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  • Employee training is an effective way to teach new employees and develop existing workers. However, employers may be concerned about related expenses, as employee training has been estimated to cost around $1,888 per employee for companies with fewer than 500 workers. 

    That’s quite a bit of money, but the cost of training can be well worth the investment. Here are three big reasons why a commitment to employee training is a great financial decision for your business.

    Image of employee training to keep your workforce engaged.

    Training Keeps Employees Engaged

    Employees want to feel like their boss cares for their future. Research-based consulting company Gallup reports that 87 percent of millennials find professional or career growth and development opportunities important for their jobs. 69 percent of non-millennials agreed.

    Investing in employee development can help advance your employees and show them that you value their future and contributions to your business and improve engagement. According to Gallup, improved employee engagement can have a huge impact on your business. Gallup shared the difference between companies with the best and worst rates of employee engagement. The top companies enjoyed the following benefits:

    • 37 percent less absenteeism
    • 48 percent fewer safety incidents
    • 41 percent fewer quality defects
    • 21 percent greater productivity
    • 22 percent greater profitability

    Training Lowers Staff Turnover

    Another benefit of engaging your workforce with training is that it can help you retain good employees. The initial onboarding experience can have a major impact on whether an employee stays with a company or heads off for a new opportunity. 

    The Society of Human Resource Management (SHRM) reports that “newly hired employees are 58 percent more likely to still be at the company three years later if they had completed a structured onboarding process.” That’s a huge difference since a lower turnover rate does more than just keep familiar faces around the office. Performance-based training organization Dale Carnegie reports that businesses in the U.S. collectively lose around $11 billion each year due to employee turnover.

    Training Develops Employees for the Present and the Future

    Training can better prepare your employees for their tasks, allowing them to be more efficient and effective. Ongoing training and development also allows you to groom your employees for bigger and better roles. 

    By developing talent internally, you can promote an employee who already knows the ins and outs of your business. That allows you to avoid some extra hiring costs, as SHRM reports that “external hires earn 18 percent to 20 percent more than existing employees promoted to similar positions.”

    Investing in Your Employees and Your Future

    The right employees can make a major difference for your business. We can help you invest in your current and future workers through employee training and recruiting services. Contact us today to talk to one of our experts about how we can help you recruit, train, and retain your employees and keep them engaged and effective.

  • Immigration has been a hot topic ever since President Donald Trump was elected. New changes have put a focus on new and potential laws that will impact employers all over the country, including the update to the I-9 form and potential expansion of the E-Verify program.

    The New I-9 Form

    Federal law requires that American employers have new employees complete the I-9 form to verify employment eligibility to dissuade companies from hiring people not authorized to work in the U.S. A new version of the I-9 form went into effect earlier this year, so U.S. Citizenship and Immigration Services (USCIS) requires that any employees hired after Jan. 21 must now fill out the latest version of the I-9 form within three days of their start date. Existing employees do not have to complete the new form.

    This new version of the I-9 form also comes with an increase in penalties for employers who fail to use it. According to the Society of Human Resource Management (SHRM), those fines are almost double that of past penalties, while fines for unlawful employment of immigrant workers also received a major increase.

    Mandatory E-Verify?

    The electronic verification program, also known as E-Verify, allows businesses to determine if their employees are eligible to work in the U.S. The program has been mandatory for most businesses since it was introduced in 1996. That may be about to change. 

    SHRM reports that E-Verify could become mandatory for all U.S. businesses. Trump’s proposed 2018 budget even set aside $15 million to help implement mandatory E-Verify programs. The current program still has some issues that will need to be fixed before implementation can go into full effect, but that mandatory E-Verify is closer than employers may have thought.

    Prepare for the Future

    As immigration reform continues to be a big topic in our nation’s capital, business owners need to prepare themselves. It can be hard to stay up to date on new legislation or government initiatives, which is why it can help to turn to an expert for help. 

    As a Professional Employer Organization, we can keep you up to date on how immigration reform can affect your human resource functions. We are also an enrolled E-Verify agent and can help get you prepared for the future. Contact us today to learn more. 

