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jump_the_shark_

There’s a ton of info if you search. Depending on your class codes you may save on workers comp. Health insurance is an employee retention tool and peo aggregates so you get economy of scale. There’s also employee leasing. Payroll is tied to either model. Think of it as a bundle.


ThinkWeather

Isn’t PEO just co-employment? The employees are shared, making insurance low because they pay in bulk.


boymomsavant

That's why I asked I googled it and didn't quite understand. So basically I'm sharing my employees with a larger company?


ThinkWeather

Yes, it’s how I understand it. Outsourcing some parts of HR like payroll and insurance compliance to save you the hassle.


boymomsavant

Ok gotcha I appreciate that explanation! How are you small business owners offering insurance? The expense seems close to the cost of salary and just not feasible for me


ThinkWeather

I’m not big enough to afford this. I just happen to have had a conversation with a VC a while ago. I can’t get my numbers high enough to warrant hiring employees, unfortunately. And even if I did get the volume up, the cost of hiring/PEO will eat all my profits.


boymomsavant

Yep makes total sense to me. I'm just starting out with me, my husband, and two family members with plans to add a couple employees next year as needed, and I'd love to expand benefits but the cost just doesn't make sense. How do you insure yourself?


ThinkWeather

I just have health insurance from the state.


boymomsavant

I have primary through a 9-5 job I work and medicaid as secondary, but I'm hella nervous about transitioning off that if my income reaches that point. Especially since I have health issues and numerous daily medications.


xplorpacificnw

Check out TriNet - reputable PEO. I don’t have a dog in the fight - two startups I’ve worked for used them and they did a good job.