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Professional Employer Organizations (PEO) (NAICS 56133) Industry Market Research Report

Professional Employer Organizations (PEO) - Market Size and Forecast

The Professional Employer Organizations (PEO) report contains both historical and forecasted statistics. Total market size figures from 2015 to 2025 reveal industry growth patterns and trends. Market size measurements include both public and private companies in the industry.

Market Size (Total Revenue)

Included in Report

% Growth Rate
Number of Companies
Total Employees
Average Revenue per Company
Average Employees per Company
Source: U.S. government financial data.

Industry Revenue ($ Billions)

Professional Employer Organizations (PEO) Industry Revenue
  • 2015
  • 2016
  • 2017
  • 2018
  • 2019
  • 2020
  • 2021

Advanced econometric models forecast five years of industry growth based on short- and long-term trend analysis. Market size includes revenue generated from all products and services sold within the industry.

Professional Employer Organizations (PEO) - Geographic Breakdown by U.S. State

Market size by state reveals local opportunity through the number of companies located in the region. Each state's growth rate is affected by regional economic conditions. Data by state can be used to pinpoint profitable and nonprofitable locations for Professional Employer Organizations (PEO) companies in the United States.

Professional Employer Organizations (PEO) Revenue by State

US Market Size by State

Distribution by Company Size

Company SizeAll IndustriesProfessional Employer Organizations (PEO)
Small Business (< 5 Employees)


Small Business (5 - 20)
Midsized Business (20 - 100)
Large Business (100 - 500)
Enterprise (> 500)

Professional Employer Organizations (PEO) - Income Statement (Average Financial Metrics)

Financial statement analysis determines averages for the following industry forces:
The report includes a traditional income statement from an "average" company (both public and private companies included).

Industry AveragePercent of Sales
Total Revenue


Operating Revenue
Cost of Goods Sold (COGS)
Gross Profit
Operating Expenses
Operating Income
Non-Operating Income
Earnings Before Interest and Taxes (EBIT)
Interest Expense
Earnings Before Taxes
Income Tax
Net Profit

Average Income Statement

Average Income Statement

Cost of Goods Sold

Salaries, Wages, and Benefits



Depreciation and Amortization

Officer Compensation

Net Income

Professional Employer Organizations (PEO) - Financial Ratio Analysis

Financial ratios allow a company's performance to be compared against that of its peers.

Financial RatioIndustry Average
Profitability Ratios


Profit Margin
Liquidity Ratios
Current Ratio
Quick Ratio
Activity Ratios
Average Collection Period
Asset Turnover Ratio
Receivables Turnover Ratio
Inventory Conversion Ratio

Professional Employer Organizations (PEO) - Product Mix

Product DescriptionDescriptionRevenue
($ Millions)
Industry total


Co-employment services
Co-employment services with payroll, benefit, & human resource services
Co-employment services with payroll & human resource services
Co-employment services with payroll & benefit services
Payrolling services
Payroll services
Temporary staffing services
Other temporary staffing services
Investigation services

Professional Employer Organizations (PEO) - Compensation and Salary Surveys

TitlePercent of WorkforceBottom QuartileAverage (Median) SalaryUpper Quartile
Management Occupations2%


Chief Executives0%
General and Operations Managers1%
Office and Administrative Support Occupations18%
Other Office and Administrative Support Workers5%
Production Occupations21%
Assemblers and Fabricators7%
Miscellaneous Assemblers and Fabricators6%
Assemblers and Fabricators, All Other, Including Team Assemblers6%
Other Production Occupations10%
Miscellaneous Production Workers6%
Transportation and Material Moving Occupations23%
Material Moving Workers22%
Laborers and Material Movers, Hand20%
Laborers and Freight, Stock, and Material Movers, Hand16%

Government Contracts

In 2008, the federal government spent a total of $32,501,393 on the professional employer organizations (peo) industry. It has awarded 193 contracts to 45 companies, with an average value of $722,253 per company.

Professional Employer Organizations (PEO) and Adjacent Industries - Top Companies

($ Millions)


Professional Employer Organizations (PEO) Industry Report
GeographyUnited States  
Publication DateOctober 2020
Report FormatPDF Download  

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