualify for the PEO offering. If you don't qualify, many 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. Some companies also structure their services so a certain number of employees need to be enrolled in health benefits in order to qualify for service. Others require a minimum monthly salary requirement if your business is below a certain employee threshold. All of these companies have requirements and standards for the clients they take on. Make sure you understand what each company expects from you. If you fall below the PEO's employee minimum, for example, you don't want to have to cancel your services or pay an additional fee.
Access to experts. Make sure the PEO you partner with provides 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 who can help you use all the services available to you to your full advantage. Sometimes the HR consultant doubles as a relationship manager, which is also a good option. The best companies have HR consultants who are certified by the Society for Human Resources Management (SHRM). SHRM certification ensures that your account coordinator is more than just a relationship manager.
Plan structure: One final thing to pay attention to is how the company structures its plan. Some PEOs 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 customized to your business.

Our Methodology

We compiled a list of almost 60 PEO services after analyzing industry trends, considering companies featured on other review sites, reviewing top industry players and searching NAPEO's (the National Association of Professional Employer Organizations) website.

After analyzing their small business services, establishing whether they were national PEOs, reviewing their accreditation and NAPEO membership, and grading their online presence, we whittled the list down to 35 companies.

From the list of 35, we conducted further research and chose 12 companies that stood out as industry leaders. We picked these 12 companies by diving deep into their services and reviewing their HR, payroll, benefits, and risk management offerings. We also established the types of training resources and customer reviews the company had.

From the list of 12 companies we selected, we chose five that stood out as best picks for customer service, small business, startups, very small businesses and midsize businesses. We then reviewed the each company's pricing structure, contract requirements, online and mobile access, the services the PEO offered, and standout features.

Of the five best picks we determined, we dug even deeper, evaluating the customer service and features the plans offer. We contacted our finalists by phone, speaking as small business owners. We inquired about the PEO's plan structure, pricing and cancellation policy. The five companies withstood each round of our testing and stood out in all of our interactions with them.

State of the Industry

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.

Common PEO Service Questions & Answers

Have a professional employer organization (PEO) service question of your own?

Ask an Expert

At what point should a small business look for HR help?

Responses

There is no magic number when looking at hiring HR. You will experience pressure points that will let you know when it is needed. Some of these pressure points might be that you need employee manuals or handbooks that define the companies policies and procedures. Other pressure points might be a wrongful termination suit, pay inequity, harrassment claims. If you are in a growth mode you will want something or a process that is scalable. I have several clients that have hired my services...

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What are the best benefits packages for a start up company?

Responses

I work with hundreds of startups in the Boston area. TriNet is a preferred vendor due to the fact that we aggregate our entire client base, which makes up over 240,000 employees, giving us buying power with our carriers and the ability to price below the open market. We provide payroll, HR, workers comp and benefits to all of our clients under one umbrella. You are able to contribute any $ amount for benefits that the company is willing, but the employees will also have a full suite of...

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At what point do I need to offer benefits and think about using a payroll service?

Responses

Also remember that benefits are not just insurance. I've worked at companies that do random prize draws, group dinners out, offer free services (like help quitting smoking, inexpensive daycare) or college tuition assistance. Free coffee is good, too.

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Outsourcing payroll: Who do you prefer, a privately owned local payroll company or one of the big guys, and why?

Responses

I think people that choose one of the big guys do so because they are a known quantity. The smaller companies don't have as many reviews, and in some cases, can't provide all the services that are needed. They don't know what they are missing, as many clients go back & forth from ADP to Paychex because of problems. Our cloud based solution combines a powerful payroll & a web-based HR application along with the convenience of services typically offered by payroll outsourcing providers. ...

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What employee benefits should I have for a small business of 10-15 people?

Responses

Certainly Health insurance. You could consider Dental, Life, Disability, short and long-term. If you want to be different there is prepaid legal coverages. Depending on the age of the group there could be other coverages like long-term care also. The Health and Dental are the most common.

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How should I pay myself?

Responses

Bravo that you're thinking this through! Gusto/Zenpayroll is a great option but does need to be monitored by a trained payroll eye, I've found two mistakes already with year-end filings with clients that I manage with them. I am happy with them otherwise, though, it's a great solution. Your tax accountant can advise you on reasonable salaries as well as draw structures that won't overdraw the basis and trigger capital gain. I've written a blog post in this same...

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Map

ADP TotalSource

20 Jay Street

Brooklyn, NY

CognosHR

17W635 Butterfield Road

Oakbrook Terrace,

Employers Resource

1301 S Vista Ave

Boise, ID

Execustaff HR

5898 Silver Creek Valley Rd

San Jose, CA

Premier Employer Services

7200 S Alton Way

Centennial, CO

Synuity

14497 N Dale Mabry Hwy

Tampa , FL

Best Employment Solutions Team

3000 Town Center

Southfield, ME

Engage PEO

4000 Hollywood Blvd.

Hollywood, FL

G&A Partners

17220 Katy Freeway

Houston, TX

Genesis HR

1 Burlington Woods Dr.

Burlington, MA

Insperity

19001 Crescent Springs Drive

Kingwood, TX

Paychex

911 Panorama Trail S

Rochester, NY

Justworks

601 W 26th St.

New York, NY

Questco

100 Commercial Circle

Conroe, TX

Tandem HR WI

Lyons HR

201 S. Court Street

Florence, AL

Siracusa Staffing & LeasingClearwater, FL

Services

List of 28The Best PEO Service Providers of 2019

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.

AccessPoint

https://www.apteam.com

AccessPoint is a PEO service that can provide your business with a wide variety of features, including HR auditing and hands-on HR policy development.

