Selling Enhanced Payroll Services
A Professional Employer Organization or PEO is an Employer Services provider that aggregates many companies’ payroll and related requirements and manages them for the individual companies. This allows them to offer top notch professionals to manage the clients’ payroll-related needs at a low cost.
If you would like to offer employer services to businesses with 10 or more employees, and enjoy the commissions paid by the PEO, I will help you plan and execute a presentation to obtain clients. You would become a broker and establish a new side hustle or career for yourself. The PEOs that I work with pay a broker commission of 10% of admin fee as well as 10% of Workers’ Comp insurance. Commissions are paid monthly for as long as the client uses the PEO, and you can keep it all. Contact me at pete.vanson@vansonadvisor.com
An easy example: 25 employees at $30k per is $750k gross payroll. Admin fee of 3% is $22,500 x your commission of 10% is $2,250 a year plus, you will get 10% of workers’ comp insurance which is normally approximately 2% of payroll or $750k x 2% x 10% is $1,500 per year. Your commission in this example would be $3,750 per year or $312 every month. Almost a car payment. Now, take that math forward times a number of clients to convert.
It is money while you sleep, an annuity for a little time presenting a great improvement to a business’s employer services. Let me know by email if you think this might work for you.
Let me know by email if you think this might work for you. There are no territory restrictions with this arrangement.
Peter VanSon, CPA
727-362-1220