How to Work with an International PEO in the US

The United States is one of the world’s most powerful economies and foreign businesses seek to tap into America’s lucrative market. NNRoad is a Professional Employer Organization that helps firms enter the US market successfully through our employment solutions. NNRoad offers entity formation services, payroll and benefits, and tax and accounting to suit your firm’s expansion needs. To understand how to work with a PEO such as NNRoad read on. The below gives insight to PEO service in the US, but NNRoad provides service in 35 different countries, so whether you want to hire employees in the US, UK or elsewhere, we can seamlessly make this happen.  

international PEO process

Hire Employees in the US: How Does an International PEO Work in the US? 

In the US and many other markets, an international PEO is a strategic way to hire employees without having a legal entity there. The PEO company legally and compliantly hires and pays your employees, while you directly manage the employees and their work. Once the client company contracts with a PEO, the PEO will co-employ the client’s worksite employees in the US. Essentially, employer responsibilities are handed over from client to the PEO. 

The PEO, you, as the client, and employees share a co-employment relationship. The PEO handles payroll services in the US and reports, collects, and deposit employment taxes with local, state, and federal governments. As an employer of record, the PEO will offer a human resource and benefit package for your employees. Through this contractual arrangement, the client company can focus on daily business operations while the PEO adheres to US employment laws. 

Enter the US Market by Hiring Employees

A PEO can help foreign businesses enter the US market by hiring talented employees in the US that work for your company.  Hiring local employees in the US means that your employees have the understanding and the US market to help your company succeed. Your US employees will understand trends, cultural norms, and potential marketing strategies to fit the US audience better equipping your business for expansion in the US 

To learn more about how to break into the US market, check out our Company Formation and EOR Services in the USA blog to understand what it takes to elevate your business to the next level. Get into the global mindset and contact us today.