Paycom Software (PAYC) 10-Q 3 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Jul. 26, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	PAYC
Entity Registrant Name	Paycom Software, Inc.
Entity Central Index Key	1,590,955
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		59,826,777

Consolidated Balance Sheets (un

Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 80,893	$ 50,714
Accounts receivable	2,775	2,354
Prepaid expenses	4,136	3,531
Inventory	441	1,093
Income tax receivable		6,743
Current assets before funds held for clients	88,245	64,435
Funds held for clients	1,034,314	696,703
Total current assets	1,122,559	761,138
Property and equipment, net	76,627	58,858
Deposits and other assets	936	1,286
Goodwill	51,889	51,889
Intangible assets, net	2,677	3,484
Deferred income tax assets, net	4,295
Total assets	1,258,983	876,655
Current liabilities:
Accounts payable	5,530	4,899
Income tax payable	5,371
Accrued commissions and bonuses	3,052	8,687
Accrued payroll and vacation	6,538	2,898
Deferred revenue	4,389	3,726
Current portion of long-term debt	911	886
Accrued expenses and other current liabilities	12,392	9,735
Current liabilities before client funds obligation	38,183	30,831
Client funds obligation	1,034,314	696,703
Total current liabilities	1,072,497	727,534
Deferred income tax liabilities, net		641
Long-term deferred revenue	29,322	25,310
Net long-term debt, less current portion	28,349	24,856
Total long-term liabilities	57,671	50,807
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value (100,000,000 shares authorized, 57,624,163 and 57,119,873 shares issued at June 30, 2016 and December 31, 2015, respectively; 57,539,034 and 57,119,873 shares outstanding at June 30, 2016 and December 31, 2015, respectively)	576	571
Additional paid in capital	76,112	71,135
Retained earnings	55,617	26,608
Treasury stock, at cost (85,129 and 0 shares at June 30, 2016 and December 31, 2015, respectively)	(3,490)
Total stockholders' equity	128,815	98,314
Total liabilities and stockholders' equity	$ 1,258,983	$ 876,655

Consolidated Balance Sheets (u3

Consolidated Balance Sheets (unaudited) (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	57,624,163	57,119,873
Common stock, shares outstanding	57,539,034	57,119,873
Treasury stock, shares	85,129	0

Consolidated Statements of Inco

Consolidated Statements of Income (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues
Recurring	$ 72,492	$ 47,820	$ 161,396	$ 102,171
Implementation and other	1,388	1,153	2,610	2,024
Total revenues	73,880	48,973	164,006	104,195
Cost of revenues
Operating expenses	10,479	7,134	21,264	14,605
Depreciation and amortization	1,386	887	2,572	1,697
Total cost of revenues	11,865	8,021	23,836	16,302
Administrative expenses
Sales and marketing	24,766	16,741	53,428	37,970
Research and development	4,202	1,907	8,062	3,774
General and administrative	15,220	10,096	30,426	22,080
Depreciation and amortization	1,823	1,400	3,546	2,723
Total administrative expenses	46,011	30,144	95,462	66,547
Total operating expenses	57,876	38,165	119,298	82,849
Operating income	16,004	10,808	44,708	21,346
Interest expense	(170)	(392)	(481)	(724)
Other income, net	116	19	150	52
Income before income taxes	15,950	10,435	44,377	20,674
Provision for income taxes	5,529	4,489	15,368	8,733
Net income	$ 10,421	$ 5,946	$ 29,009	$ 11,941
Earnings per share, basic	$ 0.18	$ 0.10	$ 0.50	$ 0.21
Earnings per share, diluted	$ 0.18	$ 0.10	$ 0.49	$ 0.21
Weighted average shares outstanding:
Basic	57,591,556	57,038,021	57,362,232	55,900,306
Diluted	58,697,229	58,369,083	58,707,213	57,469,918

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities
Net income	$ 29,009	$ 11,941
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	6,118	4,420
Amortization of debt issuance costs	63	85
Net loss on disposition of property and equipment	3	15
Stock-based compensation expense	4,817	289
Deferred income taxes, net	(4,936)	(230)
Changes in operating assets and liabilities:
Accounts receivable	(421)	242
Prepaid expenses	(605)	(1,260)
Inventory	652	(131)
Deposits and other assets	350	(373)
Accounts payable	2,619	(970)
Income taxes, net	12,114	2,866
Accrued commissions and bonuses	(5,635)	(2,541)
Accrued payroll and vacation	3,640	3,382
Deferred revenue	4,675	3,698
Accrued expenses and other current liabilities	2,091	1,346
Net cash provided by operating activities	54,554	22,779
Cash flows from investing activities
(Increase) decrease in funds held for clients	(337,611)	117,750
Decrease in restricted cash		371
Purchases of property and equipment	(24,340)	(4,922)
Net cash (used in) provided by investing activities	(361,951)	113,199
Cash flows from financing activities
Proceeds from issuance of long-term debt	3,903
Repurchases of common stock	(3,490)
Principal payments on long-term debt	(448)	(682)
Increase (decrease) in client funds obligation	337,611	(117,750)
Payment of debt issuance costs		(23)
Net cash provided by (used in) financing activities	337,576	(118,455)
Change in cash and cash equivalents	30,179	17,523
Cash and cash equivalents
Beginning of period	50,714	25,144
End of period	$ 80,893	$ 42,667