  • A company can offer the best product or service around, but if no one knows about it, they will never succeed. In today’s consumer market, it is more important than ever to get the word out about your business. Here are a couple ideas to get you started.

    Who is my audience?

    The first step to any marketing plan is to identify your target audience. What do they look like? There are many factors that will determine your demographic. What is their age, gender, occupation, education, income, etc. Once you have gathered this information, you are ready to move on to the next step. 

    What are my differentiators?

    You must determine the factors that make your company/product/service stand out from the rest. By successfully communicating the things that set your business apart, you can separate yourself from the competition. Otherwise, your communication will fall on deaf ears and you will blend in with the rest of your competitors. 

    How do I reach my audience?

    Once you have identified your audience and differentiators, you must figure out the best way to get your message in front of that group. Today, there are many avenues to reach prospects.

    Online

    Many companies will start by creating a website and social media presence. They must then determine which social media outlet will best reach their audience. According to Small Business Trend’s 2016 Social Media Statistics Study, “Almost 90 percent of marketers say their social marketing efforts have increased exposure for their business, and 75 percent say they’ve increased traffic.”

    Facebook currently has the largest reach of all, but there are many options depending on your demographic. Many B2B companies will focus on LinkedIn to build professional relationships with those in their industry and to connect with new clients. Companies with a physical product, focused more on visual appeal, can utilize an outlet like Instagram to reach their audience. 

    These resources typically have paid advertising options where you can target your ads to your audience. There is an array of options, so it is very important to do your research in finding the best option for your business.   

    Local 

    If your business focuses on a certain location, another option would be to seek advertising options throughout the local publications. You can look to offer deals, or specials to attract new customers through print advertising options. 

    Get out and promote! Look for event sponsorship opportunities to get your name out there. Find networking or social events where you can reach your target audience. The easiest way to get someone to pay attention, will always be face-to-face interaction. 

    It is much easier for a consumer to scroll past a post, ignore an email, or skim past an ad than to tell someone “No” in person. Marketing resource MarketingProfs mirrors this sentiment, citing a Meeting Professionals International (MPI) report that states “40 percent of prospects converted to new customers via face-to-face meetings, and 28 percent of current business would be lost without face-to-face meetings.”

    Find Time to Market Your Business

    Many entrepreneurs struggle to find the time to address the marketing needs of their company, as they are too busy keeping up with the daily duties of running their business. Some will outsource different aspects of the business, so they can focus on daily operations. Professional Employer Organizations like GMS can help companies save a lot of time and money, by handling all of their HR related tasks. Contact us today to learn more!

  • Safety management is something all business owners must consider. Ensuring your team’s health and safety is a top priority and a legal obligation. Compliance with OSHA regulations is essential; ignoring them can lead to serious consequences. However, achieving and maintaining compliance can be challenging, especially if you aren’t around to supervise 24/7.

    Building a culture that values safety is a proactive way to help ensure compliance. When safety is ingrained in your company’s culture, employees are more likely to adhere to safety protocols, even in your absence. This cultural shift makes compliance more manageable and less reliant on constant supervision.

    Moreover, a strong safety culture is a strategic initiative that can significantly boost your company’s recruitment and retention efforts. Prospective employees are attracted to workplaces that prioritize their well-being, and current employees are more likely to stay with a company that demonstrates a genuine concern for their safety.

    Safety Management For Compliance’s Sake Doesn’t Work

    Managing safety for compliance can often lead to a reactive approach that uses rules and discipline to gain compliance from your workforce. This type of communication, which can feel more like policing than genuine concern, not only undermines your compliance efforts in the long term but also results in a disengaged and disillusioned workforce, which is detrimental to your organization’s overall productivity and morale.

    If your approach to safety is merely to check a box, ensuring safety compliance when you’re not around will be a continuous struggle. You’ll likely find yourself incessantly harping on your employees to wear their provided personal protective equipment (PPE) or complete their tasks as they were trained. While this might be effective while you are present, your goal should be to create a culture where you don’t need to micromanage your team to remain compliant.

