In the business world, everyone is always looking to maximize profitability. It’s not because business owners are greedy trying to grab every last dime. It’s because they are working their tail off to either make the business succeed or make it grow.
In their efforts to do so, business owners look to control what they can, especially when it comes to costs. As a salesperson, I have often been the person who they tried to control costs through by either beating me up on price, extracting extra services or using what my company does to help make them more profitable. However, it often seems to come back to controlling costs.
When a business owner thinks of controllable costs, they often think of material prices, employee hours or something else on the production end. What seldom comes into play is controlling workers comp, healthcare and unemployment costs. But, how can you control those costs? Those things are completely out of a business owner’s control. Right?
Still not sure what exactly a PEO (professional employer organization) is? Need help selecting a PEO? Ever think about outsourcing payroll?
You're not alone, but you’ve come to the right place for answers! Today, we're proud to announce the launch of our new Education Center.
In our Education Center, you'll learn more about what PEO is. For example:
- A PEO offers a cost-effective and unified method for handling back-office services for small and medium sized businesses.
- PEOs provide services to help reduce business risk, manage employee benefits, process payroll, find quality employees, and more.
- PEOs exist in every state and provide services to more than 2.5 million people.
- The PEO industry is valued at $80 billion per year (and growing).
Got Problems? Who Doesn’t?
An EAP is a great resource for employees to seek help with personal concerns. From anxiety and emotional distress to financial difficulties and relationship concerns, an EAP is here to help. The cost of an EAP for employers is minimal however; the benefits to both the employer and employees can be life changing.
Well, that’s a relief. The employer mandate for 100+ employee companies has been pushed back to 2015 and 50+ employee companies to 2016. No worries until then, right?
Unless you’re the guy who keeps kicking the can down the road hoping that something changes, you’re wrong. There’s a pretty good business book written by Rick Page called Hope is not a Strategy. I’m amazed at how many savvy business owners seem to think that it can be.
The simple truth of the matter is that the Affordable Care Act has changed everything you know or have ever known about health insurance. In fact, it’s completely changed the game. If you think you’ve protected yourself by getting grandfathered in, you’re just going to trip over that same can later.
According to a recent article in Bloomberg’s Business News, HR departments are going to become increasingly busy over the next 12 to 18 months. Why? Because of a recent memorandum that was issued by the White House to the Department of Labor to “modernize and streamline overtime regulations and make more workers eligible under federal law.”
Burning the midnight oil might be more valuable for exempt employees in the near future.
Ahhhh---feel the ocean breeze blowing through your hair, your toes digging into the sand, and the cool drink in your hand. Your computer is nowhere in sight. That’s right, you’re on vacation!
As an employee, taking time off is important. It keeps you focused, gives you a break and lets you spend some quality time with your family or friends. As a company, administering a paid time off (PTO) policy is also important, and much less relaxing than taking the time off.
With traditional PTO and sick time plans, your company is trying define and limit the liability of paying an employee for time they didn’t work. Sounds simple.
But how do you keep track of it all? Without a streamlined system it can be easy to miscalculate PTO for your employees. Miscalculations mean lost money for your company. According to a 2010 survey by Kronos conducted with Mercer, poorly planned absences cost U.S. organizations over 8% of their payroll each year.
What would you say if a prospective employer offered you perks like free catered meals, free fitness classes, tuition reimbursement, unlimited vacation days, and-- for the expectant parents out there-- four months of paid parental leave?
You might be tempted to rip the contract out of his or her hand and sign it on the spot—right?
Well, we didn’t make those up. Practical benefits like these are real, and some are being implemented at companies that constantly rank at the top of employee satisfaction lists.
Imagine you’re the CEO of a company with 49 employees. You’re currently covered through a fully insured health plan, but are considering switching to a self-insured group plan due to the potential premium increases resulting from the Affordable Care Act.
All of the companies you know with self-funded plans are larger companies (250+employees), so you aren’t sure if this is the right solution for you. You’re also concerned that since you would pay self-insurance claims directly, your company could be liable for a major claim if an employee has a serious health issue.
What do you think - what would you do in this situation? Before you make a decision, consider the following key points.
What happens when you have a major claim on a self-insured policy?
More than 60% of employees in the USA are paid by direct deposit, and the number will only continue to grow.
Benefits for Employees
- Quick: No more waiting in line to deposit your check at the bank, or sending the paper check to your bank through the ATM or your phone app. Now you can be sure the money gets to where it needs to be.
- Convenient: Employees don’t have to worry about being in the office to get paid. If they are on a vacation or out sick, they can be assured the deposit will be made. They can also control which account the paycheck goes into- maybe they choose to direct funds to a retirement savings plan or a checking or savings account. Bills can be paid immediately online as soon as a deposit is made.
- Green: Reduces a company’s carbon footprint, and offering online pay statements that are available 24/7 would also contribute to the green impact.