Kforce (KFRC) 10-Q 2 Nov 22 2022 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2022	Oct. 28, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	000-26058
Entity Registrant Name	Kforce Inc
Entity Incorporation, State or Country Code	FL
Entity Tax Identification Number	59-3264661
Entity Address, Address Line One	1150 Assembly Drive, Suite 500
Entity Address, City or Town	Tampa
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33607
City Area Code	813
Local Phone Number	552-5000
Title of 12(b) Security	Common Stock, $0.01 per share
Trading Symbol	KFRC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		20,753,646
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Entity Central Index Key	0000930420
Current Fiscal Year End Date	--12-31

UNAUDITED CONDENSED CONSOLIDATE

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Income Statement [Abstract]
Revenue	$ 437,620	$ 402,725	$ 1,291,103	$ 1,169,564
Direct costs	310,950	283,461	909,475	832,687
Gross profit	126,670	119,264	381,628	336,877
Selling, general and administrative expenses	94,306	88,972	285,502	251,617
Depreciation and amortization	1,045	1,026	3,214	3,420
Income from operations	31,319	29,266	92,912	81,840
Other expense (income), net	906	1,448	(333)	5,845
Income from operations, before income taxes	30,413	27,818	93,245	75,995
Income tax expense	8,151	7,650	24,886	21,378
Net income	22,262	20,168	68,359	54,617
Other comprehensive income, net of tax:
Defined benefit pension plans	0	0	0	3,103
Change in fair value of interest rate swaps		152	(615)	1,101
Comprehensive income	$ 22,262	$ 20,320	$ 67,744	$ 58,821
Earnings per share – basic (in dollars per share)	$ 1.11	$ 0.99	$ 3.38	$ 2.64
Earnings per share - diluted (in dollars per share)	$ 1.09	$ 0.96	$ 3.31	$ 2.57
Weighted average shares outstanding – basic (in shares)	20,022	20,429	20,206	20,676
Weighted average shares outstanding – diluted (in shares)	20,450	21,098	20,634	21,260

UNAUDITED CONDENSED CONSOLIDA_2

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 5,089	$ 96,989
Trade receivables, net of allowances of $1,853 and $2,342, respectively	281,124	265,322
Income tax refund receivable	35	3,010
Prepaid expenses and other current assets	10,019	6,790
Total current assets	296,267	372,111
Fixed assets, net	6,500	5,964
Other assets, net	81,758	92,629
Deferred tax assets, net	3,272	7,657
Goodwill	25,040	25,040
Total assets	412,837	503,401
Current liabilities:
Accounts payable and other accrued liabilities	73,030	81,408
Accrued payroll costs	81,619	71,424
Current portion of operating lease liabilities	4,074	6,338
Income taxes payable	4,241	1,239
Other current liabilities	22	22
Total current liabilities	162,986	160,431
Long-term debt – credit facility	0	100,000
Other long-term liabilities	40,875	54,564
Total liabilities	203,861	314,995
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.01 par; 15,000 shares authorized, none issued and outstanding	0	0
Common stock, $0.01 par; 250,000 shares authorized, 73,006 and 72,997 issued, respectively	730	730
Additional paid-in capital	502,909	488,036
Accumulated other comprehensive income	6	621
Retained earnings	491,856	442,596
Treasury stock, at cost; 52,172 and 51,493 shares, respectively	(786,525)	(743,577)
Total stockholders’ equity	208,976	188,406
Total liabilities and stockholders’ equity	$ 412,837	$ 503,401

UNAUDITED CONDENSED CONSOLIDA_3

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Trade receivables, allowances	$ 1,853	$ 2,342
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	15,000,000	15,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	73,006,000	72,997,000
Treasury stock, shares (in shares)	52,172,000	51,493,000

UNAUDITED CONDENSED CONSOLIDA_4

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive (Loss) Income	Retained Earnings	Treasury Stock
Beginning balance (in shares) at Dec. 31, 2020		72,600
Beginning of period at Dec. 31, 2020	$ 179,935	$ 726	$ 472,378	$ (4,423)	$ 388,645	$ (677,391)
Beginning of period (in shares) at Dec. 31, 2020						50,427
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	13,261				13,261
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		15
Issuance for stock-based compensation and dividends, net of forfeitures	0		271		(271)
Stock-based compensation expense	3,403		3,403
Employee stock purchase plan (in shares)						(4)
Employee stock purchase plan	170		113			$ 57
Dividends	(4,786)				(4,786)
Defined benefit pension plan, no tax benefit	47			47
Change in fair value of interest rate swaps	939			939
Repurchases of common stock (in shares)						317
Repurchases of common stock	(16,313)					$ (16,313)
Ending balance (in shares) at Mar. 31, 2021		72,615
End of period at Mar. 31, 2021	176,656	$ 726	476,165	(3,437)	396,849	$ (693,647)
End of period (in shares) at Mar. 31, 2021						50,740
Beginning balance (in shares) at Dec. 31, 2020		72,600
Beginning of period at Dec. 31, 2020	179,935	$ 726	472,378	(4,423)	388,645	$ (677,391)
Beginning of period (in shares) at Dec. 31, 2020						50,427
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	54,617
Employee stock purchase plan	558
Defined benefit pension plan, no tax benefit	3,103
Change in fair value of interest rate swaps	1,101
Ending balance (in shares) at Sep. 30, 2021		72,640
End of period at Sep. 30, 2021	189,969	$ 726	484,034	(219)	427,622	$ (722,194)
End of period (in shares) at Sep. 30, 2021						51,207
Beginning balance (in shares) at Mar. 31, 2021		72,615
Beginning of period at Mar. 31, 2021	176,656	$ 726	476,165	(3,437)	396,849	$ (693,647)
Beginning of period (in shares) at Mar. 31, 2021						50,740
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	21,188				21,188
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		40
Issuance for stock-based compensation and dividends, net of forfeitures	2	$ 1	274		(273)
Stock-based compensation expense	3,532		3,532
Employee stock purchase plan (in shares)						(4)
Employee stock purchase plan	195		143			$ 52
Dividends	(4,746)				(4,746)
Defined benefit pension plan, no tax benefit	3,056			3,056
Change in fair value of interest rate swaps	10			10
Repurchases of common stock (in shares)						225
Repurchases of common stock	(13,614)					$ (13,614)
Ending balance (in shares) at Jun. 30, 2021		72,655
End of period at Jun. 30, 2021	186,279	$ 727	480,114	(371)	413,018	$ (707,209)
End of period (in shares) at Jun. 30, 2021						50,961
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	20,168				20,168
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		(15)
Issuance for stock-based compensation and dividends, net of forfeitures	(1)	$ (1)	260		(260)
Stock-based compensation expense	3,512		3,512
Employee stock purchase plan (in shares)						(3)
Employee stock purchase plan	193		148			$ 45
Dividends	(5,304)				(5,304)
Defined benefit pension plan, no tax benefit	0
Change in fair value of interest rate swaps	152			152
Repurchases of common stock (in shares)						249
Repurchases of common stock	(15,030)					$ (15,030)
Ending balance (in shares) at Sep. 30, 2021		72,640
End of period at Sep. 30, 2021	189,969	$ 726	484,034	(219)	427,622	$ (722,194)
End of period (in shares) at Sep. 30, 2021						51,207
Beginning balance (in shares) at Dec. 31, 2021		72,997
Beginning of period at Dec. 31, 2021	$ 188,406	$ 730	488,036	621	442,596	$ (743,577)
Beginning of period (in shares) at Dec. 31, 2021	51,493					51,492
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 19,181				19,181
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		(1)
Issuance for stock-based compensation and dividends, net of forfeitures	1		319		(318)
Stock-based compensation expense	4,437		4,437
Employee stock purchase plan (in shares)						(3)
Employee stock purchase plan	242		193			$ 49
Dividends	(6,094)				(6,094)
Change in fair value of interest rate swaps	2,302			2,302
Repurchases of common stock (in shares)						147
Repurchases of common stock	(10,270)					$ (10,270)
Ending balance (in shares) at Mar. 31, 2022		72,996
End of period at Mar. 31, 2022	198,205	$ 730	492,985	2,923	455,365	$ (753,798)
End of period (in shares) at Mar. 31, 2022						51,636
Beginning balance (in shares) at Dec. 31, 2021		72,997
Beginning of period at Dec. 31, 2021	$ 188,406	$ 730	488,036	621	442,596	$ (743,577)
Beginning of period (in shares) at Dec. 31, 2021	51,493					51,492
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 68,359
Employee stock purchase plan	831
Defined benefit pension plan, no tax benefit	0
Change in fair value of interest rate swaps	(615)
Ending balance (in shares) at Sep. 30, 2022		73,006
End of period at Sep. 30, 2022	$ 208,976	$ 730	502,909	6	491,856	$ (786,525)
End of period (in shares) at Sep. 30, 2022	52,172					52,172
Beginning balance (in shares) at Mar. 31, 2022		72,996
Beginning of period at Mar. 31, 2022	$ 198,205	$ 730	492,985	2,923	455,365	$ (753,798)
Beginning of period (in shares) at Mar. 31, 2022						51,636
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	26,916				26,916
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		11
Issuance for stock-based compensation and dividends, net of forfeitures	0		298		(298)
Stock-based compensation expense	4,410		4,410
Employee stock purchase plan (in shares)						(4)
Employee stock purchase plan	295		234			$ 61
Dividends	(6,093)				(6,093)
Change in fair value of interest rate swaps	(2,917)			(2,917)
Repurchases of common stock (in shares)						162
Repurchases of common stock	(10,283)					$ (10,283)
Ending balance (in shares) at Jun. 30, 2022		73,007
End of period at Jun. 30, 2022	210,533	$ 730	497,927	6	475,890	$ (764,020)
End of period (in shares) at Jun. 30, 2022						51,794
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	22,262				22,262
Issuance for stock-based compensation and dividends, net of forfeitures (in shares)		(1)
Issuance for stock-based compensation and dividends, net of forfeitures	(1)		318		(319)
Stock-based compensation expense	4,445		4,445
Employee stock purchase plan (in shares)						(5)
Employee stock purchase plan	294		219			$ 75
Dividends	(5,977)				(5,977)
Defined benefit pension plan, no tax benefit	0
Repurchases of common stock (in shares)						383
Repurchases of common stock	(22,580)					$ (22,580)
Ending balance (in shares) at Sep. 30, 2022		73,006
End of period at Sep. 30, 2022	$ 208,976	$ 730	$ 502,909	$ 6	$ 491,856	$ (786,525)
End of period (in shares) at Sep. 30, 2022	52,172					52,172