    Moreover, your team is adept at detecting inauthenticity. Employees crave to feel valued and supported by their leaders. If your safety policies lack sincerity, employees will likely notice, which can harm your workplace culture, making employees feel undervalued and disrespected by management.

    Develop A Culture Of Safety Management

    Shifting from micromanaging safety compliance to building a culture that values safety is a necessary and rewarding step. One way to do this is to inform your workforce of the ‘why’ behind your safety directives and ensure your leadership team fully supports and believes in this ‘why.’ This helps foster a shared sense of responsibility and empowerment among your team.

    Leadership plays a crucial role in promoting a culture of safety and compliance. If your message is clear and, more importantly, from the heart, then culture can spread like wildfire throughout the ranks of your organization. Let your workforce know you enforce safety policies because you care about their health and well-being. Communicate your dedication to creating a safe environment so they can go home in the same health they arrived in. 

    Engage Employees Throughout Safety Development

    Coach your team rather than boss them around. Including your staff in conversations and asking them how they can safely achieve tasks will encourage a collaborative environment. This improves safety and fosters a sense of community and teamwork. Employees are more likely to feel valued and respected when they are part of the process, which can significantly boost morale.

    In addition, peer training from model employees can have a positive effect. Safety initiatives may seem less authoritarian when coming from a coworker, and this approach can help foster stronger camaraderie and a sense of belonging. Employees often relate better to their peers, making the training more effective. This sense of belonging can also enhance retention as employees feel more connected to their team and the company.

    Beyond training, using positive reinforcement and showing appreciation toward employees who follow safety protocols is crucial. Recognition and rewards, no matter how small, can significantly impact motivation. We all want and need that pat on the back, and we are driven by being noticed or rewarded for our efforts. By recognizing and celebrating these behaviors, you reinforce the importance of safety and encourage others to follow suit.

    Safety Management With GMS

    Fostering a safe and compliant culture can be difficult and time-consuming. Regulations are subject to change, so even if your employees maintained a compliant work environment, an unnoticed regulatory change could open your business to penalties.

    Partnering with a professional employer organization (PEO) like GMS can help alleviate these concerns. GMS has a team of experts who stay updated on your industry’s latest laws and regulations, ensuring your business remains compliant and avoids potential pitfalls associated with regulatory changes. 

    As a business owner, you have many responsibilities to juggle. Let GMS take compliance off your plate, allowing you to focus on other critical aspects of your business. GMS not only helps with compliance but also aids in developing a culture of safety through employee training and risk management services. Contact us today to learn more!

  • When you’re a small business owner, your schedule is never empty. Each year contains several important deadlines that you need to follow to keep your business compliant with important laws and regulations involving your company’s finances and employees. Just a single missed date can lead to problems with the IRS or other government agencies.

    Keeping track of all these dates as well as everything else you need to do as a business owner can be difficult. We’ve put together a list of critical dates you need to know to keep your business legally compliant.

    Image of a calendar of 2018 dates for small business owners.

    2018 Tax Due Dates by Entity

    As a business owner, you need to worry about filing more than just your personal taxes. The deadlines for filing 2017 business taxes can differ depending on what type of business you run and if you file by the original deadline or need an extension. A simple misunderstanding about deadlines can leave you with costly penalties, so it’s important to know exactly when your business taxes are due. Here’s a rundown of the filing dates in 2018.

    • Original deadline for S Corporations and partnerships – Thursday, March 15
    • Original deadline for personal taxes and C Corporations – Tuesday, April 17
    • Original deadline for nonprofits, charities, and other exempt organizations – Tuesday, May 15
    • Final deadline for exempt organizations – Wednesday, Aug. 15
    • Final deadline for partnerships and S Corporations – Monday, Sept. 17
    • Final deadline for C Corporations and individuals – Monday, Oct. 15

    Other Important Dates for Small Business Owners

    Tax deadlines aren’t the only important dates that you need to know for your business. Several forms or other documents need to be filled out throughout the year as well. Many of them are also complicated or lengthy, which can make completing them on time difficult if you don’t start early enough or have any assistance. Make sure the following deadlines are on your schedule so that you can finish everything on time.

