Frequently Asked Questions

HR outsourcing involves hiring a third party to manage all or part of your HR needs, such as payroll, benefits administration, or compliance support. The provider may work with your existing HR staff or manage human resources tasks on your behalf. In both cases, you retain complete control of your business, and your team can focus on core business functions.

The main types of HR outsourcing include:

• Administrative services provider (ASO), which provides HR and administrative services. Your business chooses which HR services you need.

• Professional employer organization (PEO), which is a comprehensive HR solution. The PEO manages day-to-day HR on your behalf and provides access to employee benefits and HR technology.

• HR technology or HCM (human capital management) vendor, which provides software that streamlines common HR processes, such as payroll processing. The system may specialize in one or multiple HR functions.

• Employer of record (EOR) or international PEO, which legally employs workers outside of the U.S. on your behalf.

Businesses can also contract with an HR outsourcing provider for specific projects, such as creating a handbook.

G&A Partners offers HR outsourcing services through three solutions:

• Comprehensive PEO solution
• A la carte ASO solution
• Self-service HCM solution

Compare G&A’s solutions to find the right option for your business.

A PEO works with your company through an agreement called co-employment. The PEO becomes the employer of record for your employees and shares liability with your business on employee-related matters.  

This arrangement enables a PEO like G&A Partners to handle HR administrative tasks on your behalf, freeing your team to focus on core business functions. Your business will continue managing day-to-day operations, making all business decisions, and handling all personnel decisions. Learn more in our “What is Co-Employment?” article. 

In a co-employment arrangement, the PEO assumes primary responsibility for withholding payroll taxes, filing quarterly and annual returns, and remitting taxes. An IRS-certified PEO (CPEO), like G&A Partners, takes on greater liability and is solely responsible for handling payroll taxes, which provides your business more peace of mind.

With HR compliance, the responsibility is shared between the PEO and your business. A reputable PEO like G&A builds in compliant processes, provides regulatory updates and guidance to companies, and handles the administrative and reporting burdens of HR compliance. Ultimately, though, your business is responsible for compliance with employment laws.

A PEO co-employment arrangement means that your team members will benefit from G&A’s ability to negotiate better rates for top-tier insurance and other benefits, such as retirement plans and life insurance. It also means that instead of stressing about benefits or FMLA leave, your employees have direct access to dedicated HR professionals who quickly provide answers. 

A PEO’s impact on employee experience is significant. NAPEO research reports employee turnover is 12% lower for businesses that use a PEO. Those businesses also report higher employee satisfaction and engagement.  

Read more about how a PEO supports employee satisfaction and your bottom line. 

G&A's ASO model allows you to pick and choose from our wide array of services to create a custom offering designed to support or supplement your current in-house HR staff or internal processes. This “á la carte” approach is similar to traditional business process outsourcing and vendor/client relationships, and it works best for large and established companies that already have an HR infrastructure in place.

Outsourcing HR through a PEO carries an average cost of $1,395 per employee annually, reports the National Association of Professional Employer Organizations (NAPEO). However, NAPEO’s research shows that the average cost savings from a PEO is $1,775 each year. This means that businesses using a PEO experience an average ROI of 27.2%.

Many companies realize additional savings by leveraging vendor consolidation, improved efficiencies, and economies of scale.

G&A Partners offers a range of HR services that help manage the employee lifecycle from hire to retire, including:

• Payroll administration (processing payroll, tax filings, reporting)
• Benefits procurement, administration, and open enrollment
• Compliance guidance on labor laws and regulations
• HR management
• Recruitment and new-hire onboarding
• Creation of HR policies and procedures
• Employee relations
• Workplace safety and training
• Workers’ compensation claims administration
• Performance management
• Learning and development

PEOs typically charge for services either as a percentage of total payroll (between 3-8 percent) or as a per-employee-per-year (or per-month) fee. This fee varies based on factors such as the services provided and number of employees on payroll. A larger number of employees in your business equates to a lower PEPY fee.

According to a recent NAPEO report, the average annual cost of a PEO is $1,395 per employee. A typical range for PEO services with G&A Partners is $65-150 per month per employee for core HR functions. Employer-paid benefits costs are often a separate line item. PEOs may also charge a one-time implementation fee.

Some PEOs bundle their services together, which means customers pay for services they may not need. At G&A, we begin with a PEO service package that includes core HR functions. You can add enhanced services, which may come with additional fees. This approach allows G&A to keep costs lower for its customers.

G&A Partners stands out among HR outsourcing providers by delivering world-class HR services through customer service that is routinely rated almost 2x higher than the industry average.

Our people-first approach means we treat our clients and their employees like family. We get to know your business, then create a flexible plan tailored specifically to your needs and provide services in a way that helps your business thrive. Learn more about why G&A is the leading choice for growing businesses.

Deciding to engage G&A Partners for PEO services marks a new and exciting chapter for your business. G&A’s business advisors will provide a clear, easy-to-understand breakdown of the services (and accompanying fees) included in your PEO plan. Once you’ve agreed on the services and pricing, you’ll sign a client service agreement (CSA).  

Within a week or so you’ll begin the onboarding phase—a process that averages five to seven weeks and establishes the foundation for long-term success. G&A’s onboarding team leads you through the process, which includes data gathering, benefits enrollment, system integration, payroll testing, and more.

Learn more about G&A’s PEO onboarding process in our step-by-step timeline article.