Employment Service Employee Leasing Forms for Orange
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FAQ
Employee leasing is a contractual arrangement in which the leasing company, also known as a professional employer organization (PEO), is the official employer. Employment responsibilities are typically shared between the leasing company and the business owner (you, in this case).
The key difference between employee leasing and co-employment is staffing. An employee leasing agency will provide you with temporary workers, but a PEO doesn't. In a co-employment arrangement, you supply and manage your own workforce, while the PEO helps you handle HR administration.
Instead of being a leased or temporary worker, employees end up having two employers the company who hired them AND the professional employer organization. The PEO becomes the company of record for HR, payroll, benefits, employment taxes, and other HR-related purposes.
Yes. PPP applicants should use payroll documentation provided by the relevant payroll provider to show the payroll costs applicable to leased employees.
The term leased employee, as defined in section 414(n)(2) of the Code, specifies that a leased employee is a person who is not an employee of the recipient.
Employee leasing is an arrangement between a business and a staffing firm, who supplies workers on a project-specific or temporary basis. These employees work for the client business, but the leasing agency pays their salaries and handles all of the HR administration associated with their employment.