    File W-2 forms to employees and agencies

    Wednesday, Jan. 31

    You don’t get much of a break after the start of the new year. All W-2 forms need to be completed and provided to employees either by mail or online by the end of Jan. 31. This also applies to any 1099 forms that need to be sent to contractors, vendors, or other professionals who worked for your company during 2017. 

    In addition to W-2’s, W-3, 1099, and 1096 forms need to be filed with the appropriate agencies by this deadline as well. Late filings can lead to $250 fines per form, with even greater fines for inaccurate forms according to the Small Business Chronicle.

    Provide employees with 1095-C form

    Wednesday, Jan. 31

    In addition to W-2 forms, you also need to send 1095-C forms to your employees by this date if you offer health insurance coverage. This document contains details on which coverage was available to your employees and which months the specific employees were eligible for that insurance. 

    File forms 1094-C and 1095-C to IRS

    Tuesday, Feb. 28 (by paper)

    Monday, April 2 (electronically)

    While your employees need to have their personal 1095-C forms by the end of January, you have a little more time before you submit the same information to the IRS. In addition to the 1095-C forms, you’ll also need to provide 1094-C forms, which are sent only to the IRS and serve as a cover sheet for the 1095-C form.

    File employee benefit plans (form 5500 series) to DOL

    Wednesday, July 13

    These forms are used to file your employees’ annual benefit plan information with the Department of Labor (DOL). The DOL uses these forms to make sure that these plans are being operated according to certain standards, making them a key compliance tool that needs to be filed every year.

    Prepare Your Business for 2018

    Knowing all the deadline dates ahead of time is very helpful, but it still doesn’t make your schedule any less busy, especially when it comes to managing compliance concerns and internal functions. Fortunately, a Professional Employer Organization can help you not only save time, but also improve compliance and save costs through human resource outsourcing.

    A PEO can offer you access to a team of experts that can help your business manage any or all your internal HR functions, freeing your time up and strengthening your business in the process. Contact GMS today to talk to one of our experts about what your business needs and how we can help. 

  • Professional HR conferences are a great opportunity for organizations to discover new ways to improve. For an HR professional, they provide a way to network with fellow experts in the field and learn about new tools, resources, and strategies. For a business owner, they offer a deeper understanding of how HR functions affect their business and provide a chance to allow their employees to find ways to strengthen the organization.

    Every year, there are several HR conferences that organizations can choose to attend, whether those attendees need to earn Society for Human Resource Management recertification credits or simply want to learn more ways to help grow their organization. Here are some notable HR events to look out for in 2018.

    Image of an HR conference. Use our 2018 HR Conference calendar to find out about new learning opportunities.

    Top HR Events in 2018

    HR Metrics and Analytics Summit

    Feb. 26-28 – Orlando, Fla.

    Hear from HR leaders and experts about how organizations can use analytics to improve employee engagement. 20 different speakers will be on hand to provide tools and resources that can allow experts to use data to help organizations handles HR needs.

    18th Annual Talent Management Strategies Conference

    Feb. 28-March 1 – New York City

    The Conference Board invites attendees to “Perform into the Future” by learning how leading organizations prepare for upcoming talent management challenges. Topics discussed will include diversity, digital talent management, and human capital analytics.

    SHRM Employment Law & Legislative Conference

    March 12-14 – Washington D.C.

    Check out more than 30 sessions about legal, legislative, and judicial decisions can impact your organization. As a Society for Human Resource Management event, this conference gives you the opportunity to learn ways to protect your organization and manage risk while earning recertification credits.

    2018 Northern OHIO Human Resource Conference

    March 22-23 – Cleveland

    The Northern OHIO Human Resource Conference is perfect for HR professionals who want to find new ways to plan, construct, and manage their profession. Speakers will be on hand to present new ideas and trends in all HR specializations so that attendees can discover new tools and methods that change the way they approach their profession.

    WorkHuman 2018

    April 2-5 – Austin, Texas

    This event touts itself as the “HR conference of the Human Decade.” WorkHuman is designed for HR leaders to learn about the business value of building human-centric workplaces that allow people to feel empowered, appreciated, and productive.

