Compare & decide
Doing it yourself is a real option. Cost it like one.
Self-managing works. The question is what it actually costs: vendor stack, owner hours, benefits purchasing power, and the risk you carry alone.
What each path looks like
| Do it yourself | Through a PEO | |
|---|---|---|
| Payroll and filings | You or your payroll vendor; errors are yours | Handled and stood behind by the PEO |
| Benefits | Small-group options at your headcount | Access to large-group plans |
| HR expertise | Owner, office manager, or hourly consultants | Dedicated HR professionals included |
| Compliance risk | All yours, tracked by whoever has time | Shared by contract, tracked as their core job |
| Vendor count | Payroll, benefits broker, comp carrier, HR consultant | One relationship |
| Cost shape | Several small bills plus unpriced owner time | One visible fee |
The PEO fee is visible. The self-managed cost is scattered across bills and unbilled hours, which makes it feel smaller than it is.
Common questions
Is the PEO always cheaper?
No. For some companies self-managing genuinely wins, especially with simple single-state payroll and no benefits offering. The calculator will show that too. An honest comparison is the point.
What is the most commonly missed cost of self-managing?
Owner and manager hours. If you spend six hours a week on people administration, that cost is real even though nobody invoices it.