A professional employer organization (PEO) provides comprehensive HR solutions to help businesses efficiently handle transactional and day-to-day employee management processes. Aside from offering expert HR administrative support, the best PEO companies can help improve HR operational effectiveness and mitigate compliance risks. PEOs also provide access to a wider range of benefits at better rates—options and pricing that, at times, you can’t normally get as a small or midsize business.
In this guide, we reviewed a dozen PEOs for small businesses and narrowed it down to our top seven recommendations.
PEO Services | Best For |
|---|---|
Best (overall) for small businesses needing a low-cost, high-functioning PEO | |
Growing businesses that want the expertise of a large PEO | |
Businesses seeking benefits that go beyond the standard medical insurances (like home insurance and legal services) | |
Small businesses seeking a highly customizable PEO solution for tackling HR and payroll tasks | |
Midsize businesses wanting complete PEO services with a focus on training | |
Technical companies that need robust integrations and IT hardware support in their onboarding | |
Global businesses wanting a PEO to help them keep compliant and handle international payrolls |
How We Chose the Top 7 PEOs
We started our search with 12 top-of-the-line PEOs and evaluated each according to the most important needs for small businesses, weighing attributes accordingly. Then, we ranked them from highest to lowest. We gave special attention to user feedback for breaking ties. Overall, Justworks ranked highest among small business PEOs.
To see our full evaluation criteria, click through the tabs in the box below.
25% of Overall Score
We looked for robust HR administrative support, from hiring to retiring, including assistance with employee career development, compliance tracking, and benefits offerings that are available across the U.S. While all of the PEOs in this list, except Papaya Global, received perfect scores here, we recommend Justworks if you require access to all of these HR functionalities at affordable rates. If you prefer the services of a big PEO with 30+ years of experience, then consider either ADP TotalSource, Paychex, or Insperity.
20% of Overall Score
Most PEOs in this guide do not list their pricing and require you to call and get a custom quote—except for Justworks and Papaya Global, which publish pricing information on their websites. Note that several providers charge by employee (such as Justworks, ADP TotalSource, and Papaya Global), while others charge by total payroll (like XcelHR, though it also offers per-employee pricing). Some (such as Paychex, Insperity, and ADP TotalSource) have set-up fees, though quite a few waive these if asked.
20% of Overall Score
In addition to having helpful features like how-to guides, dedicated representatives, and customer support options, we looked at user reviews from third-party sites like G2 and Capterra. Then, we averaged the ratings on a 5-star scale, wherein an average of 4+ stars is ideal.
Most of the PEOs we reviewed in this guide scored 4 and above stars in this criterion (with Paychex getting perfect marks) except for Rippling and Papaya. What pulled their scores down include limited how-to guides (for Rippling) and the lack of mobile accessibility (for Papaya).
15% of Overall Score
We looked for automatic payroll runs, direct deposits, paper check options, W-2 reporting, and payroll tax processing (federal, state, and local taxes). Among the PEO companies included in this list, only Insperity, Papaya Global, and Paychex didn’t get perfect scores in this criterion, mainly because employee payments via paper checks are not supported or you have to pay extra for it, respectively.
10% of Overall Score
The IRS and the Employer Services Assurance Corporation (ESAC) both certify PEOs for adherence to strict standards and ethical practices, so we checked whether these providers are certified. We also considered customized reports as these are often for compliance issues.
Of the seven PEOs in this guide, only Justworks, Paychex, ADP TotalSource, and Insperity are IRS and ESAC certified. As of this writing, Rippling, and XcelHR aren’t ESAC certified, while Papaya Global doesn’t have both certifications.
10% of Overall Score
We checked whether PEOs offered additional HR solutions, such as recruiting, applicant tracking, time and attendance, and learning management tools. If you want a PEO service that includes access to all these HR tools, then consider either ADP TotalSource or Insperity. Paycheck and Rippling both have the same features but you have to pay for each tool, while Justworks, XcelHR, and Papaya Global offer limited add-on choices in which some solutions cost extra.
If you need help making a final decision, follow our guide on finding the right payroll solution.
Justworks
PROS
- Enterprise-level benefits from major insurance companies + 401(k)
- Excellent customer support
- Intuitive interface
- IRS and ESAC certified
CONS
- Limited reports and integrations
- No mobile app for employees and employers
- Users say the PTO tools are not robust
| RATING CRITERIA | Pricing | 5.00 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 2.50 | OUT OF | 5 | |
| Licensing & Reporting | 3.50 | OUT OF | 5 | |
| Payroll Features | 5.00 | OUT OF | 5 | |
| Ease of Use | 4.50 | OUT OF | 5 |
Justworks is an affordable PEO that offers payroll processing, tax filing services, and employee benefits administration. With 70,000 employees through its clients, its benefits packages include enterprise-level options from top carriers and insurers. It also provides access to HR professionals who can help you stay compliant. Scoring 4.5 out of 5, Justworks is a great choice for small businesses with limited HR experience that want low-cost PEO services.
