Save time and money, protect your business, move forward with confidence and offer employees access to Fortune 500®-caliber benefits. With a PEO from ADP®, your small (1-49 employees) or midsized (50-999 employees) business gets dedicated guidance and all-in-one technology to help you manage your HR, talent, benefits and risks, and achieve concrete results.
With a PEO, both you and ADP have a co-employment relationship with your employees. ADP assumes certain employer responsibilities such as payroll processing and tax filing. You maintain control of your business and all of the management responsibilities. It works hand-in-hand with your business to focus on the services that you need most:
Most companies that invest in a PEO find savings, although where they find it may fluctuate from year to year. Many discover that they can offer a richer overall benefits package than they could afford to offer on their own — and at a competitive price.
Companies who invest in a PEO may also find that they uncover savings when they:
A PEO lets you offer a richer, more complete benefits package than you could likely provide on your own — everything from medical, dental, vision and life insurance; commuter benefits; long- and short-term disability; 401(k) plans and more.
What’s the payoff? Better benefits can help you:
With a PEO, you don’t have to be the benefits point person. ADP communicates directly with your employees leading up to annual benefits enrollment to help educate your staff about their available choices. Your employees enroll online or by phone, and they speak directly with ADP when they have policy questions, life changes or need to report an incident.
ADP can help significantly reduce the risks of being an employer.
By following our guidance and processes, you may be covered by our legal defense benefit if an employee sues your company. ADP TotalSource® is the only PEO to offer this benefit.
Compliance is a central component of our PEO. Along with our systems and processes, our team of experts knows the latest HR compliance rules and regulations.
A risk and safety consultant will collaborate with and advise you on your worksite-safety program, training and claims, and help with compliance for your specific industry. This can help to:
A PEO can mean greater efficiency. You focus on managing and growing your business. We'll be your advisor on how to handle HR, payroll, benefits, compliance and talent.
We also partner with our clients to tackle today's talent topics, such as:
“I view the relationship [with ADP] as a partnership more than just a customer-supplier relationship. ... It can be a simple issue like updating a policy all the way to complex issues ... we have extra help out there that can help us navigate issues as we grow.”
—Arlyn Small, Senior VP Human Resources
Find out why more businesses are choosing a PEO relationship with ADP.
The contract between a client and the Professional Employer Organization (PEO) establishes the co-employment relationship. The PEO assumes certain aspects of employer responsibilities. Your employees become co-employed by both you and the PEO, thereby giving you access to the PEO’s built-in HR, compliance, benefits, payroll and tax infrastructure.
Certification by the IRS gives business owners confidence that a PEO partner meets the high standards set by the U.S. government and is recognized as the employer for federal employment tax purposes if certain other conditions are met.
A certified PEO is:
ADP TotalSource is a certified PEO.*
No. It is important to note that every PEO is a little different. ADP's PEO is responsible for processing your employees' payroll and withholding and for paying payroll taxes, maintaining workers’ compensation coverage, providing employee benefits and career development programs, providing human resources guidance, and providing worksite safety guidance. You continue to operate your business as you did prior to the PEO relationship. You remain an employer and do not lose any of your management or supervisory rights.
In fact, because PEOs help you manage HR and minimize risk, you actually have greater control of your business, because you can focus on your priorities — and not HR.
No. In fact, with ADP’s PEO, we learn your challenges and aspirations, and recommend strategies to help you achieve your goals. You are able to leverage the best of both worlds: the flexibility and control of owning your own business, along with the benefits and expertise of a large organization.
If you want help in this area, ADP can help you shape your company culture and employment brand to represent the company you are today — or wish to be in the future.
A PEO gives your business a risk partner that shares certain employment risks. As a vested partner, ADP TotalSource tasks our risk-and-compliance experts to keep up with ongoing changes to HR and safety regulations. We can help you react and comply with the changes that affect your business.
A PEO will also help you comply with other complex employer requirements.
No. The relationship between you and the PEO is distinct from the PEO’s relationship with other companies. No contractual relationship is ever created between all of the PEO clients. You are not responsible for any employees other than your own.
In a co-employment relationship, you share certain employer responsibilities with the PEO that cannot be achieved through typical HR outsourcing. For instance, with ADP’s PEO you gain access to robust benefits offerings and employee perks typically only provided by large organizations, and you may get additional protection for your business should you face an employee lawsuit.
No. While the co-employment model is a part of every PEO, there are a few key ways in which providers differ from one another:
Learn more about our PEO offering, ADP TotalSource.
You have complete control over whom you hire and the work they perform day in, day out.
ADP's PEO supports businesses with as few as two employees and as many as several thousand employees.
ADP's PEO provides you with dedicated experts, some of whom will come on-site when appropriate. The individuals are not, however, at a desk in your office every day.
Join the growing community of businesses leveraging ADP’s powerful technology, expertise and insight.
Cimquest 1-49 Employees Manufacturing Bedminster, NJ
4C Foods Corp 50-999 Employees Manufacturing Brooklyn, NY
Nina Footwear 50-999 Employees Retail New York, NY
American Campus Communities 1,000+ Employees Real Estate Service Austin, TX
KidPik Corp. 1-49 Employees Retail New York, NY
Safe Homes of Orange County 1-49 Employees Nonprofit Newburgh, NY
Grand Street Medical Associates 50-999 Employees Health Care Kingston, NY
Primetals Technologies 1,000+ Employees Manufacturing Alpharetta, GA
If you come to work for our company, you'll have the same benefits that you would have in any Fortune 500 company.
Jeff Wright, CEO
Urban Ministries Incorporated (UMI)
*The IRS does not endorse any particular certified professional employer organization. For more information on certified professional employer organizations, go to www.irs.gov.
Resources & Insights
Articles & Insights
Is more and more of your time being consumed with administrative tasks, compliance, and HR issues? If so, you may be a candidate for a PEO (Professional Employer Organization).
Articles & Insights
Not all PEOs are created equal. Consider a Certified PEO so you can make the best decision for the long-term success of your business.
Articles & Insights