Discontinued — last reported Q3 '25

Operating

Amortization of deferred commissions

Paychex Amortization of deferred commissions increased by 2.3% to $62.80M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 5.9%, from $59.30M to $62.80M. Over 4 years (FY 2021 to FY 2025), Amortization of deferred commissions shows an upward trend with a 5.4% CAGR.

Analysis

StatementCash Flow Statement
SectionOperating
CategoryEfficiency
SignalContext dependent
VolatilityStable
First reportedQ3 2016
Last reportedQ3 2025

How to read this metric

An increase reflects a growing base of capitalized sales costs, often tied to past successful customer acquisition efforts.

Detailed definition

This metric tracks the non-cash expense related to the amortization of sales commissions that were previously capitalize...

Peer comparison

Standard for SaaS companies following ASC 606/340-40 accounting standards.

Metric ID: amortization_of_deferred_commissions

Historical Data

20 periods
 Q1 '21Q2 '21Q3 '21Q4 '21Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25
Value$48.40M$49.10M$50.00M$51.10M$51.90M$53.00M$54.50M$55.50M$56.10M$57.20M$57.90M$58.30M$58.30M$58.50M$58.80M$59.30M$59.90M$60.40M$61.40M$62.80M
QoQ Change+1.4%+1.8%+2.2%+1.6%+2.1%+2.8%+1.8%+1.1%+2.0%+1.2%+0.7%+0.0%+0.3%+0.5%+0.9%+1.0%+0.8%+1.7%+2.3%
YoY Change+7.2%+7.9%+9.0%+8.6%+8.1%+7.9%+6.2%+5.0%+3.9%+2.3%+1.6%+1.7%+2.7%+3.2%+4.4%+5.9%
Range$48.40M$62.80M
CAGR+5.6%
Avg YoY Growth+5.4%
Median YoY Growth+5.5%
Current Streak19+ quarters growth

Frequently Asked Questions

What is Paychex's amortization of deferred commissions?
Paychex (PAYX) reported amortization of deferred commissions of $62.80M in Q4 2025.
How has Paychex's amortization of deferred commissions changed year-over-year?
Paychex's amortization of deferred commissions increased by 5.9% year-over-year, from $59.30M to $62.80M.
What is the long-term trend for Paychex's amortization of deferred commissions?
Over 4 years (2021 to 2025), Paychex's amortization of deferred commissions has grown at a 5.4% compound annual growth rate (CAGR), from $191.40M to $236.50M.
What does amortization of deferred commissions mean?
The portion of sales commission costs recognized as an expense during the current period.