When you think of PEO services what is the first thing that comes to mind? Most managers would answer, “Payroll”. But Professional Employer Organizations (PEOs) perform many Human Resource functions that can drain the resources of small to medium-sized businesses. One such service is administering verifications.
Verification of employment and wages are made to lenders and agencies on a regular basis. Lenders may need a verification if an employee is purchasing a home, a car, or other big-ticket item.
Landlords request verification for apartments and other rental properties. Educational institutions and specialty lenders may need information for student loans. State and federal agencies require verifications for assistance programs such as:
- food supplemental programs
- children’s healthcare
Child support determinations usually require verification of employment and wages. The Department of Transportation requires employment verification for commercial drivers’ license.
Instead of spending valuable time chasing down the correct forms, filling them out, attaching documentation, and sending them to the appropriate lender or agency, you could be spending your time growing your business. A PEO representative will simply ask the employee to sign a release form giving permission to the PEO to provide the required information. From there, the PEO will take care of everything—from finding the correct form, to pulling the necessary documentation of employment or wages, to sending it directly to the lender or agency in a timely manner.
Employees can also contact the PEO directly to request copies of payroll vouchers or W2s, saving client companies time and resources to hunt down the information and print them out. Many PEOs have payroll information online so employees with a login and pin can check their own information at their convenience 24 hours a day, seven days a week, instead of taking time during work hours.
It’s no wonder a recent study by McBassi & Company found that PEO clients report an annual median revenue growth at twice the rate of non-PEO firms. When you think of PEO services, think beyond payroll and see the many services PEOs provide that can allow you to shift your focus to growing your company.
Ready to take a closer look at how PEO services benefit companies like yours? Read The Best Kept Secret for Small Business Success. This free guide outlines how PEOs assist with businesses’ most important HR functions.