A Professional Employer Organization (PEO) is an organization that joins hands with a company in order to make onboarding, managing and paying employees easier for the employer.
The trusted third party shares multiple employee-related responsibilities and liabilities with your company including payroll processing, taxes, deductions, employee benefits and much more.
Collaborating with a full-fledged professional employer organization allows you to handle the HR activities of your company in a hassle-free way.
Being an independent organization with industry specists, a PEO comes in handy to manage daily HR functions including payroll, tax compliance, bonuses, retirement plans, health insurance and other employee benefits efficiently.
The collaboration between your company and your PEO is known as co-employment. Yes, your PEO becomes a co-employer of your business.
Don’t panic. You have complete control of your business while the PEO only helps in managing HR-related activities.
Here is how it works. When you avail professional assistance from a PEO, you still manage the roles and responsibilities of your employees while the PEO takes care of legal compliance, taxes and other HR-based policies on your behalf.
So, this co-employment business model takes the responsibilities of handling complex HR functions off your shoulders and allows you to concentrate more on generating more revenue and take your business to the next level.
It is true that business owners have dilemmas over the co-employment business model. But, it is all based on misconceptions. It isn’t really a daunting idea if you understand the core responsibilities of a PEO and how to unleash its benefits for your business.
When you use PEO services, you are still in charge of managing your employees' roles and responsibilities. The PEO, on the other hand, is in charge of legal compliance, taxes, and other HR-related policies.
Managing HR-based activities in a workplace setup is a difficult task in itself because it involves everything from processing payroll to filing taxes.
Now, imagine doing this for your remote employees who work for you from various parts of this whole wide world. To carry out HR activities on a global scale is a complex process because labor laws and tax policies differ from one country to the other. To add to the complexity, Governmental bodies keep updating them from time to time. This is why you need a reliable international PEO.
The international PEO is a B2B arrangement where the professional employer organization handles specific aspects of the employment duties for a business like yours. With an international PEO, you can hire, manage and pay employees on a global scale without breaking a sweat.
Zero Time Wastage
Human resource management on a global scale is a time-consuming process. With PEO, you can allow specialists in the field to take care of the process for you. This way, you do not have to spend time on resource management and instead use the same to grab profitable business opportunities.
Accuracy is important as HR management involves the use of numbers for everything from employee payroll processing to tax filing.
When you rely on PEOs for the HR functions of your company, you can expect exactness in every step of the way. Yes, the experience is entirely different when an organization with HR management as its core responsibility comes to replace your in-house team which also has other organizational responsibilities to carry out.
Hassle-Free Record Maintenance
Report generation is one of the most complex yet inevitable tasks involved in the HR management section of the company. If you are still relying on manual methods to generate and maintain these records, it is high time to go for a worthy alternative.
A professional employer organization can take care of channelized recordkeeping on your behalf and you can easily extract reports out of the authentic data whenever necessary.
With a PEO to back you up, you can get real-time insights into the HR management process which, in turn, gives maxim transparency into what is happening at any given moment.
Say No to Regulatory Risks
Isn’t it difficult to meet the changing rules and regulations in order to manage your global employees? But this isn’t a choice but a necessity.
A PEO maintains updated tax tables and also has a constant eye for dynamic social laws across countries. This way, you can eliminate all the regulatory risks and carry out your HR operations seamlessly.
How to Choose the Right PEO?
There are ample professional employer organizations out there. Here is how you can identify the best PEO that can address your business needs.
Draw an Action Plan
The first step to selecting your PEO is drawing an action plan that includes the roles and responsibilities that you want the third party to take care of when they collaborate with you.
When you entrust the HR responsibilities of your company with someone, you need to make sure that they are a reliable name in the human resource management space.
This is because you allow them to take part in your organizational activities and handle sensitive information in connection with the employer and employees at large.
Evaluate their Expertise
Once you are satisfied with the reliability factor, you can pass on to the final step of the process where you weigh the PEO in terms of expertise so as to check if they can handle what you are about to offer them.
Multiplier is a hi-tech platform that allows you to onboard, manage and pay your international employees seamlessly. The best part is, you don’t need a local entity. You also gain complete ownership of your employees while we manage them for you.
100% statutory compliance is our promise no matter the number of locations involved.
With automation, Multiplier offers maximum precision and transparency into the resource management process. Plus, you get real-time insights to monitor every HR activity we carry out on behalf of you.
We have an eye for legal updates 24x7 which helps us to carry out global payroll in the most efficient way at all times.
Our clients are our top priority and your approval is our command. Yes, we carry out internal payroll and other HR activities only after you approve them with a click.
Try Multiplier once and we are sure you will love it!!