Justworks has an intuitive interface with online tools that are simple to learn and use, but it doesn’t have mobile apps that allow employees and employers to view payslips and benefits information while on the go. Reporting is also limited, plus you can’t request for customizable reports based on your business’ needs.
In terms of user feedback, many reviewers said that its HR solutions and PEO services are affordable and efficient. However, some users complained about its limited reporting and third-party software integrations.
Justworks’ dashboard makes it easy for you to add employees, offer benefits, process payroll, view staff birthdays, and more.
To learn more about Justworks and how its payroll and HR tools can help your business, check out our Justworks review.
Justworks Pricing
Justworks is one of the few PEO companies included in this guide that offer transparent pricing. It has two plans (Basic and Plus), wherein pricing is based on the number of employees you have. Monthly fees also decrease as the employee counts increase. If you have part-time staff who work fewer than 30 hours per week, Justworks will bill you on the Basic plan even if you are on the Plus tier.
Features | Basic | Plus |
|---|---|---|
Monthly Fees ($/Employee) | 1–24 employees: $49 25–99 employees: $44 100–174 employees: $39 175+ employees: Call for quote | 1–24 employees: $99 25–99 employees: $89 100–174 employees: $79 175+ employees: Call for quote |
Payroll for Salaried and Hourly Employees | ✔ | ✔ |
Vendor and Contractor Payments | ✔ | ✔ |
Payroll Tax Filings and Year-End Reporting (W-2s/1099s) | ✔ | ✔ |
Online Employee Onboarding | ✔ | ✔ |
HR Consulting and 24/7 Customer Support | ✔ | ✔ |
Harassment Prevention Trainings | ✔ | ✔ |
Access to Workers’ Comp, Life and Disability Insurance, 401(k), Health and Wellness Perks, and Fitness Memberships | ✔ | ✔ |
Access to Medical Insurance, Dental and Vision Insurance, and HSA/FSA Accounts | N/A | ✔ |
COBRA Administration, Health Advocacy Services, and On-Demand Primary Care Services through One Medical (as available) | N/A | ✔ |
Note that the type of benefits and perks that you can access through Justworks may vary, depending on your business’ location. Contact the provider to get more information about the options available in your area.
Justworks Standout Features
In addition to helping educate small business owners about compliance and HR-related issues, Justworks is extremely user-friendly with tools that can handle important payroll and HR administrative tasks. Let’s take a look at some of its essential features.
Payroll: In addition to pay processing for salaried and hourly employees, it handles payments for contractors and vendors. However, Justworks pays only via direct deposits and paper checks. If you require multiple employee payment types, ADP TotalSource, XcelHR, and Paychex are your best options.
Tax filing: Justworks (along with ADP TotalSource, Paychex, and Insperity) is an IRS- and ESAC-certified PEO. It handles federal, state, and local tax payments and filings, including year-end tax reporting. It even lets your employees access and fill out their tax documents online through a self-service portal.
Employee portal: In addition to viewing payslips and benefits, the self-service portal makes it easy to onboard new hires. It allows employees to complete online forms, access tax and payroll documents, read company policies, request paid time-off (PTO), and more. For businesses that prefer to have mobile apps that provide employees access to these tools while on the go, consider either ADP TotalSource, XcelHR, Rippling, Paychex, and Insperity since Justworks doesn’t have this.
Benefits: Aside from helping administer employee benefits and process applicable deductions, Justworks offers competitive medical plans from top carriers like UnitedHealthcare, Kaiser, and Aetna. It also has enterprise-level options for dental, vision, accidental death, disability, and life insurances, including flexible spending accounts (FSAs) and health savings accounts (HSAs). Small businesses can even get Teladoc services, gym benefits, and medical advocacy services.
For businesses looking for additional perks that include retail, restaurant, and entertainment discounts for employees, ADP TotalSource is a good choice since it has a discount program. XcelHR is also an excellent alternative if you’re looking for options like home insurance and legal assistance that go beyond standard benefits.
Compliance support: In addition to having HR experts who keep you up-to-date on labor laws and compliance, it proactively works to keep you compliant. One way Justworks does this is by providing free sexual harassment training videos that meet state regulations. It even has some state policies pre-loaded into its software.
