A professional employer organization (PEO) provides comprehensive HR solutions for small and mid-size businesses. PEO’s provide a plethora of services. They take care of payroll, manage benefits, perform HR tasks and tax administration, and also regulate compliance assistance. Small businesses that work with a PEO grow 7 to 9 percent faster, have employee turnover that is 10 to 14 percent lower, and are 50 percent less likely to go out of business.
However, for most small businesses, there are five notable reasons that opting for a partnership with a PEO can deliver a positive return.
Reduces the Cost of Benefits
When small businesses are looking to grow, it’s important to question the benefits package offered to employees. Federal law requires small businesses to offer health insurance once they’ve gained a certain number of employees, and these costs can drastically weigh on a business due to the limited options available.
When your business is growing but still small, partnering with a PEO can provide access to the rates bigger companies enjoy and allow you to offer similar benefits packages at much lower rates than you would pay otherwise.
Keeps the Best Employees
When you save on health care, you can spend more on other benefits that your employees like as well, like gym memberships, paid time off and more!
Or you could bump up their salaries, which is the ultimate employee appreciation effort. This will help your business retain the talent you need to maintain steady growth and avoid the major loss of time and money associated with key employees leaving the company.
Keeps Your Business Compliant
It’s a full-time job keeping up with federal and state hiring laws. When you work with a PEO, they handle all the filing for you, keeping your business in full compliance at all times.
Focus more on Your Business
You might not have the money to hire a full-time human resources expert, but you also don’t have the time to do the work yourself. Payroll, taxes, hiring — it takes your focus and attention away from what matters: leading your company in the right direction.
You Can Get Advice When You Need It
A quality PEO is a small-business owner’s lifeline. Is there when you have questions about what to do in certain situations, like choosing the right hire or putting together an employment contract.
Cosmo Insurance Agency has a plethora of PEO options. Cosmo can evaluate your business to see if a PEO would be a fit. If a PEO is not right for you, Cosmo can guide you to a better solution that fits your needs. We are here to help, give you the peace of mind you’ve been missing. Call us today at 732-363-3888.
Cosmo Insurance Agency is an independent insurance agency serving surrounding communities in New Jersey. Cosmo keeps its promise to assure an efficient and creative approach to the services we offer. Each of our clients experience a personalized and long-term relationship with us. Our New Jersey based team of health brokers guides our clients in helping them choose the most cost-effective options. By incorporating the latest in technology-based tools and laws on healthcare, employee benefits, life insurance and finance, we keep our clients up-to-date with the plans that encompass all of their needs, whether it is individual or group insurance.