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Who Uses a PEO?

Posted by Anna Mastrandrea

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Jun 19, 2019 9:00:00 AM

Who Uses a PEOIf you’ve expanded your business in any capacity over the last few years, you’ve likely heard about a professional employer organization, or PEO. More business owners and HR managers are interested in what a PEO can do for them.

Download our whitepaper "7 Tips to Help You Hire the Right PEO" today!

You’re wondering if working with a PEO is the right fit for your business. Do you match the profile of the kind of business that benefits from a PEO partnership?

You might be surprised to learn who uses a PEO.

Small Businesses Benefit Most from PEOs

If you’re planning to expand your business in any capacity, working with a PEO might be an option to consider.

The PEO already has the infrastructure in place to help you expand your workforce from five to 25 and beyond. They provide a robust set of HR solutions smaller businesses just may not have access to.

For example, you may want to provide health benefits for your employees, but you don’t have the capacity to administer the program. Working with a PEO to set up a health savings account could be the answer you’re looking for. The PEO can access better pricing on behalf of their clients, and their expert team are able to administer the program.

Banking, insurance, and other infrastructure are all available to you when you work with a PEO.

Large Businesses Work with PEOs

While small businesses may benefit the most from partnering with a PEO, big businesses are also discovering the advantages of working with a professional employer organization.

PEOs have created infrastructure that’s designed to scale, which means they can administer payroll for 500 employees as easily as they could for a business with just five workers.

Larger businesses often find this helps them realize efficiency within their own operations, especially as they continue to expand. Rather than tying up their HR team with payroll every week, they can partner with the PEO to provide these vital HR services. It also allows them to expand their team to support further growth and new hires.

It may allow for more efficiency in the administration of benefits to their workforce as well.

International Employers Have Much to Gain

Perhaps the biggest benefits from PEO partnerships go to international employers. If you’re thinking about crossing borders, it’s time to consider working with a PEO.

Why do international employers see so many advantages with PEOs? The PEO gives them access to the infrastructure and expertise they need to get started in a new market. The PEO’s team is already well-versed in conducting payroll and ensuring compliance.

They also have the infrastructure needed to employ people, administer benefits like HSAs, and more. If you need access to banking or insurance, the PEO can provide it.

In short, the PEO can help you set up your operations and ensure the people you hire are well taken care of in any market you choose to enter. Having the HR aspects of international expansion handled by the experts allows you to focus on other aspects of the business.

Any Business Can Benefit from a PEO Partnership

Almost any business could benefit from a PEO partnership. While PEOs are particularly helpful for small businesses and expanding international employers, even mid-sized and large employers can realize plenty of advantages when they partner with the right PEO.

Still not sure working with a professional employer organization is the right move for your business? Get in touch with the experts today. We can help you assess your situation and discover just how the right PEO partnership could help your business grow.

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Topics: Professional Employer Organization

How a PEO Can Help Global Companies with Employee Management in the United States

Posted by Ray Gonder

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Jun 10, 2019 9:00:00 AM

How a PEO Can Help Global Companies with Employee Management in the United StatesAnyone in HR knows how difficult it can be to provide effective employee management. It’s a challenge even when you’re working in the same office building, in the same country.

Download our whitepaper "7 Tips to Help You Hire the Right PEO" today!

Global companies have an even larger challenge. They could have employees in many different markets, and those employees may have varying expectations about the workplace culture. The legal frameworks and employer responsibilities can also vary drastically. Add in the fact that many of these employees are working remotely or in satellite offices, and you have your work cut out for you.

It’s one of the many reasons global companies often choose to work with a professional employer organization (PEO). Here’s how a PEO could help your global firm manage your US employees more effectively.

The Legal Aspects of Employee Management

One of the most important ways a PEO helps global companies manage employees in the United States is by navigating the legal framework around employment.

The US is a particularly complex situation because there are multiple levels of government. Federal laws, state laws, and even local laws may apply to employment arrangements at your company.

