HR Administration
Complete employee lifecycle management from onboarding to offboarding
PEO and ASO Comparison
Two proven HR models. One decision that impacts your liability, costs, and benefits. Here's how to choose.
Working brief
Operating scope
Core responsibilities are coordinated around the same workforce, records, and compliance expectations.
Complete employee lifecycle management from onboarding to offboarding
Accurate, on-time payroll with tax filings and direct deposits
Real-time tracking of California employment law changes
Coverage administration, claims management, and safety programs
California-mandated training including harassment prevention and SB 553
Health, dental, vision, and retirement plan management
California compliance file
Easeworks helps employers build repeatable controls around the obligations that create recurring exposure.
Proactive auditing to prevent costly Private Attorneys General Act claims before they happen
California's complex overtime, meal break, and rest period requirements tracked and enforced
Written prevention plans, training requirements, and incident logging as mandated by law
AB 1825 and SB 1343 compliant training for supervisors and employees
Heat illness prevention, piece-rate pay calculations, and seasonal workforce management
Decision file
The right structure depends on the work you want carried, the control you want to retain, and the exposure already present.
Best for: Businesses wanting maximum liability protection and enterprise-level benefits
Best for: Businesses wanting full control with expert support
| Model | Best fit | Primary advantage | Primary tradeoff |
|---|---|---|---|
| PEO | Businesses wanting maximum liability protection and enterprise-level benefits | Co-employment reduces your legal exposure | Less control over benefits selection |
| ASO | Businesses wanting full control with expert support | You remain sole employer of record | You retain all employer liability |
Pricing context
PEO pricing is typically a percentage of payroll (3-15%) or a per-employee-per-month fee ($150-$250). The rate includes HR administration, benefits access, workers' comp, and compliance services. Your actual cost depends on headcount, industry risk, and benefits selection.
ASO pricing is usually a flat per-employee-per-month fee ($50-$150) for administration services. You maintain your own benefits and workers' comp policies, so total cost is the ASO fee plus your existing insurance costs.
HRO pricing is typically structured as a monthly retainer based on the level of strategic support needed. This works well for businesses with in-house HR who need expert guidance on complex issues.
Frequently asked
It depends on your priorities. Choose PEO if you want liability protection, enterprise benefits, and turnkey HR. Choose ASO if you want to keep control, already have good benefits, or want to start with a lower-cost option. Take our HR Risk Score for a personalized recommendation.
Yes. Many businesses start with one model and switch as their needs evolve. A growing business might start with ASO for cost efficiency, then move to PEO for better benefits. A company that bought their own benefits might move from PEO to ASO. We make transitions seamless.
With PEO, your employees access benefits through Easeworks' master policies, often getting Fortune 500-level plans at small business prices. With ASO, you source and manage your own benefits. PEO typically offers better rates for smaller businesses.
PEO includes workers' comp under our master policy, which can mean lower rates and better claims management. With ASO, you maintain your own workers' comp policy. High-risk industries often save significantly with PEO workers' comp.
PEO creates a co-employment relationship where Easeworks shares employer liability for HR-related risks. With ASO, you remain the sole employer and retain all liability. PEO provides stronger protection against employment lawsuits and compliance violations.
Related files
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Prefer to talk now? Call (888) 843-0880.Next step
Start with the current HR file. We will identify the gaps, compare the options, and help you choose a practical structure for Bakersfield, CA.
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