Working with a PEO can simplify payroll, benefits, and compliance.
But hidden fees and surprise charges can quickly derail your budget and catch you off guard.
A 2024 industry review found that onboarding costs alone can exceed $5,000 for small teams. And that doesn’t include recurring admin or compliance charges, which often range between $2,500 to $10,000 annually.
Transparent pricing isn’t just a nice-to-have. It’s critical for scaling businesses that need clarity to confidently hire, expand globally, and stay within budget.
In short: predictability = peace of mind.
What to look for in PEO options?
Before choosing a provider, make sure you evaluate:
- Services included: Payroll, benefits administration, compliance, HR support
- Pricing structure: Fixed flat-rate vs. percentage of payroll
- Billing clarity: Are taxes, benefits, and setup included or hidden?
- Contract and exit terms: Minimums? Penalties? Notice periods?
- Global vs. local support: Can they support your international growth?
Watch out for percentage-based billing on gross payroll, which can add around $7.65 per $100 in hidden administrative costs (often buried in the fine print).
The transparency test: Evaluating pricing models
When comparing PEOs, dig deeper into how pricing is structured:
- Flat-rate vs. percentage: Which model gives you cost certainty?
- All‑in vs. add‑on: Are essentials like taxes and benefits included?
- Clarity of contracts: What happens if you scale or exit early?
✅ Transparency checklist:
- Is the pricing model clearly explained?
- Are there any surprise charges?
- Does the provider disclose all service inclusions?
- Are fees fixed, or do they vary unpredictably?
- Can pricing scale smoothly across countries?
Questions to ask before choosing your PEO
- Are all employer costs, like taxes and benefits, included?
- What could trigger a pricing change?
- Are there setup, exit, or annual admin fees?
- Can pricing scale predictably as we expand?
- What level of billing transparency can we expect?
PEO clients who prioritize transparency report faster growth (7 to 9% higher), lower turnover (10 to 14% less), and are 50% less likely to go out of business. The takeaway? Clear pricing isn’t just good finance — it’s good business.
Did you know? Companies that use PEOs like Remote report an average ROI of 27.2%, and save approximately $1,775 per employee per year. Transparent pricing isn't just easier, it’s more cost-effective.
Explore Remote PEO for your global hiring needs
When choosing a PEO, look for a PEO option with clear, upfront pricing that shows exactly what you’ll pay, and what’s included.
Remote PEO can help you streamline admin tasks, reduce overhead, and offer world-class benefits without blowing your budget.
Why Remote stands out
Remote is built for transparency, simplicity, and scale:
- Flat, predictable rates per employee, no surprise add-ons
- All-inclusive packages that cover payroll, benefits, taxes, and compliance
- Live pricing calculator to instantly model your costs in 160+ countries
- Scalable structure to support your team as it grows globally
Remote’s approach to transparency empowers you to forecast confidently, scale smartly, and stay fully compliant — no guesswork, no hidden charges. When you combine cost efficiency, regulatory peace of mind, and economies of scale, you don’t just simplify global HR — you gain a strategic advantage.
Learn more about Remote PEO or speak to one of our employment gurus for guidance today!