UNAUDITED CONDENSED CONSOLIDA_5

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021
Statement of Stockholders' Equity [Abstract]
Dividend (in dollars per share)	$ 0.30	$ 0.30	$ 0.30	$ 0.26	$ 0.23	$ 0.23
Tax provision on defined benefit pension plan					$ 283
Tax benefit on interest rate swap		$ (989)	$ 780	$ 55	$ 3	$ 319

UNAUDITED CONDENSED CONSOLIDA_6

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended				9 Months Ended		12 Months Ended
	Sep. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Cash flows from operating activities:
Net income	$ 22,262	$ 19,181	$ 20,168	$ 13,261	$ 68,359	$ 54,617
Adjustments to reconcile net income to cash provided by operating activities:
Deferred income tax provision, net					4,386	302
Provision for credit losses					(231)	(139)
Depreciation and amortization					3,214	3,420
Stock-based compensation expense					13,293	10,448
Defined benefit pension plan expense					0	2,157
Loss (gain) on disposal or impairment of assets					155	(1,979)
Noncash lease expense					4,313	3,992
Loss on equity method investment					2,737	1,709
Other					(322)	681
Increase in operating assets
Trade receivables, net					(15,571)	(41,397)
Other assets					(1,989)	(6,384)
Increase (decrease) in operating liabilities
Accrued payroll costs					11,025	7,715
Payment of benefit under terminated pension plan					(19,965)	0
Other liabilities					8,659	24,801
Cash provided by operating activities					78,063	59,943
Cash flows from investing activities:
Capital expenditures					(4,656)	(5,026)
Contributions to WorkLLama joint venture					(500)	(7,000)
Note receivable issued to WorkLLama joint venture					(4,500)	0
Net proceeds from the sale of assets					0	23,742
Cash (used in) provided by investing activities					(9,656)	11,716
Cash flows from financing activities:
Payments on credit facility					(100,000)	0
Repurchases of common stock					(42,103)	(44,407)
Cash dividends					(18,164)	(14,836)
Payments on other financing arrangements					(40)	(271)
Cash used in financing activities					(160,307)	(59,514)
Change in cash and cash equivalents					(91,900)	12,145
Cash and cash equivalents, beginning of period		96,989		103,486	96,989	103,486	$ 103,486
Cash and cash equivalents, end of period	5,089		115,631		5,089	115,631	$ 96,989
Cash Paid During the Period For:
Income taxes					14,348	17,845
Operating lease liabilities					5,413	5,591
Interest, net					918	1,934
Non-Cash Investing and Financing Transactions:
ROU assets obtained from operating leases					274	4,053
Employee stock purchase plan	$ 294	$ 242	$ 193	$ 170	831	558
Unsettled repurchases of common stock					$ 1,030	$ 0

