PEO companies in Illinois: costs, registration and scores
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Illinois new employers pay 3.35% unemployment tax on the first $14,250 of each employee's wages in 2026, or $4,773.75 for a 10-person team, and a PEO adds a fee that runs $9,480 to $14,880 a year for those 10 at Justworks, the only PEO in our top five with published prices (checked October 16, 2026). PEOs in Illinois register as employee leasing companies with the Illinois Department of Insurance.
Illinois has a flat 4.95% income tax, no local wage taxes and no state payroll-funded leave program, so the state side of a PEO quote is mostly unemployment tax.
A PEO in Illinois is an employee leasing company registered with the Illinois Department of Insurance under the Employee Leasing Company Act (215 ILCS 113) that co-employs a client's workers.
On this page
Registration goes through the Department of Insurance
Illinois treats PEOs as employee leasing companies. Its Employee Leasing Company Act (215 ILCS 113) requires registration on form ELC-1, filed through NIPR, the national insurance producer registry, with the Illinois Department of Insurance (IDOI). We found no public list of registered companies, and it is unclear whether IDOI's general company lookups include them.
So you need to ask. Request a copy of the PEO's current ELC-1 registration for the entity on your contract, and check that entity against the IRS active CPEO list on our IRS-certified PEO page. IRS certification matters for federal payroll taxes: the CPEO is treated as the employer for wages it pays.
PEO scores for Illinois buyers
Justworks (67) is first on published terms. TriNet (50) has the strongest support score, with 24/7 chat and weekday phone hours listed on its contact page. ADP TotalSource (44) earns a full 20 of 20 on benefits access.
| PEO | Score | Published price | On IRS CPEO list (Aug 7, 2026) | Illinois coverage |
|---|---|---|---|---|
| 1. Justworks | 67 | $79 to $124 per employee per month | Yes (Justworks Employment Group LLC and 3 related) | Not confirmed: Multi-state stated, no state list |
| 2. TriNet | 50 | Quote only | Yes (TriNet HR III-B, Inc.) | Not confirmed: Multi-state stated, no state list |
| 3. ADP TotalSource | 44 | Quote only | Yes (ADP TotalSource, Inc. and related) | Not confirmed: Multi-state stated, no state list |
| 4. Paychex PEO | 34 | Quote only | Yes (Paychex PEO VI LLC, VII, Oasis HR Solutions III) | Not confirmed: Multi-state stated, no state list |
| 5. Insperity | 33 | Quote only | Yes (Insperity PEO HR, Inc.; Insperity PEO Services, L.P.) | Not confirmed: Not stated |
| 6. BBSI | 26 | Quote only | Not found | Not confirmed: Multi-state support, no state list |
| 7. Amplify HR Management | 23 | Quote only | Yes (Amplify HR Management, LLC) | Not confirmed: Not stated |
| 8. ExtensisHR | 22 | Quote only | Yes (Extensis Inc. and 5 related) | Not confirmed: "Across the country", no state list |
| 9. Engage PEO | 21 | Quote only | Yes (Engage PEO, LLC) | Not confirmed: Not stated |
| 10. PrestigePEO | 20 | Quote only | Yes (3 Prestige entities) | Not confirmed: "National", no state list |
| 11. Questco | 20 | Quote only | Yes (QUESTCO HR LLC) | Not confirmed: "From Arizona to Nebraska and beyond" |
| 12. Sequoia One | 17 | Quote only | Yes (Sequoia One PEO, LLC) | Not confirmed: Not stated |
| 13. Rippling PEO | 11 | Quote only | Not found under the Rippling name | Not confirmed: Not stated |
| 14. G&A Partners | 8 | Not verified | Likely match, unconfirmed | Not confirmed: Not verified (site blocked) |
| 15. Vensure | 8 | Quote only | Not found under the Vensure name | Not confirmed: Not stated |
Checked: PEO websites Oct 16, 2026 (Illinois coverage, prices); IRS CPEO roster Aug 7, 2026; score date Oct 17, 2026 under published criteria. IDOI registrations not checked.
Background: TriNet PEO review, ADP TotalSource review, and the ranking of all 15 PEOs.
