Use a PEO to Free up Some Time, Its Your Weekend
It’s Friday, a quarter ‘til five, and your attention is drifting. What are your plans for the weekend? If your answer is, paperwork, you need to consider a PEO, or professional employer organization. PEOs can be great resources for outsourcing payroll, managing taxes (especially SUTA), and obtaining worker’s compensation insurance for your employees. Ultimately their job is to save you time.
Consider taxes for a moment. Not only can they be difficult to pay but they can also be downright confusing. Who do you pay and how much? Will that change next year? How will you know? Fortunately, PEO companies can help because they stay up-to-date on government tax regulations and changing rates. They are a great tool if your company spans several states as each state has it's own tax laws. You would not want to start your company in Florida, where your business would not be required to pay state income taxes, and then expand into Georgia with the assumption that you still would not have to pay any state taxes. The PEO will make sure you comply with the required state laws. They will also let you know if different tax rates rise or fall so that you do not owe the government more money or pay too much in taxes.
PEOs can be helpful in tax compliance because they are great consultants. They are also used by many companies because they take on the tiresome administrative tasks. Although you ultimately remain in control of your employees and their day-to-day management, you do not have to worry about processing payroll or determining employee benefits. These are time-consuming tasks that distract you from other important responsibilities that must be addressed by you. Would you rather spend your time researching workers’ comp coverage or preparing for your sales pitch to a possible client? The answer is simple. As a small business owner, you understand the importance of delegating* tasks, so why not delegate administrative duties to a PEO?
The greatest value of a PEO company is probably its ability to save you time. Essentially, PEOs force you to become more efficient because they prevent you from wasting time on “less important” tasks. If you hire a PEO, you can focus on running your business without worrying about filing payroll taxes or even screening resumes. So if you do stay late at the office or go in on the weekends it can be your choice. You no longer have to give up time with your friends and family but can create a balance between your work life and your personal life. Consider a PEO and reclaim YOUR weekend!
About the Author
Carolyn Stoll Sokol is a frequent contributor to PEOcompare and writes about issues that may affect small businesses. She is a founder of PEOcompare.com which helps match small businesses with PEOs for their particular needs.
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