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Paychex Flex is a human capital management solution that's designed using web-based modular technology and a dedicated service center to help meet the HR needs of employers of any size and industry. With a single login, users can manage applicant screening...Read more about Paychex Flex
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Paylocity is a cloud-based human capital management (HCM) platform that provides human resources and payroll management tools to help businesses manage core HR functions. Key features include payroll processing, benefits administration, time management, ta...Read more about Paylocity
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Since 2004, ClearCompany’s end-to-end Talent Management platform has enabled thousands of companies to maximize talent by empowering people at every stage of the employee journey. ClearCompany integrates data-driven best practices, expert-informed content,...Read more about ClearCompany
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VeriClock is cloud-based employee time tracking software for businesses of all sizes having mobile or fixed workforces. The system allows employees to clock in and out from their own mobile devices or via the web, telephone, SMS/text message or through the...Read more about VeriClock
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Primalogik is a cloud-based performance management solution for human resources (HR) professionals. The tool helps organizations to assess people’s ongoing performance and development. Its key features include 360-degree feedback, performance appraisals, g...Read more about Primalogik
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Natively built for the cloud, Oracle Fusion Cloud Human Capital Management is a complete solution that connects every human resource process—and every person—across your enterprise. We help you create a community where people feel valued, heard, and like t...Read more about Oracle Cloud HCM
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TimeIPS is a time and attendance system for companies in a wide range of industries. The solution is designed to help small and midsize companies manage time-tracking and attendance operations as well as generate payrolls for employees. TimeIPS featur...Read more about TimeIPS
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CommonOffice is a cloud-based human resources (HRIS) software service for small and midsized businesses. CommonOffice offers customizable HRIS solutions to organizations of all sizes, which includes applicant tracking (ATS) and HRIS tools to manage all asp...Read more about CommonOffice HRIS
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Dayforce Powerpay is an easy-to-use payroll and HR software solution for Canadian small businesses. Using Powerpay, you can help reduce risk by cutting through compliance complexity, streamline processes, and take advantage of automatic calculations and re...Read more about Dayforce Powerpay
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Say goodbye to scattered sticky notes and endless to-do lists. WorkBright removes the bottlenecks that slow down hiring so you can get new employees to work up to 8x faster without compromising security or accuracy. What makes WorkBright different? 𝗨𝘀�...Read more about WorkBright
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BiznusSoft HR (formerly HRMSSoft) is a cloud-based human capital management system suitable for companies of all sizes. It includes a suite of integrated human resource modules offering benefits management, recruiting, performance management, payroll, perf...Read more about BiznusSoft HR
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Our learning and development platform is the simplest way to see success with people development. In one unified platform, you can now eliminate complexity and fuel productivity. From onboarding to compliance, from skill-building to external training, el...Read more about eloomi
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StaffingSoft is a cloud-based applicant tracking solution (ATS) designed for businesses of all sizes in a variety of industries. Key features include contact management, resume mining, time tracking and job management. StaffingSoft’s resume manager he...Read more about StaffingSoft
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SmartSearch is a leading global talent acquisition and staffing management software platform that enables companies to effectively identify, recruit, onboard, and nurture top talent. We consistently drive innovation, providing scalable and configurable sof...Read more about SmartSearch
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Bswift is a cloud-based solution for employers, brokers and exchanges, that offers an open enrollment portal, reporting, billing, COBRA administration, compliance and more. The bswift exchange platform features include reporting, alerts, dashboard acc...Read more about bswift
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Hireflix is an online one-way video interviewing platform that allows recruiters and candidates to streamline the interview experience. Candidates have the flexibility of completing interviews from any time, anywhere by recording their responses to the pre...Read more about Hireflix
PeopleBookHR is a cloud-based human resources (HR) management solution. Primary features include employee information management (EIM), asset management, payroll, performance management, leave management, time and attendance management, benefits management...Read more about PeopleBookHR
Bizneo HR is a software with more than 16 tools for self-management and operational optimization of: Recruitment, Absences, Time and Shift Control, Appraisals, Reports, Surveys, Training and more that you can customize in the portal of each worker. It red...Read more about Bizneo HR
Time Clock MTS is an on-premise human resource (HR) management solution that helps businesses track employees' check-in/out timings to streamline payroll processes. Administrators can record staff members' attendance in a built-in database, define overtime...Read more about Time Clock MTS
Clarity Wave is a cloud-based human resources (HR) solution that helps users receive staff feedback, conduct surveys and improve employee engagement. Key features include reward programs, social recognition, data analysis, daily pulse tracking and employee...Read more about Clarity Wave
Top Echelon recruiting software offers applicant tracking (ATS) and client relationship (CRM) features in a single recruitment solution designed to manage the placement and hiring process for growing recruiting teams and companies. Top Echelon automates a...Read more about Top Echelon
DevSkiller TalentScore is the the industry-proven technical screening solution. Powered by the RealLifeTesting methodology, TalentScore helps you assess technical skills with razor-sharp precision while providing an outstanding candidate experience. Candi...Read more about DevSkiller TalentScore
Recright is a cloud-based hiring platform that helps recruiters to manage the hiring process that includes job posting, filing and screening applications and conducting video interviews. Recright is suitable for companies of all size. It allows recruiters ...Read more about Recright
TalentLyft is a recruitment software that helps companies find, attract, and hire the best talent! TalentLyft consists of 5 essential products/modules: Applicant Tracking System: Streamline your selection process Key features: Resume parsing, Interview s...Read more about TalentLyft
OnBlick is a SaaS-based application developed with the motive of streamlining HR and Immigration processes to ensure Organizational Compliance. It assimilates intelligence from regulatory sources to provide authentic guidance on HR and Immigration Complian...Read more about OnBlick
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Buyers Guide
This detailed guide will help you find and buy the right peo software for you and your business.