Ease of use: Unlike ADP TotalSource and XcelHR, which look dated, Justworks is user-friendly and aesthetically pleasing. Its platform also contains in-app links to articles that explain points of law and compliance, including how to use the software. If you need assistance, its customer support personnel are available 24/7 through email, chat, phone, SMS, and Slack.
ADP TotalSource
PROS
- Highly experienced PEO that’s IRS and ESAC certified
- Dedicated reps are helpful
- Access to enterprise-level benefits
CONS
- Pricing isn’t transparent
- Software looks dated
- Customer service isn’t always easy to contact
| RATING CRITERIA | Pricing | 3.00 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 4.25 | OUT OF | 5 | |
| Licensing & Reporting | 5.00 | OUT OF | 5 | |
| Payroll Features | 5.00 | OUT OF | 5 | |
| Ease of Use | 4.63 | OUT OF | 5 |
ADP TotalSource is a goliath among PEOs both in size and range. Similar to Paychex and Insperity, it offers decades of HR expertise and experience (30+ years) and a greater set of features and products to choose from—you can even start with its small business payroll product before transitioning to the PEO. ADP TotalSource works with companies with as few as five employees to those with a workforce of 5,000 and more—making ADP TotalSource a great choice for businesses that expect to grow. Overall, it earned a score of 4.45 out of 5.
Unlike Justworks and Papaya Global, which publish their fees on their websites, ADP TotalSource’s pricing isn’t transparent. Many users complained about the lack of transparency and its pricing complexity, including having received confusing billings. Others mentioned that while its support team is generally reliable, they sometimes experience difficulties contacting a customer representative.
With ADP TotalSource, you get a dedicated payroll specialist who can help answer your questions.
If you’re wondering whether ADP TotalSource is the right PEO company to help manage your HR, check out our ADP TotalSource review. In addition to PEO services, ADP TotalSource offers several solutions like its ADP Run product, which topped our list of best construction payroll software for small businesses.
ADP TotalSource Pricing
Like most of the PEO companies in this guide, ADP TotalSource does not provide pricing information on its website. It offers custom pricing, wherein fees are based on the features selected, including the business’ geographic location (ADP TotalSource is the only PEO provider that we reviewed that considers its clients’ location when creating a custom plan). The representative we spoke to said that its fees start at $85 per employee, per month. It also charges a setup fee.
ADP TotalSource Standout Features
ADP TotalSource offers a wide range of payroll and HR solutions, including access to enterprise-level employee benefits and HR experts to help keep you compliant. While its interface looks dated and there’s a bit of a learning curve (due mainly to its many functionalities), its mobile app is intuitive. Here are some of its essential features.
Payroll and tax filing: With ADP TotalSource, pay processing takes minutes to calculate, and its system flags potential errors. In addition to payroll tax filing (federal, state, and local taxes) and year-end reporting (W-2s/1099s), it manages withholdings and benefits. Plus, if you have questions, you can call a payroll expert 24/7.
ADP TotalSource supports employee payments via direct deposits, checks, and the Wisely paycard. Similar to Paychex, it also offers check signing and stuffing services. For employers with preferred payment options of only direct deposits and checks, then Justworks and Rippling are good alternatives.
Benefits: ADP TotalSource leverages the power of over 500,000 client employees under its PEO to get Fortune 500-level healthcare options for your business. It also does an annual comparison against your competition to ensure you offer the best benefits to your employees. Aside from COBRA administration and commuter benefits, you are granted access to medical and 401(k) plans, life and accident insurances, FSA and HSA accounts, health advocacy services, and a work-life employee assistance program.
While ADP TotalSource also provides employee discounts with partner businesses (like restaurants and retails shops), XcelHR’s benefits selection is more diverse with general legal services and even an insurance option for your employees’ pets.
HR support: You can get hire-to-retire support, as ADP TotalSource can help you recruit and track applicants, onboard new hires, manage employee information (including performance reviews), and offboard or terminate employees. It even has training and development programs, employee survey management, and more. However, you have to pay extra for employee engagement tools and full-service recruitment. This is unlike Insperity’s PEO services, which include a complete HR solution with strong employee development tools.
Compliance support: ADP TotalSource’s HR experts have decades of experience and are constantly learning. They can advise you on compliances in everything from COVID-19 legislation to terminating employees. Further, the provider’s compliance services can help you avoid potential legal issues. In case an employee sues your company, you may be covered by its legal defense benefit—provided you followed its recommended processes. ADP TotalSource is the only PEO that we reviewed that has this feature.
Employee portal: Employees can onboard through the portal and enroll in benefits. They can also use the portal to raise PTO requests, clock in/out, create time sheets, view pay stubs and benefits, and contact colleagues. Unlike Justworks, it has an employee mobile app (for iOS and Android device) with intuitive controls.