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Organization and Description of Business	1. ORGANIZATION AND DESCRIPTION OF BUSINESS Description of Business Paycom Software, Inc. (“Software”) and its wholly owned subsidiaries (collectively, the “Company”) is a leading provider of comprehensive, cloud-based human capital management (“HCM”) software delivered as Software-as-a-Service. Unless we state otherwise or the context otherwise requires, the terms “we”, “our”, “us” and the “Company” refer to Software and its consolidated subsidiaries. We provide functionality and data analytics that businesses need to manage the complete employment lifecycle, from recruitment to retirement. Our solution requires virtually no customization and is based on a core system of record maintained in a single database for all HCM functions, including talent acquisition, time and labor management, payroll, talent management and human resources (“HR”) management applications. Registered Block Trade Transaction On May 20, 2015, we closed an underwritten secondary offering of 8,000,000 shares of our common stock by Welsh, Carson, Anderson & Stowe, L.P., WCAS Capital Partners IV L.P., each of our executive officers and certain other selling stockholders at a public offering price of $36.25 per share. We did not receive any proceeds from the sale of these shares.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Our significant accounting policies are discussed in “Note 2. Summary of Significant Accounting Policies” in our audited consolidated financial statements for the year ended December 31, 2015, included in the Annual Report on Form 10-K that was filed with the Securities and Exchange Commission (“SEC”) on February 22, 2016. Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the SEC regarding interim financial statements that permit reduced disclosure for interim periods. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments necessary to fairly present our consolidated balance sheets as of June 30, 2016 and December 31, 2015, our consolidated statements of income for the three and six months ended June 30, 2016 and 2015 and our consolidated statements of cash flows for the six months ended June 30, 2016 and 2015. Such adjustments are of a normal recurring nature. The information in this Quarterly Report on Form 10-Q should be read in conjunction with our Annual Report on Form 10-K that was filed with the SEC on February 22, 2016. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the results expected for the full fiscal year. Adoption of New Pronouncements We adopted on a retrospective basis the recently issued guidance by the Financial Accounting Standards Board (“FASB”) Accounting Standards Update No. 2015-03, “Interest – Imputation of Interest (Subtopic 835-30) Simplifying the Presentation of Debt Issuance Costs” (“ASU 2015-03”). ASU 2015-03 requires companies with debt issuance costs related to a recognized debt liability to present such issuance costs in the consolidated balance sheets as a direct deduction from the carrying amount of the debt liability. Our adoption of ASU 2015-03 resulted in a reclassification which decreased deposits and other assets by $0.1 million and decreased net long-term debt, less current portion by $0.1 million on our consolidated balance sheet as of December 31, 2015. The adoption of ASU 2015-03 had no impact on our stockholders’ equity or the results of our operations. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates include income taxes, contingencies, the useful life of property and equipment and intangible assets, the life of our client relationships, the fair value of our stock-based awards and the fair value of our financial instruments, intangible assets and goodwill. These estimates are based on historical experience where applicable and other assumptions that management believes are reasonable under the circumstances. As such, actual results could materially differ from these estimates. Employee Stock Purchase Plan An award issued under the Paycom Software, Inc. Employee Stock Purchase Plan (the “ESPP”) is classified as a share-based liability and recorded at the fair value of the award. Expense is recognized, net of estimated forfeitures, on a straight-line basis over the requisite service period. Funds Held for Clients and Client Funds Obligation As part of our payroll and tax filing application, we (i) collect client funds to satisfy their respective federal, state and local employment tax obligations, (ii) remit such funds to the appropriate taxing authorities and accounts designated by our clients, and (iii) manage client tax filings and any related correspondence with taxing authorities. Amounts collected by us from clients for their federal, state and local employment taxes earn interest during the interval between receipt and disbursement, as we invest these funds in demand deposits, money market funds, certificates of deposit and commercial paper. These investments are shown in the consolidated balance sheets as funds held for clients, and the offsetting liability for the tax filings is shown as client funds obligation. The liability is recorded in the accompanying balance sheets at the time we obtain the funds from clients. The client funds obligation represents liabilities that will be repaid within one year of the balance sheet date. During the quarter ended June 30, 2016 we elected to change our accounting policy for recording interest income earned on funds held for clients. Prior to April 1, 2016, interest income earned in the period between receipt and disbursement of client funds was recorded to other income, net. As a result of this change in accounting policy, we will recognize interest income on collected, but not yet remitted funds held for clients, in recurring revenues as earned. We have concluded that this change in accounting principle is preferable as the collection, holding, and remittance of these funds are critical components of providing our services. The effect of the change in accounting policy was immaterial in all periods and as such, we have not retrospectively adjusted prior period reported results. As of June 30, 2016, the funds held for clients were invested in demand deposits, certificates of deposit, money market funds and commercial paper and classified as a current asset in the accompanying balance sheets as these funds are held solely to satisfy the client funds obligation. As of December 31, 2015, the funds held for clients funds were invested in the same investments, other than commercial paper. Stock Repurchase Plan As announced on May 26, 2016, our Board of Directors approved a stock repurchase plan under which we are authorized to purchase (in the aggregate) up to $50.0 million of our issued and outstanding common stock, par value $0.01 per share, over a 24-month period. Shares may be repurchased from time-to-time in open market transactions at prevailing market prices, in privately negotiated transactions or by other means in accordance with federal securities laws, including Rule 10b5-1 programs, and the repurchase plan may be suspended or discontinued at any time. The actual timing, number and value of shares repurchased will depend on a number of factors, including the market price of our common stock, general market and economic conditions and other corporate considerations. For the three and six months ended June 30, 2016, we repurchased an aggregate of 85,129 shares of our common stock under our repurchase plan at an average cost of $41.00 per share. Recently Issued Accounting Pronouncements In May 2014, the FASB issued authoritative guidance which included a comprehensive new revenue recognition model that requires revenue to be recognized in a manner to depict the transfer of goods or services to a customer at an amount that reflects the consideration expected to be received in exchange for those goods or services. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. In April 2015, the FASB proposed a one year deferral of the effective date of the new revenue recognition standard for public and non-public entities reporting under U.S. GAAP and on July 9, 2015, the FASB approved the one year deferral. The effective date of the amended standard will begin in periods beginning after December 15, 2017. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In July 2015, the FASB issued authoritative guidance which simplifies the measurement of inventory. Under the new guidance, an entity should measure inventory (as defined within the scope of the guidance) at the lower of cost or net realizable value. The new guidance applies to all inventory except inventory measured using last-in, first-out (LIFO) or the retail inventory method. Net realizable value is defined as the estimated selling price in the ordinary course of business, less reasonably predicable costs of completion, disposal and transportation. The new guidance is effective for public companies for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Accordingly, the standard is effective for us on January 1, 2017. We do not anticipate that the adoption of this standard will have a material impact on our consolidated financial statements. In January 2016, the FASB issued authoritative guidance for the accounting for financial instruments. The amendments in this guidance require all equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those accounted for under equity method of accounting or those that result in consolidation of the investee). The amendments in this guidance also require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. In addition, the amendments in this guidance eliminate the requirement to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet for public business entities. The new guidance is effective for us for fiscal years, and interim periods within those years, beginning after December 15, 2017 and early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In February 2016, the FASB issued authoritative guidance for the accounting for leases. The purpose of the update is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet as well as providing additional disclosure requirements related to leasing arrangements. The new guidance is effective for us for fiscal years, and interim periods within those years, beginning after December 15, 2018, though early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In March 2016, as part of its initiative to reduce complexity in accounting standards, the FASB issued authoritative guidance for the accounting for stock compensation. The new guidance involves several aspects of the accounting for employee share-based payment transactions, including the income tax consequences, forfeitures, classification of awards as either equity or liabilities, and classification on the statement of cash flows The new guidance is effective for us for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years, and early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements.

Property and Equipment, Net

Property and Equipment, Net	6 Months Ended
	Jun. 30, 2016
Property Plant And Equipment [Abstract]
Property and Equipment, Net	3. PROPERTY AND EQUIPMENT, NET Property and equipment and associated accumulated depreciation and amortization were as follows: June 30, December 31, 2016 2015 Property and equipment Buildings $ 30,214 $ 28,154 Software and capitalized software costs 18,205 13,959 Computer equipment 15,070 11,346 Rental clocks 9,447 8,750 Furniture, fixtures and equipment 6,067 5,464 Vehicles 421 421 Leasehold improvements 363 358 79,787 68,452 Less: accumulated depreciation and amortization (29,985 ) (24,894 ) 49,802 43,558 Land 8,993 8,993 Construction in progress 17,832 6,307 Property and equipment, net $ 76,627 $ 58,858 In 2015, we began the construction of a third building/processing center and additional parking at our headquarters. Included in the construction in progress balance at June 30, 2016 and December 31, 2015 is $0.8 million and $0.4 million in retainage, respectively. Depreciation and amortization expense for property and equipment, net, was $2.8 million and $5.3 million for the three and six months ended June 30, 2016, respectively. Depreciation and amortization expense for property and equipment, net was $1.9 million and $3.6 million for the three and six months ended June 30, 2015, respectively. We capitalize interest incurred for indebtedness related to construction of our principal executive offices. For the three and six months ended June 30, 2016, we incurred interest costs of $0.2 million and $0.5 million, respectively. We capitalized interest costs for the three and six months ended June 30, 2016 of $0.2 million and $0.2 million, respectively. For the three and six months ended June 30, 2015, we incurred interest costs of $0.3 million and $0.6 million, respectively, none of which was capitalized. We capitalize computer software development costs related to software developed for internal use in accordance with Accounting Standards Codification (“ASC”) Topic 350-40. During the three and six months ended June 30, 2016, we capitalized $2.0 million and $3.7 million of computer software development costs related to software developed for internal use, respectively. During the three and six months ended June 30, 2015, we capitalized $0.8 million and $1.6 million of computer software development costs related to software developed for internal use, respectively.

