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XcelHR Review

Skye Schooley
Skye Schooley
Staff writer Staff
Updated May 21, 2020

XcelHR provides human resources, benefits, payroll and risk management services for businesses across the country and of all sizes. Many PEO companies we reviewed require you to have a minimum number of employees to use their services, usually 5-10, but XcelHR has flexible acceptance standards. This is advantageous to very small businesses that need HR services or other PEO features, as they may not qualify with many other companies. 

XcelHR Review


The Verdict

XcelHR is a well-rounded PEO that can meet your business's needs in all the major service categories, like HR admin, payroll, employee benefits, and risk and compliance.

View all our recommendations for PEO services and HR outsourcing services on our best picks pages. 

XcelHR Pricing and Terms

Pricing for XcelHR’s PEO can be either a per-employee fee or a percentage of your gross payroll, depending on your business’s size. XcelHR is one of the very few PEO providers that offers services to any size of company – even those with just one employee. This flexibility sets it apart, as many of its competitors require a five- or 10-employee minimum. XcelHR is also one of the few PEO providers that lets you add or remove any features you need, instead of requiring a service bundle. 

XcelHR doesn’t operate on long-term contracts. Instead of locking your business down for an extended deal, it provides ongoing service that you can cancel at any time with a 30-day written notice (which is a requirement of just about every company we reviewed). It’s good to be able to switch services if your business’s situation changes or you need to explore other options, and XcelHR extends that flexibility to the actual structure of your service agreement. 

XcelHR PEO Features

XcelHR is a well-rounded service, with strong offerings in payroll, human resources and training. The flexibility of its service structure makes it a good option for very small businesses looking for payroll and human resources support. 

HR Services

As the company’s name implies, its HR offering is a standout aspect of its services. Some services to note are help with writing job descriptions and recruiting, resume reviews, PTO policy administration, onsite HR assistance, drug testing and background checks, pre-employment testing and phone interviews, salary administration and research, e-verification, and recordkeeping.

Employee Benefits

XcelHR provides the standard benefits, including 401(k) plans and coverage of health, dental, vision, disability and life insurance. It also offers employee benefits like insurance coverage acceptance, retirement, an HSA, annual shopping and rate negotiation, open enrollment notification, and employee eligibility tracking. 

Payroll and Taxes

XcelHR will process your payroll and provide a cloud-based platform for managing your employees’ pay. In addition to this service, the company will assist you with direct deposit, child support, garnishments, state and local tax compliance, quarterly filings, job costing, lost checks, wage verification, custom payroll reports, and W-2, W-3 and W-4 administration.

Risk and Compliance

XcelHR’s risk management and compliance services include safety audits and inspections, wage and hour claim investigations, workers’ compensation, annual wage and premium audit administration, safety policy development and documentation, and FMLA, OSHA, ADA, HIPAA and EEO compliance.

Training and Development

XcelHR offers training on various HR and compliance topics. For example, it provides supervisor trainings on termination procedures and hiring interviews. It can also assist you with companywide sexual harassment and discrimination training. It provides a safety training library as part of its risk management service. 

XcelHR ASO Features

In addition to PEO services, XcelHR offers a non-co-employment contract structure under an administrative services organization (ASO) agreement. ASOs, HROs and PEOs are all very similar, but ASOs and HROs (human resources outsourcing services) don’t have a co-employment contract structure, which means your business will be allowed to use a lot of the same services under a different model. The right agreement depends widely on your business’s size and HR needs. Many companies opt to start with HRO or ASO services and then grow into a PEO plan. If you’re interested in XcelHR’s other services, you’ll be able to find support in the following areas: 

  • Talent acquisition services
  • Job postings
  • Resume reviews
  • Phone interviews
  • Employee benefits plans
  • COBRA administration
  • Payroll processing
  • Direct deposit
  • HR compliance
  • Employee handbook development
  • Discrimination and harassment training 

For more information, you can view the company’s full breakdown here

Pros of XcelHR

XcelHR is very transparent about the services and features it offers on its website. It has a downloadable PDF with a list of every employment-related service it offers. It even goes so far as to state that 113 of its 146 services in its PEO offering are fee-inclusive, and it offers 33 other fee-extra services that you can add on to your plan. This makes it very easy to see what you can access with this PEO or ASO provider. 

XcelHR is a great option for very small businesses, especially those working in IT and government contraction, franchises, health and medicine, manufacturing, and skilled or professional trades. XcelHR does not require a minimum number of employees, and its features are completely customizable, so businesses of any size can create a package that best fits their needs and budget.  

Cons of XcelHR

While it’s a member of NAPEO and accredited by the IRS, XcelHR is not accredited by the Employer Services Assurance Corporation or the Better Business Bureau. These are minor shortcomings, but they can be noteworthy distinctions to help you narrow down your search for the right PEO service. 

Customer Service

As an XcelHR client, you get a designated service team for all your PEO questions and needs. Many companies provide an account manager who facilitates your access to various experts when questions arise; XcelHR, on the other hand, provides a designated HR specialist and a payroll specialist to your account once you sign up. For additional information about its PEO features, you can access XcelHR’s online resources, HR articles, newsletters, training and events, and HR glossary. You can reach XcelHR representatives by phone, chat or online contact form.

Editor’s note: Is your business looking for a PEO service? Fill out the below questionnaire to have our vendor partners contact you about your needs.

XcelHR Review


The Verdict

XcelHR is a well-rounded PEO that can meet your business's needs in all the major service categories, like HR admin, payroll, employee benefits, and risk and compliance.

Skye Schooley
Skye Schooley Staff
Skye Schooley is a staff writer at and Business News Daily, where she has written more than 200 articles on B2B-focused topics including human resources operations, management leadership, and business technology. In addition to researching and analyzing products that help business owners launch and grow their business, Skye writes on topics aimed at building better professional culture, like protecting employee privacy, managing human capital, improving communication, and fostering workplace diversity and culture.