XcelHR
PROS
- Wide range of benefits, including pet insurance
- Workers’ comp team includes inspections and policy help
- Flexible pricing; charges either by employee or a percentage of gross payroll
CONS
- Interface looks dated
- Pricing isn’t transparent
- Lacks ESAC certification (which is the gold standard for PEOs)
| RATING CRITERIA | Pricing | 4.50 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 2.50 | OUT OF | 5 | |
| Licensing & Reporting | 3.00 | OUT OF | 5 | |
| Payroll Features | 5.00 | OUT OF | 5 | |
| Ease of Use | 4.63 | OUT OF | 5 |
XcelHR is another excellent PEO with custom pricing and a wide range of services. Scoring 4.38 out of 5, it has efficient payroll and HR tools and a more diverse selection of employee benefits than the six other PEO companies included in this article. Although XcelHR offers custom pricing, it has flexible options that charge either by a percentage of your total payroll or a flat rate per employee monthly.
While the software looks dated, XcelHR’s online tools are generally easy to use. Similar to ADP TotalSource and Paychex, it provides robust compliance help that include safety audits and inspections to ensure that your workplace complies with Occupational Safety and Health Administration (OSHA) regulations.
In terms of user feedback, there are very few XcelHR reviews on third-party sites as of this writing. We found one reviewer on Trustpilot who commended its employee health care plans, while another user complained about having been assigned to several HR reps and not getting prompt replies.
XcelHR has an older-looking interface
To learn more about XcelHR and whether its PEO services fit your business’ needs, check out our XcelHR review.
XcelHR Pricing
XcelHR doesn’t publish its fees on its website; you have to call the provider to request a quote. A third-party site claims that its monthly fees start at $49 per employee.
In addition to charging a flat rate per employee monthly, it also charges by percentage of total payroll. Of the seven PEO companies in this guide, only XcelHR has flexible pricing. Further, the provider lets you add or subtract services as needed, instead of bundling features per a contract.
Finding a PEO that charges by percentage of gross payroll is a good idea if you have many employees who earn low pay. This makes it an ideal pricing scheme for businesses in the restaurant and retail industries.
XcelHR Standout Features
With XcelHR, you get solid payroll and HR tools, including robust compliance help. We were impressed by the range of benefits XcelHR offers, which is more varied than PEO companies like Paychex, Insperity, and ADP TotalSource. Here are some of its essential features.
Payroll: XcelHR can help you efficiently handle payroll as it automates the process, integrating benefits and deductions in its calculations. It pays employees either by check, direct deposit, or pay card. It also does job costing that computes employee wages per job or department, something not many PEOs handle naturally. Other providers, like Rippling, have job costing tools but the calculations are based on the employees’ work hours instead of total wages (which includes additional earnings like bonuses and allowances).
Tax filing: XcelHR handles federal, state, and local taxes, including all the required tax forms. It files end-of-year paperwork and maintains IRS compliances. While it is an IRS-certified PEO, it doesn’t have an ESAC certification, which is considered a gold standard for PEOs.
Benefits: Your employees can take advantage of enterprise-level healthcare plans. It uses MetLife’s Preferred Provider Organization (PPO) plans for dental and runs a 401(k) option through Slavic. In addition to FSAs, it has disability, critical illness, and group accident insurance plans.
Now, what sets XcelHR apart from the six other PEO companies in this guide is its wide selection of non-standard benefits. These options include legal assistance plans, auto and home insurances, telehealth services, hospital indemnity insurance, pet insurance, and access to exclusive travel and entertainment discounts.
However, if you want HSA options, we recommend partnering with either Justworks, ADP Total Source, Insperity, or Rippling. For global plan options, Papaya Global offers full benefits management and administration with coverage that spans across countries.
HR support: You can get assistance on job description writing, resume reviews, drug testing and background checks, and even pre-employment testing and phone interviews. Advisers can help craft policies and assist in performance management. Unlike Justworks, XcelHR can help create specific reports if the options provided in the software don’t meet your needs.
Compliance support: XcelHR advises you on all aspects of compliance—from fair hiring practices to how to terminate an employee. It excels in safety, with workers’ compensation teams that help you develop OSHA-complaint programs, conduct safety audits, keep a safety training library, and more.