A PEO could help in this arena due to their experience and expertise with US laws. They might be able to give you expert advice and help you ensure compliance.

Help Finding the Right People

Another advantage of the PEO’s experience is their knowledge of the labour market. While you’ll remain in control of hiring decisions, the PEO can offer you tips and advice on every aspect of the hiring process.

This could include information about job hot spots and areas with talent shortages. They may be able to advise you on legal aspects of the hiring process, such as how to avoid discrimination in interview questions. New York City, for example, has banned questions about past salary.

Handling Payroll Is Easier with a PEO

One of the toughest parts of employee management is handling payroll. The US payroll framework isn’t an easy one to master either. There are multiple levels of government, all of them expecting different tax withholdings.

You’ll need to withhold both federal and state taxes, as well as FICA funds for Medicare and Social Security. Even local governments may require you to pay taxes to support schools, public transit, and other local infrastructure.

There are other aspects of payroll to consider as well. Overtime pay is one of them. Minimum wage might be another.

If you’re not familiar with the rules, then collecting the right amounts and remitting them on the right schedule can be difficult. Mistakes in payroll add up, resulting in penalties and additional expenses for global companies.

A PEO can help. By providing payroll services, they’ll ensure you’re following the rules and remitting all your withholdings on time.

Other Areas of Compliance

There are many other areas of employment where compliance is important. Record-keeping is a big one. How long do you need to keep employee information on file? Which records do you need to keep? You must also evaluate how your record-keeping aligns with data and data security regulations.

Another concern might be workers’ compensation and other forms of insurance, which you may be required to have. Different states have different regulations.

Even employee classification is a growing area of concern for global companies looking to employ people in the United States.

An experienced PEO can help you navigate all of these ins and outs.

Get the Helping Hand You Need

As demonstrated, a PEO can assist global companies with US employee management in a number of different ways. If you need help managing this aspect of your US operations, don’t hesitate to reach out to The Payroll Edge.

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Topics: Professional Employer Organization

7 Ways a Canadian PEO Will Help You Work Smarter and Save Time in 2019

Posted by Ray Gonder

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Feb 20, 2019 9:00:00 AM

7_Ways_a_Canadian_PEO_Will_Help_You_Work_Smarter_and_Save_Time_in_2019With 2019 in action, you’re likely seeking ways to improve your operations and build on what you did last year. Maybe growth is in the forecast, or maybe you need to scale back. Whichever the case, you’re looking for ways to work smarter, not harder.

Download our free guide on what US companies need to know about paying  employees in Canada.

How can you save time and money in 2019? One of the smartest steps to take may be to partner with a Canadian professional employer organization (PEO). There are many ways a PEO partnership could help you achieve your 2019 business goals.


1. Tap into Industry Expertise

One of the best reasons to work with a PEO is to gain valuable insights and expert knowledge about your industry.

A Canadian PEO may have more experience or understanding of the local market for your products and services. They also have better knowledge about the job market for international operations. Getting this expertise on your side is one easy way to make sure you’re working smarter.


2. Manage Risk and Compliance with Ease

If you’re expanding your company into Canada, you might already be aware of some of the issues surrounding risk and compliance. How familiar are you with the legal requirements around hiring an employee or terminating employment in Canada?

Again, the PEO’s expert knowledge is invaluable to a company operating in multiple markets. Having this knowledge at your fingertips makes it easier than ever to manage risk and ensure compliance.


3. Payroll Management Is a Breeze

Payroll is one of those important, yet time-intensive tasks that can bog down your business operations. If it’s not done on time or correctly, you could find yourself in trouble with the Canada Revenue Agency.

Payroll also takes up your valuable time, however, and since it must be done regularly, it ends up distracting you from your core tasks.

When you work with a Canadian PEO, you can get back to business sooner. You’ll also have peace of mind knowing the PEO will handle payroll correctly and efficiently.


