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Insperity Review

Best PEO for Small Businesses

A Business News Daily Review

Product and service reviews are conducted independently by our editorial team, but we sometimes make money when you click on links. Learn more.

Due to its competitive PEO pricing, intuitive online platform and extensive employee training options, we recommend Insperity as the best PEO for small businesses in 2020. Insperity provides flexible PEO service options for small businesses that need HR administration, payroll processing, employee benefits, risk and compliance management, workplace training, and development courses. Insperity bundles these services together and charges on a per-employee basis; however, it allows you to sign up for the services you need and scale up as your business grows. Insperity is accredited by the Employer Services Assurance Corporation (ESAC) and certified by the IRS, verifying its high-quality services. 

We chose Insperity from dozens of PEO services. To learn more about how we selected Insperity, you can find our methodology, plus a comprehensive list of PEO services, on our best picks page.

Editor's note: Looking for the right PEO service for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.

One of Insperity's standout features is its flexible PEO pricing and terms structure. Insperity doesn't require new customers to sign a long-term contract; instead, small businesses with fewer than 150 employees generally sign a one-year agreement that can be terminated without cause by either party at any time by giving 30 days' written notice. Only businesses with Middle Market agreements (more than 150 employees) may be charged an early termination fee. 

While it requires you to have at least five employees, Insperity charges a per-employee fee as opposed to taking a percentage of your total payroll. This means that your costs – not including healthcare, benefits, payroll taxes and workers' compensation – will remain the same as long as your number of workers remains the same. Insperity PEO plans include a standard set of HR features bundled together, but you have the option to add on supplemental services for additional fees (e.g., pre-employment screening, expense management, insurance services, organizational planning, performance management, recruiting services and retirement services). 

Insperity offers many essential PEO features together in one bundled package. Its comprehensive PEO offering can accommodate your small business and scale with you as you grow. 

  • HR administration: Insperity can take care of the HR administration tasks for your business so you don't have to, such as paperless onboarding, end-to-end benefit plan management and administration, employment eligibility verification, custom-built reporting, and employee self-service access.

  • Employee benefits: Insperity can deploy and manage employee benefits for your team, including medical, dental, vision, FSA, HSA, life, disability, an employee assistance program and 401(k) plans.

  • Payroll processing: Insperity will track and process your payroll, offering features such as time and attendance tracking, paid time off (PTO) accrual, vacation and sick time tracking, W-2 preparation, wage garnishments and deduction administration, employment verification, payroll management reports, and FICA, FUTA and SUTA withholding and remittance.

  • Risk and compliance: Insperity will help you take the proper risk and compliance measures to keep up to date with current laws and regulations. For instance, it can help you with workers' compensation, employment practices liability insurance, safety training and onsite safety inspections, interview and selection training, termination, unemployment claims, FCRA and Ban the Box, drug-free workplace policies, reporting and agency interface, and EEOC services.

  • Employee training and development: Insperity offers some of the most extensive training services of any company we reviewed, with access to over 5,000 self-paced online courses and 30,000 online books, live virtual training, onsite safety training, conflict management, and sexual harassment training. 

For more customization, you can add on features like pre-employment screening, expense management, insurance services, organizational planning, performance management, recruiting services and retirement services for additional fees. 

With Insperity, you sign up for HR services and features that match your business's needs, regardless of the size or stage of your company. If, for example, you're a small business looking only for payroll processing and HR administration, Insperity can start you off with those two services and then build out more features as your business grows (but keep in mind that you still may be charged for the set bundle of features). You can receive hands-on support throughout the selection process from a dedicated team of HR professionals, including an HR manager, client liaison, HR specialist, payroll specialist, performance specialist, benefits specialist, recruiting specialist and safety consultant. 

Insperity makes it easy for you and your employees to access your HR and payroll information through an intuitive online portal or its mobile app. Insperity's portal is secure with two-factor authentication. In the portal, employees can access a wealth of information on their paychecks, 401(k), benefits, HSA or FSA, time and attendance, and performance, along with training materials and company information. Your employees can easily log their hours, request time off and modify their 401(k) contributions as needed. 

This company is accredited by ESAC and certified by the IRS, grouping it with other industry-leading PEOs. The IRS has a certification process that ensures PEOs are healthy and able to provide the services they claim. ESAC is an independent rating organization that grades PEOs on the quality and depth of their services. Insperity also fares well with the Better Business Bureau, earning accreditation and an A+. Many companies we reviewed either aren't rated or have very low grades with the private rating agency. 

Although Insperity is a great professional employer organization, it has a couple limitations. For example, it requires you to have at least five workers. This is standard across the industry, but it is something to consider if you are a microbusiness searching for a PEO provider. 

Another limitation is Insperity's web chat. It does have a chat feature with an automated Insperity chatbot, but it does not currently offer live chat support for prospective customers. If you are looking for live Insperity assistance, you will have to contact a representative by phone or email, submit your contact information through an online form, or interact with the chatbot to reach out to sales agents. 

We interacted with Insperity by email, chatbot and phone, posing as small business owners searching for a PEO service. In all instances, Insperity's sales team was helpful and informative, going the extra mile to answer all our questions. Representatives explained important healthcare concepts and didn't push for a sale in our interactions with them.  

Insperity provides a team of experts to handle your HR, benefits, payroll and risk management. You can collaborate with these experts to develop HR policies, select benefits packages and address compliance issues. Insperity provides a point person to coordinate your services between you and the expert team. This team can provide in-depth advice and analysis on all the major PEO topics.

Ready to choose a PEO solution? Here's a breakdown of our full coverage:

Editor's note: Looking for the right PEO service for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.

Skye Schooley

Skye Schooley is an Arizona native, based in New York City. She received a business communication degree from Arizona State University and spent a few years traveling internationally, before finally settling down in the greater New York City area. She currently writes for business.com and Business News Daily, primarily contributing articles about business technology and the workplace, and reviewing categories such as remote PC access software, collection agencies, background check services, web hosting, reputation management services, cloud storage, and website design software and services.