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Unless otherwise noted below, there have been no material changes to the accounting policies presented in Note 1 - “Summary of Significant Accounting Policies” of the Notes to Consolidated Financial Statements, included in Item 8. Financial Statements and Supplementary Data of the 2021 Annual Report on Form 10-K. Basis of Presentation The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Accordingly, certain information and footnotes normally required by GAAP for complete financial statements have been condensed or omitted pursuant to those rules and regulations, although management believes that the disclosures made are adequate to make the information not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2021 Annual Report on Form 10-K. In management’s opinion, the accompanying unaudited condensed consolidated financial statements reflect all adjustments considered necessary for a fair presentation. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2021, was derived from our audited Consolidated Balance Sheet as of December 31, 2021, as presented in our 2021 Annual Report on Form 10-K. Our quarterly operating results are affected by the number of billing days in a particular quarter, the seasonality of our clients’ businesses and increased holiday and vacation days taken. In addition, we typically experience higher costs in the first quarter of each fiscal year as a result of certain U.S. state and federal employment tax resets, which adversely affects our gross profit and overall profitability relative to the remainder of the fiscal year. As such, the results of operations for any interim period may be impacted by these factors, among others, and are not necessarily indicative of, nor comparable to, the results of operations for a full year. Principles of Consolidation The unaudited condensed consolidated financial statements include the accounts of Kforce Inc. and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” the “Company,” “we,” the “Firm,” “management,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most critical of these estimates and assumptions relate to the following: allowance for credit losses; income taxes; self-insured liabilities for health insurance; and the impairment of goodwill, other long-lived assets and the equity method investment. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. In addition, the potential economic consequences of the COVID-19 pandemic, inflationary pressures, and supply constraints, among others, have been and may continue to be uncertain, rapidly changing and difficult to predict. Therefore, our accounting estimates and assumptions might change materially in future periods. Health Insurance Except for certain fully insured health insurance lines of coverage, Kforce retains the risk of loss per participant for each health insurance claim up to $600 thousand in claims annually. Additionally, for all claim amounts exceeding $600 thousand, Kforce retains the risk of loss up to an aggregate annual loss of those claims of $200 thousand. For its partially self-insured lines of coverage, health insurance costs are accrued using estimates to approximate the liability for reported claims and incurred but not reported claims, which are primarily based upon an evaluation of historical claims experience, completion factors determined by an actuary and a qualitative review of our health insurance exposure including the extent of outstanding claims and expected changes in health insurance costs. Earnings per Share Basic earnings per share is computed as net income divided by the weighted average number of common shares outstanding (“WASO”) during the period. WASO excludes unvested shares of restricted stock. Diluted earnings per share is computed by dividing net income by diluted WASO. Diluted WASO includes the dilutive effect of potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive. For the three and nine months ended September 30, 2022, 428 thousand and 428 thousand common stock equivalents were included in the diluted WASO, respectively. For the three and nine months ended September 30, 2021, 669 thousand and 584 thousand common stock equivalents were included in the diluted WASO, respectively. For the three and nine months ended September 30, 2022, there were 304 thousand and 301 thousand anti-dilutive common stock equivalents, respectively. For the three and nine months ended September 30, 2021, there was an insignificant amount of anti-dilutive common stock equivalents. Recently Adopted Accounting Standards There were no new accounting standards adopted during the nine months ended September 30, 2022 that had a significant impact on our financial statements. Recently Issued Accounting Standards Not Yet Adopted There are no accounting standards that have not yet been adopted that are expected to have a significant impact on our financial statements and related disclosures.

Reportable Segments

Reportable Segments	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
Reportable Segments	Reportable Segments Kforce provides services through our Technology and Finance and Accounting (“FA”) segments. Historically, and for the three and nine months ended September 30, 2022, we have reported sales and gross profit information on a segment basis. Total assets, liabilities and operating expenses are not reported separately by segment as our operations are largely combined. The following table provides information on the operations of our segments (in thousands): Technology FA Total Three Months Ended September 30, 2022 Revenue $ 390,496 $ 47,124 $ 437,620 Gross profit $ 107,793 $ 18,877 $ 126,670 Operating and other expenses $ 96,257 Income from operations, before income taxes $ 30,413 2021 Revenue $ 337,230 $ 65,495 $ 402,725 Gross profit $ 95,934 $ 23,330 $ 119,264 Operating and other expenses $ 91,446 Income from operations, before income taxes $ 27,818 Nine Months Ended September 30, 2022 Revenue $ 1,134,996 $ 156,107 $ 1,291,103 Gross profit $ 320,160 $ 61,468 $ 381,628 Operating and other expenses $ 288,383 Income from operations, before income taxes $ 93,245 2021 Revenue $ 927,518 $ 242,046 $ 1,169,564 Gross profit $ 258,449 $ 78,428 $ 336,877 Operating and other expenses $ 260,882 Income from operations, before income taxes $ 75,995

Disaggregation of Revenue

Disaggregation of Revenue	9 Months Ended
	Sep. 30, 2022
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	Disaggregation of Revenue The following table provides the disaggregation of revenue by segment and type (in thousands): Technology FA Total Three Months Ended September 30, 2022 Revenue by type: Flex revenue $ 382,072 $ 40,896 $ 422,968 Direct Hire revenue 8,424 6,228 14,652 Total Revenue $ 390,496 $ 47,124 $ 437,620 2021 Revenue by type: Flex revenue $ 330,170 $ 59,003 $ 389,173 Direct Hire revenue 7,060 6,492 13,552 Total Revenue $ 337,230 $ 65,495 $ 402,725 Nine Months Ended September 30, 2022 Revenue by type: Flex revenue $ 1,109,294 $ 135,239 $ 1,244,533 Direct Hire revenue 25,702 20,868 46,570 Total Revenue $ 1,134,996 $ 156,107 $ 1,291,103 2021 Revenue by type: Flex revenue $ 909,599 $ 224,783 $ 1,134,382 Direct Hire revenue 17,919 17,263 35,182 Total Revenue $ 927,518 $ 242,046 $ 1,169,564

Allowance for Credit Losses

Allowance for Credit Losses	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
Allowance for Credit Losses	Allowance for Credit Losses The allowance for credit losses on trade receivables is determined based on a number of factors such as recent and historical write-off and delinquency trends, a specific analysis of significant receivable balances that are past due, the concentration of trade receivables among clients and the current state of the U.S. economy. As part of our analysis, we apply credit loss rates to outstanding receivables by aging category. For certain clients, we perform a quarterly credit review, which considers the client’s credit rating and financial position as well as our total credit loss exposure. Trade receivables are written off after all reasonable collection efforts have been exhausted. Recoveries of trade receivables previously written off are recorded when received and are immaterial for the three and nine months ended September 30, 2022. The following table presents the activity within the allowance for credit losses on trade receivables for the nine months ended September 30, 2022 (in thousands): Allowance for credit losses, January 1, 2022 $ 1,729 Current period provision (credit) (231) Write-offs charged against the allowance, net of recoveries of amounts previously written off (240) Allowance for credit losses, September 30, 2022 $ 1,258 The allowances on trade receivables presented in the Unaudited Condensed Consolidated Balance Sheets include $0.6 million and $0.6 million at September 30, 2022 and December 31, 2021, respectively, for reserves unrelated to credit losses.

Other Assets, Net

Other Assets, Net	9 Months Ended
	Sep. 30, 2022
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets, Net	Other Assets, Net Other assets, net consisted of the following (in thousands): September 30, 2022 December 31, 2021 Assets held in Rabbi Trust $ 30,199 $ 41,607 Right-of-use assets for operating leases, net 10,331 15,395 Capitalized software, net (1) 16,404 14,666 Equity method investment (2) 14,772 17,008 Deferred loan costs, net 939 1,115 Notes receivable (3) 4,500 — Other non-current assets 4,613 2,838 Total Other assets, net $ 81,758 $ 92,629 (1) Accumulated amortization of capitalized software was $36.3 million and $35.5 million as of September 30, 2022 and December 31, 2021, respectively. (2) In June 2019, Kforce entered into a joint venture resulting in a 50% noncontrolling interest in WorkLLama, LLC (“WorkLLama”), which is accounted for as an equity method investment. The loss on this WorkLLama investment was $0.9 million and $2.7 million for the three months and nine months ended September 30, 2022, respectively. In addition, Kforce contributed $0.5 million and $9.0 million of capital during the nine months ended September 30, 2022 and the year ended December 31, 2021, respectively. Refer to Note L - “Commitments and Contingencies” for more information on contingencies related to WorkLLama.