4. Take Care of Your Taxes

Another way a Canadian PEO can help in 2019 is by filing your taxes. Like payroll, business taxes can take up a lot of your time, and they can cost you if you’re not careful with them.

Call on the PEO’s expertise again. Their experience is an asset as they prepare your taxes, file on time, and ensure remittances are sent in before their deadlines.

With the tax burden off your plate, you can turn your attention to growing the business instead.


5. Let a PEO Handle Benefits Administration

Offering benefits to your employees is a smart business move. It can also be a make-work project, particularly if you don’t have a PEO partnership to help you stay on top of the administration.

Changing regulations and benefits plans translate into benefits administration that can take more time than you’d like. A PEO can handle the paperwork and track compliance so you don’t have to. Better yet, the PEO may even be able to offer access to better plan pricing for small businesses.


6. Handle Workers’ Compensation Easily

Workers’ compensation may be another area you’re concerned about, especially if you’re expanding into a foreign market. You may not be aware of the requirements your business will need to meet.

A PEO can take this concern off your shoulders, handling the process from end to end.


7. Get Access to the Latest Technology

How does a PEO make your HR operations so much simpler? One way is by using the latest technology. If you’re not sure you can or should invest in a new HR system, partnering with a PEO may be your best bet.

There are so many ways a Canadian PEO can help you work smarter this year. Get in touch and discover what the HR experts can do for you.

12 Things an American Company Looking to Hire a Worker in Canada Needs to Know

Topics: Professional Employer Organization

Why You Can Put Your PEO Fears to Rest

Posted by Anna Mastrandrea

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Feb 4, 2019 9:00:00 AM

Why_You_Can_Put_Your_PEO_Fears_to_RestIf you’ve decided to take your business international, you’ve likely heard some discussions about working with a professional employer organization. While you might be considering a PEO to help you avoid common challenges, ensure compliance, or take HR administration off your plate, other business owners and managers may have told you about their own experiences.

Download "7 Challenges Companies Face When Expanding into the US" eBook

Perhaps you have questions of your own as well. You may be worried that working with a PEO means you’ll lose control of your business, or you might be concerned about the PEO suddenly altering your terms.

It’s natural for a business owner to worry about these sorts of things. When you work with a PEO, however, you can rest assured your investment in the relationship is safe.


A PEO Will Not Take Over Your Business

One of the most common misconceptions about professional employer organizations is that they’ll take over your business or reduce your control over it. You’ll no longer have a say in who you hire, how much you pay, or anything else.

This isn’t true. A PEO acts on your behalf, providing you with expert help for payroll and other HR tasks. While they may act as the employer on record for your workers, they’re ultimately following your policies and orders. They’ll advise you on changes you need to make to remain compliant, but the decisions are left to you.

You are still ultimately in control.


Do Your Research

Many business owners worry the PEO they partner with will go out of business. While this can be a valid concern, you should do your research beforehand. What’s the business’s record like? A newer company is more likely to go under than one that’s been successfully operating for over a decade.

You might also question whether the PEO partnership is a good investment. This can require a little bit more research, but the answer is often yes. If you run a small to mid-sized business, you may find a PEO is a great option to keep operations running smoothly.

Of course, this hinges on what you want out of the relationship. You’ll want to ask whether the PEO has experience in your industry and what their area of expertise is. If you want someone to handle payroll and the PEO you’re considering has an army of tax lawyers and benefits administrators, you might want to consider another company.

You should also ask questions about fees and pricing structures. Some PEOs do have hidden fees. Ask for an unbundled quote and read the fine print. Discover exactly what you’re paying for before you sign on the dotted line.


Most PEOs File Taxes on Time

Another reason you may want to engage a PEO is to ensure your payroll taxes are being filed on time and correctly. A common concern is that the company won’t prioritize your taxes, especially if your account is small.

