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About Insperity, Inc.

Insperity handles the payroll so you don't have to. The company provides an array of human resources services to small and midsize companies in the US. As a professional employer organization (PEO), Insperity offers payroll and benefits administration, workers' compensation programs, and personnel records management through its flagship Workforce Optimization product. The firm also offers recruiting, performance management, and training and development services. Most of Insperity's clients come from industries such as information technology, finance and insurance, and consulting. The company was founded in 1986 and has grown to serve some 100,000 businesses with a combined 2 million employees.


Insperity's Workforce Optimization product offer a range of HR functions including administrative functions such as payroll processing, tax reporting, and employee file maintenance; and employee benefit plan administration, including group health and retirement plans. Other services include recruiting services, personnel and performance management, and training and development services.

The firm also offers a lower priced reduced service level PEO offering called Workforce Synchronization for some middle market clients and offers a cloud-based human capital management platform, Insperity Premier. For companies not ready for a full-service, co-employment PEO model, Insperity launched Workforce Acceleration, a traditional self-service HR management software bundle that comes with professional HR support as needed. 


Geographic Reach

Headquartered in Kingwood, Texas (outside Houston), Insperity has more than 70 offices including about 65 sales offices in nearly 35 markets. The company has regional service centers in Atlanta, Dallas, and Los Angeles.

A significant portion of Insperity's business comes from three states. Texas accounted for more than 20% of the employees who work at its clients’ worksites in 2018 (including 10% in Houston), while California accounted for about 15% and New York for 10%.

The Northeast is the company's largest regional market, accounting for more than 25% of the company’s revenue, followed by the Southwest (nearly 25% of revenue), West (more than 20%), Central (more than 15%), Southeast (about 10%).

Sales and Marketing

Insperity serves clients in a range of industries, including computer and information services (nearly 20% of its client base); finance, insurance, and real estate (more than 15%); and management, administration, and consulting services (nearly 15%); and manufacturing (more than 10%), among others.

The firm generates sales leads from direct sales efforts, advertising, third-party channel programs, referrals, marketing alliances, and the internet. 

The company's advertising costs were $18.5 million, $16.7 million, and $16.4 million during 2018, 2017, and 2016, respectively.

Financial Performance

Revenue and net income for Insperity increased steadily year-over-year during the most recent five-year period. The company attributes its growth to its quality and scope of services, as well as its information technology capabilities that distinguish it from other PEOs.

Revenue for 2018 grew to $3.8 billion, an increase of 16% over the prior year. Gains were due to increases in the average number of worksite employees paid (up 15%) and in revenue per worksite employee per month (up more than $20).

Revenue growth pushed Insperity’s net income to $135.4 million in 2018, up from $84 million in 2017. 

The company’s cash and cash equivalents rose to $354.3 million in 2018 from $286.0 million in 2017. Cash from operations was $184.5 million. Cash used in investing was $94.1 million and cash used in financing was $104.5 million.


Insperity's long-term strategy is to provide the best small and medium-sized businesses in the US with its specialized human resources service offering and to leverage its buying power and expertise to provide additional services to clients.

The company uses average number of worksite employees (WSEEs) paid during a period as its unit of measurement in analyzing and discussing its performance. As such, it is focused on continued WSEE growth. The firm ended 2018 averaging more than 220,000 paid WSEEs, representing a 17% increase over fourth quarter 2017.

Insperity also focuses heavily on client retention. During 2018 and 2017, its retention rate was approximately 86% and 85%, respectively.

Company Background

Gerald McIntosh and Paul Sarvadi founded Administaff in 1986. The two entrepreneurs saw growth potential in employee leasing, despite the industry's image problems (Sarvadi had worked briefly for James Borgelt, who founded several Dallas-area employee leasing firms and was sentenced to three years in prison in 1996 for stealing from clients).

By 1991 Administaff had become one of the largest employee leasing companies in the US. That year it joined 17 other leasing companies in filing a suit against the Texas State Board of Insurance, which had tried to prohibit leasing companies from buying workers' compensation insurance. Regulators claimed leasing companies were touting their services as a way to avoid high workers' comp premiums. In 1993 a compromise law allowed employee leasing companies to buy workers' comp insurance based on the clients' on-the-job accident history.

With about 1,500 clients, Administaff went public in 1997. TIt began offering Web-based services in 1999.  After years of minor acquisitions, Administaff updated its name to Insperity in 2011.

Insperity, Inc.

Kingwood, TX 77339-3802
Phone: 1 (281) 358-8986

Firm Stats

Employer Type: Publicly Owned
Stock Symbol: NSP
Stock Exchange: , NYSE
EVP, Client Services and COO: A. Steve Arizpe
President: Richard G. Rawson
Chairman and CEO: Paul J. Sarvadi
Employees (This Location): 1,900
Employees (All Locations): 3,200

Major Office Locations

Kingwood, TX

Other Locations

Diamond Bar, CA
Glendale, CA
San Diego, CA
San Mateo, CA
Walnut Creek, CA
Broomfield, CO
Denver, CO
Kennesaw, GA
Downers Grove, IL
Rosemont, IL
Indianapolis, IN
Overland Park, KS
Waltham, MA
Fulton, MD
Minneapolis, MN
Saint Louis, MO
Charlotte, NC
Raleigh, NC
New York, NY
Nashville, TN
Austin, TX
Dallas, TX
Houston, TX
Irving, TX
San Antonio, TX
Mc Lean, VA