Goodwill and Intangible Assets,

Goodwill and Intangible Assets, Net	6 Months Ended
	Jun. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets, Net	4. GOODWILL AND INTANGIBLE ASSETS, NET Goodwill represents the excess of cost over our net tangible and identified intangible assets. We had goodwill of $51.9 million as of June 30, 2016 and December 31, 2015. We have selected June 30 as our annual goodwill impairment testing date and determined there was no impairment as of June 30, 2016. For the year ended December 31, 2015, there were no indicators of impairment. All of our intangible assets are considered to have finite lives and, as such, are subject to amortization. The components of intangible assets were as follows: June 30, 2016 Weighted Average Remaining Accumulated Useful Life Gross Amortization Net (Years) Intangibles: Customer relationships 1.0 $ 13,997 $ (12,597 ) $ 1,400 Trade name 6.0 3,194 (1,917 ) 1,277 Total $ 17,191 $ (14,514 ) $ 2,677 December 31, 2015 Weighted Average Remaining Accumulated Useful Life Gross Amortization Net (Years) Intangibles: Customer relationships 1.5 $ 13,997 $ (11,897 ) $ 2,100 Trade name 6.5 3,194 (1,810 ) 1,384 Total $ 17,191 $ (13,707 ) $ 3,484 The weighted average remaining useful life of our intangible assets was 3.4 years as of June 30, 2016. Amortization of intangible assets for each of the three and six months ended June 30, 2016 and 2015 was $0.4 million and $0.8 million, respectively.

Long-Term Debt, Net

Long-Term Debt, Net	6 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Long-Term Debt, Net	5. LONG-TERM DEBT, NET As of the dates indicated, our long-term debt consisted of the following: June 30, 2016 December 31, 2015 Net term note to bank due May 30, 2021 $ 25,357 $ 25,742 Construction loan 3,903 - Total long-term debt (including current portion) 29,260 25,742 Less: Current portion (911 ) (886 ) Total long-term debt, net $ 28,349 $ 24,856 As of June 30, 2016, our outstanding indebtedness consisted of a term note under the 2021 Consolidated Loan due to Kirkpatrick Bank (the “2021 Consolidated Loan”). The 2021 Consolidated Loan matures on May 30, 2021. Under the 2021 Consolidated Loan, interest is payable monthly and accrues at a fixed rate of 4.75% per annum. The 2021 Consolidated Loan is secured by a mortgage covering our headquarters and certain personal property relating to our headquarters. The 2021 Consolidated Loan includes certain financial covenants, including maintaining a fixed charge coverage ratio of EBITDA to fixed charges (defined as current maturities of long-term debt, interest expense, rent expense and distributions), as defined in the agreement, of greater than 1.2 to 1.0, which is measured on a quarterly basis. We were in compliance with all of the covenants as of June 30, 2016. On May 13, 2015, we entered into a loan agreement with Kirkpatrick Bank to finance the expansion of our headquarters (the “Construction Loan”). The Construction Loan allows for the borrowing of a maximum aggregate principal amount equal to the lesser of (i) $11.0 million or (ii) 80% of the appraised value of the constructed property. The Construction Loan matures on the earlier of the completion of construction or November 13, 2016, with variable interest accruing at the greater of (i) the prime rate, plus 50 basis points or (ii) 4.0%. At June 30, 2016, the interest rate on the Construction Loan was 4.0%. At maturity, the outstanding principal balance of the Construction Loan, if any, will be automatically converted to a 78-month term loan. The term loan will accrue fixed interest at the prevailing 7/20 London Interbank Offered Rate swap interest rate that is in effect as of the commencement date, plus 225 basis points. As of June 30, 2016 and December 31, 2015, the carrying value of our total long-term debt, including current portion, was $29.3 million and $25.7 million, respectively, which approximated its fair value as of both dates. The fair value of our long-term debt is estimated based on the borrowing rates currently available to us for bank loans with similar terms and maturities.

Employee Savings Plan

Employee Savings Plan	6 Months Ended
	Jun. 30, 2016
Compensation Related Costs [Abstract]
Employee Savings Plan and Employee Stock Purchase Plan	6. EMPLOYEE SAVINGS PLAN AND EMPLOYEE STOCK PURCHASE PLAN Our employees that are over the age of 21 and have completed ninety (90) days of service are eligible to participate in our 401(k) plan. We have made a Qualified Automatic Contribution Arrangement (“QACA”) election, whereby we make a matching contribution for 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 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 will be 100% vested after two years of employment from the date of hire. The discretionary contributions vest 100% after two years of employment from the date of hire. Matching contributions amounted to $0.6 million and $1.6 million for the three and six months ended June 30, 2016, respectively. Matching contributions amounted to $0.5 million and $1.2 million for the three and six months ended June 30, 2015, respectively. The ESPP allows, at the beginning of each offering period, eligible employees to elect to contribute, through payroll deductions, up to 10% of their compensation, subject to an annual per employee maximum, to purchase shares of the Company’s common stock at a price of 85% of the fair market value of the shares on the exercise date. Each offering period of the ESPP lasts six months and the maximum number of shares that may be acquired by a participant during each offering period is 2,000 shares. The shares reserved for purposes of the ESPP are shares we purchase in the open market. The maximum number of shares of the Company’s common stock that may be acquired by participants under the ESPP is 2,000,000 shares. During the six months ended June 30, 2016, eligible employees purchased 72,665 shares of the Company’s common stock under the ESPP. Compensation expense related to the ESPP is recognized on a straight-line basis over the requisite service period. Our compensation expense related to the ESPP was $0.2 million and $0.3 million for the three and six months ended June 30, 2016. Our compensation expense related to the ESPP was $0.1 million for both the three and six months ended June 30, 2015.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	7. FAIR VALUE OF FINANCIAL INSTRUMENTS Our financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, funds held for clients, client funds obligation and long-term debt. The carrying amount of cash and cash equivalents, accounts receivable, accounts payable, funds held for clients and client funds obligation approximates fair value because of the short-term nature of the instruments. We did not have any financial instruments that were measured on a recurring basis at either June 30, 2016 or December 31, 2015.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Earnings Per Share	8. EARNINGS PER SHARE Basic earnings per share is based on the weighted average number of shares of common stock outstanding for the period. Diluted earnings per share is computed in a similar manner to basic earnings per share after assuming the issuance of shares of common stock for all potentially dilutive shares of restricted stock whether or not they are vested. In accordance with ASC Topic 260 “Earnings Per Share”, the two-class method determines earnings for each class of common stock and participating securities according to an earnings allocation formula that adjusts the income available to common stockholders for dividends or dividend equivalents and participation rights in undistributed earnings. Certain unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents are participating securities and, therefore, are included in computing earnings per share pursuant to the two-class method. The outstanding shares of 2015 Restricted Stock (as defined in Note 9) are considered participating securities, while the outstanding shares of 2016 Restricted Stock (as defined in Note 9) are not considered participating securities. The following is a reconciliation of net income and the shares of common stock used in the computation of basic and diluted earnings per share: Three Months Ended Six Months Ended June 30, 2016 June 30, 2015 June 30, 2016 June 30, 2015 Numerator: Net income $ 10,421 $ 5,946 $ 29,009 $ 11,941 Less: income allocable to participating securities (129 ) - (360 ) - Income allocable to common shares $ 10,292 $ 5,946 $ 28,649 $ 11,941 Add back: undistributed earnings allocable to participating securities $ 129 $ - $ 360 $ - Less: undistributed earnings reallocated to participating securities (126 ) - (360 ) - Numerator for diluted earnings per share $ 10,295 $ 5,946 $ 28,649 $ 11,941 Denominator: Weighted average common shares outstanding 50,315,455 50,315,455 50,315,455 50,315,455 Weighted average common shares repurchased (19,969 ) - (9,985 ) - Adjustment for vested restricted stock 7,296,070 6,722,566 7,056,762 5,584,851 Shares for calculating basic earnings per share 57,591,556 57,038,021 57,362,232 55,900,306 Dilutive effect of unvested restricted stock 1,105,673 1,331,062 1,344,981 1,569,612 Shares for calculating diluted earnings per share 58,697,229 58,369,083 58,707,213 57,469,918 Earnings per share: Basic $ 0.18 $ 0.10 $ 0.50 $ 0.21 Diluted $ 0.18 $ 0.10 $ 0.49 $ 0.21