Current Liabilities

Current Liabilities	9 Months Ended
	Sep. 30, 2022
Payables and Accruals [Abstract]
Current Liabilities	Current Liabilities The following table provides information on certain current liabilities (in thousands): September 30, 2022 December 31, 2021 Accounts payable and other accrued liabilities: Accounts payable $ 52,032 $ 40,241 Accrued liabilities 20,998 41,167 Total Accounts payable and other accrued liabilities $ 73,030 $ 81,408 Accrued payroll costs: Payroll and benefits $ 54,470 $ 43,738 Payroll taxes 22,432 22,466 Health insurance liabilities 3,895 4,474 Workers’ compensation liabilities 822 746 Total Accrued payroll costs $ 81,619 $ 71,424 Our accounts payable balance includes vendor and third party payables. Our accrued liabilities balance includes the current portion of our deferred compensation plans liability, contract liabilities from contracts with customers (such as customer rebates), other accrued liabilities and amounts owed under the Supplemental Executive Retirement Plan (‘SERP ”). Effective April 30, 2021, Kforce’s Board of Directors irrevocably terminated the SERP. The benefits owed to the two participants under the SERP, as of June 30, 2022 and December 31, 2021, was $20.0 million in the aggregate. In July 2022, the amount owed was fully paid thereby reducing accrued liabilities and relieving us of any future obligation related to the SERP. Our payroll taxes as of September 30, 2022 and December 31, 2021 include approximately $19.3 million in payroll tax payments as a result of the application of the CARES Act 2020, which is anticipated to be repaid no later than December 31, 2022.

Credit Facility

Credit Facility	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Credit Facility	Credit Facility On October 20, 2021, the Firm entered into an amended and restated credit agreement with Wells Fargo Bank, National Association, as administrative agent, Wells Fargo Securities, LLC, as lead arranger and bookrunner, Bank of America, N.A., as syndication agent, BMO Harris Bank, N.A., as documentation agent, and the lenders referred to therein (the “Amended and Restated Credit Facility”). Under the Amended and Restated Credit Facility, the Firm has a maximum borrowing capacity of $200.0 million, which may, subject to certain conditions and the participation of the lenders, be increased up to an aggregate additional amount of $150.0 million. The maturity date of the Amended and Restated Credit Facility is October 20, 2026. In May 2022, the Firm repaid the outstanding balance of $100.0 million in connection with the termination of its Swap B (as defined in Note J - “Derivative Instruments and Hedging Activity” to these financial statements) with a notional amount of $100.0 million. As of September 30, 2022 and December 31, 2021, $0 and $100.0 million was outstanding under the Amended and Restated Credit Facility.

Other Long-Term Liabilities

Other Long-Term Liabilities	9 Months Ended
	Sep. 30, 2022
Other Liabilities Disclosure [Abstract]
Other Long-Term Liabilities	Other Long-Term Liabilities Other long-term liabilities consisted of the following (in thousands): September 30, 2022 December 31, 2021 Deferred compensation plan $ 32,990 $ 42,623 Operating lease liabilities 7,877 11,919 Other long-term liabilities 8 22 Total Other long-term liabilities $ 40,875 $ 54,564

Stock Incentive Plans

Stock Incentive Plans	9 Months Ended
	Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]
Stock Incentive Plans	Stock Incentive Plans On April 22, 2021, Kforce’s shareholders approved the 2021 Stock Incentive Plan (the “2021 Plan”). The 2021 Plan allows for the issuance of stock options, stock appreciation rights (“SAR”), stock awards (including restricted stock awards (“RSAs”) and restricted stock units (“RSUs”)) and other stock-based awards. The aggregate number of shares reserved under the 2021 Plan is approximately 3.9 million. Grants of an option or SAR reduce the reserve by one share, while a stock award reduces the reserve by 2.72 shares. The 2021 Plan terminates on April 22, 2031. Restricted stock (including RSAs and RSUs) is granted to directors, executives and management either for awards related to Kforce’s annual long-term incentive program or as part of a compensation package for attraction and retention purposes. Restricted stock granted during the nine months ended September 30, 2022 will vest over a period of one During the three and nine months ended September 30, 2022, stock-based compensation expense was $4.5 million and $13.3 million, respectively. During the three and nine months ended September 30, 2021, stock-based compensation expense was $3.5 million and $10.5 million, respectively, and is included in Selling, general and administrative expenses. The following table presents the restricted stock activity for the nine months ended September 30, 2022 (in thousands, except per share amounts): Number of Weighted-Average Total Intrinsic Outstanding at December 31, 2021 1,083 $ 48.86 Granted 42 $ 61.38 Forfeited (33) $ 51.24 Vested (43) $ 45.69 $ 2,831 Outstanding at September 30, 2022 1,049 $ 49.65

