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Adapting PEO Services for Hybrid Work Models: Challenges and Solutions

Adapting PEO Services for Hybrid Work Models

The Growing Challenge of Multi-State Payroll

Business owners, CFOs, and HR professionals know how complex the payroll process can be. When your company hires employees that live across multiple states, however, it becomes even more challenging.

 

Varying tax regulations and location-specific wage laws make it difficult to remain compliant. The rise of remote work means these complexities are becoming even more prevalent, ultimately costing companies time and money.

 

The administrative burden of multi-state payroll can lead to costly errors—particularly for small businesses. Professional employer organizations (PEOs) step in to alleviate some of that pressure by handling administrative tasks like payroll management. This means growing companies can stay focused solely on running their business.

 

Let’s take a closer look at multi-state payroll compliance, why traditional payroll may not be the right choice for your company, and how PEOs help simplify the payroll process.

 

Understanding Payroll Compliance Across State Borders

If you’re a small business owner, hiring remote workers means having the ability to access a larger pool of talent beyond your specific area. This can be incredibly beneficial for your business, but it also comes with challenges.

 

One of the biggest challenges companies should consider when hiring talent across state borders is remaining compliant with rules and regulations regarding payroll. Not only do these laws evolve constantly, but they also tend to vary from state-to-state. If your company falls out of compliance, you could be faced with hefty fines and penalties.

 

When hiring workers across multiple states, it’s important to keep in mind that state income tax rates, unemployment insurance requirements, wage and hour laws, and benefits mandates will vary depending on where your new employees are located. Keeping up with those regulations can be especially difficult for smaller businesses or companies without a human resources team.

 

Why Traditional Payroll Systems Fall Short

Traditional payroll systems typically handle one-size-fits-all scenarios. While they may process paychecks efficiently, they may not take multi-state payroll compliance into account.

 

In many cases, generalized payroll processing can lead to miscalculated tax withholdings, late or inaccurate state filings, or noncompliance with state wage laws.

 

How PEOPayGo Makes Multi-State Payroll Easy and Accurate

From streamlining payroll and ensuring compliance to flexible pay-as-you-go programs and expert support at your fingertips, PEOPayGo makes multi-state payroll easy and accurate.

 

1. Payroll Compliance

PEOPayGo specializes in understanding and keeping up with state and federal rules and regulations when it comes to payroll. No matter where in the United States your workers are located, PEOPayGo ensures that your business will remain in compliance with those laws.

 

2. Streamlined Payroll Processes

Beyond remaining compliant with state and federal regulations, a streamlined payroll process is essential to keep employees happy and your company thriving. PEOPayGo’s platform simplifies the entire process, from onboarding new employees and time tracking to tax filings and benefits management. Automating your payroll processes with the help of PEOPayGo also ensures that it’s done accurately and on time.

 

3. Expert Support

The team of experts at PEOPayGo is always available to help with what you need—whether you’re unsure of how to handle an employee moving to another state or you’re trying to understand varying wage laws. When you partner with PEOPayGo, you’ll receive the support you need as a small or medium-sized business.

 

Simplify Payroll with PEOPayGo’s Multi-State Expertise

Managing payroll across multiple states can be complicated, and as a small business owner, you likely have a lot on your plate already. It can be difficult to keep track of varying wage laws by state, especially when rules and regulations are constantly changing.

 

When you work with PEOPayGo, you can rest assured that your business will remain compliant with state and federal regulations when it comes to payroll. Not only will you receive compliance support, but you’ll have streamlined payroll processes to help your organization simplify and thrive.

 

If you’re a business owner or HR manager with multi-state or remote employees, reach out to PEOPayGo today to get the payroll support you need.

 

Contact us today to get the coverage and support you need!

The hybrid work model has become increasingly popular in recent years—particularly since the pandemic in 2020. A blend of working from home and working in an office environment has been shown to have a positive impact on productivity and overall employee satisfaction. When your company partners with a PEO, however, what does that mean for the services you’ll receive as a business owner or manager?

Professional employer organizations—or PEOs—handle the administrative tasks of a business like onboarding, payroll, workers’ compensation, and risk management. Relieving the administrative burden can create space for business owners and HR professionals to focus on the employees themselves. But what challenges come with adapting PEO services for hybrid work models, and what solutions can be offered?

Challenges of Managing Hybrid Work with PEO Services

 

PEOs typically offer software for both employers and employees to have easy access to things like personal data and payroll. A portal or dashboard specific to each employee can be incredibly helpful for time-tracking and communication. However, there can also be challenges when it comes to the hybrid work model.

When employees work in an office, it’s easy to see when they arrive at work in the morning and leave at the end of the day—there’s no question about clocking in and clocking out. When an employee works from home, however, there has to be accountability for when they start working and when they finish for the day.

While an employee dashboard can help make tracking time easier for your team, it also makes it easier for people to be deceptive about when they are or are not working. The hope, of course, is that every employee would be honest about the time they’ve worked, but that may be something difficult to ensure.

Solutions Offered by PEOs for Hybrid Work

 

Though there may be some challenges to managing hybrid work with PEO services, there are also many benefits. Partnering with a PEO can make the onboarding process smooth and streamlined, no matter where in the world your employees are located. Onboarding new hires can be complex, but with PEO software to help walk each new employee through the required documentation and training programs, the process is much more straightforward.

PEOs also specialize in having a full understanding of state and federal rules and regulations surrounding labor, which helps ensure compliance no matter where your employees are located. These ever-changing labor laws can be difficult to keep track of for employers—particularly when they have employees all over the world. Working with a PEO ensures your company stays up-to-date with those regulations, avoiding the issue of non-compliance.

One challenge of working remotely is keeping employees engaged at work. PEOs offer solutions to this by providing training and development programs for employees to work through within their dashboard. This not only helps employees continue to grow and evolve, but it also allows them to feel more involved within the company.

Adapting PEO Services to a Flexible Workforce

 

PEO services are easily adaptable to a hybrid work model, and advancements in technology mean even more features unfolding with time. Offering chat options between employees is a great idea going forward to help maintain open lines of communication. Without the ability to have quick, in-person chats with your coworkers at the office, it can sometimes be challenging to keep certain tasks moving forward. A chat option would help employees easily communicate throughout the day, boosting productivity and engagement.

The Future of PEOs in Hybrid Work Environments

 

Streamlined onboarding for employees worldwide, compliance with state and federal labor laws, and increased employee productivity, engagement, and overall morale are crucial ways that PEO services have solved hybrid work model challenges. Technological advancements continue to improve the way PEOs can support business owners and HR professionals in the future.

If your company has a hybrid work model and you’re ready for support when it comes to the administrative tasks of your business, reach out to the experienced team at PEOPayGo. We can help you streamline and simplify your onboarding, payroll, and everything in between.

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