Stockholders' Equity and Stock-

Stockholders' Equity and Stock-Based Compensation	6 Months Ended
	Jun. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stockholders' Equity and Stock-Based Compensation	9. STOCKHOLDERS’ EQUITY AND STOCK-BASED COMPENSATION On January 1, 2014, we issued restricted shares of common stock (“2014 Restricted Stock”) under the Paycom Software, Inc. 2014 Long-Term Incentive Plan (the “LTIP”) that were subject to either time-based vesting conditions or market-based vesting conditions. Shares of 2014 Restricted Stock with time-based vesting conditions vest based on various schedules through 2018. The market-based vesting conditions were based on our total enterprise value exceeding certain specified thresholds. Compensation expense related to the issuance of 2014 Restricted Stock with time-based vesting conditions was measured based on the fair value of the award on the grant date and is recognized over the requisite service period on a straight-line basis. Compensation expense relating to the issuance of 2014 Restricted Stock with market-based vesting conditions was measured based on the fair value of the award on the grant date and recognized on a straight-line basis over the vesting period based on the probability that the vesting conditions would be met. For 2014 Restricted Stock with market-based vesting conditions, 50% of the shares vested upon reaching a total enterprise value of $1.4 billion on December 1, 2014 and the remaining 50% of the shares vested upon reaching a total enterprise value of $1.8 billion on March 2, 2015. Our total compensation expense related to 2014 Restricted Stock was less than $0.1 million and $0.1 million for the three and six months ended June 30, 2016, respectively. Our total compensation expense related to 2014 Restricted Stock was $0.3 million for both the three and six months ended June 30, 2015. There was $0.2 million of total unrecognized compensation cost, net of estimated forfeitures, related to unvested shares of 2014 Restricted Stock with time-based vesting conditions outstanding as of June 30, 2016. The unrecognized compensation cost is expected to be recognized over a weighted average period of 1.5 years as of June 30, 2016. On July 8, 2015, we issued an aggregate of 741,931 restricted shares of common stock under the LTIP (“2015 Restricted Stock”) to each of our executive officers and certain non-executive employees. On April 15, 2016, we issued an aggregate of 847,928 restricted shares of common stock under the LTIP to each of our executive officers and certain non-executive employees, and on May 2, 2016, we issued an aggregate of 5,132 restricted shares of common stock under the LTIP to certain members of our Board of Directors (“2016 Restricted Stock” and, collectively with all shares of 2015 Restricted Stock, the “Post-IPO Restricted Stock”). Certain shares of Post-IPO Restricted Stock are subject to market-based vesting conditions and certain shares of Post-IPO Restricted Stock are subject to time-based vesting conditions. Shares subject to market-based vesting conditions will vest if the Company’s Total Enterprise Value (as defined in the applicable restricted stock award agreement) equals or exceeds certain predetermined thresholds. Shares of 2016 Restricted Stock subject to market-based vesting conditions must vest within six years of the date of grant or the shares will be forfeited, while shares of 2015 Restricted Stock subject to market-based vesting conditions are eligible for vesting indefinitely. Shares of Post-IPO Restricted Stock subject to time-based vesting conditions will vest over periods of three or five years. The fair value of each share of Post-IPO Restricted Stock with market-based vesting conditions was estimated on the grant date using a Monte Carlo simulation model. This model considers a range of assumptions related to volatility, risk-free interest rate, expected life and expected dividend yield. Expected volatilities used in the model are based on historical volatilities of comparable guideline companies until a sufficient trading history in our common stock exists. We are required to estimate forfeitures and only record compensation costs for those awards that are expected to vest. With respect to shares of 2015 Restricted Stock with market-based vesting conditions, 50% of the shares will vest if our Total Enterprise Value equals or exceeds $2.65 billion and the remaining 50% of the shares will vest if our Total Enterprise Value equals or exceeds $3.5 billion, while all shares of 2016 Restricted Stock with market-based vesting conditions will vest if our Total Enterprise Value equals or exceeds $2.65 billion. Compensation expense for the shares of Post-IPO Restricted Stock with time-based vesting conditions was measured based on the fair value of the underlying shares on the grant date (which was equal to the closing price of our common stock on such grant date) and will be recognized over the requisite service periods on a straight-line basis. Compensation expense for shares of Post-IPO Restricted Stock with market-based vesting conditions was measured based on the fair value of the underlying shares on the grant date, which ranged from $21.76 to $27.40 depending on the Total Enterprise Value threshold and the date of the grant. Compensation expense for the shares of Post-IPO Restricted Stock with market-based vesting conditions will be recognized on a straight-line basis over the requisite service period, which ranges from 1.8 to 4.2 years. Our total compensation expense related to Post-IPO Restricted Stock was $3.3 million and $4.6 million for the three and six months ended June 30, 2016, respectively. There was $34.0 million of unrecognized compensation cost, net of estimated forfeitures, related to unvested shares of Post-IPO Restricted Stock outstanding as of June 30, 2016. The unrecognized compensation cost is expected to be recognized over a weighted average period of 1.8 years as of June 30, 2016. We capitalized stock based compensation costs related to software developed for internal use of $0.3 million and $0.4 million for the three and six months ended June 30, 2016, respectively. We capitalized stock based compensation costs related to software developed for internal use of less than $0.1 million for both the three and six months ended June 30, 2015.

