PEO fees come in two shapes and are almost never published in either. Knowing which shape you are being quoted is the difference between a comparison and a guess, because the two behave completely differently as your business changes.
Percentage of payroll
The fee is a percentage of your gross payroll, so it rises with every raise you give. It suits an employer with low wages and high headcount and punishes one with a small, well-paid team, because the work the provider does tracks the number of people far more closely than the size of the salaries. If you are quoted this way, model it at next year's payroll rather than this year's, and ask whether the percentage is capped per employee.
Per employee per month
A flat charge per person, sometimes tiered by headcount. It is easier to forecast and it is the structure most buyers find fair, because it tracks the actual work. Its weakness is the opposite of the percentage model's: at very low wages it can be proportionally expensive. Whichever you are shown, convert it to the other before comparing two quotes, because providers rarely quote in the same shape.
What else is in the bill
Ask what is inside the fee and what is passed through: workers' compensation premium, the benefit costs themselves, state unemployment charges, setup, and anything billed at exit. The administrative fee is the number everyone negotiates and often the smaller half of what you pay. No provider in the record on this site publishes any of it, so the only route to these numbers is to ask, which is what the quote form here is for.
Questions people ask about peo fees
How are PEO fees calculated?
Either as a percentage of gross payroll or as a flat charge per employee per month, sometimes tiered by headcount. Convert any quote into the other structure before comparing it with a rival, because providers rarely quote the same way.
What is a typical PEO fee?
No provider in this record publishes one, so any typical figure quoted elsewhere is an estimate rather than a published rate. What the fee depends on is knowable: wage base, headcount, benefits take-up and workers' compensation risk.
Is the PEO fee the whole cost?
No. Benefit costs, workers' compensation premium and state unemployment charges are usually passed through alongside it, and setup or exit charges may apply. Ask for the full bill at your headcount, not the administrative fee.