Illinois costs for a team of 10
Below, 10 employees on $50,000 each, with a new IDES account.
| Cost line | How it is figured | Per year |
|---|---|---|
| Justworks PEO Basic fee | $79 x 10 employees x 12 months | $9,480 |
| Justworks PEO Plus fee | $124 x 10 employees x 12 months | $14,880 |
| Industry admin fee range (estimate) | $40 to $160 x 10 x 12 (ADP guide, July 14, 2026) | $4,800 to $19,200 |
| FUTA | 0.6% net x first $7,000 x 10 | $420 |
| Illinois UI (IDES) | 3.35% new employer rate, including the 0.55% fund building rate, x first $14,250 x 10 | $4,773.75 |
| Justworks fee plus unemployment and state program taxes | Basic or Plus fee + FUTA and Illinois UI ($5,193.75 together) | $14,673.75 to $20,073.75 |
| Employer FICA (owed with or without a PEO) | 7.65% x $50,000 x 10 | $38,250 |
| All-in with Justworks, before health premiums and workers' comp | Line above + employer FICA | $52,923.75 to $58,323.75 |
| All-in at the industry fee range | $40 or $160 fee + all taxes above | $48,243.75 to $62,643.75 |
IDES 2026 rate notice (EA-50). Justworks prices posted October 16, 2026; ADP's July 14, 2026 range is an industry estimate. Illinois has no state payroll-funded leave program; the 4.95% income tax is withheld from employees.
If a quote shows Illinois UI at 2.80%, it is leaving out the 0.55% fund building rate; the US DOL summary of state laws prints the lower figure for that reason. IDES rates for experienced employers run from 0.75% to 7.05%. For the health and workers' comp lines that are left out here, see PEO pricing in detail.
Illinois rules your PEO should handle
- Minimum wage: $15.00 for employers with 4 or more employees. Tipped workers get at least $9.00 in cash, a 40% tip credit.
- Pay frequency: at least semi-monthly; executive, administrative and professional staff may be paid monthly.
- Final pay: at separation if possible and no later than the next regular payday, whether fired or quitting (820 ILCS 115/5).
- New hires: reported within 20 days of the first day on payroll. Independent contractors must also be reported.
- Workers' comp: the Illinois Department of Insurance says generally all Illinois employers must provide coverage; the headcount rules were not on the page we read. Illinois has no monopolistic state fund.
The Illinois payroll tax page links each agency, including MyTax Illinois for IDES registration.
Getting quotes without the sales push
Every PEO in our top five except Justworks quotes only, so pricing starts with a sales conversation, and the follow-up can be relentless. A Paychex customer on Trustpilot (September 27, 2026) complained of "frequent calls to sell additional services," and an ADP reviewer (September 18, 2026) reported frequent unwanted contact. To keep it efficient:
- Send the same census to each PEO: headcount, ZIP codes, job classes, salaries and current health plan.
- Ask for the admin fee, health premiums, workers' comp and unemployment tax as separate lines.
- Set one deadline and one contact for replies.
If a payroll service plus a broker would cover you, compare it in PEO vs payroll.
Questions for an Illinois PEO
- Can we see your current ELC-1 registration with IDOI?
- Will our Illinois UI report under your IDES account or ours?
- Is your quoted UI rate 3.35% or 2.80%, and why?
- Which health carriers do you offer to Chicago-area and downstate employees?
- What notice period and termination fee apply, and how long can former employees reach their W-2s?
Frequently asked questions
Do PEOs have to register in Illinois?
What does a PEO cost in Illinois?
Why do some sources show 2.80% as the Illinois new employer rate?
Does Illinois have a state paid leave payroll tax?
What is the Illinois minimum wage in 2026?
Sources (14)
- Justworks: Justworks pricing (PEO Basic and PEO Plus) (checked Oct 16, 2026)
- TriNet: TriNet PEO pricing (checked Oct 16, 2026)
- ADP: What is the cost of a PEO (updated July 14, 2026) (checked Oct 16, 2026)
- IRS: Active certified PEO list (report date Aug 7, 2026) (checked Oct 16, 2026)
- Illinois Department of Insurance: All other licenses (employee leasing companies) (checked Oct 16, 2026)
- Illinois General Assembly: Employee Leasing Company Act (215 ILCS 113) (checked Oct 16, 2026)
- Illinois Department of Employment Security: 2026 contribution rate notice (EA-50) (checked Oct 16, 2026)
- Illinois Department of Revenue: Income tax rates (checked Oct 16, 2026)
- Illinois Department of Employment Security: New hire reporting (checked Oct 16, 2026)
- Illinois General Assembly: 820 ILCS 115/5 (final compensation) (checked Oct 16, 2026)
- TriNet: Contact TriNet (checked Oct 16, 2026)
- Trustpilot: Paychex reviews (seen Oct 16, 2026)
- Trustpilot: ADP reviews (seen Oct 16, 2026)
- ADP: ADP TotalSource PEO (checked Oct 16, 2026)
This page is general information, not tax, legal or accounting advice. Rules and rates change, so check the official source linked above before you file or sign a contract. Read our disclaimer.