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What is a PEO, Exactly?

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What Does a PEO Do?
Professional employer organizations (PEO) provide integrated HR solutions for small and medium sized businesses. The services a PEO offers include payroll, benefits administration, human resources best practices consulting, state and federal employment tax administration, regulatory compliance and risk management.

How Do Businesses Benefit from a PEO?
By partnering with a PEO, businesses turn over time-consuming and expensive back office HR tasks to a team of experts. Business owners can focus on their business’ core functions and growing that business, while Anthros focuses on the wellbeing of the team. A PEO navigates the constantly changing landscape of employment regulations and taxes, which means businesses stay in compliance and are better protected against liability. In addition, business owners and their employees get access to HR management technology and experts that have decades of experience in HR problem-solving. Businesses that hire a PEO are more flexible, grow more quickly and experience lower rates of employee turnover.

Does the PEO Become an Owner or Operator in the Business?
No. The PEO has no power to hire, fire, change wages or set strategy. Ownership remains the same. The PEO supports business operations by processing payroll, paying employment taxes, administering benefits and maintaining employee records. Most of the time, employees will interface with the PEO only when they need to update their personal information or have payroll inquiries. The PEO may consult or offer training on HR and employment issues, but the client remains solely responsible for business operations.

What Makes Anthros Different from Other PEOs?
Anthros is not like other PEOs. We do all the things a PEO does but we also become a champion of our clients’ company, culture and team. We establish long-term partnerships and work closely with clients to promote a company culture that attracts and retains talent. Our legal team actively manages and identifies risks, and we complement our HR services with industry-specific business growth consultation and brand management. Each business is unique and we work with clients to craft customized human resources solutions that meet their specific needs and help them build a legacy in their industry.

About the Author
Dyannah Byington is the Brand Manager at Anthros Inc.