Derivative Instrument and Hedgi

Derivative Instrument and Hedging Activity	9 Months Ended
	Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instrument and Hedging Activity	Derivative Instruments and Hedging Activity As of September 30, 2022, the Firm did not have any outstanding derivative instruments. On April 21, 2017, Kforce entered into a forward-starting interest rate swap agreement with Wells Fargo Bank, N.A (“Swap A”). Swap A was effective on May 31, 2017 and matured on April 29, 2022. Other information related to Swap A is as follows: Notional amount - $25.0 million; and Fixed interest rate - 1.81%. On March 12, 2020, Kforce entered into a forward-starting interest rate swap agreement with Wells Fargo Bank, N.A (“Swap B”, together with Swap A, the "Swaps"). Swap B was effective on March 17, 2020. Other information related to Swap B is as follows: Scheduled maturity date - May 30, 2025; Fixed interest rate - 0.61%; and Notional amount - $100.0 million. The Firm used the Swaps as an interest rate risk management tool to mitigate the potential impact of rising interest rates on variable rate debt. The fixed interest rate for each Swap plus the applicable interest margin under our credit facility, was included in interest expense and recorded in Other (income) expense, net in the accompanying Consolidated Financial Statements of Operations and Comprehensive Income. In May 2022, the Firm terminated Swap B in anticipation of paying the outstanding amount on its credit facility, which was $100.0 million. At the termination of Swap B, the amount recorded in Accumulated other comprehensive income was recognized. The Firm received $4.1 million in income, which represented the gain and fair value of Swap B at the time of termination, and is included in other income in the accompanying Consolidated Financial Statements of Operations and Comprehensive Income. Both Swap A and B were designated as cash flow hedges. The change in the fair value of the Swaps was previously recorded as a component of Accumulated other comprehensive income (loss) in the unaudited consolidated financial statements. The following table sets forth the activity in the accumulated derivative instrument activity (in thousands): Nine Months Ended September 30, 2022 2021 Accumulated derivative instrument gain (loss), beginning of period $ 823 $ (1,774) Net change associated with current period hedging transactions (1) (823) 1,478 Accumulated derivative instrument gain (loss), end of period $ — $ (296) (1) The accumulated derivative instrument activity as of the end the nine month period ending September 30, 2022, includes the beginning balance of $823 thousand, a change in fair value of $3.1 million and a reversal due to termination of $3.9 million resulting in an ending balance of zero.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Our interest rate swaps were previously measured at fair value using readily observable inputs, which are considered to be Level 2 inputs and were recorded in Other long-term liabilities within the accompanying Unaudited Condensed Consolidated Balance Sheets. In April 2022, Swap A matured and in May 2022, we terminated Swap B. At September 30, 2022, Kforce had no interest rate swaps. Refer to Note J - “Derivative Instruments and Hedging Activity” for a complete discussion of our interest rate swaps. There were no transfers into or out of Level 1, 2 or 3 assets or liabilities during the nine months ended September 30, 2022. The fair value of the interest rate swap derivative instrument asset at December 31, 2021 was $823 thousand and was classified as a Level 2 instrument.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Employment Agreements Kforce has employment agreements with certain executives that provide for certain post-employment benefits under certain circumstances. At September 30, 2022, our liability would be approximately $38.2 million if, following a change in control, all of the executives under contract were terminated without cause by the employer or if the executives resigned for good reason and $13.7 million if, in the absence of a change in control, all of the executives under contract were terminated by Kforce without cause or if the executives resigned for good reason. Litigation and Loss Contingencies Except as stated below, there have been no material developments with regard to the legal proceedings previously disclosed in our 2021 Annual Report on Form 10-K or in our Form 10-Q for the quarter ending June 30, 2022. On December 17, 2019, Kforce Inc., et al. was served with a complaint brought in Superior Court of the State of California, Alameda County. Kathleen Wahrer, et al. v. Kforce Inc., et al., Case Number: RG19047269. The former employee purports to bring a representative action on her own behalf and on behalf of other allegedly aggrieved employees pursuant to California Private Attorneys General Act of 2004, California Labor Code Section 2968, et seq. (“PAGA”) alleging violations of the California Labor Code, §201, et seq. (“Labor Code”). The plaintiff seeks civil penalties, interest, attorneys’ fees, and costs under the Labor Code for alleged failure to: provide and pay for work performed during meal and rest periods; properly calculate and pay all earned minimum and overtime wages; provide compliant wage statements; timely pay wages during employment and upon termination; and reimburse business expenses. At this stage in the litigation, it is not feasible to predict the outcome of this matter or reasonably estimate a range of loss, should a loss occur, from this proceeding. We intend to continue to vigorously defend the claims. On November 18, 2020, Kforce Inc., et al. was served with a complaint brought in the Superior Court of the State of California, San Diego County, which was subsequently amended on January 21, 2021, to add Kforce Flexible Solutions as a party. Bernardo Buchsbaum, et al. v. Kforce Inc., et al., Case Number: 37-2020-00030994-CU-OE-CTL. The former employee purports to bring a representative action on his own behalf and on behalf of other allegedly aggrieved employees pursuant to PAGA alleging violations of the Labor Code. The plaintiff seeks civil penalties, interest, attorney’s fees, and costs under the Labor Code for alleged failure to: properly calculate and pay all earned minimum and overtime wages; provide and pay for work performed during meal and rest periods; reimburse business expenses; provide compliant wage statements; and provide unused vacation wages upon termination. The parties reached a preliminary settlement agreement to resolve this matter along with Elliott-Brand, et al. v. Kforce Inc., et al., and the Court granted preliminary approval on September 21, 2022. The settlement agreement is subject to final approval by the Court. Plaintiff Buchsbaum has been added as a plaintiff to the Elliott-Brand lawsuit, and this lawsuit will be dismissed after the Court’s final approval of the settlement. We believe that this matter is unlikely to have a material adverse effect on our business, consolidated financial position, results of operations, or cash flows. On December 11, 2020, a complaint was filed against Kforce and its client, Verity Health System of California (Verity) in the Superior Court of California, County of Los Angeles, which was subsequently amended on February 19, 2021. Ramona Webb v. Kforce Flexible Solutions, LLC, et al., Case Number: 20STCV47529. Former consultant Ramona Webb has sued both Kforce and Verity alleging certain individual claims in addition to a PAGA claim based on alleged violations of various provisions of the Labor Code. With respect to the PAGA claim, Plaintiff seeks to recover on her behalf, on behalf of the State of California, and on behalf of all allegedly aggrieved employees, the civil penalties provided by PAGA, attorney’s fees and costs. At this stage in the litigation, it is not feasible to predict the outcome of this matter or reasonably estimate a range of loss, should a loss occur, from this proceeding. We intend to continue to vigorously defend the claims. On December 24, 2020, a complaint was filed against Kforce Inc., et al. in Superior Court of the State of California, Los Angeles County. Sydney Elliott-Brand, et al. v. Kforce Inc., et al., Case Number: 20STCV49193. On January 7, 2022, the lawsuit was amended to add Bernardo Buchsbaum and Josie Meister as plaintiffs and to add claims under PAGA and the Fair Labor Standards Act, 29 U.S.C. §§ 201, et seq. On behalf of themselves and a putative class and collective of talent recruiters and allegedly aggrieved employees in California and nationwide, the plaintiffs purport to bring a class action for alleged violations of the Labor Code, Industrial Welfare Commission Wage Orders, and the California Business and Professions Code, §17200, et seq., a collective action for alleged violations of FLSA, and a PAGA action for alleged violations of the Labor Code. The plaintiffs seek payment to recover unpaid wages and benefits, interest, attorneys’ fees, costs and expenses, penalties, and liquidated damages for alleged failure to: properly calculate and pay all earned minimum and overtime wages; provide meal and rest periods or provide compensation in lieu thereof; provide accurate itemized wage statements; reimburse for all business expenses; pay wages due upon separation; and pay for all hours worked over forty hours in one or more workweeks. Plaintiffs also seek an order requiring defendants to restore and disgorge all funds acquired by means of unfair competition under the California Business and Professions Code. The parties reached an agreement to resolve this matter along with Lewis, et al. v. Kforce Inc. and Buchsbaum, et al. v. Kforce Inc., et al., which was preliminarily approved by the Court on September 21, 2022, and we have set reserves accordingly. The settlement agreement is subject to final approval by the Court. We believe that this matter is unlikely to have a material adverse effect on our business, consolidated financial position, results of operations, or cash flows. On January 6, 2022, a complaint was filed against Kforce Inc. in the Superior Court of the State of California for the County of Los Angeles and was served on January 21, 2022. Jessica Cook and Brianna Pratt, et al. v. Kforce Inc., Case Number: 22STCV00602. On behalf of themselves and others similarly situated, plaintiffs purport to bring a class action alleging violations of Labor Code and the California Business and Professional Code and challenging the exempt classification of a select class of recruiters. Plaintiffs and class members seek damages for all earned wages, statutory penalties, injunctive relief, attorney’s fees, and interest for alleged failure to: properly