Related-Party Transactions

Related-Party Transactions	6 Months Ended
	Jun. 30, 2016
Related Party Transactions [Abstract]
Related-Party Transactions	10. RELATED-PARTY TRANSACTIONS For each of the three- and six- month periods ended June 30, 2016 and 2015, we paid rent on our Dallas office space in the amounts of $0.1 million and $0.2 million, respectively. The Dallas office building is owned by 417 Oakbend, LP, a Texas limited partnership. Our Chief Sales Officer owns a .01% general partnership interest and a 10.49% limited partnership interest in 417 Oakbend, LP. In accordance with the terms of the Registration Rights Agreement dated as of December 30, 2013, we paid registration and related expenses incurred by certain parties and others in the aggregate amount of $0.5 million in connection with the registration of shares of common stock in an underwritten secondary offering in May 2015.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	11. COMMITMENTS AND CONTINGENCIES Employment Agreements We have employment agreements with certain of our executive officers. The agreements allow for annual compensation, participation in executive benefit plans, and performance-based cash bonuses. Legal Proceedings We are involved in various legal proceedings in the ordinary course of business. Although we cannot predict the outcome of these proceedings, legal matters are subject to inherent uncertainties and there exists the possibility that the ultimate resolution of these matters could have a material adverse effect on our business, financial condition, results of operations and cash flows. Operating Leases and Deferred Rent We lease office space under several noncancellable operating leases with contractual terms expiring from 2016 to 2021. Minimum rent expenses are recognized over the lease term. The lease term is defined as the fixed noncancellable term of the lease plus all periods, if any, for which failure to renew the lease imposes a penalty on us in an amount that a renewal appears, at the inception of the lease, to be reasonably assured. When a lease contains a predetermined fixed escalation of the minimum rent, we recognize the related rent expense on a straight-line basis and record the difference between the recognized rent expense and the amount payable under the lease as a liability. As of June 30, 2016 and December 31, 2015, we had $1.0 million and $0.8 million, respectively, recorded as a liability for deferred rent. Rent expense under operating leases for the three and six months ended June 30, 2016 was $1.4 million and $2.7 million, respectively. Rent expense under operating leases for the three and six months ended June 30, 2015 was $1.1 million and $2.2 million, respectively.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	12. INCOME TAXES The provision for income taxes is based on a current estimate of the annual effective income tax rate adjusted to reflect the impact of discrete items. Significant management judgment is required in estimating operating income in order to determine our effective income tax rate. The estimated effective income tax rate was 34.66% and 34.63% for the three and six months ended June 30, 2016, respectively. The estimated effective income tax rate was 43.02% and 42.24% for the three and six months ended June 30, 2015, respectively. The lower effective income tax rate for the three and six months ended June 30, 2016 is primarily a result of the Section 199 qualified production activities deduction and the research and development tax credit.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	13. SUBSEQUENT EVENTS In connection with the vesting on July 28, 2016 of approximately 491,000 shares of 2016 Restricted Stock subject to market-based vesting conditions, the Company recognized approximately $12.0 million of compensation cost. In connection with the vesting on August 1, 2016 of approximately 235,000 shares of 2015 Restricted Stock subject to market-based vesting conditions, the Company recognized approximately $3.8 million of compensation cost. A portion of the shares that vested on July 28, 2016 and August 1, 2016, as well as a portion of the approximately 37,000 shares of 2015 Restricted Stock subject to time-based vesting conditions that vested on July 8, 2016, were withheld to satisfy tax withholding obligations for certain employees. All shares withheld to satisfy tax withholding obligations are held as treasury stock. On August 1, 2016, the Company converted the $5.0 million outstanding principal balance of the Construction Loan to a 78-month term loan with interest accruing at a fixed rate of 3.44% per annum. On August 2, 2016, the Company also entered into a new construction loan (the “2016 Construction Loan”) with Kirkpatrick Bank to finance additional expansion of its headquarters. The 2016 Construction Loan allows for the borrowing of a maximum aggregate principal amount equal to the lesser of (i) $28.6 million or (ii) 80% of the appraised value of the constructed properties. The 2016 Construction Loan matures on the earlier of the completion of construction or 30 months from August 2, 2016, with interest accruing at the greater of (i) the prime rate, plus 50 basis points or (ii) 4.0%. At maturity, the outstanding principal balance of the 2016 Construction Loan, if any, will be automatically converted to an 84-month term loan, which will accrue fixed interest at the prevailing 7/20 London Interbank Offered Rate swap interest rate that is in effect as of the commencement date, plus 225 basis points.

Summary of Significant Accoun19

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the SEC regarding interim financial statements that permit reduced disclosure for interim periods. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments necessary to fairly present our consolidated balance sheets as of June 30, 2016 and December 31, 2015, our consolidated statements of income for the three and six months ended June 30, 2016 and 2015 and our consolidated statements of cash flows for the six months ended June 30, 2016 and 2015. Such adjustments are of a normal recurring nature. The information in this Quarterly Report on Form 10-Q should be read in conjunction with our Annual Report on Form 10-K that was filed with the SEC on February 22, 2016. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the results expected for the full fiscal year.
Adoption of New Pronouncement	Adoption of New Pronouncements We adopted on a retrospective basis the recently issued guidance by the Financial Accounting Standards Board (“FASB”) Accounting Standards Update No. 2015-03, “Interest – Imputation of Interest (Subtopic 835-30) Simplifying the Presentation of Debt Issuance Costs” (“ASU 2015-03”). ASU 2015-03 requires companies with debt issuance costs related to a recognized debt liability to present such issuance costs in the consolidated balance sheets as a direct deduction from the carrying amount of the debt liability. Our adoption of ASU 2015-03 resulted in a reclassification which decreased deposits and other assets by $0.1 million and decreased net long-term debt, less current portion by $0.1 million on our consolidated balance sheet as of December 31, 2015. The adoption of ASU 2015-03 had no impact on our stockholders’ equity or the results of our operations.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates include income taxes, contingencies, the useful life of property and equipment and intangible assets, the life of our client relationships, the fair value of our stock-based awards and the fair value of our financial instruments, intangible assets and goodwill. These estimates are based on historical experience where applicable and other assumptions that management believes are reasonable under the circumstances. As such, actual results could materially differ from these estimates.
Employee Stock Purchase Plan	Employee Stock Purchase Plan An award issued under the Paycom Software, Inc. Employee Stock Purchase Plan (the “ESPP”) is classified as a share-based liability and recorded at the fair value of the award. Expense is recognized, net of estimated forfeitures, on a straight-line basis over the requisite service period.
Funds Held for Clients and Client Funds Obligation	Funds Held for Clients and Client Funds Obligation As part of our payroll and tax filing application, we (i) collect client funds to satisfy their respective federal, state and local employment tax obligations, (ii) remit such funds to the appropriate taxing authorities and accounts designated by our clients, and (iii) manage client tax filings and any related correspondence with taxing authorities. Amounts collected by us from clients for their federal, state and local employment taxes earn interest during the interval between receipt and disbursement, as we invest these funds in demand deposits, money market funds, certificates of deposit and commercial paper. These investments are shown in the consolidated balance sheets as funds held for clients, and the offsetting liability for the tax filings is shown as client funds obligation. The liability is recorded in the accompanying balance sheets at the time we obtain the funds from clients. The client funds obligation represents liabilities that will be repaid within one year of the balance sheet date. During the quarter ended June 30, 2016 we elected to change our accounting policy for recording interest income earned on funds held for clients. Prior to April 1, 2016, interest income earned in the period between receipt and disbursement of client funds was recorded to other income, net. As a result of this change in accounting policy, we will recognize interest income on collected, but not yet remitted funds held for clients, in recurring revenues as earned. We have concluded that this change in accounting principle is preferable as the collection, holding, and remittance of these funds are critical components of providing our services. The effect of the change in accounting policy was immaterial in all periods and as such, we have not retrospectively adjusted prior period reported results. As of June 30, 2016, the funds held for clients were invested in demand deposits, certificates of deposit, money market funds and commercial paper and classified as a current asset in the accompanying balance sheets as these funds are held solely to satisfy the client funds obligation. As of December 31, 2015, the funds held for clients funds were invested in the same investments, other than commercial paper.
Stock Repurchase Plan	Stock Repurchase Plan As announced on May 26, 2016, our Board of Directors approved a stock repurchase plan under which we are authorized to purchase (in the aggregate) up to $50.0 million of our issued and outstanding common stock, par value $0.01 per share, over a 24-month period. Shares may be repurchased from time-to-time in open market transactions at prevailing market prices, in privately negotiated transactions or by other means in accordance with federal securities laws, including Rule 10b5-1 programs, and the repurchase plan may be suspended or discontinued at any time. The actual timing, number and value of shares repurchased will depend on a number of factors, including the market price of our common stock, general market and economic conditions and other corporate considerations. For the three and six months ended June 30, 2016, we repurchased an aggregate of 85,129 shares of our common stock under our repurchase plan at an average cost of $41.00 per share.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In May 2014, the FASB issued authoritative guidance which included a comprehensive new revenue recognition model that requires revenue to be recognized in a manner to depict the transfer of goods or services to a customer at an amount that reflects the consideration expected to be received in exchange for those goods or services. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. In April 2015, the FASB proposed a one year deferral of the effective date of the new revenue recognition standard for public and non-public entities reporting under U.S. GAAP and on July 9, 2015, the FASB approved the one year deferral. The effective date of the amended standard will begin in periods beginning after December 15, 2017. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In July 2015, the FASB issued authoritative guidance which simplifies the measurement of inventory. Under the new guidance, an entity should measure inventory (as defined within the scope of the guidance) at the lower of cost or net realizable value. The new guidance applies to all inventory except inventory measured using last-in, first-out (LIFO) or the retail inventory method. Net realizable value is defined as the estimated selling price in the ordinary course of business, less reasonably predicable costs of completion, disposal and transportation. The new guidance is effective for public companies for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Accordingly, the standard is effective for us on January 1, 2017. We do not anticipate that the adoption of this standard will have a material impact on our consolidated financial statements. In January 2016, the FASB issued authoritative guidance for the accounting for financial instruments. The amendments in this guidance require all equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those accounted for under equity method of accounting or those that result in consolidation of the investee). The amendments in this guidance also require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. In addition, the amendments in this guidance eliminate the requirement to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet for public business entities. The new guidance is effective for us for fiscal years, and interim periods within those years, beginning after December 15, 2017 and early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In February 2016, the FASB issued authoritative guidance for the accounting for leases. The purpose of the update is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet as well as providing additional disclosure requirements related to leasing arrangements. The new guidance is effective for us for fiscal years, and interim periods within those years, beginning after December 15, 2018, though early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements. In March 2016, as part of its initiative to reduce complexity in accounting standards, the FASB issued authoritative guidance for the accounting for stock compensation. The new guidance involves several aspects of the accounting for employee share-based payment transactions, including the income tax consequences, forfeitures, classification of awards as either equity or liabilities, and classification on the statement of cash flows The new guidance is effective for us for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years, and early adoption is permitted. We are currently evaluating the impact that the standard will have on our consolidated financial statements.

