Hospitality Industry
Focus on Guests, Let a PEO Handle the Rest
In the restaurant and hospitality industry, success is built on experiences — the perfect meal, a warm welcome, an exceptional stay.
But behind the scenes, owners juggle payroll, tip tracking, labor laws, and high employee turnover — all while trying to keep guests happy.
That’s where a Professional Employer Organization (PEO) helps — and where PEO Marketplace makes finding the right one effortless.
HR Solutions That Keep Service Flowing
Simplify Your Back Office
Compliance & Risk Management
Benefits & Retention
Access competitive health plans, retirement options, and employee perks that keep your best talent onboard.
Workers’ Compensation
Protect your team and your bottom line with the right coverage.
With a trusted PEO, you gain peace of mind — knowing your business runs as smoothly behind the scenes as it does for your guests.
Partners Who Understand Hospitality
PEO Marketplace connects restaurants, hotels, and hospitality businesses with trusted PEOs experienced in the service industry — partners who understand your unique challenges and fast-paced environment.
These PEOs specialize in:
Managing multi-location payroll and scheduling
Streamlining onboarding for high-turnover roles
Ensuring compliance with local and federal labor laws
Scalable HR solutions for seasonal workforce changes
The result? Less stress, stronger retention, and more time for guests and growth. Because in hospitality, every detail matters — and PEO Marketplace helps you find the partner who keeps your business running as flawlessly behind the scenes as it does out front.
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Take the first step toward smoother operations and happier teams.
Frequently Asked Questions (FAQ)
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How Does the PEO Arrangement Work?
A Professional Employer Organization (PEO) enters a co-employment relationship with your business—sharing employer responsibilities as outlined in a Client Service Agreement (CSA). The PEO handles administrative HR tasks like payroll, tax filings, benefits administration, and compliance with employment laws. It also issues W-2s under its own EIN.
Your company keeps full control of day-to-day operations—like product development, sales, and strategy—while the PEO helps streamline HR, reduce risk, and offer competitive benefits to employees. It’s a smart way to lighten the back-office load without giving up business control.
How much does PEO services cost?
PEO pricing depends on your company’s size, service needs, and complexity. Most charge either a per-employee, per-month (PEPM) fee or a percentage of your total payroll. This typically covers core services like HR, benefits administration, and workers’ comp.
Some PEOs may also include a one-time setup fee or additional charges for specialized services like recruiting or training. Always review the full pricing breakdown to understand what’s included and avoid surprises.
Can partnering with a PEO help reduce business costs?
Yes, partnering with a PEO can lead to significant cost savings for your business in multiple ways. By outsourcing HR management and employee benefits administration, you reduce the expenses associated with hiring, training, and maintaining an in-house HR team. Additionally, PEOs use their purchasing power to negotiate lower rates for employee benefits and workers’ compensation insurance, helping you save on essential costs. Furthermore, they assist in ensuring compliance with labor laws and regulations, minimizing the risk of costly penalties and legal issues. Ultimately, a PEO can provide both financial and operational efficiencies, allowing you to focus on growing your business.
What Are The Differences in PEO Companies?
PEO companies differ in several key areas, including service offerings, pricing structures, industry specialization, compliance expertise, and technology platforms. Here’s a breakdown of the main differences:
- Service Offerings
- Full-Service vs. Limited-Service PEOs – Some PEOs provide comprehensive HR solutions, including payroll, benefits, compliance, and risk management, while others offer limited services.
- Industry-Specific PEOs – Certain PEOs specialize in specific industries, such as healthcare, construction, or technology, offering tailored HR solutions.
- Additional Services – Some PEOs include recruitment, employee training, or performance management, while others focus solely on payroll and benefits.
- Pricing Models
- Per-Employee, Per-Month (PEPM) – A flat rate per employee each month.
- Percentage of Payroll – A percentage-based fee calculated on total payroll costs.
- Customized Pricing – Some PEOs offer tailored pricing based on business size, services required, or industry.
- Compliance & Risk Management
- Regulatory Expertise – Some PEOs specialize in compliance for specific industries, helping businesses navigate complex labor laws and OSHA regulations.
- Workers’ Compensation & Unemployment Claims – Some PEOs offer better coverage rates and claims management than others.
- Benefits & Insurance Offerings
- Group Benefits Plans – Larger PEOs may offer access to better health insurance and retirement plans due to their buying power.
