Save More, Get More by Outsourcing to a PEO 

Save More, Get More by Outsourcing to a PEO 

Posted by HR Division of Propel HR on 3/28/24 2:15 PM
HR Division of Propel HR
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Posted on: March 28, 2024

Outsourcing certain HR functions to a PEO can help small businesses optimize operations while reducing costs. Here's how. 

Choosing the Right PEO

Mitigating Workplace Risks. Recently, the Equal Employment Opportunity Commission (EEOC) fined a national pharmacy and retailer $205,000 when one of its locations refused to grant emergency leave to a pregnant employee, forcing her to quit. Such conduct violates two important laws: Title VII of the Civil Rights Act of 1964 and the Americans with Disabilities Act. These laws prohibit discrimination based on pregnancy-related conditions and disability, and prohibit retaliation, including making a reasonable accommodation request. In addition to the fine, the company was required to maintain and distribute policies prohibiting discrimination based on pregnancy, pregnancy-related conditions, and retaliation and invest in training for employees and supervisors.

AdobeStock_660798105_01Managing compliance with the constantly changing federal, state, and local employment laws and regulations is daunting for businesses, regardless of size and industry. A Professional Employer Organization (PEO) can help. PEOs specialize in keeping track of new laws, deadlines, tax filings, wage regulations, and other legal requirements to avoid compliance violations and the costly fines, penalties, and legal disputes that come with them. By partnering with a PEO, businesses can rest easy knowing they won't get hit with a surprise that could hurt their bottom line. 

Access to Expertise and Support. PEOs employ experienced HR professionals with extensive knowledge and experience in all areas of HR. Outsourcing to a PEO means access to a wide range of HR services without maintaining an in-house HR department. This allows more resources to go towards core business functions, such as product development and marketing, ultimately promoting growth and profitability.

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AdobeStock_613262092_01More Efficiency, Less Paperwork.  From regulatory reporting, record-keeping, and frequently changing filing deadlines for state, federal, and local tax compliance, your HR team may be spending a lot of time chasing paperwork and files. PEOs can help businesses with ways to cut out inefficiencies, reduce HR administrative tasks, streamline your HR processes and save money. According to the National Association of Professional Employer Organizations (NAPEO), PEOs provide access to more HR services at a cost of close to $450 lower per employee compared to companies that manage their HR in-house.

More Time. Better Bottom Line. Outsourcing offers many advantages and can positively impact your bottom line. It’s a cost-effective way to immediately access resources and gain valuable industry expertise. Because you pay for only the services you need, the cost to outsource is often less than the cost of hiring additional full-time staff.

🚀70% of Businesses Report INCREASED Revenues Since Working with a PEO🚀

By outsourcing non-core functions to a PEO, employers can redirect more time and resources toward activities that drive value. For instance, a PEO can handle payroll, employee benefits, compliance and general HR. With certain  functions taken care of by the PEO, your management team can concentrate on innovation and expansion.

AdobeStock_596642851_01Access to Premium Employee Benefits, Lower Cost. Offering a competitive employee benefits package can be financially out of reach for small businesses working with limited resources. PEOs help smaller employers compete by providing access to enterprise-level benefits packages and other perks typically associated with large corporations—all without breaking the bank. 

Scalability and Flexibility. As your business evolves and grows, your HR needs change too. PEOs help employers adjust their services to suit fluctuating workforce requirements and business conditions. If you're expanding your team across different states, a PEO can help you navigate the complexities of various employment laws in each location. Whether you're scaling up to accommodate rapid expansion or downsizing to withstand economic downturns, PEOs can help you easily adapt to change.

➡️➡️READ MORE:  Harnessing the Power of AI in Recruitment

Are You Ready to Save?

Outsourcing to a PEO isn't just a smart business move—it can be a financial game-changer. When it comes to saving money, most businesses share the need for expert guidance. By partnering with an IRS-certified PEO like Propel HR, small businesses can get the support they need to get costs under control and leverage the money saved. From access to better benefits at lower costs, compliance protection, and guidance on improving HR efficiency, the advantages of adding a certified PEO to your team increase the odds for a stronger bottom line.

Are you ready to save? If so, just give us a call at (800) 446-6567 or visit to learn more. 

Choosing the Right PEO

About Propel HR. Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 25 years. Propel partners with small to midsized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs. For more information, visit

Topics: Featured, PEO

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HR Division of Propel HR

The HR Division is made up of a team of professionals with a vast level of experience and HR expertise, assisting organizations of all sizes and within a wide variety of industries. They readily partner with clients to address strategic and compliance challenges surrounding the employment life-cycle and the ever-changing laws that regulate it. Inquire below about how they can help you!