Managing employee benefits can feel like a full-time job—whether it’s health insurance, retirement plans, or other perks. It’s complex, time-consuming, and let’s be honest, not exactly the most exciting part of running a business. But here’s where a Professional Employer Organisation (PEO) can step in to lighten the load.
In this article, we’ll dive into how PEOs handle benefits administration, the key advantages they offer, and how their services contribute to higher employee satisfaction.
PEOs are all about making life easier for businesses, especially when it comes to employee benefits. They manage the kind of benefits that not only make your team happy but also help your company attract and keep top talent. Here’s a look at the core benefits PEOs typically manage:
We all know health insurance is one of the most important benefits for employees. But it’s not always easy for smaller companies to offer comprehensive healthcare plans. With a PEO, that changes. PEOs offer access to group health insurance plans that are usually only available to larger companies, and they also throw in wellness programs like mental health support or fitness incentives.
Why This Matters: According to Glassdoor, 60% of employees say health benefits are a major reason they stay with a company. Offering competitive healthcare options can really help you keep your top talent happy.
Retirement might seem far away, but for employees, it’s a big deal. Offering a solid retirement plan can make a huge difference in how employees view your company. PEOs can set up and manage 401(k) plans (or similar options) so your team can feel secure about their future.
Why This Matters: SHRM found that 88% of employees consider retirement benefits a crucial factor in job satisfaction. Having a good retirement plan makes your company more appealing in the long run.
Beyond health insurance and retirement, PEOs manage a bunch of other perks that make working at your company more rewarding:
Why This Matters: According to SHRM, 80% of employees would choose a job with better benefits over one that offers a higher salary. Offering these extra perks helps you stand out as an employer that cares.
Managing employee benefits isn’t just about offering perks—it’s about handling the ongoing admin work that comes with it. PEOs simplify the entire process so you can focus on running your business. Here’s how they make it all easier:
Keeping up with the latest laws and regulations around employee benefits is tough. PEOs take care of this for you, ensuring everything is compliant and up to date. Whether it’s tax filings, legal documentation, or changes in healthcare laws, PEOs have it covered.
One of the biggest challenges businesses face is communicating benefits clearly to employees. PEOs handle this by offering easy-to-understand materials and direct support, so employees can easily navigate their benefits and make informed choices.
Why This Matters: When employees understand and can easily access their benefits, they feel more valued and supported at work, which boosts their satisfaction.
PEOs don’t just set up benefits and walk away. They’re involved in the ongoing management of your benefits program, ensuring everything runs smoothly year after year.
Why This Matters: When benefits are managed well and kept up to date, employees are more likely to feel secure and happy at work, reducing turnover.
Working with a PEO doesn’t just make benefits easier to manage—it brings real value to your business. Here’s how:
If managing employee benefits feels like a never-ending task, partnering with a PEO could be the perfect solution. A PEO takes care of the admin side, helps you offer competitive benefits, and ensures your business stays compliant, all while boosting employee satisfaction.
Want to learn more about how a PEO can help your business with benefits administration? Download our PEO Guide to get a deeper understanding of what PEOs do and how they can support your growth.
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