Wednesday, November 16, 2011

California employers continued to take it on the chin with a 2010 increase in workers' compensation insurance rates. The state's unemployment insurance fund has already borrowed over 5 billion dollars from the feds and state workforce department officials estimate that by the end of 2010, the state's fund will owe a jaw-dropping $18 billion. So, with all of the costs of running a business going up and sales that continue to slump, what's the answer?Almost 30 years ago now, employee leasing services (also known now as Professional Employer Organizations or PEOs) were revolutionized to transform the way businesses operate. The basic problem and solution was this: You start a business in order to sell a product or provide a service and generate revenue. Then you quickly discover the necessary but time-consuming issues of payroll administration, employee and workers' compensation insurances, personnel management and governmental compliance issues. All non-income producing work that prevent a business from maximizing profitability!An employee leasing service eliminates these problems and provides powerful business benefits!Employee leasing services process and deliver payroll to your office, they're liable for all your state and federal tax deposits, submit quarterly and year-end reports, they even mail out W-2s and wage garnishments... all for less money than you could do on your own! Your business will also benefit from a discounted California state unemployment rate that could save you thousands of dollars each year.The workers' compensation benefits include big discounts (up to 40%) compared to traditional carriers and the state fund. You'll also have the advantage of a zero down, pay-as-you-go policy that eliminates the hassles of time consuming audits.Plus, you become part of a large buying group that gains your business access to big company benefits at reduced rates. Employee leasing services will positively impact your California business by cutting employee related expenses, while giving you the freedom and time to generate income for your company- doing what you do best!

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