Professional Employer Organizations — Average Employee Salary

The average employee in the professional employer organizations industry earns $72,075 per year ($34.65/hour), according to Bureau of Labor Statistics QCEW data.

$72,075
Avg Annual Pay
449,947
Total Employees
20,986
Total Establishments
21
Avg Employees/Business

What Do Professional Employer Organizations Workers Earn?

At $72,075/year (equivalent to $34.65/hour for a full-time worker), professional employer organizations wages are near the national average of ~$65,000.

The typical professional employer organizations business employs 21 people. These are larger operations where staffing represents a major cost center and management complexity.

Wages as a Percentage of Revenue

1.3%

For the average professional employer organizations business generating $120.6M/year with 21 employees at $72,075 each, total payroll represents roughly 1.3% of revenue. Labor costs are relatively low compared to revenue — other costs (materials, equipment, overhead) dominate.

What This Means for Business Owners

If you're starting or running a professional employer organizationsbusiness, here's what the wage data means for your bottom line:

  • Per-employee cost: Budget approximately $93,698/year per employee (salary + ~30% for benefits, taxes, and insurance).
  • Typical team size: 21 employees = ~$1,513,575/year in base payroll.
  • Hourly equivalent: $34.65/hour base — factor this into pricing and project estimates.
  • Revenue needed: With average revenue of $120.6M/business, you need strong utilization rates to maintain healthy margins after payroll.

See how these wages compare to total revenue and profit margins.

View full Professional Employer Organizations revenue benchmarks →

Frequently Asked Questions

How much do professional employer organizations employees make?
The average professional employer organizations employee earns $72,075 per year, which is equivalent to $34.65/hour for a full-time worker (2,080 hours/year). This is above the national average of approximately $65,000.
How many people work in the professional employer organizations industry?
The professional employer organizations industry employs 449,947 workers across 20,986 establishments in the United States. The average business in this industry has approximately 21 employees.

Source: Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW 2023).