Paychex PEO
PROS
- Good selection of HR and payroll tools to customize your plan
- Charges per employee, per month; fees split by pay run
- Customizable PEO plans with a wide range of benefits options
CONS
- Pricing isn’t transparent
- Can get pricey as you add features
- Fees can change each year
| RATING CRITERIA | Pricing | 3.00 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 2.88 | OUT OF | 5 | |
| Licensing & Reporting | 5.00 | OUT OF | 5 | |
| Payroll Features | 4.75 | OUT OF | 5 | |
| Ease of Use | 5.00 | OUT OF | 5 |
Paychex PEO offers hundreds of functions in HR, payroll, and compliance support, including a wide variety of employee benefits. If you have specific needs, it can create a highly customized PEO package, allowing you to select online tools and benefits options that best meet your company’s needs. Overall, it earned a score of 4.35 out of 5.
Its pricing may not be as transparent as Justworks and Papaya Global, but after you have requested a custom quote, Paychex PEO provides detailed pricing of all the services and features included in your package. This is unlike ADP TotalSource, in which a common customer complaint is about its pricing complexity and confusing billing statements.
In terms of user reviews, there are very few online reviews about Paychex’s PEO services. However, client feedback on its website showed several Paychex PEO customers commending its team of HR professionals for the advice and recommendations that helped solve their HR issues. A few others also appreciate its compliances services, which allow them to stay up-to-date with changing IRS rules and labor regulations.
Through Paychex Flex, you can view the type of benefits in which employees opted to enroll.
Paychex PEO’s online tools and benefits options are managed through Paychex Flex, the provider’s all-in-one HR solution. If you want to know more about the platform, our Paychex Flex review tackles its essential features and pricing information.
Paychex PEO Pricing
Paychex does not publish its pricing information on its website—you have to contact its sales team to request a quote. The representative we spoke to said that it has 350+ different products and services that it mixes and matches to create a package that meets your PEO needs. It charges a flat rate per employee monthly and breaks up the cost by pay period. For example, if you are charged $100 per month and process payroll once a week, then you pay around $20 to $25 per employee, per pay period.
In addition to its monthly per employee fees, it has a one-time setup fee. If you want to avoid paying this, you can try negotiating with the provider to waive the cost. You can also partner with PEO companies (like Justworks, XcelHR, Rippling, and Papaya Global) that don’t charge setup fees.
Paychex PEO Standout Features
Paychex PEO offers an extremely varied and versatile set of tools that you can put together in a custom plan that fits your company’s HR needs. Let’s take a look at some of its essential functionalities.
Payroll: Paychex lets you run payroll in as few as two clicks—provided that you didn’t have any changes since the last pay period processed through its system. It pays via direct deposits and paycards. Similar to ADP, it supports paper checks and offers check stuffing services. However, you have to pay extra for check mailing services.
If you only need direct deposit and paper check options then Justworks is a good choice. For global payroll services, consider either ADP TotalSource, Rippling, or Papaya Global. You may also use Paychex, but it handles international payroll through its partner vendor FMP Global.
Benefits: Paychex offers several benefits options, such as dental, vision, dependent care FSA, financial benefits, and a Paychex-run 401(k). It has enterprise-level insurance that includes health maintenance organization (HMO) coverage, PPO options, and high deductible plans.
For non-standard benefits options, consider XcelHR since it offers home insurance, legal assistance plans, and even pet insurance. If you’re looking for employee discounts, ADP TotalSource provides restaurant, retail, travel, and entertainment discount perks.
HR support: You get a team of experts, with each member specializing in an area of your PEO plan, plus an HR generalist. In addition to onboarding and offboarding tools, you can get other HR solutions like an AI-powered learning management system (LMS) that recommends courses based on the employee’s position and goals. Other PEO providers, like Rippling, may have similar LMS functionalities, but they cost extra.
Compliances: Paychex offers employment practices liability insurance (EPLI) and cyber liability insurance. The HR team provides proactive updates on legislation changes, and a Paychex safety rep can even help you assess and mediate risks and meet OSHA requirements.
Employee portal: The employee app is available on mobile and PC, enabling your staff to easily request PTO and access pay stubs, tax information, and benefits details. This is unlike Justworks, which doesn’t have mobile apps for both employees and employers.
Ease of use: Paychex PEO is managed with the Paychex Flex software, which is easy to set up and use. Aside from granting you access to a team of HR experts, it offers 24/7 phone support.
Insperity PEO
PROS
- Employees can directly contact Insperity for a wide range of concerns
- Excellent training opportunities for employees
- Access to 50 pre-built reports
CONS
- Pricing isn’t transparent
- Has a bit of a learning curve
- Help section is hard to find and isn’t in-depth
| RATING CRITERIA | Pricing | 3.00 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 5.00 | OUT OF | 5 | |
| Licensing & Reporting | 5.00 | OUT OF | 5 | |
| Payroll Features | 4.50 | OUT OF | 5 | |
| Ease of Use | 4.00 | OUT OF | 5 |
With over 30 years of experience, Insperity is another big PEO company like ADP and Paychex. It has 70 offices across the US, so its specialists know their regions well. It is best for midsize businesses that want a strong HR partner and robust training tools. Of the seven PEOs in this guide, Insperity is the only provider who offers over 5,000 self-paced learning courses, 2,000+ audiobooks, and more than 30,000 online books. Overall, it earned a score of 4.33 out of 5.
