the peo service model

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Bob Churchwell, CBC 301-588-2144 [email protected]

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Page 1: The PEO Service Model

Bob Churchwell, CBC

301-588-2144

[email protected]

Page 2: The PEO Service Model

Professional Employer Organizations (PEOs) enable clients to cost-effectively outsource the management of human resources functions, employee benefits, compliance, payroll, risk management, and workers compensation.

PEO clients are able to shift their focus from administrative tasks to core competencies.

Saving busy executives and business owners time and money ….. and improving their bottom line.

Place their business in a competitive position.

Page 3: The PEO Service Model

PEO becomes the “Employer of Record” for all of your administrative responsibilities.

◦ Transfer of liability for

Payroll HR Management

Payroll taxes Benefits Administration

Unemployment claims Workers Comp claims

Client continues as worksite “ Co-Employer” ◦ Controlling the business, supervising employees,

assigning who works where, when, and at what.

Shared risk for employment practices compliance.

Page 4: The PEO Service Model

Pro-active HR professionals on call and on-site. ◦ Rapid response time ◦ High level of expertise ◦ Direct access to a team of problem-solving

experts ◦ Benefits Support - claims, enrollment, life

events ◦ Dispute Resolution - Employee Mediation ◦ Risk Avoidance and Workplace Safety Training ◦ HR Information Systems and Employee Self-

Service

Page 5: The PEO Service Model

Flexible options for transmittal of payroll data and hours worked

Complete processing of payroll:

◦ Paycheck preparation and delivery, including direct deposit

◦ Calculation, filing, and payment of all federal, state, local taxes and mandated reporting

◦ Accrual and tracking of paid time off

◦ Audits – Special Reports

HRIS Integration – export to Excel and QuickBooks

Automated Attendance Systems

Page 6: The PEO Service Model

Web access to

◦ Payroll Data

◦ Benefits Information

◦ Paid Time Off Summaries

◦ Personal Information

◦ Handbooks

Secure log-in

24/7 access

Page 7: The PEO Service Model

Examples include:

◦ Training seminars for managers and employees

◦ Policies and procedures to help insulate the business from employment related claims

◦ Employee relations management services

◦ Customized employee handbook

◦ Wage and salary surveys

◦ Compensation analysis

◦ Job descriptions

Page 8: The PEO Service Model

Large Group “Fortune 500” Benefit Plans ◦ National & Regional Networks such as ◦ Aetna, Blue Cross, PacifiCare, Kaiser, United

Healthcare, Humana ◦ Choice of HMO, PPO, POS and HDHP Plans ◦ Life, Dental, Short/Long Term Disability Plans ◦ Vision, Ancillary Benefits, Employee Assistance

Plans ◦ Low Cost 401(k) Plan Administration

& Investments ◦ Online Medical Information Claims Centers ◦ Employee Self Service ◦ Flexible Spending Accounts (FSA) & Health

Savings Accounts (HSA)

Page 9: The PEO Service Model

PEO master group health plans are subject to simplified underwriting. Clients enjoy affordable large group rates.

PEOs have composite rates that do not vary by age or gender. Rates are tiered by single, spouse, children or family coverage.

Each employee has the option of electing from a choice (usually 3) plans. The employer can set contributions as a percentage of the lowest cost plan. All Employee premiums are pre-tax contributions.

All PEO health plans offered are fully-insured from leading national insurance carriers such as Aetna, Blue Cross Blue Shield, United Healthcare & Kaiser.

Your Employee Benefits Advocates HR service partner will provide all plan administration. Every business is assigned a benefits team to assist with all claim or administrative issues for your clients.

Page 10: The PEO Service Model

Table 2 ( - 35)

*Lowest Rates -

Assigned based on

company census

High Deductible

Health Plan

$1,500 Deductible

Single - $285

Family - $750

$25 - $50

Co-pay

$1,000 Deductible

Single - $350

Family - $950

$20 - $30

Co-pay

$500 Deductible

Single - $475

Family - $1,250

Table 4 ( 45 + )

*Higher Rates -

Assigned based on

company census

High Deductible

Health Plan

$1,500 Deductible

Single - $400

Family - $1,150

$25 - $50

Co-pay

$1,000 Deductible

Single - $475

Family - $1,350

$20 - $30

Co-pay

$500 Deductible

Single - $575

Family - $1,550

Rates may be based on the your actual census. Premiums are Monthly - Rates and Renewal Periods vary by PEO. Employer

contributions can be 50% of lowest cost plan.

*The rates will vary based on the selected PEO, Medical Plan and Health Insurance Carrier.

Page 11: The PEO Service Model

Additional benefits include: ◦ Travel, Club Memberships, Disney Dollars

◦ Long Term Care Insurance Programs

◦ Employee Recognition Programs

◦ Identity Theft and Legal Plans

◦ Employee Discount Programs

◦ Supplemental Executive Plans

◦ Special Banking Privileges

◦ Pet Insurance

Page 12: The PEO Service Model

Business owners will experience: Professional, proactive HR management services Comprehensive benefit plan offerings Accurate and timely reporting Ability to attract and retain qualified employees The ability to focus on key competencies

And increased efficiencies due to: Streamlined benefits communication, education, enrollment & paperwork Transfer of administrative and compliance tasks Automated systems and support services

Page 13: The PEO Service Model

Step 1 – EBA explains the benefits of working with a PEO.

Step 2 - Business consultation, needs analysis, suitability study &

client’s questions and answered by EBA.

Step 3 - EBA supports data collection process i.e. Proposal Info,

Workers Comp Data, Census, and Group Health Statement.

Step 4 - Proposal and contract delivery by EBA for client review.

Step 5 - Contract completion and service review by client & EBA.

Step 6 - Set-up, orientation, and enrollments conducted PEO &

EBA.

Step 7 - First payroll is run by PEO.

Page 14: The PEO Service Model

To get started contact:

Bob Churchwell, CBC

301- 588-2144

[email protected]

www.employeebenefitadvocates.com