Axcet HR Solutions

http://www.axcethr.com

Axcet HR Solutions offers HR training, forecasting, succession planning options, employee coaching and many more features. Axcet's goal is to allow businesses to focus on their core competencies, while Axcet provides a comprehensive HR solution.

CognosHR

https://www.cognoshr.com

Designed for small to mid-size companies, CognosHR takes ownership of some of the employee-related tasks its client is working on. This allows the business to focus on the work rather than the HR related tasks.

Employers Resource

https://www.employersresource.com

Employers Resource is a PEO that aims to make dealing with all elements of handling employees easier. The company's PEO service helps with HR, payroll, safety and more.

Execustaff HR

https://www.execustaffhr.com

Execustaff HR handles human resources, payroll and benefits responsibilities for companies. The company aims to "never forget the 'H' in HR." Customer service is one of Execustaff HR's top priorities, stating that they while they utilize technology, they always have human representatives available.

FrankCrum

https://www.frankcrum.com

FrankCrum is a PEO service that has been helping small businesses for 35 years. It provides in-depth HR coverage, including an HR management team to help you implement specific areas of your service.

LandrumHR

https://www.landrumhr.com

LandrumHR is an established PEO service that has been helping small businesses since the 1970s.

NetPEO

https://www.netpeo.com

NetPEO can match your small business with the PEO service that's right for you. It does all the research, so you only need to meet with company representatives to determine which PEO is best for your business.

Premier Employer Services

https://premieremployerservices.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.

SBE 479

http://sbe479.org

SBE 479, which stands for Small Business Efficiency, can help you find reduced-cost benefits and other PEO services.

HROi

https://www.hroi.com

HROi, a subsidiary of Paychex, offers a wide selection of HR-related services to businesses as small as five people.

Synuity

https://www.synuity.com

Synuity's PEO service handles tasks from payroll processing to direct deposit to local, federal and state tax reporting.

Vensure Employer Services

https://vensure.com

Vensure Employer Services offers solutions for outsourced payroll, human resources, benefits, risk management and workers’ compensation services. The company offers services to business of varying sizes.

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.

Engage PEO

https://www.engagepeo.com

Engage PEO provides 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.

G&A Partners

https://www.gnapartners.com

From HR support to benefits administration to payroll services, G&A offers several professional services for businesses needing PEO and ASO services. The company works with you to create an HR package that will meet your needs and help you manage employees.

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.

Insperity

https://www.insperity.com

Insperity provides PEO services to businesses needing 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.

Oasis Outsourcing

http://www.oasisadvantage.com

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

Paychex

https://www.paychex.com

Paychex offers extensive, in-depth PEO services in benefits administration, risk management, human resources and payroll. This national company operates in all 50 states and offers fully up-to-date HR training.

Justworks

https://justworks.com

Justworks provides a technology-first PEO solution that focuses on HR, payroll and benefits. In addition to PEO services, it offers advanced resources for your HR and business needs.

TriNet

https://www.trinet.com

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

XcelHR

https://www.xcelhr.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 and in all 50 states.

Questco

https://questco.net

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

Tandem HR

https://tandemhr.com

Tandem HR includes numerous human resource features including employee handbooks, new-hire onboarding, employment verification and other training and development opportunities.

Lyons HR

https://www.lyonshr.com

Lyons HR offers PEO services ranging from the typical HR duties to recruitment services. The company aims to offer flexible and customized services designed specifically around the needs of your business. The company has been in business for nearly 25 years.

Siracusa Staffing & Leasing

https://siracusastaffi1.godaddysites.com

Based in Florida, Siracusa Staffing & Leasing specializes in workers compensation, payroll services and tax administration for small and medium-sized businesses.

The Best PEO Service Providers of 2019

by Matt D'AngeloLast Modified: January 3, 2019

Intro

Best Picks

Best Customer Service

Best for Very Small Businesses

Best for Startups

Best for Small Businesses

Best for Midsize Businesses

What to Expect in 2019

PEO Pricing

Negotiation Tips

Our Methodology

Reviews

ADP TotalSource Review

TriNet Review

Oasis Outsourcing - PEO Services Review

Insperity Review

Paychex - PEO Services Review

Best Employment Solutions Team Review

Engage PEO Review

Genesis HR Review

Justworks Review

Questco Review

XcelHR Review

G&A Partners Review

HROi Review

State of the Industry

Common PEO Service Questions & Answers

At what point should a small business look for HR help?

What are the best benefits packages for a start up company?

At what point do I need to offer benefits and think about using a payroll service?

Outsourcing payroll: Who do you prefer, a privately owned local payroll company or one of the big guys, and why?

What employee benefits should I have for a small business of 10-15 people?

How should I pay myself?

Map

Services

List of 28The Best PEO Service Providers of 2019

ADP TotalSource

https://www.adp.com

AccessPoint

https://www.apteam.com

Axcet HR Solutions

http://www.axcethr.com

CognosHR

https://www.cognoshr.com

Employers Resource

https://www.employersresource.com

Execustaff HR

https://www.execustaffhr.com

FrankCrum

https://www.frankcrum.com

LandrumHR

https://www.landrumhr.com

NetPEO

https://www.netpeo.com

Premier Employer Services

https://premieremployerservices.com

SBE 479

http://sbe479.org

HROi

https://www.hroi.com

Synuity

https://www.synuity.com

Vensure Employer Services

https://vensure.com

Best Employment Solutions Team

http://www.bestpeo.com

Engage PEO

https://www.engagepeo.com

G&A Partners

https://www.gnapartners.com

Genesis HR

https://genesishrsolutions.com

Insperity

https://www.insperity.com

Oasis Outsourcing

http://www.oasisadvantage.com

Paychex

https://www.paychex.com