It’s prudent to check the PEO’s reputation. You can do so by looking at online reviews. Most PEOs that have been in business for some time can be counted on to file taxes on time.

You may also want to check your contract for protections. What happens if they don’t file taxes on time? Your contract should give you options.


PEOs Are Professionals

Occasionally, you may make a misstep and partner with the wrong company. Most PEOs, however, are reliable and can be trusted. In most cases, you won’t need to worry about a PEO suddenly going under, altering the terms of your agreement, or unexpectedly ceasing communications.

That’s because PEOs are staffed by professionals. When you partner with them, you enter into a professional relationship between two businesses. Service agreements and contracts must be honoured.

If you do your research, read the fine print, and act professionally, chances are you’ll find a winner. Working with a PEO can ease your operations, so don’t let fear hold you back.

What US Companies Need to Know about Paying Employees in Canada

Topics: Professional Employer Organization

Why Employ Americans with a PEO?

Posted by Karen McMullen

|

Dec 5, 2018 9:00:00 AM

Why_Employ_Americans_with_a_PEOEntering a new market is an exciting time for a business. Whether this is your first international market or one of several you’ve entered, you’re likely excited about the growth opportunity being presented to you.

Download "7 Challenges Companies Face When Expanding into the US" eBook

You may also be concerned about how exactly you’re going to pay your employees in the American market. Whether you’ve opened up a branch office and need to staff several positions or you’ve opened up several remote roles to Americans, you’re going to need to pay them.

The situation may leave you asking, “How do I pay my employees?”

There are several solutions you can try. One option might be to cut a check, which is old-fashioned, slow, and costly. Direct deposit can be another option, although you’ll have to factor in exchange rates and fees. Going through payment services like PayPal can be quite costly. On top of all of this, you’ll still need to worry about payroll taxes and remittances.

Another option you have is teaming up with a professional employer organization. This third-party provider takes all of the stress and worry out of paying your American employees.


The PEO Acts as the Employer

A professional employer organization acts as the employer of your American employees. They pay your employees on your behalf, using the resources they have at their disposal. It’s exactly like if you were paying the employees yourself via payroll, except the PEO is the one issuing payment.


Let Them Take Care of Payroll Taxes and Remittances

Another good reason to employ Americans via the services of a PEO is that the professional employer organization will take care of payroll taxes and remittances.

The IRS has strict rules about how payroll deductions are to be calculated, and their deadlines for remitting those deductions are unforgiving. The penalties are steep too. By working with a PEO, you can ensure you’re in the clear when it comes to calculating your payroll taxes and remitting them.

In the United States, each state also has its own rules for payroll taxes and remittances. The expertise of a professional employer organization is invaluable, especially if you’re going to be employing people in several states.


They Understand the Law

American employment law is quite different from Canadian employment law, or from employment law in the UK or Australia. It’s one of the best reasons you should enlist the help of a qualified professional employer organization.

Your American employees will be governed by the federal and state laws pertaining to their employment. If you don’t know the rules, you might run into trouble.Worker classification is a great example. What you consider a contractor or vendor may be defined differently in the state where you’re employing Americans.

The PEO can help you navigate these choppy legal waters and help ensure your compliance.


You Can Use Their Resources

You might have heard about the Affordable Care Act in the United States, which compels employers to offer health insurance to their employees. You may also want to offer other benefits to your employees.

You’ll also need insurance to operate your business. Different states have different requirements and minimum insurance levels.

Setting up benefits or getting an insurance policy can be tricky. Instead, team up with a PEO for your American operations and make the process smoother.

As you can see, there are many reasons you should partner with a PEO to pay your American employees. If you have some American employees to pay, why not talk to a professional employer organization today?


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Topics: Professional Employer Organization

Debunking Common PEO Myths

Posted by Karen McMullen

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Nov 12, 2018 9:00:00 AM

Debunking_Common_PEO_MythsHuman resources is an important part of your business. Unfortunately, many HR tasks, such as employing and paying employees, can be quite time intensive. They can become even more complex when you expand your business into another country, such as Canada or the US.

