According to the latest data from the largest association of HR outsourcing firms in the United States, roughly 15% of all employers with between 10 and 99 employees use a professional employer organization (PEO) for their HR needs. This surge of outsourcing can be attributed to many benefits over having a full-time in-house accounting and human resources staff. Namely, outsourcing to a PEO can save companies money, help a business owner retain employees, and free up employers to focus on key aspects of growing their business.
NetPEO has decades of experience in the HR outsourcing world and was founded by veterans of the industry. We are available to help Rochester businesses through all or some of their human resources outsourcing needs.
How NetPEO Saves My Company Money
Most of the time, employers like yourself find that outsourcing their HR services to a PEO or a Rochester HR outsourcing firm like NetPEO is less expensive than hiring a full-time staff. Typically, there are two ways of calculating how much a PEO costs.
Percentage of Total Payroll
One pay structure that is available to business owners is payment to a PEO as a percentage of the company’s overall payroll. This method is usually beneficial for companies that have a high number of employees on lower wages, since a per-employee payment structure may cost more. PEOs charge anywhere from 2% to 12% of payroll in most cases.
Flat Rate Per-Employee
The other pay structure common among PEOs is a flat monthly rate per each of the client company’s employees. Since this method is based on the number of employees rather than total payroll, it can be a great option for companies with fewer employees or employees on high wages. A common range for most PEOs is between $40 and $160 per employee, per month.
How NetPEO Helps Retain My Employees
A huge factor that affects the viability of many businesses in Rochester is employee turnover. By providing high-end HR services, a PEO like NetPEO can help keep employees satisfied so that business owners do not have to spend valuable time and money on further recruitment and training to replace top-tier talent. In fact, the National Association of Professional Employer Organizations estimates that companies that use PEOs experience 10% to 14% lower employee turnover rates than those that do not.
Better Employee Benefits Packages
As a PEO, NetPEO enters into a co-employment relationship with our client businesses. This means that we become a co-employer of your company’s employees and can provide services normally reserved for employers. One of the services we provide is the handling of employee benefits packages. Since we are co-employers with all of our client business owners, we can include all of their employees in our pool, allowing us better bargaining positions for benefits packages and a lower individual cost for those benefits.
How NetPEO Frees Me to Focus on My Business
HR services require time and expertise, causing many business owners to fill up their schedules learning confusing legal jargon and poring over mountains of paperwork. Instead, let NetPEO help. Some of the services we provide include:
- Small Business Payroll Services
- New Hire Services
- Legal Compliance
- Unemployment Matters
- Workers’ Compensation Cases
PEOs like NetPEO can handle hiring and firing decisions as well, though you will always have the final say in such matters. Similarly, we can assist you with the creation of a clear business growth direction and company culture, but you always retain control over your business.
NetPEO Has the Credentials to Help My Company
NetPEO was founded by veterans of the HR world with decades of experience helping clients in a variety of industries. We’ve worked with employers who own restaurants, law firms, construction firms, retail stores, and much more, so we are ready to take on the challenges of your business.
You can trust us with your company’s human resources services just as many other Rochester businesses already do. In fact, NetPEO has experienced so much growth in the past few years that we have attained a spot on the coveted Inc. 5000 list of fastest-growing U.S. companies.
Get Your FREE Quote Today
If you are a business owner looking for HR solutions, look no farther than NetPEO. As a professional employer organization, we provide unique services to businesses in need and can help you build a strong base for the future of your company. We know that your time as a business owner is limited, so we provide all of our potential clients with a FREE quote on our services so that you know what to expect if you join our extended client family.
To get in touch with us, simply fill out the form on our contact page and a representative will respond to your request within 48 hours. If you prefer over-the-phone interaction, call us at 770-962-1700. We look forward to helping you with your company’s unique concerns.