73%
of SMBs overpay their PEO annually
$1,200+
average savings per employee per year
6 Areas
covered in every audit, every time

Every Area We Cover

Click any audit area below to learn exactly what we examine, what we look for, and what findings typically mean for your business. Every area is included in your free audit — nothing is held back.

Billing Accuracy

Billing Accuracy & Hidden Fees

Your PEO invoice is often a black box. We conduct a line-by-line review to surface overcharges, duplicate billing, unexplained markup, and fees for services you never requested or received. This is one of the highest-ROI areas of any PEO audit — most clients discover meaningful discrepancies on first review.

Administrative fee markup Duplicate charges Unused service fees Rate misclassification PEPM vs. percentage billing
Benefits Benchmarking

Benefits Benchmarking

Are your employees getting competitive benefits, or are you paying market rate for below-market coverage? We benchmark your current health, dental, vision, 401(k), and ancillary benefits against companies of your size, industry, and geography — and show you where the gaps are.

Below-market health coverage High employee premium share Missing ancillary benefits Weak 401(k) match Limited plan options
Compliance Review

Compliance & Regulatory Review

One of the primary reasons companies use a PEO is compliance protection — but not all PEOs provide equal coverage. We assess your exposure across federal, state, and local employment law, identifying areas where your PEO's compliance umbrella may have gaps that leave your business at risk.

State-specific law gaps FLSA classification risk ACA compliance exposure I-9 / E-Verify gaps FMLA / leave policy issues
Contract Review

Contract Terms & Exit Clauses

PEO contracts are written by the PEO's legal team — and it shows. We translate the fine print into plain language, with a focus on auto-renewal provisions, termination fees, notice periods, data portability rights, and liability language that could trap you in a contract longer than you want to be.

Auto-renewal traps Early termination fees Short notice windows Data ownership gaps Unilateral rate changes
HR Service Quality

HR Service Quality

Is your PEO actually showing up when you need them? We evaluate service quality against what was promised at the time of sale — dedicated HR rep access, response time benchmarks, onboarding support, and ongoing guidance. Many clients discover their PEO's service delivery doesn't match the pitch deck.

Slow response times No dedicated HR rep Weak onboarding support Limited proactive guidance Poor HRIS usability
Workers' Comp & Liability

Workers' Comp & Liability

Workers' compensation is one of the most complex — and most frequently mismanaged — components of a PEO relationship. We review your classification codes, experience modification factors, coverage adequacy, and whether your rates truly reflect your business's actual risk profile rather than the PEO's blended pool rate.

Misclassified job codes Inflated pool rates Coverage gaps Excess mod factor charges Claims handling issues

Why an Independent Audit Is Different

PEOs are not going to audit themselves. Brokers who place you with a PEO earn commissions — which means their interests don't always align with yours. An independent audit from PEO Audits is different because we have no financial relationship with your current PEO.

Our goal is a clear, accurate picture of your situation — not a sale. If your PEO is a good fit, we'll tell you that and give you data to negotiate better terms. If it isn't, we'll show you exactly why and what a better option looks like.

Truly independent — no PEO commissions

We are not compensated by your current PEO and have no incentive to keep you where you are.

Plain-language findings — no jargon

Your report is written for a business owner, not an HR attorney. Clear findings, clear recommendations.

Six areas, not just billing

Most "audits" only look at invoices. Ours covers every dimension of the relationship.

No obligation to switch

An honest audit result — even one that says "stay put" — is always worth more than a forced switch.

Questions About Our Audit Services

What does a PEO audit include?

Every audit covers all six areas: billing accuracy, benefits benchmarking, compliance review, contract terms, HR service quality, and workers' comp. Nothing is tiered or held back — qualifying companies get the full review.

How long does the audit take?

Most audits are completed within 5–10 business days of receiving the necessary information. Complex situations or multi-state employers may take slightly longer. We'll give you a clear timeline upfront.

Do I need to provide documents to start?

No documents are needed to submit your initial request. After your submission, our team will reach out to outline exactly what would be helpful and guide you through the process step by step.

Will my current PEO know I'm doing this?

No. The audit process is completely confidential. We do not contact your current PEO during the review, and your information is never shared with any third party without your explicit consent.

Ready to Start Your Free PEO Audit?

Free for qualifying companies with 10–150 employees. No obligation, no sales pressure — just honest answers.

Request Your Free Audit