The Best Professional Employer Organizations PEOs in 2024

For this guide, we reviewed 14 PEO companies for small businesses and narrowed the list down to our top nine recommendations. However, the best PEO company is the one that caters to your needs the most. That said, take some time to evaluate your business’s requirements to identify where you need help the most.

A strong onboarding experience is the key to making a positive first impression with new hires. Paychex recently revamped its employee onboarding tools to deliver a more seamless onboarding experience. Employees can even go through all of their onboarding paperwork from a mobile device.

For instance, it only requires businesses to have one employee and there are no payroll minimums. Instead, it lets business owners pay a percentage of their payroll or per employee. Like most PEOs, it doesn’t require long term contracts but does state that business owners must give a 30 day written day notice prior to canceling. Paychex charges businesses per employee, instead of a percentage of payroll basis. It also allows clients to cancel anytime, provided they give a 30-day notice in writing.

They often have online HR reporting tools, employee self-service options and advanced HR technology. One of our favorite aspects of AlphaStaff is its support and guidance, which we believe is a real benefit to franchise businesses. When you partner with AlphaStaff, the company can review your organization to develop strategies that match your current and growing needs. The PEO also offers benefit advisory services to help you through the process of administering benefits in an efficient and compliant manner.

For a more detailed guide on choosing the best PEO services, see Choosing the Right PEO Services. And remember, any decision must be made only after carefully reviewing the PEOs services and checking that any proposed PEO agreement is fit-for-purpose. Unlike many other services, the Paychex support teams work directly with employees in providing HR support. All clients work with a Payroll Account Manager and a Human Resource Generalist, however as they add on more services, additional consultants are brought on board. The more standard PEO services such as HR outsourcing, administration, and PEO benefits are available on an ‘add-on’ basis, providing a more flexible offering.

1. Justworks is an IRS- and ESAC-certified PEO with two plans, one of which includes benefits.
2. Instead, it is strongly recommended to get a quote from the company if you are interested in their customer-oriented, full-service approach and find their offered features agreeable.
3. TriNet has customer support teams with expertise in your industry and provides the most comprehensive industry-specific support features.
4. Paychex PEO offers solid HR and payroll automation tools besides its PEO service.
5. This helps eliminate confusion during open enrollment and reduces the number of questions you need to field from your employees.

In fact, one of the main reasons companies outsource their HR tasks is so that payroll will be handled for them, and some companies handle just payroll and specialize in doing so. With the right company (and most will be suitable for this job), you will not have to worry about payroll, timing, or related taxes. You will be able to access information related to payroll, etc., of course, but it will be taken care of for you and will generally only need an occasional review. Several PEO companies specialize in working with small businesses, whether they are growing rapidly or have been comfortable with their small size for years. Note that many PEO companies might also provide specialist services that are unique or semi-unique to them, in which case you may want to ask more specific questions to a representative of that company. Oasis also simply has some of the best payroll processing in the industry, and if that is all you are looking for, then Oasis is the way to go.

ADP TotalSource serves as a strategic partner for businesses by managing critical HR functions and providing access to a wide range of HR services. From payroll administration and benefits management to compliance support and risk management, ADP TotalSource helps businesses streamline their HR operations and navigate complex employment regulations. PEO services can also manage the onboarding of your new hires, taking the administrative burden best peo for small business off your company while ensuring all the appropriate paperwork and training is completed. PEO companies also offer extensive reporting to ensure regulatory compliance with all state and federal regulations. Paychex PEO is a good choice for small businesses that want comprehensive payroll services. The PEO’s offerings include online and mobile payroll, a dedicated HR professional, regulatory compliance, an HR technology platform and HR services.

While it does not declare its pricing, for very small startups and employers on a tight budget, a more no-frills service may better suit their needs. No other PEO has devoted specialists to serve clients across a broad range of industries. This ensures that any small business engaging TriNet has a partner who deeply understands their business. A focus on supporting the compliance needs of manufacturing and the trades means that XcelHR gets our pick for best PEO for health & safety. Read more about ADP’s PEO services in our comprehensive review of ADP TotalSource.

Best for small business

PEO companies offer employee benefits plans that you might not be reachable otherwise, like life or disability insurance, commuter benefits, healthcare plans, worksite benefits, mental health support, etc. A PEO acts as a co-employer that provides services for your business and its employees. It can allow you to outsource important HR functions, such as payroll, benefits and training while ensuring compliance with federal and state employment laws. By working with a PEO, you may free up your time and focus on improving your products or services and growing your business. In addition to the standard PEO services, TriNet also provides industry-specific support teams that are familiar with the ins and outs of their clients’ businesses and their HR needs. This environment of professional guidance gives new business owners an extra resource to draw on as they plan their next moves.

Oasis also has a lot to offer if your business is in a specific field or industry, as they provide solutions for a wide range of industries. Pricing will depend on the services and benefits your business is interested in, the size of your business, and other factors. To that end, we cannot list an accurate price here for you and instead guide you to contacting TriNet yourself for a quote. A PEO can make that much easier by allowing you to offer benefits employees want and identify top performers in the first place. A PEO can provide benefits that you simply will not have access to at a cost you can afford.

Paychex: Best Overall PEO

This benefit can make it easier for businesses to choose what they need on a budget-friendly basis. If you need to expand your company and find the best talent to do so, CoAdvantage should go to the top of your list. A Certified Professional Employer Organization, or CPEO, is a PEO that voluntarily applied https://adprun.net/ to be certified by the IRS. Being certified means that a PEO meets the CPEO program’s meticulous background, experience, business location, financial reporting, tax compliance, and bonding requirements. ADP TotalSource is a powerhouse, serving as one of today’s biggest PEOs in over 140 countries.

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Scoring 4.38 out of 5 in our evaluation, it lost points not only for non-transparent pricing but also for some tools costing extra. It also has some of the worst customer reviews we’ve seen, particularly when it comes to not filing payroll taxes correctly—and Paychex not honoring its guarantee. It should be noted that where those complaints are seen, Paychex has responded, offering to resolve the issue. Nonetheless, it has an A+ rating from the Better Business Bureau and is IRS- and ESAC-certified. Don’t expect the process to be fast, says Amber Kellogg, vice president of affiliate origination and management at Occams Advisory, a financial and professional advisory firm for small businesses. It can take up to two weeks to gather all of the required documentation and, if you’re working with a tax professional, another two weeks for them to complete their computation.

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TriNet offers industry-specific service plans, so your business can receive specialized attention based on your particular business environment. TriNet’s PEO offering provides HR services, risk management, document management, payroll processing, compensation benchmarking and benefits administration. TriNet offers custom dashboards with pre-built key performance indicators (KPIs) and visualizations so that you can gain insight into the HR trends that matter to your business and industry.

With TriNet’s support solution, Connect 360, HR experts and support reps are available 24/7 via web chat. If your company has employees — or intends to hire employees in the future — you need to find a way to manage your human resources (HR) functions. While a business with just a few employees might be able to manage HR without any assistance, many companies find it valuable to outsource their HR responsibilities. They also provide compliance on all issues of employment law, from ACA, COBRA, disability and state filings. Some things that Infiniti HR has done correctly are having a comprehensive resource center and online training programs.

To help you find the right solution for your needs and budget, here are the best PEO services available today. We gave more weight to reputation in this update, digging deeper into certifications, user reviews, and years in service. We also considered reviews by the employees themselves, since a high turnover in your PEO can affect the quality of service you receive. The only price Rippling posts on its website is its core module, which you need for any service. You’ll need to call for a quote; the quote we received includes the core module. It has multiple modules, so, like Paychex, the price will increase as you add tools.