    SHRM Talent Conference & Exposition

    April 16-18 – Las Vegas

    An event designed for recruitment and talent management professionals to see more than 80 sessions about resources, innovations, and solutions that can help organizations develop successful human capital strategies and focus on quality talent.

    HR People and Strategy Annual Conference

    April 22-25 – Scottsdale, Ariz.

    This event explores the role HR plays in bringing people and technology together to create successful organizations and how those HR functions can shape and improve employee expectations and performance. 

    World at Work 2018 Total Rewards Conference and Exhibition

    May 21-23 – Dallas, Texas

    Employee engagement and rewards play a big part in engaging workers. This event hosts more than 200 speakers sharing strategies on benefits, compensation and other crucial HR functions that can impact your organization.

    SHRM Annual Conference & Exposition

    June 17-20 – Chicago

    SHRM’s main annual event is designed to offer tools and resources to help organizations implement successful HR practices and deepen attendees’ understanding of leadership and motivation. The event features over 200 concurrent sessions organized into six different tracks: Business & HR Strategy, HR Compliance, Global HR, Professional Development, Talent Management, and Total Rewards.

    Workplace Benefits Summit

    Sept. 24-26 – New Orleans

    More than 700 benefits professionals make their way to this event to learn more about recent benefits technology and what can be done to achieve greater levels of success that will help them grow their organization.

    SHRM Leadership Development Forum

    Oct. 1-3 – Boston

    Good leadership is crucial for HR experts. This SHRM event provides attendees with the knowledge and resources necessary to develop leadership capabilities that can help them develop HR functions and guide others in their organization to achieve major goals.

    SHRM Diversity & Inclusion Conference & Exposition

    Oct. 22-24 – Atlanta

    This conference is designed for HR generalists or managers to learn more about diversity & inclusion programs and initiatives. Attendees can learn how to implement these initiatives and make them a critical part of an organization’s culture and success.

    Add HR Expertise to Your Organization

    From the extensive lists of conference topics above, it is clear the scope of HR has continued to grow over the years. Improving your HR functions plays a critical role in making your organization safer and stronger for years to come, but it can be difficult for owners and HR professionals to find the time to manage everything. 

    A Professional Employer Organization can help your business manage multiple HR functions, saving your team time while strengthening your business at the same time. Contact GMS today to talk to one of our experts about how we can help your business through HR outsourcing.

  • The end of a calendar year usually causes business owners to do two things: Review the past year and learn from its successes and failures. They also start looking to the new year and set their expectations of what they want to accomplish. While a Professional Employer Organization (PEO) can’t help you with the former, it can help you tackle the latter.

    Image of a small business owner planning for 2018 HR challenges.

    HR Challenges for 2018

    Employee Benefit News recently published an online article about the 15 biggest HR challenges businesses will face in 2018. [link to https://www.benefitnews.com/slideshow/the-15-biggest-hr-challenges-in-2018]. The good news is that apart from cyber breaches and data security, a PEO can help your business with 14 of them.

    1. Republican administration and federal issues
    2. State and municipal issues
    3. Workforce planning
    4. Cyber breaches and data security
    5. Recruiting
    6. Technology
    7. Workplace violence and active shooter situations
    8. Employee leave
    9. Benefits and the Affordable Care Act
    10. Employee well-being and mental health
    11. Employee handbooks
    12. Drug testing and substance abuse
    13. Diversity and inclusion
    14. Pay equity and salary history bans
    15. Harassment

    Large companies with internal HR departments have the resources to hire people to help them navigate these minefields. How can a small business owner compete with that?

    The simplest way possible is to partner with a PEO.  A PEO works with small business owners to give them the same buying power and infrastructure as a large organization through a co-employment relationship. This relationship allows the PEO to act as a large company with the same buying power as any company with thousands of employees. It also gives small companies certified experts in payroll, taxes, benefits, risk management, and human resources, typically for less than it would cost to hire one of these people.

