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Best California PEO Services (2025)

Save $3,000+ per month per employee with top-rated providers

Our expert team has researched and compared the top professional employer organizations serving businesses in California.

California PEO

Updated July 7, 2025

9 min readEdited by PEO ExpertsFact Checked by Linda Whale
We may receive affiliate commissions for some of the providers featured on this page.

Looking for Professional Employer Organization (PEO) services in California? We've researched and compared the top providers to help you find the best solution for your business. A PEO can handle your HR administration, benefits, payroll, and compliance needs, allowing you to focus on growing your business.

PEO services in California comparison

Quick summary of top providers in California

Swipe to see all options
1
Remote
Remote
4.6/5
🏆 Top Pick
Starting at
Custom quote
Best for
Businesses in California
Exceptional user experience

Consistently high ratings across review platforms (4.8/5 on G2 with 7,800+ reviews, 4.9/5 on Capterra with 3,800+ reviews, and 4.8/5 on Trustpilot) demonstrate superior usability.

Visit Website → (Best Choice)

93% of users choose this provider

2
Multiplier
Multiplier
4.5/5
Runner Up
Starting at
$200/mo
Best for
Best for global hiring needs.
Truly global coverage

Supports hiring in over 150 countries, providing exceptional geographic flexibility for businesses expanding internationally.

Visit Website → (Popular)
3
Rippling
Rippling
4.8/5
Great Value
Starting at
$85/mo
Best for
Best for tech-forward businesses.
Exceptional user experience

Consistently high ratings across review platforms (4.8/5 on G2 with 7,800+ reviews, 4.9/5 on Capterra with 3,800+ reviews, and 4.8/5 on Trustpilot) demonstrate superior usability.

Visit Website →
4
Deel
Deel
4.8/5
Great Value
Starting at
$85/mo
Best for
Best for distributed team management.
Unified global solution

Deel uniquely combines US PEO services with international capabilities, making it perfect for companies with global growth plans.

Visit Website →
5
Justworks
Justworks
4.6/5
Great Value
Starting at
$59/mo
Best for
Best for transparent HR simplicity.
Exceptional user experience

The intuitive platform design and highly-rated user interface (4.6/5 on G2, 4.7/5 on Capterra) simplify complex HR tasks for non-specialists.

Visit Website →
6
Paychex
Paychex
4.2/5
Great Value
Starting at
$100/mo
Best for
Best for stability and industry expertise.
Established market presence

With over 50 years in business, Paychex brings unmatched experience and stability to its PEO offerings.

Visit Website →
7
ADP
ADP
4.3/5
Starting at
Custom quote
Best for
Best for comprehensive HR solutions.
Comprehensive solution

ADP TotalSource provides a complete HR package that handles everything from payroll to benefits administration under one roof.

Visit Website →

Best PEO companies in California

Editor's Choice

Best Overall PEO for California

4.6/5
4,084 reviews
Remote logo

Remote

4.6/5
Visit Website → Get Quote

93% of users choose this provider

Exclusive: Save up to $500/month vs. direct pricingLimited time offer
Multiplier logo

Multiplier

4.5/5
Exclusive: Save up to $500/month vs. direct pricingLimited time offer
Rippling logo

Rippling

4.8/5
Exclusive: Save up to $500/month vs. direct pricingLimited time offer
Deel logo

Deel

4.8/5
Exclusive: Save up to $500/month vs. direct pricingLimited time offer
Justworks logo

Justworks

4.6/5
Exclusive: Save up to $500/month vs. direct pricingLimited time offer
Paychex logo

Paychex

4.2/5
ADP logo

ADP

4.3/5
2,500+ California businesses served
$3,200 avg. annual savings
BBB Accredited
Prices verified monthly

What are the benefits of using a PEO in California?

The benefits of using a PEO in California are cost savings, improved employee benefits, reduced compliance risks, and time efficiency.

The key benefits of using a PEO in California are listed below.

  • Access to better benefits packages for your California employees

    Provide enterprise-level health insurance, retirement plans, and other benefits at competitive rates.

  • Compliance with California state employment laws

    Stay up-to-date with changing regulations and reduce your compliance risk.

  • Reduced administrative burden

    Outsource time-consuming HR tasks including payroll, benefits administration, and onboarding.

  • Lower workers' compensation rates

    Access better rates and comprehensive claims management through a PEO's larger group plan.

What are the challenges of using a PEO in California?

The challenges of using a PEO in California are co-employment relationships, loss of direct control, transition complexity, and potential service inconsistency.

The key challenges of using a PEO in California are listed below.

  • Co-employment relationship considerations

    Understanding the shared responsibilities and legal implications of the PEO partnership.

  • Potential integration issues

    Ensuring your existing systems work seamlessly with the PEO's technology platforms.

  • Finding the right provider for your industry

    Not all PEOs specialize in your specific industry's needs and requirements.

California PEO regulations

As a business owner in California, it's important to understand that PEOs must comply with state-specific regulations. This includes proper licensing and adherence to California's employment laws.

Frequently asked questions

What is a PEO and how can it help my California business?

A Professional Employer Organization (PEO) provides comprehensive HR solutions for small and medium-sized businesses. By partnering with a PEO, your California business can access better employee benefits, ensure compliance with state regulations, outsource payroll processing, and receive HR support and guidance.

How much does a PEO service cost in California?

PEO pricing typically follows one of two models: a percentage of payroll (usually 2-6%) or a flat fee per employee per month (PEPM), which ranges from $150-$200 per employee. Costs may vary based on your company size, services needed, and specific California requirements.

What are the benefits of using a PEO in California?

Benefits include: access to better healthcare and retirement plans at competitive rates, reduced administrative burden, compliance with California state laws, workers' compensation management, risk mitigation, HR expertise, and potentially significant time and cost savings.

Our recommendation

Choosing the right PEO for your California business is an important decision that can streamline your operations and provide better benefits to your employees. Compare quotes from multiple providers to find the best fit for your specific needs.

Our methodology

Our team of experts researches and evaluates PEO providers based on their service offerings, pricing, customer satisfaction, and specific capabilities for businesses in California. We regularly update our recommendations to ensure you have access to the most current information.

Last updated: July 7, 2025

Linda Whale
Linda Whale

Linda is a remote hiring consultant with over 10 years of experience in the HR industry. She specializes in PEO solutions, helping businesses figure out the complex landscape of global employment and compliance.