Similar to most of our other PEOs, Insperity offers custom pricing. Getting a quote also requires a Zoom meeting and a client evaluation. However, if you want a PEO provider that has transparent pricing, simply visit Justworks and Papaya Global’s respective websites since both list their pricing information online.
Although Insperity generally has a user-friendly interface, learning how to navigate through all of its features may take some time. Several users even complained about its slightly steep learning curve. If you want a PEO service with an intuitive platform, we recommend Justworks or Rippling.
With Insperity, employees can select and manage benefits all in one place.
Interested to learn whether or not Insperity can handle the PEO services that your business needs, check out our Insperity review.
Insperity PEO Pricing
Insperity does not list its pricing on its website because it offers custom pricing to clients. According to a third-party site, its fees start at $230 per employee, per month. It also has a standard set of HR features for the plan, and you can add on other paid services—from hiring assistance to expense management.
Insperity PEO Standout Features
Insperity may not have transparent pricing and an interface that’s as intuitive as Justworks, but it makes up for that in the depth of assistance it offers. Aside from employee benefits, HR, and payroll tools, it has extensive training options for employees and managers. Here are some of its essential features:
Payroll: Insperity pays by direct deposit, pay card, and checks. Unlike Paychex, you don’t need to pay extra for check processing. It also handles garnishments, including paying directly to the appropriate government agency. However, it doesn’t support global payroll, so we recommend you use either ADP, Papaya Global, or Rippling if you have international employees.
Aside from efficient pay processing tools, Insperity comes with 50 pre-built payroll-related reports (including job costing). This makes it easy to analyze payroll data, and you can even request a customized report.
Benefits: Apart from an employee assistance program, you get access to enterprise-level health, dental, and vision plans, including FSA/HSA, life and accident insurance, and basic disability insurance. You can use an Insperity-run 401(k) plan or sponsor your own Insperity Customized 401(k) designed for your specific situation that includes various options for eligibility, enrollment, vesting, and more.
However, if you want to offer a benefit that helps your staff pay for qualified medical expenses not covered under the health plan, consider Paychex since it has a health reimbursement arrangement (HRA) program. For non-standard benefits, XcelHR has a diverse range of options that include automobile, home, and pet insurance plans.
HR support: In addition to the usual HR support (such as handbooks and onboarding), Insperity provides excellent employee development and engagement tools. It assists with conducting culture surveys, crafting mission statements, and customizing a rewards program for your staff. Plus, it helps keep employees learning with over 30,000 online books, 2,000+ audiobooks, and more than 5,000 self-paced courses in business, technology, and compliances, among others.
Compared to Justworks and Xcel HR, Insperity’s employee engagement and training tools are more robust. You also don’t have to pay extra in order to get LMS functionalities (like Rippling).
Compliance support: Its reps can help keep you compliant with various regulations, such as hiring, tax, payroll, and termination rules. It also supplies labor law posters and even has an Equal Employment Opportunity Commission (EEOC) hotline for employee grievances. However, it doesn’t have ADP TotalSource’s legal defense benefit nor Paychex’s cyber liability insurance coverage.
Employee portal: Insperity’s self-service solutions lets your staff view and make changes to their benefits from a computer or mobile device. In case your employees have questions about a plan’s coverage, they can contact Insperity’s benefits specialists 24/7.
Ease of use: Insperity grants you access to dedicated reps and a team of HR specialists. While it has how-to articles, the guides are basic and difficult to find online.
Rippling PEO
PROS
- Excellent integration capabilities with over 400 options
- Can easily turn PEO on and off and still access HR/payroll software
- Intuitive interface
CONS
- Lacks ESAC certification
- Phone support costs extra; how-to guides are limited
- Gets pricey as you add functions
| RATING CRITERIA | Pricing | 4.50 | OUT OF | 5 |
| HR Administration | 5.00 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 2.50 | OUT OF | 5 | |
| Licensing & Reporting | 3.00 | OUT OF | 5 | |
| Payroll Features | 5.00 | OUT OF | 5 | |
| Ease of Use | 3.75 | OUT OF | 5 |
We recommend Rippling PEO for companies whose employees need IT onboarding support like issuance and management of company computers and software licenses. Scoring 4.20 out of 5, Rippling offers all the important features of a PEO, from HR support to enterprise-level benefits and compliance advising to payroll tax filing services. It has a modular system (its solutions are subdivided into several modules) and an interface that’s user-friendly and intuitive. Many users said that it is easy to use and comes with robust integration options.
