QA

Frequently Asked Questions

Find answers to the questions we recieve most, as well as generation information about working with a PEO.

What is a Professional Employer Organization (PEO)?

A PEO is an outsourcing firm that provides comprehensive human resource solutions and administrative financial services to both small and medium-sized businesses.

Can my business benefit from partnering with a PEO company?

When you partner with a PEO, your business can benefit in a number of ways:

  • Focus on your core business: Removing non-revenue producing tasks allows you to spend more of your time growing and maintaining your business.
  • Lower expenses and increase profits: By outsourcing your human resources, benefits, and payroll administrative tasks, you can take advantage of our economies of scale and broad expertise. In turn, this will lower your total overhead business cost and put revenue back in your company’s pocket.
  • Become an employer of choice: Providing better benefits programs for employees enables you to attract and retain top talent for your business.
  • Put your business in good hands: Rest easy knowing you have access to on-demand guidance on legal compliance and improved risk management, safety support, training, and claims processing services.

What is co-employment?

Co-employment is a relationship where the PEO acts as the administrative employer of record for the client company and the client is the worksite employer. This relationship is based on a true partnership. The PEO helps small and medium-sized businesses achieve economies of scale not otherwise available on their own.

What are the roles of each employer in a co-employment relationship?

When you partner with a PEO, your business can benefit in a number of ways:

The PEO:

  • Responsible for payment of wages, managing workers’ compensation claims, and other various administrative functions related to the assigned employees
  • Handles the regulatory paperwork and compliance issues.
  • Gives managers advice on proper human resources procedures, including terminating and discipline
  • Provides client and/or its worksite employees with workers’ compensation insurance and unemployment insurance
  • Offers and administers employee benefits, including health insurance, 401(k), a Section 125 plan, voluntary insurance products, and more!

Client Company:

  • Responsible for directing and controlling the daily activities of their respective business
  • Responsible for ensuring a safe work environment
  • Keeps track of actual hours worked and reports those hours to the PEO for processing
  • Transfers payroll funds to the PEO each pay period

Does the PEO have to process my payroll?

Yes. Paying wages is an essential component of the co-employment relationship. Without this, the PEO would not be able to provide workers’ compensation, health benefits, and other PEO services related to the co-employment relationship.

Employers provide the salary and hours for each worksite employee and the PEO processes the payroll and gives all payroll-related taxes and reports.

Will we lose our company relationship with our employees by partnering with a PEO?

No. The management relationship you have with your employees will continue. Partnering with a PEO enables you to improve this relationship by offering improved HR-related products and other PEO services.

Who is responsible for compliance with employment laws and regulations?

Ultimately, the responsibility for complying with most employment laws and regulations is the client. At INVO PEO, we can provide you guidance and education to help you remain compliant.

Who is responsible for the employment taxes?

While the client is responsible for providing the funds to cover payroll and payroll taxes, the PEO administers the payment of wages to employees and payment of taxes to the appropriate agencies.

Can INVO PEO help with producing a handbook and policies?

Yes. INVO PEO can work with the client to draft a handbook and a variety of policies as needed.

Can INVO PEO provide training in different areas of human resources or other areas, such as safety?

Yes. We can develop a training program suitable for the client.

Privacy Settings
We use cookies to enhance your experience while using our website. If you are using our Services via a browser you can restrict, block or remove cookies through your web browser settings. We also use content and scripts from third parties that may use tracking technologies. You can selectively provide your consent below to allow such third party embeds. For complete information about the cookies we use, data we collect and how we process them, please check our Privacy Policy
Youtube
Consent to display content from - Youtube
Vimeo
Consent to display content from - Vimeo
Google Maps
Consent to display content from - Google
Spotify
Consent to display content from - Spotify
Sound Cloud
Consent to display content from - Sound