PEOs in Colorado

What makes Colorado different

• FAMLI requires wage reporting and payroll contributions. Employees may fund up to half of the state-plan premium, while the employer share generally applies to employers with 10 or more employees.
• Colorado SecureSavings requires employers with 5 or more employees to offer a retirement plan or enroll workers in the state IRA program.
• The Equal Pay for Equal Work Act requires compensation ranges in job postings and notice of promotion opportunities, with the state actively enforcing it.
• The Healthy Families and Workplaces Act mandates accrued paid sick leave (1 hour per 30 worked) plus supplemental leave during public health emergencies.
• Colorado wage law includes daily overtime after 12 hours and its own rules on vacation payout: earned vacation cannot be forfeited at separation.

PEO regulation in Colorado

Colorado recognizes PEO arrangements and the state paid leave and retirement mandates apply to worksite employees regardless of the co-employment structure, so the PEO must administer them, not exempt you from them.

What a PEO does and does not solve here

Ask each PEO to document how it administers FAMLI premiums, SecureSavings exemptions, sick leave accrual, and job-posting requirements. The quote should show how FAMLI contributions appear on the invoice and which party maintains each filing.

Common questions

Does a PEO 401(k) satisfy the Colorado SecureSavings mandate?

Yes. Offering a qualified retirement plan, including one through a PEO, exempts you from enrolling employees in the state IRA program. Make sure the exemption is registered with the state; the PEO should handle or document that step.

Who pays FAMLI premiums in a PEO arrangement?

The premium split (up to half deductible from employees) is set by the program regardless of the PEO. The PEO collects and remits through payroll, and the cost flows through your invoice. It is a pass-through, not something a PEO can discount.