Unlike Justworks and Papaya Global, not all of Rippling’s pricing details are transparent. Plus, you have to purchase its base employee management platform before you can add other paid solutions like full-service payroll, employee benefits, and COBRA administration. However, what sets Rippling apart from the six other providers in this list is that clients can easily turn its PEO services on and off, and then use its HR software.
After you onboard new hires, Rippling automatically invites them to review and enroll in the benefits that your company offers.
Aside from PEO services, Rippling has a solid suite of HR and IT management solutions—making it one of our recommended HR payroll software for small businesses. To learn more about its functionalities, check out our Rippling review.
Rippling PEO Pricing
Rippling does not provide pricing for its PEO services unless you call for a quote. However, the monthly fee for its suite of HR and IT solutions starts at $8 per user. Note that you have to get its core employee management software before you can purchase IT and HR tools that include payroll, employee benefits, and HR support.
Rippling pricing plans:
Payroll: $8 per employee, per month
Employee benefits: $6 per employee, per month
Flex HSA and FSA benefits: $6 per employee, per month
HR Help Desk: $100 a month
App management: $8 per employee, per month
Device management: $8 per employee, per month
Rippling PEO Standout Features
Not only does Rippling offer HR and payroll solutions, but it also provides IT tools to help you manage your company’s devices and software. Here are some of its features:
Payroll: Rippling offers full-service payroll and handles federal, state, and local taxes, including year-end reporting (W-2s and 1099s). It tracks PTO, handles deductions, and pays garnishments. While it allows you to pay employees through direct deposits and checks, it doesn’t offer a pay card option. If you want a PEO provider that has all three payment options, we recommend ADP TotalSource, XcelHR, Insperity, and Paychex.
Similar to Insperity, Rippling has a pre-built library of payroll reports, and it also lets you create custom ones. It even has a job costing tool that enables you to track where your employees’ time goes and the cost of that on a client, task, and job location basis. However, it isn’t as detailed as Insperity, which calculates the cost of jobs based on the employees’ total wages.
Benefits: Rippling offers Fortune 500-level medical, dental, and vision insurance. It also has FSA, HSA, commuter benefits, and EPLI coverage and handles Affordable Care Act (ACA) and COBRA administration. What it lacks is ADP TotalSource’s employee discount perks, XcelHR’s non-standard benefits like legal assistance, Paychex’s HRA option, Justworks’ medical advocacy services, and Insperity’s customizable 401(k) plan.
Compliance support: Rippling doesn’t have an ESAC certification but it does a lot to help you stay compliant with payroll, safety standards, and labor laws. Assistance varies from labor posters to advice on HR issues. However, if you need strong compliance support to conduct safety audits and meet OSHA requirements, we recommend you partner with either ADP TotalSource, Paychex, or XcelHR.
IT support: For technical companies that use a lot of different software, Rippling is the best for onboarding. In addition to the usual new hire documents, it lets you assign computers and software licenses to employees. Rippling can even provide the computers with software preloaded and helps with the return of hardware at termination.
It also integrates with over 400 apps that include accounting, expense management, HR, sales, communication, and productivity tools. Of the seven PEO companies that we reviewed, only Rippling offers IT tools with a wide selection of third-party software integrations.
PEO service on/off switch: If you no longer require PEO services, you can quickly switch Rippling’s PEO off and use its HR platform. This differs from all the others on our list, which don’t have an easy on/off option and a seamless transition to HR software.
Ease of use: Despite the modularity of the software and the extreme number of integrations, Rippling is very user-friendly with helpful menus and icons for both in-app and third-party tools. All of its solutions “talk” to one another, so you don’t have to enter any information twice. However, while it has an online help center, its how-to articles are a bit limited.
Papaya Global
PROS
- Handles payroll, HR, and compliances across several nations and localities
- Transparent pricing
- Employer of Record (EoR) in 140+ countries; lets you hire without assistance from a local entity
CONS
- Can get expensive depending on the services you require
- Lacks 24/7 customer support
- Doesn’t have IRS and ESAC certifications
| RATING CRITERIA | Pricing | 5.00 | OUT OF | 5 |
| HR Administration | 3.75 | OUT OF | 5 | |
| Additional Software & Tools (Non-Payroll) | 1.75 | OUT OF | 5 | |
| Licensing & Reporting | 3.00 | OUT OF | 5 | |
| Payroll Features | 4.50 | OUT OF | 5 | |
| Ease of Use | 3.00 | OUT OF | 5 |
Papaya Global didn’t score as high as the six other PEO companies we reviewed, but we included it because it’s the best payroll services for global businesses. It can even help you with hiring international employees and managing benefits. In addition to immigration law compliance support, Papaya Global acts as the EoR in over 140 countries, taking on payroll and HR liabilities so that you can concentrate on work. Overall, it earned a score of 3.69 out of 5.