    Partner with a PEO to Tackle 2018’s HR Challenges

    Now, with the implementation of the federal government’s Certified PEO program, business owners can have even more confidence in the financial stability and liability assumption of a CPEO. If you have questions about how GMS can help you tackle the latest HR issues, contact us today.

  • Payroll is an important part of every business. While some small business owners take the time and effort to handle payroll administration in-house, certain factors can signify that outsourcing payroll with a PEO might be in your best interest. Here are some signs that it may be time to consider a switch.

     Image of a business owner considering online payroll services.

    1. When You Just Don’t Have Enough Time

    Business owners have plenty of work to do, and managing payroll is just another task that fills up your schedule. According to business counseling nonprofit SCORE, over half of small business owners spend at least 3-to-5 hours each month to manage payroll in-house. 

    Those are valuable hours that could be spent focusing on ways to grow your business. Depending on how much you work each week – The Alternative Board cites that half of small business owners work more than 50 hours per week – outsourcing these services can save you that precious time that owners constantly need.

    2. When You’re Worried About Payroll Tax Compliance

    Compliance issues can come about in a couple of different ways.  As discussed, processing payroll is a time intensive and tedious process, which can cause certain compliance requirements to slip through the cracks.

    Additionally, you may lack the expertise in knowing exactly what you need to do to keep your payroll compliant with any related regulations. Either way, mistakes can happen when you haven’t been trained to handle payroll.

    Just how big of a concern are payroll tax penalties? In 2013, the IRS doled out 6.8 million penalties, costing business owners a combined $4.5 billion in fees. These penalties range from simply not filing your payroll taxes on time to more complicated issues like not weighing multi-state payroll compliance needs for minimum wage and other regulations. If you’re not careful, you might be subject to some fines, on top of the time and money spent managing your payroll.

    3. When You’re Tired of Dealing with Paper

    After years of managing payroll, a business can go through a lot of paper. While some owners are attached to handing out physical checks, paper documents build up over time and take up plenty of storage space. That also means that you have to dig through all those files when you or your employees need to reference old documentation. With online payroll, those hassles are eliminated, as everything is securely stored online and can be accessed 24/7 with an internet connection. 

    There’s also the monetary benefit of cutting out paper payroll. Offices tend to save “roughly $80 per employee (annually) in costs related to paper, ink, toner, storage space, and postage” by switching to paperless payroll. Also, many PEOs won’t charge you extra for direct deposit services, so you’ll save a decent chunk of money for switching to a service that makes the payroll process simpler for both you and your employees.

    4. When Your Business Starts to Grow

    Business growth is great, but it comes with some extra responsibilities. As your business grows, so does your payroll. That means that payroll management will take longer, involve more chances for error, and make for even more paper printouts. Of course, it also means that other parts of your business may require more attention as well. It’s a good problem to have, but one that requires your full attention for your business to continue to grow.

    Whether your business is growing or you’re noticing another sign that it’s time to outsource your payroll, Group Management Services can help. As a Professional Employer Organization, we specialize in providing comprehensive HR solutions for businesses, including online payroll services. Contact GMS today to talk to one of our experts about how we can help your business through payroll management.

  • QuickBooks software remains one of the most widely used accounting applications for small and midsize businesses, according to Forbes. Over the years, it has evolved from an on-premise solution to a comprehensive cloud-based system, which competes with several other online payroll and accounting software.

    QuickBooks remains a popular accounting solution, but outsourcing payroll to a Professional Employer Organization (PEO) offers significant advantages, especially for growing companies. Let’s explore the key differences and benefits of outsourcing payroll:

    Software And Add-On Costs

    While QuickBooks offers various versions tailored to different business needs, the advertised pricing structure differs from a PEO. Essential payroll features often require additional monthly fees and per-employee charges. For instance, some of QuickBooks’ payroll options come with extra costs for direct deposit, tax filing, and W-2 processing. In contrast, PEOs typically offer more comprehensive services with transparent pricing structures, covering a wider range of functions without hidden fees.