- Custom Benefits Packages – Some PEOs provide more flexibility in benefits selection.
- Technology & Integration
- HR Platforms & Software – Some PEOs offer advanced HR software with self-service portals, mobile apps, and AI-driven analytics.
- Integration with Existing Systems – Compatibility with existing payroll, accounting, or HR systems varies by provider.
- Customer Support & Service Model
- Dedicated Account Managers vs. General Support – Some PEOs assign dedicated HR specialists, while others use call centers.
- Onsite vs. Remote Support – Some PEOs offer onsite HR support, while others operate remotely.
- Accreditation & Reputation
- Certified PEOs (CPEO) – Some PEOs have IRS certification, ensuring financial reliability.
- Industry Reputation & Client Reviews – Experience and client satisfaction vary, so checking references is important.
PEO Marketplace helps businesses assess their needs, compare providers, and review contract terms to find the best fit.
Can a PEO help reduce my worker’s compensation costs?
Yes, partnering with a PEO can help lower workers’ compensation (WC) costs. Since WC insurance is mandatory and often expensive, PEOs provide access to group insurance rates, which are typically more affordable than individual policies. They also assist with claims management, ensuring proper handling of claims, coordinating with healthcare providers, and negotiating settlements to minimize costs. Additionally, PEOs offer safety training and risk management support to help prevent workplace injuries, further reducing WC expenses.
How can I choose the best PEO for my business?
Selecting the right PEO is a crucial decision, as they serve as a key partner in your administrative processes and business growth. To find the best fit for your company, follow these steps:
- Assess Your Business Needs – Evaluate your current and future HR and payroll requirements, considering factors like company size, required services, and industry-specific needs.
- Research PEOs – Compare various PEOs based on their services, experience, reputation, financial stability, company history, and pricing. Focus on those that specialize in businesses like yours.
- Verify Certifications & Compliance – Ensure the PEO is properly licensed in your state and has a strong compliance track record, adhering to all regulations and legal requirements.
- Request References – Speak with current and past clients to gain insight into the PEO’s service quality and how they collaborate with businesses.
- Evaluate Customer Support – Choose a PEO known for excellent customer service and responsiveness to ensure they effectively support your team and stakeholders.
Does a PEO’s technology integrate with my business?
Yes, PEO technology is designed to seamlessly integrate with businesses of all sizes. It works with your existing systems and software, ensuring easy implementation and usability. Typically cloud-based, PEO platforms provide businesses with convenient, secure access to HR functions from any device, anywhere.
Will partnering with a PEO affect my control over my business?
No, partnering with a PEO does not mean losing control of your business. You will continue to manage your employees as usual, including assigning tasks, setting schedules, and overseeing daily operations. A PEO primarily assists with administrative responsibilities such as ensuring timely payroll processing, issuing W-2s, and maintaining compliance with local, state, and federal regulations. This partnership allows you to focus on growing your business while the PEO handles essential HR and payroll functions efficiently.
Can PEOs integrate my current 401(k)?
Yes, PEOs can integrate with your 401(k) plan, and many offer retirement plan administration as part of their HR services. They assist with enrollment, contributions, and compliance while providing online tools for real-time management, reporting, and analytics. If you already have a 401(k) plan, a PEO can collaborate with your plan administrator to seamlessly integrate it into their platform, streamlining HR processes while saving time and costs.
How do PEOs help prevent fines and penalties from the DOL and ERISA violations?
PEOs help businesses stay compliant with state and federal employment laws by providing expert HR guidance, including employee classification, wage compliance, and workplace safety. As co-employers, they share legal liability and handle payroll taxes, workers’ compensation, and unemployment insurance, reducing the risk of fines from agencies like the DOL. PEOs also assist with ERISA compliance for employee benefits, helping businesses avoid costly penalties.
What is a CPEO?
A Certified Professional Employer Organization (CPEO) is a PEO that meets IRS requirements and undergoes testing and audits to become certified. Established in 2014, the certification ensures proper tax status, bonding, and financial reporting. Unlike regular PEOs, only CPEOs are authorized by the IRS to take on specific employer responsibilities and liabilities, helping businesses stay compliant with regulations.
How Do Employees Benefit from A PEO Arrangement?
A PEO helps small business employees access benefits like 401(k) plans, health insurance, and dependent care, similar to those offered by large companies. It also improves job security by reducing employment costs and enhances job satisfaction and productivity through HR services, training, safety programs, and better communication.
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