Engage PEO Among First in U.S. to Receive ‘Certified Professional Employer Organization’ Status

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Engage PEO Certified CPEO
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Engage PEO Among First in U.S. to Receive ‘Certified Professional Employer Organization’ Status

Engage PEO Among First in U.S. to Receive ‘Certified Professional Employer Organization’ Status from Internal Revenue Service

New Designation Ensures Greater Benefits and Protections for Small and Mid-Sized Businesses

Fort Lauderdale, Fla. – June 1, 2017 – Engage PEO, a leading professional employer organization providing HR outsourcing solutions to small and mid-sized businesses across the U.S., was awarded the designation of Certified Professional Employer Organization (CPEO) by the Internal Revenue Service (IRS). This designation was part of the federal regulatory environment for PEOs created by the Small Business Efficiency Act. 

“Engage is proud to be among the first PEOs to receive this designation, a true recognition of the caliber of the organization,” said Jay Starkman, CEO of Engage PEO. “It was a rigorous process, as it should be, but the processes and practices of Engage are at the highest levels in the industry, and this recognition, granted at this stage to a very small number of PEOs, validates this.  Now there is yet another reason for clients to have confidence in us.”

The certification also provides more protection for business owners. Starkman noted the following advantages:

  • Client Protection

    • The IRS conducts audits of CPEOs every quarter, providing assurances to clients of the financial well-being of the CPEO.

    • If a client pays a CPEO taxes, the IRS will deem the taxes paid by the client. 

    • A CPEO maintains a bond of up to $1 million in favor of clients. Previously, the Employer Services Assurance Corporation (ESAC) offered the only mechanism to protect clients. Engage, a longtime member of ESAC, provides clients with an additional $16 million bond through ESAC.

  • Tax Advantages

    • CPEOs are recognized as successor employers and therefore do not have to restart federal taxes.

    • A client maintains all of its federal tax credits when entering a PEO relationship with a CPEO.

“Engage is a company that lives by the philosophy that clients should Expect More,” added Starkman. “Being one of an elite group of PEOs to earn this certification is an incredible accomplishment recognizing that Engage is at the forefront of the industry in delivering excellence to its clients and broker partners each and every day.”

The IRS does not endorse any particular certified professional employer organization. For more information on certified professional employer organizations go to www.IRS.gov.

About Engage PEO

Engage PEO delivers comprehensive HR solutions to small and mid-sized businesses nationwide, sharpening their competitive advantage. Comprised of the industry’s most respected veteran professional employer organization executives, certified HR professionals and attorneys, Engage PEO provides hands-on, expert HR services and counsel to help clients minimize cost and maximize efficiency for stronger business performance. The company’s superior service offering includes a full range of health and workers’ compensation insurance products, payroll technology and tax administration, risk management services and advanced technology as part of an extensive suite of HR services. In 2016, Engage PEO was named 127th on Inc. magazine’s list of the 5000 fastest growing companies. For more information on Engage PEO visit www.engagepeo.com.  

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