Accreditation Fees

What does accreditation cost?

ESAC’s bond and accreditation fees cover the cost of accreditation and regulatory compliance services. Annual accreditation fees are based on each PEO’s annual gross wages as shown in the below table.

Bond Fee

As backing for ESAC's Client Assurance Program, ESAC purchases annually a $15 million aggregate surety bond for accredited PEOs. 

An underlying individual surety bond, ranging from $250,000 to $1 million, is purchased annually by each accredited PEO from ESAC’s surety broker for 1% of the bond amount. (This bond amount is calculated as 5% of the PEO's total federal and state employment tax liability for the preceding calendar year, rounded up to the nearest $250,000.) 

These individual bonds and the $15 million aggregate bond are held in trust at a national bank on behalf of accredited PEO clients, employees, insurers and taxing authorities.

 

Accreditation Fee and Calculator

Calculate your annual accreditation fee by entering your PEO’s annual estimated wages in the below box:

Amount of
Annual Gross Wages
Annual Accreditation Fee
(effective 1/1/2020)
$0 to $50 million $7,500 plus $185 per million over $10 million
$50 to $100 million $15,000 plus $200 per million over $50 million
$100 to $250 million $25,000 plus $80 per million over $100 million
$250 to $500 million $37,000 plus $30 per million over $250 million
$500 million to $1 billion $44,500 plus $15 per million over $500 million
$1 billion to $5 billion $52,000 plus $5 per million over $1 billion
$5 billion and above $72,000 plus $2 per million over $5 billion
Estimated Annual Wages:

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Assurance Corporation

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