12 Things an American Company Looking to Pay a Worker In Canada Needs to Know

If you’re looking for ways to make things easier, you might be wondering about working with a professional employer organization (PEO). PEOs are designed to take on a number of the HR tasks you need to complete to keep your business running smoothly in a new country.

Many business owners worry that working with a PEO isn’t the right option. There are many reasons for this, including some of the common myths about PEOs. Most of these myths have no basis in truth. Working with a professional employer organization might, in fact, be a great choice for your business.


A PEO Partnership Is Only for Large Businesses

One of the most prevalent myths about PEOs is that you can only partner with one if you’re running a large business. This idea stops many small and mid-sized business owners from partnering with a professional employer organization, even if it would benefit them.

Where did this myth come from? Most small business owners believe they must have a certain number of employees to need any sort of human resources help. They might also believe their situation is so simple that they don’t need help and they can manage it on their own.

This can lead to costly mistakes and inefficient processes. If you’re unsure or feeling overwhelmed about employing workers in Canada or the US, don’t forget you can ask for help, no matter how large or small your organization is.


PEOs Are the Same as Staffing Firms

PEOs and staffing firms have some similarities, so it’s easy to see how people could get mixed up on this point.

That said, a professional employer organization and a staffing firm are not equal. PEOs provide much more comprehensive support to their clients. PEOs don’t supply labour but they do manage the responsibilities of employing a permanent workforce.


You Have No Control

Another common misconception about working with PEOs is that you’ll be giving up your control. You won’t have any say in how other HR policies are adopted and enacted in your business.

Your business is still your business, even when you start working with a PEO. The professional employer organization is a partner in helping you run your business in the most effective, efficient way. To that end, they’re going to work closely with you to make sure your policies and practices are enacted, that you stay compliant with the law, and more.


It Will Be Too Expensive

This is probably the #1 myth about PEOs. Many business owners believe working with a PEO is unaffordable. They may think it’s more economical to keep their HR functions in-house, even when things aren’t getting done or the HR team is overwhelmed by foreign compliance.

In many cases, a professional employer organization is more affordable than you might think. New technology is helping PEOs deliver better, more streamlined services to their clients for lower costs.


Your HR Team Can Handle It

Another reason people avoid working with professional employer organizations is that they believe their HR team is more than capable of handling the demands of these tasks in another country.

While your HR team is no doubt talented and capable, think about the additional demands you’re placing on them by asking them to look after international employees as well. They may have more than enough to do when administering HR for your own office, and they may not have the knowledge and expertise required to manage foreign compliance.

There are many different myths about PEOs, but most of them can be thoroughly debunked. If you’ve been hesitating about working with a professional employer organization for any of these reasons, you can ignore them and embark on a great partnership today.


What US Companies Need to Know about Paying Employees in Canada

Topics: Professional Employer Organization

How Does PEO Payroll Work?

Posted by Ray Gonder

|

Nov 7, 2018 9:00:00 AM

How_Does_PEO_Payroll_WorkYou’re busy as your business expands across borders, into new territories and markets. You have a lot on your mind and on your plate. Even your talented HR staff are starting to feel a little overwhelmed as they look after both your domestic employees and those in other countries.

You have a few options for resolving this situation. You could hire more HR staff to help, or you could look at outsourcing some of your tasks.

Download "What Are You Leaving to Chance By Handling Payroll on Your Own" Guide

One of the most common jobs to outsource is the payroll process.

What is payroll process outsourcing?

Like other types of outsourcing, this involves sending your payroll activities out of house to a third-party provider. If you work with a professional employer organization (PEO), they’ll look after all of the payroll activities related to the employees under their jurisdiction.

How exactly does PEO payroll work, and is it the right choice for your business?


