PEO Contract Terms and Cancellation Notices: Verified Table
Contract terms and cancellation notices for every tracked PEO, one row per provider. Each populated cell links to the primary source it came from and carries the date it was verified; a cell we have no source for says exactly that.
| Provider | Standard contract term | Notice required to exit |
|---|---|---|
| ADP TotalSource | Initial term from the Effective Date; renews automatically on the anniversary date for successive one-year terms; either party may terminate on 30 days' written notice or immediately for Cause source (opens in new window) | 30 days' written notice, or immediately for cause (form Client Services Agreement) source (opens in new window) |
| Gusto | No contracts; month-to-month source (opens in new window) | Cancel anytime source (opens in new window) |
| Insperity | No fixed term under the standard Client Service Agreement source (opens in new window) | 30 days' written notice (standard CSA, per Insperity's 10-K) source (opens in new window) |
| Justworks | Month-to-month, auto-renewing monthly source (opens in new window) | 30 days' written notice; no early termination fee generally reported source (opens in new window) |
| Paychex PEO | Initial term plus automatic renewal terms, set in the Signature Packet or Service Agreement Initiation Request; service ends on the last day of payroll responsibility, not the invoice or last-paycheck date source (opens in new window) | Written notice per the Signature Packet waives the transition fee; Paychex may terminate on 30 days' notice source (opens in new window) |
| Rippling PEO | Term per the Order Form; auto-renews for the shorter of the initial term or 12 months source (opens in new window) | 30 days' written non-renewal notice; deactivating the account does not end obligations through the current term source (opens in new window) |
| Sequoia One | Initial Term per the Order Form; auto-renews in one-year Renewal Terms unless the Client gives written notice to end it source (opens in new window) | Written termination notice at least 90 days before the Initial or Renewal term expires; 30 days' written notice for a material breach that is not cured source (opens in new window) |
| TriNet | No fixed term in the form Subscriber Service Agreement; cancellable on 30 days' written notice source (opens in new window) | 30 days' written notice; termination effective at the end of the next calendar month source (opens in new window) |
How to use this table
The two columns answer different questions. The term decides how long you are committed and whether the agreement renews automatically; the notice decides what it costs you to leave mid-cycle. A month-to-month agreement with a 30-day notice is a different product from a fixed term with a transition fee, and the difference matters when the arrangement is not working.
Two caveats. First, the cancellation notice is the published form-agreement notice; an executed agreement can vary. Second, where a provider does not publish a term or a notice at all, the cell is unverified and the provider's own page still says so — see ADP TotalSource (no fixed term published) and Sequoia One (neither term nor notice published).
The aggregate numbers behind this table — how many providers have a term or notice on file, the notice-window distribution, and when each cell was verified — are on the contract-terms statistics page.
All providers · Negotiating a PEO contract · How we verify data
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