What Makes a Great PEO Partner?
What Makes a Great PEO Partner? The Questions You Should Be Asking
In this episode of The PEO Playbook, hosts Chad Philly and Marty Gray from Staff Brokers pull back the curtain on one of the most important, but often misunderstood parts of outsourcing HR: picking the right PEO partner.
If you think all PEOs are the same, this conversation will make you think again.
What Defines a Good PEO Partner?
It starts with vetting. Marty emphasizes the importance of meeting with PEO leadership, understanding their target clientele (blue collar vs. white collar), and digging into their work comp carrier’s credentials. Are they A rated? Do they offer first dollar coverage or pass deductible risk onto the client? These details can dramatically affect pricing and claims outcomes.
The team doesn’t just look at cost. They assess service quality. Do clients get the same payroll processor each week? Is there a team or pod that understands your business’s unique schedule? That relationship matters when a hurricane hits or someone forgets to submit payroll while on vacation.
Crisis Ready PEOs
One standout point from the discussion: how PEOs respond in moments of chaos, like a hurricane. Good PEOs anticipate disasters and communicate proactively, asking for early hour submissions, fast-tracking payroll processing, or even providing net check solutions when ACH isn’t possible. Their preparedness becomes your peace of mind.
Services Beyond Payroll
Yes, some PEOs are just payroll + workers’ comp. But others offer the whole package: healthcare, retirement plans, supplemental insurance, vision, dental and flexible access to them all. And it’s not one size fits all. The best PEO partner customizes their offerings to match the employer’s goals and employee needs.
Managing Workers' Comp Claims the Right Way
This is where seasoned PEOs shine. According to Marty, it's not about avoiding claims, it's about handling them well. PEOs with great HR teams communicate with injured employees quickly and compassionately, mitigating the risk of unnecessary lawsuits. Their systems focus on care and clarity, reducing liability and legal costs for everyone involved.
Multi-State Expertise
Not every business stays in one place. When clients operate in multiple states or hire remote workers, a knowledgeable PEO makes all the difference. Each state has its own quirks, taxes, reciprocity rules, workers' comp classifications and the right partner will already have infrastructure in place to handle them.
Final Takeaway
There’s no single formula for a perfect PEO. The best partner depends on your industry, your location, your risk profile, and your goals. But one thing is clear: a proactive, communicative, and strategically aligned PEO will not only save you money, they’ll make your life easier.
Want help choosing the right PEO for your business?
👉 Visit PEOPlaybook.com to book a consultation with Staff Brokers today.
