PEOs and Namely
The age of applications in our regular work environment are certainly upon us. Such is the case with Namely. Their tagline reads, “HR for Humans.” Interesting choice of words, considering it’s an app for basically DIY HR. Now, there is nothing wrong with using an app for HR. Every entrepreneur knows that saving time on HR deserves a check in the 'Win' column, but what else does Namely do besides keep record of your “all things HR”? Sounds great. Should we reason that Namely is a PEO though?   To be clear, a PEO should not be classified as DIY HR. There is a lot more involvement from the PEO in your business than an online app your employees can keep track of things with. Still, there are some things that both of them do. Let’s talk about that.  

How Are A PEO And Namely Are Similar

There are common reasons that would make an entrepreneur assume that Namely is a PEO. Both of them have very robust online applications for everyone to manage HR and benefits information. Likewise, they both have efficient onboarding and offboarding features on their application. Some other other similarities include:
  • Benefits management at the employee level
  • Organizational chart information
  • Goal setting and tracking
  • Some PEOs offer a Facebook like feature for employees to connect
  • Payroll information
  • Easy and seamless way to fill out and keep track of IRS forms

Why You Can’t Say That Namely Is A PEO

Just because things seem the same doesn’t mean they are. Namely is not going to involve themselves with any legal aspect of HR.  A PEO is legally implicated in co-employing your employees. That means they have skin in the game as to how soundly you manage the human aspect of your business.   Namely isn’t going to care that you are not terminating employees with a standard of HR practice but a PEO will. Namely isn’t going to get involved if you find yourself in the middle of a harassment suit. Not only would a PEO get involved, they’d also represent you for certain cases.   With a PEO, you get to take advantage of their buying power when it comes to employee benefits. When you co-employ thousands of workers, your purchasing capabilities are well in your favor over just taking advantage of a pre-negotiated rate that you manage yourself.   Namely will not be filing and paying your payroll taxes but a PEO will. With a PEO, you get much more than an online tool. You get the power of professional HR management behind you, with real people assisting you on your way to successful HR management. If you are looking for more than just discounted benefits, a PEO is a long way way from Namely with those kinds of services. Thinking that Namely is a PEO is a misinformed reason to buy their services for this reason.  

Where To Start If You Need A PEO

Now that we have established the ways that Namely is similar to a PEO, and ways it differs significantly, where do you start looking for one? There are over 700 choices when it comes to PEOs. How will you narrow them down to just the ones that are right for you? That is where a PEO broker like PEO Spectrum comes in. With so much choice, entrepreneurs benefit greatly from knowledgeable experts in the business helping them make educated decisions.   If you really want to, you can go it alone. You’ll have lots of reading to catch up on in your spare time as an entrepreneur. There is plenty information out there for the DIY diehard. Would it be worth just a quick phone call to see if going it alone versus letting a broker help you is worth it? We think so. The next steps in your better HR management journey are up to you either way.  

If you’d like to find out more about how PEOs can help you provide great benefits and payroll management at less than you are paying now, contact us today for a free consultation.

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