classify certain recruiters as nonexempt from overtime; timely pay all wages earned, including overtime premium pay; provide accurate wage statements; provide meal and rest periods; and comply with California's Unfair Competition Law. Kforce anticipated this action would be filed as a result of failed early resolution attempts in the previously disclosed Jessica Cook v. Kforce, et al. lawsuit. At this stage in the litigation, it is not feasible to predict the outcome of this matter or reasonably estimate a range of loss, should a loss occur, from this proceeding. We intend to vigorously defend the claims. On January 6, 2022, a complaint was filed against Kforce Inc. in the United States District Court for the Middle District of Florida and was served on February 4, 2022. Sam Whiteman, et al. v. Kforce Inc., Case Number: 8:22-cv-00056. On behalf of himself and all others similarly situated, the plaintiff brings a one-count collective action complaint for alleged violations of the FLSA by failing to pay overtime wages. Plaintiff, on behalf of himself and the putative collective, seeks to recover unpaid wages, liquidated damages, attorneys’ fees and costs, and prejudgment interest for alleged failure to properly classify specified recruiters as nonexempt from overtime and properly compensate for all hours worked over 40 hours in one or more workweeks. At this stage in the litigation, it is not feasible to predict the outcome of this matter or reasonably estimate a range of loss, should a loss occur, from this proceeding. We intend to vigorously defend the claims. We are involved in legal proceedings, claims, and administrative matters from time to time, and may also be exposed to loss contingencies, that arise in the ordinary course of business. We have made accruals with respect to certain of these matters, where appropriate, that are reflected in our consolidated financial statements but are not, individually or in the aggregate, considered material. For other matters for which an accrual has not been made, we have not yet determined that a loss is probable, or the amount of loss cannot be reasonably estimated. While the ultimate outcome of the matters cannot be determined, we currently do not expect that these proceedings and claims, individually or in the aggregate, will have a material effect on our financial position, results of operations or cash flows. The outcome of any litigation is inherently uncertain, however, and if decided adversely to us, or if we determine that settlement of particular litigation is appropriate, we may be subject to liability that could have a material adverse effect on our financial position, results of operations or cash flows. Kforce maintains liability insurance in amounts and with such coverage and deductibles as management believes is reasonable. The principal liability risks that Kforce insures against are workers’ compensation, personal injury, bodily injury, property damage, directors’ and officers’ liability, errors and omissions, cyber liability, employment practices liability and fidelity losses. There can be no assurance that Kforce’s liability insurance will cover all events or that the limits of coverage will be sufficient to fully cover all liabilities. Equity Method Investment In June 2019, we entered into a joint venture whereby Kforce obtained a 50% noncontrolling interest in WorkLLama. We determined, based on the corporate structure and governance, that WorkLLama is a variable interest entity and not subject to consolidation, as we are not the primary beneficiary of WorkLLama because we do not have the power to direct the activities that most significantly impact WorkLLama’s economic performance. As a result, WorkLLama is accounted for as an equity method investment. Under the joint venture operating agreement for WorkLLama, Kforce was originally obligated to make additional cash contributions subsequent to the initial contribution, contingent on WorkLLama's achievement of certain operational and financial milestones. Under the operating agreement, our maximum potential capital contributions were $22.5 million. Although the operational and financial milestones were not achieved, we contributed the full $22.5 million as of September 30, 2022. We contributed $0.5 million and $9.0 million of capital during the nine months ended September 30, 2022 and the year ended December 31, 2021, respectively. We review the equity method investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment may not be recoverable. An impairment loss is recognized in the event that an other-than-temporary decline in the fair value of the investment occurs. Management’s estimate of the fair value of an investment is based on the income approach and market approach. Like most developing business enterprises, WorkLLama was impacted by the COVID-19 pandemic over the last two years. Additionally, in 2021, WorkLLama also strategically repositioned its business to focus its platform on providing its clients with an ability to directly source and engage talent. While WorkLLama is seeing demand for its platform, it was taking longer than expected to achieve its original financial expectations. Given this, Kforce management determined that an indicator of impairment had occurred in the second quarter of 2022. Thus, we performed an impairment test as of June 30, 2022, utilizing the market and income approaches. For the income approach, we utilized estimated discounted future cash flows expected to be generated by WorkLLama. For the market approach, we utilized market multiples of revenue and earnings derived from comparable publicly-traded companies. These types of analyses contain uncertainties because they require management to make significant assumptions and judgments, including: (1) an appropriate rate to discount the expected future cash flows; (2) the inherent risk in achieving forecasted operating results; (3) long-term growth rates; (4) expectations for future economic cycles; (5) market comparable companies and appropriate adjustments thereto; and (6) market multiples. The fair value determined in our impairment test is highly sensitive to changes in key assumptions, including but not limited to the discount rate that is applied to the financial projections. As a result of the impairment test, we concluded that the carrying value of the equity method investment was not impaired. At June 30, 2022, the fair value of the equity investment, determined in our impairment test, exceeded the carrying value by less than ten percent. We have not identified any indicators that an other than temporary impairment has occurred in the three months ended September 30, 2022 that would require further analysis. We will continue to monitor potential indicators in future quarters that may have a bearing on the recoverability of the carrying value of our investment. Lease commitments We lease office space and certain equipment under operating leases that expire between 2022 and 2033. The terms of the leases provide for rental payments on a graduated scale, options to renew the leases ( one During the year ended December 31, 2021, we entered into a lease agreement for office space in Tampa, Florida, that will become our new corporate headquarters. This new lease for office space is intended to replace our current headquarters, also in Tampa, Florida, the lease for which expires November 2022. Lease payments will be required beginning July 1, 2023. During October 2022, we began occupying the facility, which also signified the start of the accounting lease commencement date for financial reporting purposes. The new lease requires aggregate future lease payments of approximately $10.9 million over the entire lease term, which includes annual upward adjustments, and has a non-cancellable lease term of 129 months, excluding renewal options.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Accordingly, certain information and footnotes normally required by GAAP for complete financial statements have been condensed or omitted pursuant to those rules and regulations, although management believes that the disclosures made are adequate to make the information not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2021 Annual Report on Form 10-K. In management’s opinion, the accompanying unaudited condensed consolidated financial statements reflect all adjustments considered necessary for a fair presentation. The Unaudited Condensed Consolidated Balance Sheet as of December 31, 2021, was derived from our audited Consolidated Balance Sheet as of December 31, 2021, as presented in our 2021 Annual Report on Form 10-K.
Principles of Consolidation	Principles of ConsolidationThe unaudited condensed consolidated financial statements include the accounts of Kforce Inc. and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. References in this document to “Kforce,” the “Company,” “we,” the “Firm,” “management,” “our” or “us” refer to Kforce Inc. and its subsidiaries, except where the context indicates otherwise.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The most critical of these estimates and assumptions relate to the following: allowance for credit losses; income taxes; self-insured liabilities for health insurance; and the impairment of goodwill, other long-lived assets and the equity method investment. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. In addition, the potential economic consequences of the COVID-19 pandemic, inflationary pressures, and supply constraints, among others, have been and may continue to be uncertain, rapidly changing and difficult to predict. Therefore, our accounting estimates and assumptions might change materially in future periods.
Earnings per Share	Earnings per ShareBasic earnings per share is computed as net income divided by the weighted average number of common shares outstanding (“WASO”) during the period. WASO excludes unvested shares of restricted stock. Diluted earnings per share is computed by dividing net income by diluted WASO. Diluted WASO includes the dilutive effect of potentially dilutive securities such as unvested shares of restricted stock using the treasury stock method, except where the effect of including potential common shares would be anti-dilutive.
Recently Adopted Accounting Standards and Recently Issued Accounting Standards Not Yet Adopted	Recently Adopted Accounting Standards There were no new accounting standards adopted during the nine months ended September 30, 2022 that had a significant impact on our financial statements. Recently Issued Accounting Standards Not Yet Adopted There are no accounting standards that have not yet been adopted that are expected to have a significant impact on our financial statements and related disclosures.