What’s great about Papaya Global is that its pricing is fully transparent. It also has an intuitive interface with tools that are easy to learn and use. Many users said that its user-friendly platform helps them to manage payroll for their global workforce. However, unlike ADP TotalSource, Paychex, Insperity, and Justworks, Papaya Global isn’t IRS- and ESAC-certified. Plus, it doesn’t offer employee development tools that PEOs like ADP TotalSource and Insperity have.
With Papaya Global, you can pay international employees in their local currency.
With Papaya Global, you can pay international employees in their local currency.
Papaya Global Pricing
Similar to Justworks, Papaya Global’s pricing information is readily available on its website. It has three plans that follow a flat rate pricing per employee either on a monthly or by pay period basis.
Features | Payroll | Global EoR | Contractor Management and IC Compliance |
|---|---|---|---|
Plan Description | Manages payroll | In-country partner acts as EoR | Outsource services to domestic or foreign contractors |
Pricing | $20–$100 per employee, per month | $770–$1,000 per employee, per month | Starts at $25 per employee, per pay period |
International Payroll and Cross Border Payments | ✔ | ✔ | ✔ |
Annual Statutory Reports | ✔ | ✔ | ✔ |
Third-Party Payments (IRS, national insurance, pension, etc.) | ✔ | ✔ | ✔ |
Benefits Administration | ✔ | ✔ | ✔ |
Customized Reports | ✔ | ✔ | ✔ |
Integrations (HRIS, VMS, T&A, ERP, custom) | ✔ | ✔ | ✔ |
HR Support | ✔ | ✔ | ✔ |
Worker Classification and Compliance Checks | N/A | ✔ | ✔ |
Papaya Global Features
EoR function: With Papaya Global acting as the EoR, it can hire and pay international employees on your behalf. It also provides benefits and workforce management through its network of partners located across 140 countries.
Payroll: Aside from calculating withholdings and deductions, it can handle payroll for both employees and contractors. Papaya Global pays your employees (via direct deposits and bank transfers) in their local currency with pay stubs in their own language. Its platform also lets you view payroll information in one location, by country, and as a whole business.
While Papaya Global’s international payroll tools are robust, some businesses might prefer a more cost-efficient solution but without all of the frills. For a reasonably priced option with a less-feature rich platform try Rippling (fees start at $8 per employee monthly after the purchase of its core employment management platform).
Tax Filing: Papaya Global handles payroll taxes, from documentation to payments and year-end filings, for wherever you have employees.
Benefits: Papaya Global analyzes your benefits plans by country to help you come up with attractive packages. In addition to standard benefits, it can help you create incentives for executives or equity rewards for workers. It works between you and the EoR to deliver the plan.
HR Support: In addition to managing payroll, Papaya Global provides access to HR documents, sends monthly reports of employee status, and reminds you of birthdays and work anniversaries. However, it doesn’t have 24/7 support. This is unlike ADP TotalSource that offers round-the-clock support through Globalization Partners for international clients.
Compliances: As EoRs for foreign businesses, it provides local expertise to ensure compliance with local regulations and laws. Papaya Global also monitors global tax laws to keep you compliant. It even tracks work permits, residence permits, and family permits. Other PEOs (like Rippling and ADP TotalSource) don’t offer the immigration-related services.
Ease of use: You get a dedicated onboarding manager to get you started, and access to in-country experts for questions. It also integrates with your existing HRIS, ERP expense management, and time and attendance systems. However, its integration options aren’t as robust as Rippling’s 400+ partners.
For a wider range of payroll options, check out our buyers’ guides on the best payroll services and best payroll software.
Bottom Line
PEO companies invariably say that the biggest benefits their clients get are relief from HR administrative tasks and protection from noncompliance issues. Both of these save their client businesses time and money—sometimes thousands of dollars. If you want to remove some of the headaches of HR and doing payroll on your own, contact a PEO and see how they can help you.
We recommend Justworks as it has efficient HR, compliance, and payroll tools with enterprise-level benefits that small businesses normally don’t have access to. Its plans are also reasonably priced with monthly fees that become more affordable as you grow your workforce. Sign up for a Justworks plan today.
