Employee Leasing Quotes : PEO Blog

From Maximizing your Employee Leasing and PEO services, Q&A with successful business leaders, to helpful information regarding new health care laws, we’ve posted our September newsletter for you to view. Follow the link and take a moment to sign up and start receiving valuable tips, trends and expert advice regarding HR issues, payroll, business insurance and employee leasing information.

http://www.employeeleasingquotes.com/employee-leasing-quotes-newsletter.php

Mike Burgelin
www.EmployeeLeasingQuotes.com

What a great industry and a great week! From a pizza chain in Missouri to a multi-state trucking operation in Georgia, a total of four businesses new to employee leasing services this week, will total an annual workers’ compensation insurance savings of almost $75,000 - compared to their previous insurance providers.

The best part of a new company connecting with these services is always the conversations about six months down the road. The conversation is more about how much more productive they are, since unloading all the administrative paperwork and how they had wished they new about employee leasing years ago - which I’ve heard many times over the years.

More new states, cities, towns and industries. More success stories. Let’s keep spreading the word!

Mike Burgelin
www.EmployeeLeasingQuotes.com

Awesome start to June with four new businesses in four different states new to employee leasing services! It’s an easy decision when the costs and benefits sell themselves. Check out our June newsletter and have great weekend.

http://www.employeeleasingquotes.com/june-newsletter.html

I got an email today from a PEO rep that I’ve had the privilege of knowing and working with over the past few years. She told me she “had just left” the company she’d been working for and was looking at a new sales position in another industry.

I don’t know if she was “let go” or left, but we’ll talk soon. Regardless, I know she wasn’t given much to sell with, in large part because of the economy and fairly - because of what her company has probably had to do to stay in business.

In almost twenty years of B2B sales, this individual is one in a few that you remember. Right now, you can bet there are a number of extremely qualified professionals looking for the right opportunity, to do what they do best – produce and help grow a business. If you have the resources and who doesn’t need highly skilled producers, there’s never been a better time to capitalize.

Mike Burgelin
Employee Leasing Quotes

1. You’re a numbers guy:
You look forward every year to the new IRS (Circular E) employer’s tax guide. Even when you were young you loved solving math problems and the IRS always adds a new wrinkle to the equation, so that makes it even tougher.

2. You always need something to do:
Lucky for you, the state and federal government keep adding employer compliance laws you’ll need to stay on top of. Abbreviations like COBRA (not the snake), ERISA, ADA, HIPPA and FMLA are just a few that you’ll enjoy reading up on.

3. You’re a shopaholic:
Clothes, shoes, insurance- it doesn’t really matter. Every year, renewals on workers’ compensation and health insurance benefits are just another opportunity to shop. You also get the side benefit of reading all the new changes in deductible options, co-pays, limits, exclusions, networks, provisions and so on.

4. You’re a good debater:
You were first in your class and county champion, so you look forward to workers’ compensation audits. This annual showdown gives you the chance to single-handedly take on big insurance.

5. The thought of not seeing Jennifer, the pretty blonde teller, at the bank when you have to make timely payroll deposits is reason enough.

6. Outsourcing payroll would take away Sally’s only job:
Besides a few IRS penalties for late payments and abusing smoke breaks from time to time, she’s always there to talk to. She plays a mean game of online chess and she actually did get you back some money once for overpayment on payroll taxes.

7. You’ll lose all your power:
Sure it takes up a lot of time to sign payroll checks, 940, 941 and a few dozen other forms regularly - but you’re the boss. Delegating or outsourcing employee-related issues shows a sign of weakness.

8. You’re a hard working, thrill seeker:
There’s no better feeling of accomplishment than finishing up payroll at midnight on a Thursday. The rush of pushing it to the limit, knowing your life could be in danger if paychecks aren’t ready Friday morning is exhilarating!

9. Outsourcing the payroll would provide a legitimate excuse to not give out loans to those who come knocking on the door before payday.

10. Because it might cost more:
You know what your costs are now? Why change? Besides, change can be difficult, even disruptive. Even if it costs less, how much could you really save?

There’s a reason why the U.S. Department of Labor predicts that by the year 2020, half of American employees will be getting paid through employee leasing companies- they work!

Mike Burgelin
www.EmployeeLeasingQuotes.com
1-888-582-8388

Here’s a great article passed along to me regarding the true costs of employees.

http://money.cnn.com/2010/03/26/smallbusiness/employee_costs/

Mike Burgelin
1-888-582-8388

Tax credits

From 2010 to 2013, businesses with fewer than 25 employees with average annual wages of $50,000 or less are eligible for tax credits of up to 35 percent of the employer’s health insurance premium.

