Dinsmore Steele Business Blog
Gain valuable insight into small businesses' challenges and how to solve them.
How PEO Helped Business During the Pandemic
It goes without saying that the COVID-19 pandemic has affected everyone, including businesses. A lot of companies did cost-cutting as well as lay-off some of their employees. These decisions are hard to make for all business owners. However, the pandemic left them with no choice.
The pandemic has also proved how important it is for a big or small business to have a PEO.
Despite the world being in an unfortunate crisis, PEO has helped companies with their administrative and human resources-related tasks.
Dinsmore/Steele Joins NAPEO
Dinsmore/Steele, the Human Capital Authority, announced this week that it has joined the National Association of Professional Employer Organizations (NAPEO). According to NAPEO’s website, it is America’s largest trade association for professional employer organizations (PEOs).
What’s your Administrative Percentage for your PEO?
Often times we find that very intelligent CFOs and CEOs are still challenged to figure out exactly what they are paying. While the Payroll and big-box PEOs show the client the administrative percentage, it’s still very difficult to decipher what you are paying because your State Unemployment Rate Assessment (SUTA, SUI), Workers’ Compensation, Health Insurance, as well as your State and Federal taxes are included in that percentage. So in order to accurately identify what you are paying you to have to mathematically back out the numbers.
Professional Employer Organization Enrollment Fees
Most Professional Employer Organizations (PEO) charge an enrollment fee for joining them. First let's examine what an enrollment fee is and why PEOs charge one, when you join a PEO they do an immense amount of work and require a significant amount of resources to ensure a smooth transition to their platform. Therefore they charge an enrollment fee to offset the expense of the resources utilized.
