PEO Facts / PEO Answers

Does using a PEO mean that a PEO “supplies new employees for which I then pay a fee”?

A. No, a PEO “hires” your current employees. Then leases them back to you. Usually reducing human resource costs and employer liability.

Q. How will using a PEO be to MY advantage?

A. PEOs enable your business or corporation to claim that it has “no legal employees”.

Q. Is the PEO responsible for employee related reports?

A. The PEO would be the “co-employer” of all of your employees, therefore, the PEO company would handle all of the employee related tasks and expenses such as: Employee Payroll, Workers Compensation, Unemployment, Business Compliance, Employee Health, Dental, Life and Disability Benefits.

Q. Will statements be made available upon request?

A. PEOs offer a variety of statements and/or reports, customized to fit each individual clients needs.

Q. Can current clients be contacted at random for their evaluation of the Texas PEO?

A. PEOs will be more than happy to provide a list of references.

Q. By leasing my employees to a PEO, do I lose control of them?

A. The owner maintains operational control of his or her employees.

Q. So, how much DOES it cost to use PEO services?

A. Believe it or not, PEO services, usually do not cost any more than you are already spending on employee related expenses!

Q. How is it possible that using a PEO will save me money?

A. Most businesses can not get the discounts that larger companies realize. By “pooling” all of their clients’ employees together, PEOs are able to obtain those volume and premium discounts on various employee expenses such as:Workers Compensation, Employee Health, Dental, Life and Disability Benefits. There are also possible tax advantages.