PEO Payroll Is All-Inclusive

When you work with a PEO, you’ll be sending many different HR tasks over to them, including your payroll activities.

Essentially, you’ll partner with the PEO to look after certain employees. In many cases, this will be those workers who are employed by your foreign operations. For example, if you have workers in Canada, you’ll partner with a Canadian PEO.

The professional employer organization acts as the employer for these workers. The PEO is listed as the employer, collects and remits payroll taxes, administers benefits, and more. They may also be responsible for HR activities such as hiring, onboarding, and training.

As the PEO’s role in these workers’ employment is almost all-inclusive, it only makes sense PEO payroll would be all-inclusive as well.


The Payroll Process from Start to Finish

What this means is that the PEO will handle the payroll process from the first step right to the end. You won’t need to worry about it, unless there are concerns or adjustments such as how to calculate vacation pay or how benefits are accrued.

The PEO begins by ensuring they collect the employee’s information, including hours worked, rate of pay, classification, and other information pertaining to rates of taxation and accruement of benefits.

The PEO will calculate and collect taxes, as well as ensuring benefits are properly calculated. Sick days and vacation days will be tallied and recorded as well. The PEO then pays the employee. They also remit payroll taxes to the Canada Revenue Agency and keep records.


What Do You Need to Do?

PEO payroll requires relatively little input from you and your team, which is why it’s such a great solution. It allows you to access the resources the PEO has at hand, including financing and expertise, to administer payroll for your international employees easily.

You may want to check in with the PEO every now and then to ensure compliance with regulations and company policy. Your input might be needed around things such as rates of pay, policies about vacation time, or if there are changes to benefits. For the most part, however, the PEO looks after even these details.

You’ll be required to pay the PEO for their services. Most often, this fee comes in the form of a percentage of your employees’ salaries. You may or may not be required to finance your employees’ salaries. The PEO often has access to their own resources, which they’ll use to ensure payroll is paid on time.


Is a PEO Right for You?

Now that you understand how PEO payroll works, you probably have one more question. Is it right for your business?

It could be. If you and your HR team are busy with other tasks or you’re concerned about compliance in another jurisdiction, a partnership with a PEO could be the payroll solution you’re looking for.

12 Things an American Company Looking to Hire a Worker in Canada Needs to Know

Topics: Professional Employer Organization

Start Selling in Canada by Hiring Canadians through a PEO

Posted by Shannon Dowdall

|

Sep 26, 2018 9:00:00 AM

Start_Selling_in_Canada_by_Hiring_Canadians_through_a_PEOAre you ready to expand your business into Canada? Maybe you’ve done some careful market research and you know the Canadian market is wide open for the product or service you offer. Perhaps you’ve heard from many Canadians who wish your business operated in Canada.

12 Things an American Company Looking to Pay a Worker In Canada Needs to Know

Now you’re thinking about expanding to reach this as-yet untapped market. You’re not ready to open a branch office right now. Or maybe you want to test the waters. Perhaps you’ll open your doors soon, but you want to get the jump on things and start selling now.

You can do this by hiring some Canadian workers. You can do that by working with a PEO.

What does PEO really stand for?

The term PEO stands for “professional employer organization.” This partner company will work with you to manage all of your human resources needs for your Canadian operations, including hiring and terminating employees, in addition to everything in between.


What Does a PEO Do?

As mentioned, a professional employer organization helps you manage all of your human resources needs in Canada. Whether you need to hire Canadian workers, administer payroll and benefits, or terminate someone or manage a leave of absence, the PEO is there to help you do it all.

The PEO acts as the legal employer of your Canadian workers. You enlist the PEO to manage all of your HR needs in Canada. They consult with you about certain aspects of your operations, such as how many people need to be hired, in what capacity, and how much the position will pay.

The PEO can also advise you on local law, on the job market, and who you need.


How Does This Help You Get Started?

