Question 1

Is PEO registration required in Ohio?

Accepted Answer

Yes. Ohio requires annual PEO registration with the Bureau of Workers' Compensation under ORC Chapter 4125. Out-of-state PEOs with fewer than 50 Ohio workers and no physical presence may use a limited registration.

Question 2

What is the workers' compensation system in Ohio?

Accepted Answer

Ohio is a monopolistic workers' compensation state. The Bureau of Workers' Compensation is the exclusive provider of workers' compensation insurance, serving roughly 245,000 employers. Private insurance carriers are not allowed to write workers' compensation policies in Ohio.

Question 3

What is the SUI taxable wage base in Ohio?

Accepted Answer

The 2026 SUI taxable wage base in Ohio is $9,000, which has remained unchanged. New employers pay a flat rate of 2.7%, while experience-rated employers pay between 0.5% and 10.2%.

Question 4

Does Ohio require PEOs to post a surety bond?

Accepted Answer

No. Ohio does not require a surety bond. Instead, PEOs must demonstrate adequate working capital to the Bureau of Workers' Compensation, which is a financial-capacity standard administered by the same agency that manages PEO registration.

Question 5

What is the minimum wage in Ohio?

Accepted Answer

The Ohio minimum wage for 2026 is $11.00 per hour for employers with annual gross receipts of $405,000 or more. Employers below that threshold pay the federal minimum wage of $7.25 per hour. The state rate is indexed annually by constitutional amendment.

Question 6

How does unemployment insurance work with a PEO in Ohio?

Accepted Answer

Ohio follows the client-level model for unemployment insurance. Employers file UI tax and wage reports under their own EIN-linked accounts rather than through a consolidated PEO return. Each client keeps its own account and benefit history.

Ohio PEO FAQs: Registration, Compliance, and Costs

Frequently Asked Questions