Beginning in 2014, eligible employers can get a tax credit of up to 50 percent for two years for insurance purchased through health insurance exchanges.

New taxes

A 40 percent excise tax will be imposed in 2018 on employer-sponsored health premiums that are above $10,200 for single coverage and $27,500 for family coverage.

In 2013, the Medicare payroll tax will be increased by 0.9 percentage points for individuals earning more than $200,000 ($250,000 for married couples filing jointly). Tax also will be applied to net investment income.

Annual flat fees will be imposed on pharmaceutical companies in 2011, medical-device manufacturers in 2013, and health insurers in 2014

Health insurance exchanges

State-based exchanges will start in 2014, with Web portals that will allow individuals and small businesses to comparison shop for insurance.

All insurers in exchange must provide core set of benefits.

Insurers in exchange can’t deny coverage based on pre-existing conditions, selectively refuse to renew coverage or charge different premiums based on gender, occupation or pre-existing conditions

Shared responsibility

All individuals will be required to obtain insurance, except for those who obtain hardship waivers.

Employers with more than 50 workers that do not offer health insurance will pay $2,000 per full-time worker (not including the first 30 workers) if any of their employees purchases government-subsidized coverage through an exchange.

Employers with more than 50 workers that offer unaffordable coverage or coverage that does not cover at least 60 percent of allowable costs will pay $3,000 for any employee that receives a tax credit in the exchange

Source: House Energy and Commerce Committee

www.EmployeeLeasingQuotes.com

Some important legislation has moved quickly through Congress. It will provide your company with
financial incentives for hiring unemployed workers and keeping them on the job. Below is a brief
description of this legislation.

The HIRE Act encourages the hiring of unemployed workers and provides incentives to promote long term employment. On February 24, the Senate passed HR 2847 with an amendment creating the Act. The House passed a modified version of the bill on March 4, retaining the HIRE Act provisions. The bill was signed by the President on March 18.

The Hiring Incentives to Restore Employment (HIRE) Act contains two key employment provisions:

1. Hiring incentive - Payroll tax exemption.
Exempts qualified employers from the employer share of the payroll exemption tax for the remainder of
2010 on qualified new hires. At 6.2%, the maximum value is $6,621 for a qualified employee with wages
equal to or exceeding the wage base limit.

A qualified new hire is someone that has not been employed for more than 40 hours during the 60-day
period ending on date of hire and has a hire date of February 4 – December 31, 2010. The qualified new
hire must sign an affidavit.

The payroll tax forgiveness does not apply to wages paid in the first quarter of 2010. However, any
amount that would have been allowed in the first quarter (i.e., wages on or after March 18, 2010) would
be credited against the employer’s OASDI liability for the second quarter. Beginning for new hire wages
paid beginning April 1, 2010, the employer would take the OASDI forgiveness into account for regularly
deposited payroll taxes.

2. Retention incentive - Federal tax credit
If your company retains HIRE qualified employees, you can also earn a federal tax credit equal to the
lesser of $1,000 or 6.2% of the wages paid to the retained worker. To earn the retention credit, the
worker must work 52 consecutive weeks and wages paid during the last half of that period must equal at
least 80% of wages paid during the first half.

Who is a “qualified employee?
Answer: A qualified employee…

• Must start work after February 3, 2010 and before Jan 1, 2011.

• Must not have been an employee for more than 40 hours during the 60 days before his or her
  start date.

• Must not replace a current employee (unless that employee was separated from employment
  voluntarily or for cause.)

• Must not be related to the employer or directly or indirectly own more than 50% of the business.

• May be previously laid-off employees.

• May be part-time or less than full time employees.

www.EmployeeLeasingQuotes.com

I wish I had a list of every business out there who has been forced to get their workers’ compensation insurance through a state fund - or “pool” as otherwise known. Last week just completed service on a small masonry business out of North Carolina that has been getting drilled on their workers’ comp rates through the state fund, by saving them over 50% on their annual premiums.

We receive these calls fairly often because the costs through these pools just aren’t maintainable for a small business to be competitive. I’m not sure what the formulas are either with the voluntary market not able to service these clients. We’ve had as high as a ten employee business with no claims to companies with just a little over a one experience modifier that can’t access reasonable coverage. Whatever the reason, keep’em coming - we’ll help!

Mike Burgelin
1-888-582-8388
www.EmployeeLeasingQuotes.com

How can employee leasing services impact your business? How about an annual work comp savings of $15,000 for a company with less than ten employees! What an easy decision for this local Wisconsin moving company that will pay 47% less on their workers’ compensation insurance rates now by connecting with an employee leasing provider. In this economy, there’s never been a better time to look at the benefits of employee leasing services.

Mike Burgelin
1-888-582-8388
www.EmployeeLeasingQuotes.com