Reportable Segments (Tables)

Reportable Segments (Tables)	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
Schedule of Operations of Reportable Segments	The following table provides information on the operations of our segments (in thousands): Technology FA Total Three Months Ended September 30, 2022 Revenue $ 390,496 $ 47,124 $ 437,620 Gross profit $ 107,793 $ 18,877 $ 126,670 Operating and other expenses $ 96,257 Income from operations, before income taxes $ 30,413 2021 Revenue $ 337,230 $ 65,495 $ 402,725 Gross profit $ 95,934 $ 23,330 $ 119,264 Operating and other expenses $ 91,446 Income from operations, before income taxes $ 27,818 Nine Months Ended September 30, 2022 Revenue $ 1,134,996 $ 156,107 $ 1,291,103 Gross profit $ 320,160 $ 61,468 $ 381,628 Operating and other expenses $ 288,383 Income from operations, before income taxes $ 93,245 2021 Revenue $ 927,518 $ 242,046 $ 1,169,564 Gross profit $ 258,449 $ 78,428 $ 336,877 Operating and other expenses $ 260,882 Income from operations, before income taxes $ 75,995

Disaggregation of Revenue (Tabl

Disaggregation of Revenue (Tables)	9 Months Ended
	Sep. 30, 2022
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenues	The following table provides the disaggregation of revenue by segment and type (in thousands): Technology FA Total Three Months Ended September 30, 2022 Revenue by type: Flex revenue $ 382,072 $ 40,896 $ 422,968 Direct Hire revenue 8,424 6,228 14,652 Total Revenue $ 390,496 $ 47,124 $ 437,620 2021 Revenue by type: Flex revenue $ 330,170 $ 59,003 $ 389,173 Direct Hire revenue 7,060 6,492 13,552 Total Revenue $ 337,230 $ 65,495 $ 402,725 Nine Months Ended September 30, 2022 Revenue by type: Flex revenue $ 1,109,294 $ 135,239 $ 1,244,533 Direct Hire revenue 25,702 20,868 46,570 Total Revenue $ 1,134,996 $ 156,107 $ 1,291,103 2021 Revenue by type: Flex revenue $ 909,599 $ 224,783 $ 1,134,382 Direct Hire revenue 17,919 17,263 35,182 Total Revenue $ 927,518 $ 242,046 $ 1,169,564

Allowance for Credit Losses (Ta

Allowance for Credit Losses (Tables)	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
Schedule of Allowance for Credit Losses	The following table presents the activity within the allowance for credit losses on trade receivables for the nine months ended September 30, 2022 (in thousands): Allowance for credit losses, January 1, 2022 $ 1,729 Current period provision (credit) (231) Write-offs charged against the allowance, net of recoveries of amounts previously written off (240) Allowance for credit losses, September 30, 2022 $ 1,258

Other Assets, Net (Tables)

Other Assets, Net (Tables)	9 Months Ended
	Sep. 30, 2022
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Assets, Net	Other assets, net consisted of the following (in thousands): September 30, 2022 December 31, 2021 Assets held in Rabbi Trust $ 30,199 $ 41,607 Right-of-use assets for operating leases, net 10,331 15,395 Capitalized software, net (1) 16,404 14,666 Equity method investment (2) 14,772 17,008 Deferred loan costs, net 939 1,115 Notes receivable (3) 4,500 — Other non-current assets 4,613 2,838 Total Other assets, net $ 81,758 $ 92,629 (1) Accumulated amortization of capitalized software was $36.3 million and $35.5 million as of September 30, 2022 and December 31, 2021, respectively. (2) In June 2019, Kforce entered into a joint venture resulting in a 50% noncontrolling interest in WorkLLama, LLC (“WorkLLama”), which is accounted for as an equity method investment. The loss on this WorkLLama investment was $0.9 million and $2.7 million for the three months and nine months ended September 30, 2022, respectively. In addition, Kforce contributed $0.5 million and $9.0 million of capital during the nine months ended September 30, 2022 and the year ended December 31, 2021, respectively. Refer to Note L - “Commitments and Contingencies” for more information on contingencies related to WorkLLama.

Current Liabilities (Tables)

Current Liabilities (Tables)	9 Months Ended
	Sep. 30, 2022
Payables and Accruals [Abstract]
Schedule of Accounts Payable and Accrued Liabilities	The following table provides information on certain current liabilities (in thousands): September 30, 2022 December 31, 2021 Accounts payable and other accrued liabilities: Accounts payable $ 52,032 $ 40,241 Accrued liabilities 20,998 41,167 Total Accounts payable and other accrued liabilities $ 73,030 $ 81,408 Accrued payroll costs: Payroll and benefits $ 54,470 $ 43,738 Payroll taxes 22,432 22,466 Health insurance liabilities 3,895 4,474 Workers’ compensation liabilities 822 746 Total Accrued payroll costs $ 81,619 $ 71,424

Other Long-Term Liabilities (Ta

Other Long-Term Liabilities (Tables)	9 Months Ended
	Sep. 30, 2022
Other Liabilities Disclosure [Abstract]
Schedule of Other Long-Term Liabilities	Other long-term liabilities consisted of the following (in thousands): September 30, 2022 December 31, 2021 Deferred compensation plan $ 32,990 $ 42,623 Operating lease liabilities 7,877 11,919 Other long-term liabilities 8 22 Total Other long-term liabilities $ 40,875 $ 54,564

Stock Incentive Plans (Tables)

Stock Incentive Plans (Tables)	9 Months Ended
	Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]
Summary of Restricted Stock Activity	The following table presents the restricted stock activity for the nine months ended September 30, 2022 (in thousands, except per share amounts): Number of Weighted-Average Total Intrinsic Outstanding at December 31, 2021 1,083 $ 48.86 Granted 42 $ 61.38 Forfeited (33) $ 51.24 Vested (43) $ 45.69 $ 2,831 Outstanding at September 30, 2022 1,049 $ 49.65

Derivative Instrument and Hed_2

Derivative Instrument and Hedging Activity (Tables)	9 Months Ended
	Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Activity in the Accumulated Derivative Instrument Gain	The following table sets forth the activity in the accumulated derivative instrument activity (in thousands): Nine Months Ended September 30, 2022 2021 Accumulated derivative instrument gain (loss), beginning of period $ 823 $ (1,774) Net change associated with current period hedging transactions (1) (823) 1,478 Accumulated derivative instrument gain (loss), end of period $ — $ (296) (1) The accumulated derivative instrument activity as of the end the nine month period ending September 30, 2022, includes the beginning balance of $823 thousand, a change in fair value of $3.1 million and a reversal due to termination of $3.9 million resulting in an ending balance of zero.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Accounting Policies [Abstract]
Health insurance maximum risk of loss liability per employee insurance plan (up to)			$ 600
Health insurance maximum aggregate amount of risk of loss liability for employee insurance plans (up to)			$ 200
Common stock equivalents (in shares)	(428)	(669)	(428)	(584)
Anti-dilutive common stock equivalents (in shares)	304		301

Reportable Segments (Details)

Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Segment Reporting Information [Line Items]
Revenue	$ 437,620	$ 402,725	$ 1,291,103	$ 1,169,564
Gross profit	126,670	119,264	381,628	336,877
Operating and other expenses	96,257	91,446	288,383	260,882
Income from operations, before income taxes	30,413	27,818	93,245	75,995
Technology
Segment Reporting Information [Line Items]
Revenue	390,496	337,230	1,134,996	927,518
Gross profit	107,793	95,934	320,160	258,449
FA
Segment Reporting Information [Line Items]
Revenue	47,124	65,495	156,107	242,046
Gross profit	$ 18,877	$ 23,330	$ 61,468	$ 78,428

Disaggregation of Revenue (Deta

Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Disaggregation of Revenue [Line Items]
Total Revenue	$ 437,620	$ 402,725	$ 1,291,103	$ 1,169,564
Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	422,968	389,173	1,244,533	1,134,382
Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	14,652	13,552	46,570	35,182
Technology
Disaggregation of Revenue [Line Items]
Total Revenue	390,496	337,230	1,134,996	927,518
Technology | Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	382,072	330,170	1,109,294	909,599
Technology | Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	8,424	7,060	25,702	17,919
FA
Disaggregation of Revenue [Line Items]
Total Revenue	47,124	65,495	156,107	242,046
FA | Flex revenue
Disaggregation of Revenue [Line Items]
Total Revenue	40,896	59,003	135,239	224,783
FA | Direct Hire revenue
Disaggregation of Revenue [Line Items]
Total Revenue	$ 6,228	$ 6,492	$ 20,868	$ 17,263

Allowance for Credit Losses (De

Allowance for Credit Losses (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Allowance for credit losses, beginning balance	$ 1,729
Current period provision (credit)	(231)	$ (139)
Write-offs charged against the allowance, net of recoveries of amounts previously written off	(240)
Allowance for credit losses, ending balance	1,258
Trade receivables allowance unrelated to accounts receivable	$ 600		$ 600