Property and Equipment , Net (T

Property and Equipment , Net (Tables)	6 Months Ended
	Jun. 30, 2016
Property Plant And Equipment [Abstract]
Schedule of Property and Equipment and Associated Accumulated Depreciation and Amortization	Property and equipment and associated accumulated depreciation and amortization were as follows: June 30, December 31, 2016 2015 Property and equipment Buildings $ 30,214 $ 28,154 Software and capitalized software costs 18,205 13,959 Computer equipment 15,070 11,346 Rental clocks 9,447 8,750 Furniture, fixtures and equipment 6,067 5,464 Vehicles 421 421 Leasehold improvements 363 358 79,787 68,452 Less: accumulated depreciation and amortization (29,985 ) (24,894 ) 49,802 43,558 Land 8,993 8,993 Construction in progress 17,832 6,307 Property and equipment, net $ 76,627 $ 58,858

Goodwill and Intangible Asset21

Goodwill and Intangible Assets, Net (Tables)	6 Months Ended
	Jun. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Components of Intangible Assets	All of our intangible assets are considered to have finite lives and, as such, are subject to amortization. The components of intangible assets were as follows: June 30, 2016 Weighted Average Remaining Accumulated Useful Life Gross Amortization Net (Years) Intangibles: Customer relationships 1.0 $ 13,997 $ (12,597 ) $ 1,400 Trade name 6.0 3,194 (1,917 ) 1,277 Total $ 17,191 $ (14,514 ) $ 2,677 December 31, 2015 Weighted Average Remaining Accumulated Useful Life Gross Amortization Net (Years) Intangibles: Customer relationships 1.5 $ 13,997 $ (11,897 ) $ 2,100 Trade name 6.5 3,194 (1,810 ) 1,384 Total $ 17,191 $ (13,707 ) $ 3,484

Long-Term Debt, Net (Tables)

Long-Term Debt, Net (Tables)	6 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	As of the dates indicated, our long-term debt consisted of the following: June 30, 2016 December 31, 2015 Net term note to bank due May 30, 2021 $ 25,357 $ 25,742 Construction loan 3,903 - Total long-term debt (including current portion) 29,260 25,742 Less: Current portion (911 ) (886 ) Total long-term debt, net $ 28,349 $ 24,856

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Computation of Basic and Diluted Earnings Per Share	The following is a reconciliation of net income and the shares of common stock used in the computation of basic and diluted earnings per share: Three Months Ended Six Months Ended June 30, 2016 June 30, 2015 June 30, 2016 June 30, 2015 Numerator: Net income $ 10,421 $ 5,946 $ 29,009 $ 11,941 Less: income allocable to participating securities (129 ) - (360 ) - Income allocable to common shares $ 10,292 $ 5,946 $ 28,649 $ 11,941 Add back: undistributed earnings allocable to participating securities $ 129 $ - $ 360 $ - Less: undistributed earnings reallocated to participating securities (126 ) - (360 ) - Numerator for diluted earnings per share $ 10,295 $ 5,946 $ 28,649 $ 11,941 Denominator: Weighted average common shares outstanding 50,315,455 50,315,455 50,315,455 50,315,455 Weighted average common shares repurchased (19,969 ) - (9,985 ) - Adjustment for vested restricted stock 7,296,070 6,722,566 7,056,762 5,584,851 Shares for calculating basic earnings per share 57,591,556 57,038,021 57,362,232 55,900,306 Dilutive effect of unvested restricted stock 1,105,673 1,331,062 1,344,981 1,569,612 Shares for calculating diluted earnings per share 58,697,229 58,369,083 58,707,213 57,469,918 Earnings per share: Basic $ 0.18 $ 0.10 $ 0.50 $ 0.21 Diluted $ 0.18 $ 0.10 $ 0.49 $ 0.21

Organization and Description 24

Organization and Description of Business - Additional Information (Detail) - Secondary Offering [Member]	May 20, 2015USD ($)$ / sharesshares
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Common stock issued, shares | shares	8,000,000
Offering price per share | $ / shares	$ 36.25
Proceeds from sale of common stock under public offering | $	$ 0

Summary of Significant Accoun25

Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($)	May 26, 2016	Jun. 30, 2016	Jun. 30, 2016	Dec. 31, 2015
Summary Of Significant Accounting Policy [Line Items]
Common stock, par value		$ 0.01	$ 0.01	$ 0.01
Stock Repurchase Plan [Member]
Summary Of Significant Accounting Policy [Line Items]
Common stock, par value	$ 0.01
Stock repurchase plan period	24 months
Number of common stocks repurchased during the period		85,129	85,129
Stock repurchased, average cost per share		$ 41	$ 41
Stock Repurchase Plan [Member] | Maximum [Member]
Summary Of Significant Accounting Policy [Line Items]
Stock repurchase plan, authorization amount	$ 50,000,000
Net Long-Term Debt, Less Current Portion [Member]
Summary Of Significant Accounting Policy [Line Items]
Change in adoption of recent accounting pronouncements on other assets and long term debt				$ 100,000
Deposits and Other Assets [Member]
Summary Of Significant Accounting Policy [Line Items]
Change in adoption of recent accounting pronouncements on other assets and long term debt				$ 100,000

Property and Equipment, Net - S

Property and Equipment, Net - Schedule of Property and Equipment and Associated Accumulated Depreciation and Amortization (Detail) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 79,787	$ 68,452
Less: accumulated depreciation and amortization	(29,985)	(24,894)
Property and equipment, net	76,627	58,858
Buildings [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	30,214	28,154
Software and Capitalized Software Costs [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	18,205	13,959
Computer Equipment [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	15,070	11,346
Rental Clocks [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	9,447	8,750
Furniture, Fixtures and Equipment [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	6,067	5,464
Vehicles [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	421	421
Leasehold Improvements [Member]
Property Plant And Equipment [Line Items]
Property and equipment, gross	363	358
Excluded Land and Construction in Process [Member]
Property Plant And Equipment [Line Items]
Property and equipment, net	49,802	43,558
Land [Member]
Property Plant And Equipment [Line Items]
Property and equipment, net	8,993	8,993
Construction in Progress [Member]
Property Plant And Equipment [Line Items]
Property and equipment, net	$ 17,832	$ 6,307

