Questions You Need To Ask When Shopping for a PEO

Finding a PEO can be a daunting task. You should feel confident in your partnership with Nextep or any PEO for that matter. To ensure you do, we’ve put together a short checklist of questions to ask in your meetings with PEOs. 

1. What accreditations and certifications do you hold? 

A few credentials you’ll want to look out for are: IRS certification, NAPEO membership, ESAC accreditation, and SOC certification. 

ESAC is the PEO industry’s nationally recognized accreditation and financial assurance program. Similar to FDIC for banks, ESAC is an independent nonprofit corporation that verifies different areas of a PEO to ensure the organization is financially and ethically stable.

The SOC 1®, Type 2 audit process analyzes the controls that affect users’ financial reporting. This strenuous audit provides our clients with peace of mind knowing our extensive procedures and controls protect their info and we conduct our services professionally. 

The IRS certification is awarded to PEOs that meet rigorous tax compliance, background, experience, business location, financial reporting, bonding, and other requirements.

Nextep holds all these accreditations. You can learn more about how we do business on our website. 

 

 

2. How will my employees get support? 

We know every person has different communication styles and preferences, so we offer every kind of support — online chat, email, phone call, SMS, video chat, and more.

If you have specific service ideas in mind, be sure to ask your prospective PEO what their support channels are and how you and your people can get answers. 

Visit our contact page to see the various ways you and your employees can get the help you need. Once you become a client, you also have a 24/7 chat feature in your Nextep account. 

3. Are benefit packages and offerings flexible? 

You and your employees will have a variety of needs. Some may want higher deductibles to keep costs down, some may want the lowest deductible possible. You may have the need for pet insurance, legal coverage, HRAs, and more. It’s important to know what the benefit offerings and strategies are before you commit to a PEO. 

We have a lot more info about our benefits and benefit technology on our website. Take a look!

 

 

4. What does your technology platform look like and what can my employees do through it? 

You need an all-in-one technology platform that’s powerful, intuitive, and accessible on the go. If you have specific needs and questions about technology capabilities, be sure to ask those in your initial meeting.

Nextep created just that for our clients! As a Nextep client, you’d have access to your Nextep account on any device. Check out our App page for a quick look at the features.

5. What will a relationship with your PEO look like? 

At the end of the day, most people want a seamless experience from a company they can trust and support they can count on. This starts by building a relationship. Ask your prospective PEOs what you can expect from your relationship with them.

Browse our about pages to learn more about what a relationship with Nextep looks like. We’d love to tell you more about it.

 

We hope this list helps you prepare for those initial conversations! Of course, we’ll go over all of this and more in our meeting. We hope to talk soon!

SCHEDULE A MEETING

Also on Nextep

Mark your calendars! New compliance rules take effect this October, and protecting your business starts with knowing what is changing. The latest updates bring major changes to state and federal employment laws, changing everything from workplace policies to payroll. Key changes include the federal repeal of OFCCP affirmative action mandates and Alabama’s ban on sexual […]
Read more
States are enacting new workplace artificial intelligence laws that focus on transparency and worker privacy. If your business uses software to score applicants or screen current employees, state laws now demand clear notices and strict record-keeping. Connecticut will require a disclosure starting in October when AI informs major employment decisions. Colorado mandates notices for job […]
Read more
As a small business owner, securing a competitive benefits package that matches Fortune 500-level benefits can feel impossible. We’re here to show you that it’s not. Nextep can secure the top-tier benefits you’re looking for while saving you time and money. Partnering with a PEO as a small business So, what’s a PEO? A professional […]
Read more
July brings a fresh wave of state and federal compliance updates. Nextep has the complete rundown to keep your business on track. Get started using these quick links: Part 1: Federal Compliance Spotlight: New EEOC National Enforcement Plan On June 4, 2026, the Equal Employment Opportunity Commission (EEOC) voted to replace its previous Strategic Enforcement […]
Read more
When a week of snow plows across the United States, it leaves a few important questions. Is travel to the workplace safe? Who absolutely needs to be there? And which employees will get paid? How do I prepare for inclement weather days? Having an inclement-weather policy answers all the questions above in advance for you […]
Read more
If your employee needs health-related time off, the Family and Medical Leave Act (FMLA) may require your company to provide it. This FMLA 101 guide will help you navigate the process. Now that we’ve covered the basics, this guide will explain the Family and Medical Leave Act (FMLA) to help you handle employees’ leave requests […]
Read more
For years, HR teams have asked: If an employee has a 30-minute appointment, but it takes them an hour to get there, is that drive time Family Medical Leave Act (FMLA)-protected? The Department of Labor (DOL) just gave us a definitive answer in Opinion Letter FMLA2026-2. For employers, this is both a compliance requirement and […]
Read more
As we kick off 2026, we’d like to give you a heads-up regarding changes to Federal Unemployment taxes (FUTA) for employees in California, the Virgin Islands, and New York. Some states are subject to a “Credit Reduction,” which essentially means employers in those states pay a higher federal unemployment tax rate to cover outstanding federal […]
Read more
The One Big Beautiful Bill Act (OBBBA) introduced a number of changes for employers. Luckily, Nextep is here to help! As our clients’ PEO and Employer of Record, Nextep automates much of the compliance, tax reporting, and administrative burden created by the OBBBA. While the laws change, our partnership ensures your business stays compliant. Here […]
Read more
On July 4, 2025, the U.S. President signed the One Big Beautiful Bill Act (Public Law 119-21) into law. Since then, we at Nextep have been watching for the fine print from Washington. Here is a rundown of what is currently active law, what is retroactive, what is coming in 2026, and, importantly, what these […]
Read more
Many new or revised state law updates will go into effect in the coming months. Our Compliance experts have summarized regulations in your state that may impact your business. Follow the quick links below to find your state: FEDERAL UPDATE Paid Family and Medical Leave Effective January 1, 2026, the tax credit for employers that […]
Read more
What counts as “qualified” tips and overtime pay when you’re looking at tax exemptions? We’re here to break it down for you. One of the changes included in the One Big Beautiful Bill Act (OBBBA), passed in July 2025, introduced a federal tax exemption on “qualified” tips and overtime wages. This exemption only applies to […]
Read more

Download the Elevate by Nextep™ App


Download the Nextep Mobile App in Apple iOS or Google Play