7 Ways HR Outsourcing Can Banish Stress for Your Small Business This Year
Feeling stressed about HR administration and compliance for your small business? You’re not alone. More than 200,000 small businesses find help with a PEO , managing 4.5 million worksite employees. They utilized services ranging from regulatory compliance to benefits management to PTO tracking. Even better, small businesses that used a PEO over four consecutive quarters were 50% less likely to close their doors.
That all sounds great—but what specifically can a PEO do to keep your business running smoothly?
Let’s take a look at seven ways HR outsourcing can help you banish stress from your office and create a Zen-like workflow:
1. HR Administration
As every small business owner knows, it’s the daily administrative grind that often keeps you from doing what you love. Outsourcing your administrative tasks to a PEO frees you up to focus on the core activities and growth needs of your business rather than spinning your wheels on paperwork.
2. Payroll and Taxes
Payroll and taxes eat up hours each week for small business owners. Outsourcing to a PEO means you can hand off payroll, compliance, tax filing, withholdings, and more so you can get back to running your business. Because the PEO is the "employer of record," they share responsibility for ensuring that your taxes are paid, you are up to date on compliance issues, and your employees get paid on time.
3. Benefits Management
A PEO can help you educate your employees about their options, make it easy to choose, and provide support for workers compensation, healthcare benefits, unemployment ensurance, and more. In most cases, you can also get better insurance rates through a PEO since they have a larger pool of workers and can take advantage of economy of scale.
4. Compliance
Compliance errors can cost your organization thousands of dollars in fines and legal fees. Your PEO will keep a close eye on ACA requirements, full-time employee equivalence, FLSA overtime rule developments, and the numerous other compliance issues that affect your business.
5. Recruiting
Whether you’re hiring entry-level employees or executives who can your take your business to the next level, a PEO can bolster your recruiting efforts to help you find the right people for the job. When you outsource your recruiting function, you receive support at every stage of the hiring process, including job postings, applicant tracking, screening, interviewing, background checks, and more.liance
6. Talent Management
Today’s employees are consummate job-hoppers, dipping their toes in a number of different work environments before they find one they like. Talent management strategies help you keep employees on board, provide timely feedback, reduce turnover rates, and improve productivity. A PEO can help you reach those goals with performance reviews, personnel consultations, employee surveys, personality testing, turnover analysis and reporting, and exit interviews.
7. Technology
If your HR software leaves something to be desired, shifting the burden of payroll, employee benefits, and reporting to your PEO’s HR technology platform can cut down on hours of work and frustration. With a state-of-the-art HRIS, you can enter data once and let your PEO handle reports, filing, legal obligations, benefits information, and any other HR tasks needed to keep your business running.
Say Goodbye to HR Stress
PEOs bring a wealth of HR knowledge and experience to your organization. They also provide cost savings, industry expertise, and regulatory awareness, and they help you handle all the complexities of running your business—without the headaches.
If you're ready to partner with a PEO, we've got your back! Let us help you find your PEO match to meet those challenges head on in the coming year.
