Company: PAYC
Filing Date: 2025-02-20
Form Type: 10-K
Source: 0000950170-25-024136
Chunk: 210

Company: Paycom Software, Inc.
Filing Date: 2025-02-20
Form: 10-K
Item: Item 8
Chunk 210
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 and other observable inputs recognized at fair value. We terminated the interest rate swap on August 24, 2022.The accounting standard for fair value measurements establishes a three-level fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:•Level 1 – Observable inputs such as quoted prices in active markets•Level 2 – Inputs other than quoted prices in active markets for identical assets or liabilities that are observable either directly or indirectly or quoted prices that are not active•Level 3 – Unobservable inputs in which there is little or no market dataIncluded in the following tables are the Company’s major categories of assets and liabilities measured at fair value on a recurring basis as of December 31, 2024 and 2023:

        December 31, 2024

        Level 1

        Level 2

        Level 3

        Total

        Assets:

        U.S. treasury securities
         
        $
        —

        $
        24.7

        $
        —

        $
        24.7

        December 31, 2023

        Level 1

        Level 2

        Level 3

        Total

        Assets:

        Certificates of deposit
         
        $
        —

        $
        25.0

        $
        —

        $
        25.0

        U.S. treasury securities
         
        $
        —

        $
        173.6

        $
        —

        $
        173.6

10.EMPLOYEE SAVINGS PLAN AND EMPLOYEE STOCK PURCHASE PLANEmployees over the age of 18 who have completed 30 days of service are eligible to participate in our employee savings plan (401(k) plan). We have made a Qualified Automatic Contribution Arrangement (“QACA”) election, whereby the Company matches the contribution of our employees equal to 100% of the first 1% of salary deferrals and 50% of salary deferrals between 2% and 6%, up to a maximum matching contribution of 3.5% of an employee’s salary each plan year. We are allowed to make additional discretionary matching contributions and discretionary profit sharing contributions. Employees are 100% vested in amounts attributable to salary deferrals and rollover contributions. The QACA matching contributions as well as the discretionary matching and profit sharing contributions vest 100% after two years of employment from the date of hire. Matching contributions were $19.1 million, $15.9 million and $12