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Does your Small Business need more help with Human Resources administration?  If so, you may want to consider an Administrative Services Organization (ASO). The benefits of an ASO are not easily quantifiable, but administrative firms performing ASO duties conceptually save business owners time and money. Most business operations are not prepared for the administrative duties involved with running a business.

The knowledge and capabilities of small-to mid-sized business are usually limited to occupational expertise, not legal or administrative expertise.

An Administrative Services Organization (ASO) is an organization that provides outsourced solutions to meet the administrative and HR needs of the client with the client retaining all employment-related risks and liabilities.  The term (ASO) was established by the PEO Professional Employer Organization industry in the late 1990s in order to distinguish between selective administrative support and full-scale PEO services.

The main difference between the two types of service is that, in an ASO arrangement, the employer remains the Employer of Record for tax purposes not a co-employer.

Ultimately, with this structure, Tax and insurance filings are done through an administrative firm or your Broker but under the client company’s Employer Identification Number. All W-2 and Workers Compensation policies remain the responsibility of the employer not the administrative firm.

Administrative services can include the following; payroll processing, payroll administration and Human Resources advice. Your Insurance Broker can still help you with your Insurance administration.

For more information about ASO options, please contact Andy Atwood at the Bates Insurance Group.

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