    Automation And Efficiency

    QuickBooks automates some payroll functions, but outsourcing to a PEO takes efficiency to the next level. PEOs handle all aspects of payroll processing, significantly reducing manual work and saving business owners time to focus on core business activities. Partnering with a PEO allows your business to streamline processes, reduce administrative burdens, and gain access to additional HR services.

    Tax Compliance And Liability

    Relying on one internal employee or QuickBooks user to manage payroll can carry a high margin for error. One of the most significant benefits of outsourcing payroll is tax assistance. PEOs take responsibility for paying all federal and state taxes and handling wage garnishments. With QuickBooks, these responsibilities fall on the business owner, increasing the risk of errors and penalties. PEOs ensure compliance with ever-evolving payroll regulations, reducing the probability of costly mistakes.

    Scalability And Flexibility

    PEOs are better equipped to handle rapid business growth and increasing employee headcounts. They offer greater scalability and can adapt to changing needs, including complex pay structures and multi-state compliance. This flexibility is crucial for businesses expecting significant growth or seasonal fluctuations in staffing levels.

    Comprehensive HR Services

    Unlike QuickBooks, which focuses primarily on accounting and payroll, PEOs offer a full range of HR services. This includes benefits administration, workers’ compensation, hiring and termination support, compliance assistance, and more. PEOs provide pooled rates for employee benefit plans, which can be particularly beneficial for startups and small businesses looking to offer competitive benefits without incurring high costs.

    Expertise And Support

    PEOs provide access to dedicated payroll specialists who can answer complex financial questions and offer personalized support. This level of expertise is not always available with software solutions like QuickBooks. GMS’ payroll experts will handle all the details, from filing the necessary paperwork to the ongoing maintenance of tax records. Our team will also keep your business up to date with the complex tax filing requirements as they inevitably change and complicate your payroll processes.

    Cost-Effectiveness For Growing Businesses

    While QuickBooks may seem cheaper initially, PEOs can be more cost-effective for growing businesses. PEOs handle the complexities of scaling without requiring additional in-house resources. PEOs also offer your company greater buying power for employee benefits through economies of scale and reduced administrative overhead.

    Risk Reduction

    Outsourcing payroll to a PEO significantly reduces the risk of errors associated with manual entry and limited training. This is particularly important as payroll involves sensitive data and complex calculations. PEOs have systems in place to ensure accuracy and compliance, mitigating the risk of costly mistakes and penalties. GMS’ payroll software integrates with other platforms, allowing us to seamlessly calculate and apply deductions for health insurance and other employee benefits. Meanwhile, all your data and documentation are securely stored online so that you can eliminate countless paper copies and waste.

    Time Savings

    The basic version of QuickBooks is designed for users with limited accounting and financial needs. This gives them less of a learning curve, but it also means that they aren’t likely to have all the functionality and features that a business owner needs.

    On the other hand, more advanced versions of QuickBooks require significant ongoing training to ensure they are being used correctly. Having an in-house, credentialed QuickBooks user means that ongoing training will need to be planned for, due to continuous updates to the software.

    By outsourcing payroll to a PEO, business owners can free up significant time previously spent on data entry, tax filings, and ongoing software training. This allows them to focus on core business activities and growth strategies.

    GMS Connect

    GMS’ online payroll software, GMS Connect, makes running payroll simple. Our online technology streamlines the payroll process to create less paperwork and give users access from anywhere with an internet connection. GMS Connect is an SOC 1-certified human resources information system (HRIS) that helps business owners manage the entire lifecycle of their business. These capabilities give you access to cutting-edge payroll management software that helps you improve your bottom line. GMS Connect has many features, including:

    • Easily calculate payroll deductions with built-in benefits and time-tracking features
    • Generate on-demand payroll reports
    • Keep track of payroll records in one central repository
    • Electronic payroll processing via direct deposit
    • Streamlined payment for all types of workers (e.g., salaried, hourly, contract)
    • Effortlessly submit payroll taxes and process W-2s
    • Simplify workers’ compensation calculations and payments

    Streamline Payroll Processes With A PEO

    While QuickBooks has its merits for small businesses with simple needs, outsourcing payroll to a PEO like GMS offers substantial benefits for growing companies. PEOs provide comprehensive payroll and HR solutions, reduce liability, ensure compliance, and offer scalability to match your business growth.

