Company: PAYX
Filing Date: 2025-08-29
Form Type: DEF 14A
Source: 0001193125-25-191789
Chunk: 17

Company: PAYCHEX INC
Filing Date: 2025-08-29
Form: DEF 14A
Chunk 17
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 to satisfy tax obligations. |     |                                                                                  N/A |
| Other(3)             |     | Upon the discretion of the Board, unvested shares may be accelerated in whole or in part for certain events including, but not limited to, director retirement. |     | Unvested options outstanding upon the retirement of a Board member will be canceled. |

| (1) | All directors (except for Messrs. Flaschen, Golisano and Mucci) were granted 761 time-based RSUs and 3,351 stock options. Mr. Mucci was granted 896 time-based RSUs and 3,949 stock options. |

Paychex, Inc. 2025 Proxy Statement •13

| Director Compensation |

| (2) | The fair value of time-based RSUs is determined based on the closing price of the underlying common stock on the grant date. The fair value of stock options is determined using a Black-Scholes option pricing model. The assumptions used in determining the July 15, 2024 fair value of $27.60 per share for these stock options were: risk-free interest rate of 4.3%; dividend yield of 3.3%; volatility factor of 0.25; and expected option life of 7.0 years. |

| (3) | Retirement eligibility for this purpose begins at age 55 or older with ten years of service as a member of the Board. |

As of May 31, 2025, each director other than Mr. Gibson had the following equity awards outstanding:

| Director              |     | Stock    
 Awards   
 (Shares) |     |     |     | Stock    
 Options  
 (Shares) |     |           |
| Martin Mucci          |     |          |     | 896 |     |          |     | 1,338,874 |
| Thomas F. Bonadio     |     |          |     | 761 |     |          |     |    51,217 |
| Joseph G. Doody       |     |          |     | 761 |     |          |     |    28,557 |
| David Flaschen(1)     |     |          |     |   — |     |          |     |         — |
| B. Thomas Golisano(2) |     |          |     |   — |     |          |     |         — |
| Pamela A. Joseph      |     |          |     | 761 |