Question 1

Is PEO registration required in Nebraska?

Accepted Answer

Yes. Any person or entity providing employee leasing services in Nebraska must register with the Nebraska Department of Labor under the Employee Leasing Company Registration Act (Neb. Rev. Stat. 48-2101 to 48-2111). Registrations are accepted on a continuous basis and carry a $100 fee.

Question 2

What bond does a PEO need in Nebraska?

Accepted Answer

Under Neb. Rev. Stat. 48-2105, a PEO must maintain a $25,000 bond or other security acceptable to the Department, payable to the State of Nebraska, at all times during the registration period. It provides recovery for claims covered by the act.

Question 3

When does PEO registration renew in Nebraska?

Accepted Answer

Renewal is annual on a fixed calendar. A registration expires on December 31 following the date of issuance, so every Nebraska registration — whenever issued — rolls over on the same December 31 deadline.

Question 4

What is the SUI taxable wage base in Nebraska?

Accepted Answer

The 2026 taxable wage base is $9,000 for most employers but $24,000 for employers in UI Tax Category 20, a two-tier structure created by LB 428. The construction-heavy category carries the higher base. New employer rates are 1.25% for non-construction and 5.40% for construction.

Question 5

What is the minimum wage in Nebraska?

Accepted Answer

Nebraska's minimum wage is $15.00 per hour effective January 1, 2026 under the Initiative 433 schedule. Paid sick leave took effect October 1, 2025 under Initiative 436, at one hour per 30 hours worked, capped at 40 hours per year for employers with fewer than 15 employees and 64 hours for larger employers.

Question 6

How does workers' compensation work with a PEO in Nebraska?

Accepted Answer

Workers' compensation is a private market with no state fund. Neb. Rev. Stat. 48-145 adds a PEO-specific restriction: professional employer organizations may not self-insure, so coverage must come from licensed carriers through master or coordinated policies.

Nebraska PEO FAQs: Registration, Compliance, and Costs

Frequently Asked Questions