Other Assets, Net (Details)

Other Assets, Net (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2022	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Jun. 10, 2022	Jun. 30, 2019
Schedule of Equity Method Investments [Line Items]
Assets held in Rabbi Trust	$ 30,199	$ 30,199		$ 41,607
Right-of-use assets for operating leases, net	$ 10,331	$ 10,331		$ 15,395
Operating lease, right-of-use assets, financial statement location	Total Other assets, net	Total Other assets, net		Total Other assets, net
Capitalized software, net	$ 16,404	$ 16,404		$ 14,666
Equity method investment	14,772	14,772		17,008
Deferred loan costs, net	939	939		1,115
Notes receivable	4,500	4,500		0
Other non-current assets	4,613	4,613		2,838
Total Other assets, net	81,758	81,758		92,629
Accumulated amortization of capitalized software	36,300	36,300		35,500
Loss on equity method investment		2,737	$ 1,709
Payments to acquire equity method investment		500	$ 7,000
WorkLLama
Schedule of Equity Method Investments [Line Items]
Ownership percentage						50%
Loss on equity method investment	900	2,700
Payments to acquire equity method investment		$ 500		$ 9,000
WorkLLama | Financing Receivable
Schedule of Equity Method Investments [Line Items]
Debt instrument, extended amount	$ 2,500
Interest rate for notes receivable (as a percent)	7%	7%
WorkLLama | Equity Method Investment | Financing Receivable
Schedule of Equity Method Investments [Line Items]
Notes receivable					$ 2,000
Increase in promissory note	$ 4,000

Current Liabilities - Schedule

Current Liabilities - Schedule of Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Accounts payable and other accrued liabilities:
Accounts payable	$ 52,032	$ 40,241
Accrued liabilities	20,998	41,167
Total Accounts payable and other accrued liabilities	73,030	81,408
Accrued payroll costs:
Payroll and benefits	54,470	43,738
Payroll taxes	22,432	22,466
Health insurance liabilities	3,895	4,474
Workers’ compensation liabilities	822	746
Total Accrued payroll costs	$ 81,619	$ 71,424

Current Liabilities - Narrative

Current Liabilities - Narrative (Details) $ in Millions	Sep. 30, 2022 USD ($) executive	Jul. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) executive
Unusual or Infrequent Item, or Both [Line Items]
Number of executives participating in SERP | executive	2		2
Supplemental executive retirement plan		$ 20
Deferred Payroll Taxes | COVID-19
Unusual or Infrequent Item, or Both [Line Items]
Payroll tax payments deferred by CARES Act	$ 19.3		$ 19.3

Credit Facility (Details)

Credit Facility (Details) - USD ($) $ in Millions	Sep. 30, 2022	May 31, 2022	Dec. 31, 2021	Oct. 20, 2021
Line of Credit | Revolving Credit Facility
Line of Credit Facility [Line Items]
Line of credit outstanding	$ 0		$ 100
Credit Facility | Revolving Credit Facility
Line of Credit Facility [Line Items]
Initial maximum borrowing capacity				$ 200
Accordion feature, increase limit				$ 150
Derivative, notional amount		$ 100

Other Long-Term Liabilities (De

Other Long-Term Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Other Liabilities Disclosure [Abstract]
Deferred compensation plan	$ 32,990	$ 42,623
Operating lease liabilities	$ 7,877	$ 11,919
Operating lease liabilities, financial statement location	Total Other long-term liabilities	Total Other long-term liabilities
Other long-term liabilities	$ 8	$ 22
Total Other long-term liabilities	$ 40,875	$ 54,564

Stock Incentive Plans - Narrati

Stock Incentive Plans - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Apr. 22, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 4.5	$ 3.5	$ 13.3	$ 10.5
Option or Stock Appreciation Right
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Reduction of shares reserved for grant (in shares)					1
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Reduction of shares reserved for grant (in shares)					2.72
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expenses	$ 37.2		$ 37.2
Weighted average period expected to be recognized			4 years 3 months 18 days
Restricted Stock | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			1 year
Restricted Stock | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			10 years
2021 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for grant (in shares)					3,900,000

Stock Incentive Plans - Summary

Stock Incentive Plans - Summary of Restricted Stock Activity (Details) - Restricted Stock $ / shares in Units, shares in Thousands, $ in Thousands	9 Months Ended
	Sep. 30, 2022 USD ($) $ / shares shares
Number of  Restricted Stock
Outstanding, at beginning of period (in shares) | shares	1,083
Granted (in shares) | shares	42
Forfeited (in shares) | shares	(33)
Vested (in shares) | shares	(43)
Outstanding, at end of period (in shares) | shares	1,049
Weighted-Average Grant Date Fair Value
Outstanding, as of beginning of period (in dollars per share) | $ / shares	$ 48.86
Granted (in dollars per share) | $ / shares	61.38
Forfeited (in dollars per share) | $ / shares	51.24
Vested (in dollars per share) | $ / shares	45.69
Outstanding, as of end of period (in dollars per share) | $ / shares	$ 49.65
Total Intrinsic Value of Restricted Stock Vested
Vested | $	$ 2,831

Derivative Instrument and Hed_3

Derivative Instrument and Hedging Activity - Narrative (Details) - USD ($)	1 Months Ended
	May 31, 2022	Sep. 30, 2022	Mar. 17, 2020	May 31, 2017
Credit Facility | Revolving Credit Facility
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative, notional amount	$ 100,000,000
Designated as Hedging Instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative instruments and hedges, liabilities		$ 0
Designated as Hedging Instrument | Interest Rate Swap A
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative, notional amount		$ 25,000,000
Derivative rate				1.81%
Designated as Hedging Instrument | Interest Rate Swap B
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative, notional amount	100,000,000
Derivative rate			0.61%
Designated as Hedging Instrument | Interest Rate Swap B | Credit Facility | Revolving Credit Facility
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Line of credit outstanding	100,000,000
Gain and fair value on termination	$ 4,100,000

Derivative Instrument and Hed_4

Derivative Instrument and Hedging Activity - Accumulated Derivative Instrument Gain (Loss) Activity (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning of period	$ 188,406	$ 179,935
End of period	208,976	189,969
Accumulated Derivative Instrument Gain
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning of period	823	(1,774)
Net change associated with current period hedging transactions	(823)	1,478
End of period	823	$ (296)
Change in fair value	3,100
Accumulated Derivative Instrument Gain | Interest Rate Swap B
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Termination, reversal from AOCI	$ 3,900

Fair Value Measurements (Detail

Fair Value Measurements (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Interest Rate Swap | Fair Value, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liability	$ 823

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Oct. 31, 2022
Other Commitments [Line Items]
Unemployment benefits, possible liability with a change in control	$ 38,200
Unemployment benefits, possible liability without a change in control	13,700
Maximum potential capital contributions	22,500
Contributions to date to equity method investment	22,500
Contributions to WorkLLama joint venture	(500)	$ (7,000)
Subsequent Event
Other Commitments [Line Items]
Aggregate future lease payments				$ 10,900
Lease term				129 months
WorkLLama
Other Commitments [Line Items]
Contributions to WorkLLama joint venture	$ (500)		$ (9,000)
Minimum
Other Commitments [Line Items]
Renewal terms of current operating leases	1 year
Maximum
Other Commitments [Line Items]
Renewal terms of current operating leases	5 years