You might wonder how working with a PEO gets you selling in Canada any sooner. After all, you could likely hire some Canadian workers yourself. Wouldn’t that have the same effect?

As mentioned, the PEO handles all of your HR-related concerns for the Canadian operations. Since they have better knowledge of the rules surrounding hiring, paying benefits, and remitting payroll taxes, this can make your Canadian operations much smoother.

Working with a professional employer organization is also a way to jumpstart your Canadian operations. By teaming up with them, you gain access to their network of resources. This includes their financing and insurance infrastructure, which can help you do things like pay your employees and insure your business operations.


Getting Great Advice

Another service a PEO partnership can offer you as you begin selling in Canada is good advice. This can be hard to come by. If you handle Canadian HR on your own, you’re more likely to make a few missteps.

The PEO has a better knowledge of Canadian employment standards and the Canadian job market. They can tell you more about competition for certain types of sales people or specialists. They can also inform you about legal requirements for contract lengths and types of workers.

When you expand your business into a foreign country, it’s unlikely you’ll know all the ins and outs of doing business there. The PEO helps you fill in the gaps in your knowledge so you can keep things running seamlessly.


Should You Work with a PEO?

The question you likely have now is whether or not you should work with a PEO. The answer is usually a resounding yes.

If you’re planning to expand your business operations to Canada and you want to get started selling sooner, working with a PEO is a great solution. If you need access to financing or suspect you’ll need help conducting activities like payroll, it’s a good idea to bring a PEO on board from the very start.

If you’re still not sure PEO services are right for you, talk to a provider today. They can help you assess your needs and get starting selling in Canada.

What US Companies Need to Know about Paying Employees in Canada

Topics: Professional Employer Organization

4 Ways a PEO Helps Businesses Expand Across the Border

Posted by Karen McMullen

|

Sep 12, 2018 9:00:00 AM

4-Ways-a-PEO-Helps-Businesses-Expand-Across-the-Border-compressorExpanding a business internationally is no small feat. Once you’ve managed to grow the business to an appreciable size in your home market, you’ll likely begin to look for other ways to continue growing. An international expansion is likely one of the options you’ll consider.

Download "7 Signs It's Time to Outsource Payroll" Guide

Growing across the border is often an excellent opportunity, but it also comes with its fair share of challenges. If you want to be successful, you’ll likely want to enlist the help of a number of professional partners, including a PEO.

What is a PEO?

A professional employer organization, or PEO, is a full-service partner in your expansion. They offer you the infrastructure for banking and insurance, as well as access to services such as hiring and human resources, that you may have more difficulty accessing on your own. More than this, they’re ready to offer you the advice and expertise you need to grow across the border successfully.

How exactly does a PEO help businesses grow across the border? You can count the ways.

1. A PEO Acts as an Employer

A professional employer organization acts as the legal employer for your employees. The PEO can get started hiring sooner, so you can hit the ground running.

In practice, this means the PEO takes over hiring, training, and even terminating employees. Their expertise means you can be sure your human resources management is operating in compliance with local law

The PEO administers payroll and benefits as well, minimizing the tasks you need to add to your HR team’s plate.

2. A PEO Can Help You with Banking

Another concern businesses have when they set up shop on the other side of the border is finances. How will you access banking services? In order to set up a bank account, you often have to be resident in the country and have a permanent address. As a foreign entity, your business may have difficulty accessing the financial resources it needs to get things underway.

The PEO can help you here as well by offering your business access to the banking services they’re already using. You may be able to set up an account or transfer funds from your business to the PEO or vice-versa. You may also be able to access credit through the PEO, giving your business much-needed capital to keep operations rolling.

3. Getting Insured

The PEO may also be able to assist you in accessing the insurance infrastructure across the border. Insurance products are much like banking products and services, and foreign businesses may initially have difficulty accessing what they need.

