Syndeo has been approved as the first, and currently only, Kansas-based Certified Professional Employer Organization (CPEO). This certification is currently held by only 84 companies nationwide.
The new PEO certification program was established by the Internal Revenue Service (IRS) as part of the Small Business Efficiency Act (SBEA). PEOs are companies that handle HR, payroll, benefits administration, employment tax withholding, and tax reporting responsibilities for their business clients. The PEO is the employer-of-record for tax filing purposes. This arrangement allows clients to shift key employer responsibilities to the PEO, while maintaining day-to-day control over employee activities.
To gain and maintain certification under the new program, PEOs must meet rigorous requirements, including tax history, background checks, financial audits, working capital, bonding, and quarterly testing. Certification affects the employment tax liabilities of both the CPEO and its clients, affording certain protections.
Though the CPEO certification is voluntary and process demanding, Syndeo leadership clearly sees its value.
“Our goal is to bring the highest level of assurance possible to our clients,” says Todd Matheny, Vice President of Finance of Syndeo. “They will have peace of mind that they are doing business with one of the best PEOs in the nation, that can pass the rigorous IRS review annually and quarterly.”
The certification, he continues, helps set the tone for Syndeo as an organization. “We all realize that the IRS is awarding protection to our clients based on the level of work we do and the experience we provide.”
The IRS does not endorse any particular certified professional employer organization. For more information on certified professional employer organizations go to IRS.gov.