Last Updated on August 19, 2024As a professional employer organization (PEO), HR isn't just an important facet of your business; it's your business, period. Client companies rely on you to handle all of their important employee management needs, and if you can't deliver a stress-free experience, they'll go to your competitor or hire staff to do their HR in-house.
You need to be able to execute efficiently on important HR tasks and keep clients happy at the same time. In other words, you need software. But maybe you're not sure what options are out there, or which system will best fit your needs.
We're here to help.
In this Buyer's Guide, we'll go over everything you need to know about PEO software to help you make a more informed purchase decision.
Here's what we'll cover:
How Much Does PEO Software Cost?
Key Considerations When Purchasing PEO Software
Additional PEO Software Resources
What Is PEO Software?
PEO software helps PEOs and administrative services organizations (ASOs) perform HR duties for client businesses. Along with functionality to manage your customers' core HR needs—things like payroll, benefits enrollment and compliance reporting, for example—PEO software systems also allow you to create custom invoices and bill clients for services rendered.
PEO dashboard in Worklio
Being a PEO doesn't necessarily mean you need to buy a product solely dedicated to the PEO/ASO audience, though they do exist (e.g., PrismHR). Many popular HR systems offer the functionality PEOs need and cater to both in-house HR departments and outsourced HR service providers (e.g., Paylocity).
Common PEO Software Features
PEOs need to make sure that any software they adopt has the functionality to support the services they offer. Here are some common features buyers should look out for when evaluating different PEO software systems:
Manage wage and salary rates for employees. Automatically calculate and run payroll, pay workers, run reports and export payroll costs to the company accounting ledger. | |
Allow workers to enroll in benefits plans or change options on existing enrollments themselves. Run reports and track program costs. | |
Monitor employee paid time off and hours worked. Automatically port hours into payroll to calculate accurate compensation. | |
Post job openings, create candidate profiles and manage applicants through client hiring workflows. | |
Automatically walk new hires through client onboarding processes. Important paperwork can be signed and stored digitally. | |
Compliance management | Track client compliance with local, state and federal employment laws (e.g., ACA, EEOC, OSHA etc.). |
Billing and invoicing | Correctly bill clients for services offered. Send customizable invoices and track accounts receivable. |
Client and employee portals | Gives workers and HR personnel access within the system to view information and perform tasks such as running reports. |
Some PEOs may elect to buy separate HR systems with all the functionality they need and integrate them together, but we recommend investing in one comprehensive solution, if possible.
A comprehensive solution mitigates the risk of data becoming lost or corrupted while transferring between applications, and provides a better experience for clients, who only have to learn and log in to one system.
How Much Does PEO Software Cost?
It would be great if all PEO software systems were priced the same way, but unfortunately that's not the case. Here are some common pricing structures you can expect to run into:
Perpetual license. This is more common with on-premise systems that are hosted on your own server (as opposed to cloud-based software, which is hosted by the vendor and accessed through a web browser). You pay one large upfront cost to own the software indefinitely.
Subscription (per employee, per month or per user, per month). Vendors may charge based on the number of employees in your organization or the number of employees total across all of your clients, so be sure to ask what they mean by "per employee."
Freemium. Some vendors offer a basic version of their platform for free, then charge for extra functionality. Open source software is also "free" in the sense that it doesn't cost any money to get access to the code, but there is still a significant investment here in terms of IT deployment and maintenance.
Key Considerations When Purchasing PEO Software
Before you talk to a single PEO software vendor, you first have to ask important questions internally about your goals and constraints.
These include: Which features do you need and which ones do you merely want? What's your budget? If you're replacing an existing system, what have been the most significant pain points you want to remedy? What's your deadline to be up-and-running with new software?
Once you have answers to these important questions and pare down your options, it's time to do demos. Here are some key considerations to keep in mind when evaluating different PEO software systems:
User interface is critical. With an in-house system, you might be able to get away with a clunky interface, if it gets the job done. Not so if you're a PEO. Clients are going to be using your system too, so it's vital that whatever software you choose be intuitive and easy to use.
Will your software play nice with client systems? Clients may have their own accounting or time tracking systems they want to use. If they can't easily integrate with your software, that will lead to headaches down the road.
Evaluate the support behind the software too. Talk to vendors extensively about the support options they offer and their associated cost. Also be sure to understand how they will handle updates. The last thing you need is a client being unexpectedly locked out of the system during maintenance.
Additional PEO Software Resources
A PEO software purchase isn't something that should be taken lightly. Whatever product you choose will have a profound effect on the quality of service you offer.
This guide offers basic advice, but if you want to learn more, here are some additional resources:
How to Save Money While Buying HR Software - In this article, we show you ways to save money and stay within your budget when purchasing HR software.
3 Best Practices for Streamlined HR Service Delivery - Tired of responding to employee questions all day? Here, we detail three best practices to make your HR service delivery more automated and efficient.
HRIS vs. HRMS vs. HCM: What's the Difference? - Shopping for HR software can leave new buyers drowning in alphabet soup. Learn the difference between an HRIS, an HRMS and HCM software.