Property and Equipment, Net - A

Property and Equipment, Net - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Property Plant And Equipment [Line Items]
Retainage amount included in construction in progress	$ 800,000		$ 800,000		$ 400,000
Depreciation and amortization	1,823,000	$ 1,400,000	3,546,000	$ 2,723,000
Interest cost paid	200,000	300,000	500,000	600,000
Interest costs capitalized	200,000	0	200,000	0
Computer software development costs capitalized	2,000,000	800,000	3,700,000	1,600,000
Property and Equipment [Member]
Property Plant And Equipment [Line Items]
Depreciation and amortization	$ 2,800,000	$ 1,900,000	$ 5,300,000	$ 3,600,000

Goodwill and Intangible Asset28

Goodwill and Intangible Assets, Net - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	$ 51,889,000		$ 51,889,000		$ 51,889,000
Goodwill impairment amount			$ 0		$ 0
Weighted average remaining useful life			3 years 4 months 24 days
Amortization of intangible assets	$ 400,000	$ 400,000	$ 800,000	$ 800,000

Goodwill and Intangible Asset29

Goodwill and Intangible Assets, Net - Components of Intangible Assets (Detail) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Finite Lived Intangible Assets [Line Items]
Weighted Average Remaining Useful Life	3 years 4 months 24 days
Gross	$ 17,191	$ 17,191
Accumulated Amortization	(14,514)	(13,707)
Net	$ 2,677	$ 3,484
Customer Relationships [Member]
Finite Lived Intangible Assets [Line Items]
Weighted Average Remaining Useful Life	1 year	1 year 6 months
Gross	$ 13,997	$ 13,997
Accumulated Amortization	(12,597)	(11,897)
Net	$ 1,400	$ 2,100
Trade Name [Member]
Finite Lived Intangible Assets [Line Items]
Weighted Average Remaining Useful Life	6 years	6 years 6 months
Gross	$ 3,194	$ 3,194
Accumulated Amortization	(1,917)	(1,810)
Net	$ 1,277	$ 1,384

Long-Term Debt, Net - Schedule

Long-Term Debt, Net - Schedule of Long-Term Debt (Detail) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Schedule Of Capitalization Longterm Debt [Line Items]
Total long-term debt (including current portion)	$ 29,300	$ 25,700
Less: Current portion	(911)	(886)
Total long-term debt, net	28,349	24,856
Construction Loan [Member]
Schedule Of Capitalization Longterm Debt [Line Items]
Construction loan	3,903
2021 Consolidated Loan [Member]
Schedule Of Capitalization Longterm Debt [Line Items]
Net term note to bank due May 30, 2021	25,357	25,742
Total long-term debt (including current portion)	$ 29,260	$ 25,742

Long-Term Debt, Net - Additiona

Long-Term Debt, Net - Additional Information (Detail) - USD ($)	May 13, 2015	Jun. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Total long-term debt, including current portion		$ 29,300,000	$ 25,700,000
Construction Loan [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate		4.00%
Loan, principal amount	$ 11,000,000
Construction loan, percentage of appraised value of constructed property	80.00%
Construction loan, maturity date description		The Construction Loan matures on the earlier of the completion of construction or November 13, 2016, with variable interest accruing at the greater of (i) the prime rate, plus 50 basis points or (ii) 4.0%
Term Loan [Member] | Construction Loan [Member]
Debt Instrument [Line Items]
Construction loan, maturity date description		At maturity, the outstanding principal balance of the Construction Loan, if any, will be automatically converted to a 78-month term loan.
Maturity period of term loan	78 months
Prime Rate [Member] | Construction Loan [Member]
Debt Instrument [Line Items]
Debt instrument basis spread on variable rate	0.50%
London Interbank Offered Rate LIBOR [Member] | Term Loan [Member] | Construction Loan [Member]
Debt Instrument [Line Items]
Debt instrument basis spread on variable rate	2.25%
2021 Consolidated Loan [Member]
Debt Instrument [Line Items]
Debt instrument maturity date		May 30, 2021
Debt instrument, interest rate		4.75%
Debt instrument, restrictive covenants		Maintaining a fixed charge coverage ratio of EBITDA to indebtedness (defined as current maturities of long-term debt, interest expense, rent expense and distributions), as defined in the agreement, of greater than 1.2 to 1.0
Total long-term debt, including current portion		$ 29,260,000	$ 25,742,000
2021 Consolidated Loan [Member] | Minimum [Member]
Debt Instrument [Line Items]
Debt coverage ratio of indebtedness		120.00%

Employee Savings Plan and Emplo

Employee Savings Plan and Employee Stock Purchase Plan - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Defined Contribution Plan Disclosure [Line Items]
401(k) eligibility minimum service period			90 days
401(k) description of plan contributions			Contribution for 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 salary each plan year.
Employee vested percentage in salary deferrals and roll over contributions			100.00%
Minimum period for vesting 100% contributions			2 years
Minimum period for vesting of discretionary contributions			2 years
Matching contribution amount	$ 0.6	$ 0.5	$ 1.6	$ 1.2
Employee Stock Purchase Plan [Member]
Defined Contribution Plan Disclosure [Line Items]
Employees Company's common stock shares purchase limit percentage	10.00%		10.00%
Maximum number of shares that may be acquired by a participant			2,000
Share of common stock purchase maximum			2,000,000
Purchase of shares of common stock			72,665
Compensation expense related to ESPP	$ 0.2	$ 0.1	$ 0.3	$ 0.1
After Two Years Of Employment [Member]
Defined Contribution Plan Disclosure [Line Items]
Matching contributions, vesting percentage			100.00%
One Hundred Percent Match For Percent Of Participants Contribution [Member]
Defined Contribution Plan Disclosure [Line Items]
Employer contribution percentage			100.00%
Percentage of salary deferrals			1.00%
50% Matching Contribution [Member]
Defined Contribution Plan Disclosure [Line Items]
Employer contribution percentage			50.00%
Minimum [Member]
Defined Contribution Plan Disclosure [Line Items]
401(k) eligible age of employee			21 years
Minimum [Member] | 50% Matching Contribution [Member]
Defined Contribution Plan Disclosure [Line Items]
Percentage of salary deferrals			2.00%
Maximum [Member]
Defined Contribution Plan Disclosure [Line Items]
Percentage of salary deferrals			3.50%
Maximum [Member] | Employee Stock Purchase Plan [Member]
Defined Contribution Plan Disclosure [Line Items]
Purchase price of common stock expressed as a percentage of its fair market value			85.00%
Maximum [Member] | 50% Matching Contribution [Member]
Defined Contribution Plan Disclosure [Line Items]
Percentage of salary deferrals			6.00%

Earnings Per Share - Computatio

Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Numerator:
Net income	$ 10,421	$ 5,946	$ 29,009	$ 11,941
Less: income allocable to participating securities	(129)		(360)
Income allocable to common shares	10,292	5,946	28,649	11,941
Add back: undistributed earnings allocable to participating securities	129		360
Less: undistributed earnings reallocated to participating securities	(126)		(360)
Numerator for diluted earnings per share	$ 10,295	$ 5,946	$ 28,649	$ 11,941
Denominator:
Weighted average common shares outstanding	50,315,455	50,315,455	50,315,455	50,315,455
Weighted average common shares repurchased	(19,969)		(9,985)
Adjustment for vested restricted stock	7,296,070	6,722,566	7,056,762	5,584,851
Shares for calculating basic earnings per share	57,591,556	57,038,021	57,362,232	55,900,306
Dilutive effect of unvested restricted stock	1,105,673	1,331,062	1,344,981	1,569,612
Shares for calculating diluted earnings per share	58,697,229	58,369,083	58,707,213	57,469,918
Earnings per share:
Basic	$ 0.18	$ 0.10	$ 0.50	$ 0.21
Diluted	$ 0.18	$ 0.10	$ 0.49	$ 0.21