    PEOs handle complex tasks such as multi-state tax compliance, benefits administration, and workers’ compensation, allowing you to focus on your core business operations. By partnering with GMS, you gain access to expertise, reduce risks, and position your company for efficient growth and success in the future. Contact GMS today to learn how our PEO services can streamline your payroll processes and support your business’s expansion.

  • When it comes to finding the right health plan for your business, the key is to find an option that makes sense for your business. One route that a business can go is to invest in TPA services for a self-funded health plan, which offers several benefits that can help owners save money and mitigate their risk with proper planning and support. Self-funded insurance also allows businesses to avoid some of the increased regulations on healthcare, which is a big reason why more small and midsize employers are choosing to self-insure, according to the Society for Human Resource Management.

    With all that in mind, self-funding sounds like an intriguing option, right? However, there are a pair of misconceptions about self-funding that either dwell in the past or are not that relevant to business owners. Here are two reasons why owners avoid self-funding, and how a TPA can dispel those arguments.

    Image of a business owner considering self-funded health insurance through TPA services.

    Myth No. 1: Self-Funding Will Sink Small Businesses

    Some business owners remember stories about a company sinking because they went self-funded. What essentially would happen is that a business with self-funded insurance would run into a large number of costly claims after one or several employees got really sick. Because they were self-funded, the business would theoretically be stuck paying all of those claims without any help from a provider, which would force them to shut down since they wouldn’t have the cash flow to actually run their business and pay their other bills.

    While businesses back in the ‘70s and ‘80s did run into this problem, times have changed. Businesses can now invest in something called stop-loss insurance to manage their risk and set a maximum liability number for their yearly claims. 

    Stop-loss insurance allows a business to mitigate its liability so that it can self-fund its insurance without having to fear a year with an unexpected number of claims. Let’s just say that your business is given a $10,000 monthly maximum through stop-loss insurance. At the end of the year, that’s $120,000 max. If your business exceeds $120,000 in claims in a year, you’re reimbursed the overage by the reinsurer.

    This policy also works in your favor if you have fewer claims than expected. If you don’t reach your maximum claims liability number, you simply get to keep the difference, or you can take advantage of a “premium holiday.” This allows you to use the refund to pay for one or several insurance premiums in advance. Since the refund could affect your tax filings, this option can help you avoid having to do a tax adjustment on your healthcare fees since we’ll just deduct your refund from the premiums for the following year.

    Myth No. 2: Self-Funding Makes Owners Deal with Several Moving Parts

    As we’ve mentioned before about self-funding, “normal businesses with fewer than 5,000 employees won’t have the infrastructure to comply with all the regulations and make it financially feasible.” Managing a self-funded plan can mean carefully overseeing several important moving parts. This means that you’re going to need some help because self-funding can be a lot of work for whomever oversees their HR.

    While some owners may be scared off by self-funding, there’s a simple solution to these moving parts: a TPA. What we can do as a PEO with TPA services is manage everything in house so that you can benefit from self-funding without having to deal with all the regulations and administration needs, which can include: 

    • Electronically sending out a file on health plan eligibility every day
    • Having an in-house programmer who can receive necessary data files
    • Access to a pharmacy benefits manager, who works with pharmacies on plan eligibility and drug costs

    Those are just a few of 30 moving pieces that are necessary for self-funding. When you work with a TPA, we can be as transparent about this process as you’d like so that you can see how everything works, or you can let us take care of the work while you focus on other important matters. Regardless of how much or how little you want to know about the process, a TPA enables you to take the HR work out of your hands. This way they can sign up for self-funding, pay their premiums, and know that the work is being done for them.

    Using TPA Services to Self-Fund Your Business

    The key to a good self-funded plan is a TPA that can take care of all the moving parts for your business. As a Professional Employer Organization that offers TPA services, Group Management Services can allow you to enjoy the benefits of self-funding while managing your plan. Contact GMS today to talk one of our experts to learn more about self-funding and to get a quote for your business.