The PEO’s own insurance infrastructure resolves the issue for you, providing you with the coverage you need for your operations. The PEO can also make recommendations and help you find the right provider, often at a lower cost than you might pay on your own.

4. Giving You Great Advice

Perhaps the most important thing a PEO can do for a business expanding across the border is to give expert advice. The PEO is more familiar with the laws and regulations in place across the border, so they’ll be able to offer insight and information you may not otherwise be aware of.

This can help you make the right decisions for your business and cut through red tape more easily. The right advice is crucial when you’re making a big move like expanding a business across borders. Having a PEO on your side is a huge advantage.

These are just a few of the different ways a PEO can help you as you continue to grow your business. If you’ve been thinking about crossing the border, get in touch with a PEO.

What US Companies Need to Know about Paying Employees in Canada

Topics: Professional Employer Organization

5 Practical Ways a PEO Will Help You Work Smarter in 2018

Posted by Anna Mastrandrea

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Aug 8, 2018 9:00:00 AM

5-Practical-Ways-a-PEO-Will-Help-You-Work-Smarter-in-2018-compressorYou’ve likely heard about professional employer organizations (PEOs) and how they can help your business operations in Canada or other international markets. You may have even considered working with one during your latest expansion. You may still be considering one for your Canadian operations. 

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Whether you’re just expanding to the Canadian market in 2018 or you’ve had operations in the country for a while, bringing on a PEO is a great idea. Here are just a few of the practical ways a PEO can help you work smarter.

1. Streamline Hiring

People are one of a business’s most valuable assets, so it only makes sense you want to hire the best of the best for your business. Attracting talent is tough in this market, however, as Canadian unemployment has hit a 40-year low and many industries are experiencing talent shortages. 

In addition to this, international firms often run into complications when it comes to hiring. They may not be familiar with local rules about hiring. Their processes, which work well at home, may also not be suited to hiring quickly in a foreign market. 

This is where the PEO can step in. The PEO can help you streamline your hiring process, providing the right technology and better access to the local job market. They’ll assist with tracking and assessing candidates. They can even conduct interviews and recommend hires, as well as help you navigate the complex legal waters around employment legislation.

2. Keep Payroll on Track

Another way a PEO can assist your business operations is by handling payroll. Like hiring, payroll in Canada can be quite different from what you’re used to in your home country. Different rules and regulations change the way payroll is handled. These differences can result in penalties or even an audit. 

Working with a Canadian PEO can help you avoid these issues in your payroll administration. Payroll will be delivered on time, in compliance with the rules and regulations.

3. Administer Benefits with Ease

PEOs can also administer benefits to your employees. There are a few ways working with a PEO provides advantages here.

The first is that the PEO is using an economy of scale to provide everyone with a better benefits package. PEOs often have responsibility for hundreds or thousands of employees, which means they’re purchasing for many more accounts. As a result, they receive better rates. The PEO may be able to offer better, more affordable benefits than you could on your own.

The next thing is your PEO can help you actually administer those benefits with ease. They’re more familiar with the rules, so they’ll be able to select packages and structures that fit the needs of Canadian employees. Americans, for example, may find benefits options in Canada are structured quite differently, especially when it comes to healthcare.

4. Get Good Advice

Perhaps the largest benefit a partnership with a PEO can offer any business is good advice and a great working relationship. The staff at the PEO are experts in their area, which means they’re in a good position to be able to provide you with guidance on any number of business activities.

If you’re unsure about Canadian workplace legislation, how to go about hiring an employee or terminating one, or need assistance calculating vacation pay in different provinces, the PEO is there for you. They may be able to offer insights into business decisions that could help you run your Canadian business more efficiently.

5. Get Your Time Back

Working with a PEO can take many important, yet time-consuming, tasks off your desk. You can get your time back and focus on how to continue growing your business while the PEO looks after the rest.

12 Things an American Company Looking to Hire a Worker in Canada Needs to Know

Topics: Professional Employer Organization

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