What is an ASO and a PEO?

Administrative Services Organization (ASO)
1st Alliance will coordinate as an Administrative Service Organization (ASO) through a client service agreement, and be your payroll processing agent.

The major distinction between a PEO vs. ASO, under an ASO arrangement there is no employment relationship between 1st Alliance and your employees.

1st Alliance is not the employer consequently all payroll taxes are filed under your federal employer identification number.
All wages are paid through your bank account.
Worker’s compensation coverage is provided under your policy.
You are subject to compliance with state and federal employment discrimination laws as well as hour laws.
1st Alliance provides various services “a la carte”.

Professional Employer Organization (PEO)
1st Alliance does not act as a Professional Employer Organization (PEO), with a
PEO you might contractually allocate and share traditional employer responsibilities and liabilities.

Your current PEO assumes responsibility and liability for the “business of employment,” which includes risk management, human resources, improved labor compliance, payroll and employment taxes, and benefits.

The PEO acts as an employer, is responsible for the payment of wages and employment taxes. All payroll taxes are filed under the PEO’s federal employer identification number.

All wages are paid through the PEO bank account.

We secure worker’s compensation coverage as the employer of your work site employees and the PEO manages all worker’s comp claims.

The PEO is the employer for state unemployment tax purposes in most states.

The PEO is subject to compliance with state and federal employment discrimination laws as well as hour laws.

As client you retain the responsibility for the management of employee production, business operations, marketing, sales and service. You have control over all business operations and the work that your employees do, you run the show.

So…Which is Right For Your Business?
Does Your Company Experience Employee Turnover?
Yes – The PEO could be best
No – Take a look at the ASO model

Does Your Company Have an Accident Frequency In Regards To Workers Comp?
Yes – The PEO could be best
No – Take a look at the ASO model

At the end of the day, it comes down to which is going to protect you and your assets best, the PEO route tends to cost more.
With the the ASO model, we have the necessary tools to protect your business and provide a significant return of your money.

Please allow us the opportunity to prove which is the best choice.