Stockholders' Equity and Stoc34

Stockholders' Equity and Stock-Based Compensation - Additional Information (Detail) - USD ($)	May 02, 2016	Apr. 15, 2016	Jul. 08, 2015	Mar. 02, 2015	Dec. 01, 2014	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Software and Capitalized Software Costs [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Capitalized compensation cost						$ 300,000		$ 400,000
Vest 50% upon reaching a total enterprise value of $1.4 billion [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market-based vesting percentage, restricted shares					50.00%
Total enterprise value					$ 1,400,000,000
Vest 50% upon reaching a total enterprise value of $1.8 billion [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market-based vesting percentage, restricted shares				50.00%
Total enterprise value				$ 1,800,000,000
2014 Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense recognized							$ 300,000		$ 300,000
Total unrecognized compensation cost related to unvested restricted stock						200,000		$ 200,000
Unrecognized compensation expected to be recognized								1 year 6 months
2015 Restricted Stock [Member] | LTIP [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted shares of common stock issued			741,931
2015 Restricted Stock [Member] | Market-based Vesting Conditions [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted common stock, expiration period								0 years
2015 Restricted Stock [Member] | Vest 50% when Company reaches a total enterprise value of $2.65 billion [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market-based vesting percentage, restricted shares								50.00%
Total enterprise value						2,650,000,000		$ 2,650,000,000
2015 Restricted Stock [Member] | Vest 50% when Company reaches a total enterprise value of $3.5 billion [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market-based vesting percentage, restricted shares								50.00%
Total enterprise value						3,500,000,000		$ 3,500,000,000
2016 Restricted Stock [Member] | LTIP [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted shares of common stock issued		847,928
2016 Restricted Stock [Member] | Market-based Vesting Conditions [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted common stock, expiration period								6 years
2016 Restricted Stock [Member] | Vest 100% when Company reaches a total enterprise value of $2.65 billion [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total enterprise value						2,650,000,000		$ 2,650,000,000
Post-IPO Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense recognized						3,300,000		4,600,000
Total unrecognized compensation cost related to unvested restricted stock						34,000,000		$ 34,000,000
Unrecognized compensation expected to be recognized								1 year 9 months 18 days
Post-IPO Restricted Stock [Member] | LTIP [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted shares of common stock issued	5,132
Maximum [Member] | Software and Capitalized Software Costs [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Capitalized compensation cost							$ 100,000		$ 100,000
Maximum [Member] | 2014 Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense recognized						$ 100,000		$ 100,000
Maximum [Member] | 2015 Restricted Stock [Member] | Time-based Vesting Conditions [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation award vesting period								5 years
Maximum [Member] | Post-IPO Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation award vesting period	4 years 2 months 12 days
Restricted stock awards grant date fair value	$ 27.40
Minimum [Member] | 2015 Restricted Stock [Member] | Time-based Vesting Conditions [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation award vesting period								3 years
Minimum [Member] | Post-IPO Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation award vesting period	1 year 9 months 18 days
Restricted stock awards grant date fair value	$ 21.76

Related-Party Transactions - Ad

Related-Party Transactions - Additional Information (Detail) - 417 Oakbend, LP [Member] - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Related Party Transaction [Line Items]
Payments for rent	$ 0.1	$ 0.1	$ 0.2	$ 0.2
Registration and related expenses			$ 0.5
Registration rights agreement date			Dec. 30, 2013
Chief Sales Officer [Member]
Related Party Transaction [Line Items]
General partnership ownership interest in related party, percentage	0.01%		0.01%
Limited partnership interest in related party, percentage	10.49%		10.49%

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Other Commitments [Line Items]
Liability for deferred rent	$ 1		$ 1		$ 0.8
Operating lease rent expense	$ 1.4	$ 1.1	$ 2.7	$ 2.2
Minimum [Member]
Other Commitments [Line Items]
Operating lease expiration year			2,016
Maximum [Member]
Other Commitments [Line Items]
Operating lease expiration year			2,021

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Estimated effective income tax rate	34.66%	43.02%	34.63%	42.24%

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - USD ($)	Aug. 02, 2016	Aug. 01, 2016	Jul. 28, 2016	Jul. 08, 2016	May 13, 2015	Jun. 30, 2016	Jun. 30, 2015
Subsequent Event [Line Items]
Compensation cost						$ 4,817,000	$ 289,000
Construction Loan [Member]
Subsequent Event [Line Items]
Debt instrument, interest rate						4.00%
Loan, principal amount					$ 11,000,000
Construction loan, percentage of appraised value of constructed property					80.00%
Construction loan, maturity date description						The Construction Loan matures on the earlier of the completion of construction or November 13, 2016, with variable interest accruing at the greater of (i) the prime rate, plus 50 basis points or (ii) 4.0%
Construction Loan [Member] | Term Loan [Member]
Subsequent Event [Line Items]
Maturity period of term loan					78 months
Construction loan, maturity date description						At maturity, the outstanding principal balance of the Construction Loan, if any, will be automatically converted to a 78-month term loan.
2016 Construction Loan [Member]
Subsequent Event [Line Items]
Construction loan, maturity date description						The 2016 Construction Loan matures on the earlier of the completion of construction or 30 months from August 2, 2016, with interest accruing at the greater of (i) the prime rate, plus 50 basis points or (ii) 4.0%
2016 Construction Loan [Member] | Term Loan [Member]
Subsequent Event [Line Items]
Construction loan, maturity date description						At maturity, the outstanding principal balance of the 2016 Construction Loan, if any, will be automatically converted to an 84-month term loan
Prime Rate [Member] | Construction Loan [Member]
Subsequent Event [Line Items]
Debt instrument basis spread on variable rate					0.50%
London Interbank Offered Rate LIBOR [Member] | Construction Loan [Member] | Term Loan [Member]
Subsequent Event [Line Items]
Debt instrument basis spread on variable rate					2.25%
Subsequent Event [Member] | Construction Loan [Member]
Subsequent Event [Line Items]
Converted outstanding principal balance		$ 5,000,000
Maturity period of term loan		78 months
Debt instrument, interest rate		3.44%
Subsequent Event [Member] | 2016 Construction Loan [Member]
Subsequent Event [Line Items]
Debt instrument, interest rate	4.00%
Loan, principal amount	$ 28,600,000
Construction loan, percentage of appraised value of constructed property	80.00%
Subsequent Event [Member] | 2016 Construction Loan [Member] | Term Loan [Member]
Subsequent Event [Line Items]
Maturity period of term loan	84 months
Subsequent Event [Member] | Prime Rate [Member] | 2016 Construction Loan [Member]
Subsequent Event [Line Items]
Debt instrument basis spread on variable rate	0.50%
Subsequent Event [Member] | London Interbank Offered Rate LIBOR [Member] | 2016 Construction Loan [Member] | Term Loan [Member]
Subsequent Event [Line Items]
Debt instrument basis spread on variable rate	2.25%
2016 Restricted Stock [Member] | Market-based Vesting Conditions [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Shares vested			491,000
Compensation cost			$ 12,000,000
2015 Restricted Stock [Member] | Market-based Vesting Conditions [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Shares vested		235,000
Compensation cost		$ 3,800,000
2015 Restricted Stock [Member] | Time-based Vesting Conditions [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Shares vested				37,000