Most healthcare companies have relatively small staff sizes. Unless you manage a large hospital with tens of thousands of employees, it might not make sense for you to have an in-house human resource department. PEO for healthcare companies can handle the tasks typically assigned to HR professionals—but you will likely find that you get better results at lower prices.
If you already have HR professionals at your location, you could reduce their workload by moving some projects to your PEO. If you don’t have an HR professional, a PEO for healthcare companies could bring benefits that you never expected.
For example, you might see your employee turnover rate diminish. With the right HR approach, you could retain your valuable employees instead of losing them to competitors.
Do you have questions about whether you need a PEO? Take this short questionnaire from America’s Back Office to help you determine whether a PEO could help your healthcare organization thrive.
Internal HR Departments Often Cost More Than PEO for Healthcare Companies
Internal HR departments cost companies a lot of money. Hiring one human resources manager will cost about $121,000 per year plus benefits. Each member of the departments support staff will add about $63,500 to your payroll costs.
A PEO for healthcare companies can help you avoid high expenses. When you partner with a PEO, you only pay for the services and projects you need. Other companies use the PEO, so the organization does not expect you to cover all of its costs. That means you get help from experienced human resources managers, accountants, and other professionals at a fraction of the price.
Healthcare Companies Need HIPAA-Compliant Employee Handbooks
HIPAA compliance stands out as one of the most important factors a healthcare company’s PEO needs to oversee. Unfortunately, HIPAA guidelines and rules are complicated. You need an expert to create an employee handbook that helps every staff member stay in line with privacy requirements.
A PEO for health companies already knows what information to include in employee handbooks. An experienced PEO should also know how to use a layout that emphasizes the critical parts of HIPAA. When your employees have access to a manual that describes HIPAA rules in straightforward language, they understand their responsibilities and can assist with your compliance.
Retain Staff Members With the Benefits That Matter Most
Many healthcare organizations have difficulties retaining staff members. Nurses make an excellent example of the struggles that healthcare companies face. Depending on your location, you probably have a nursing turnover rate between 8.8% and 37%. High turnover can hurt any type of company. It’s especially problematic in healthcare, though, because the U.S. needs about one million more nurses than it has.
To make matters even worse, it will take 11 million more nurses in the workforce to prevent a significant labor shortage by 2026.
Obviously, you cannot force employees to stay with your organization. A PEO for healthcare companies can, however, help you identify employee benefits that will make it extremely difficult for people to lease their jobs.
Some of the benefits that will likely appeal to professionals in healthcare include:
- Tuition reimbursement
- Foral mentorships
- Mental health and substance abuse programs
- Paid parenting leave
Schedule a consultation with America’s Back Office so we can learn more about the benefits that will help keep your location fully staffed.
A Certified PEO Takes Responsibility for Your Taxes
Accounting and taxes have always been complex issues for the healthcare industry. The COVID-19 pandemic made the situation even worse for many organizations. While PPP loans and deferred tax payments may have helped your business get through the pandemic, you now face unique challenges.
A Certified Professional Employer Organization (CPEO) has become indispensable. CPEOs are certified by the IRS to represent their clients and take responsibility for any mistakes made when filing or paying taxes.
When you partner with America’s Back Office, you don’t have to worry that uncertain tax questions will come back to haunt you later. ABO takes care of everything for you.
Since a CPEO has gone through IRS certification, tax professionals can avoid common mistakes. Most importantly for you, any mistakes that happen will not become your responsibility. As far as the government is concerned, your CPEO is at fault.
How America’s Back Office Can Help
America’s Back Office is a certified PEO that can provide diverse human resource services to help make your healthcare company more successful. We recognize that your organization has unique needs. Let’s talk about how ABO and your company can partner for greater success!
Schedule a consultation with America’s Back Office so we can find ways to help your company reach its goals.
