TriNet (TNET) 10-Q 30 Apr 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	Apr. 23, 2018
Document And Entity Information [Abstract]
Entity Registrant Name	TRINET GROUP INC
Trading Symbol	TNET
Entity Central Index Key	937,098
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		70,293,846

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 330	$ 336
Restricted cash, cash equivalents and investments	699	1,280
Worksite employee related assets:
Unbilled revenue (net of advance collections of $12 and $12 at March 31, 2018 and December 31, 2017, respectively)	286	297
Accounts receivable	8	20
Prepaid insurance premiums and other insurance related receivables	33	26
Other payroll assets	41	17
Worksite employee related assets	368	360
Prepaid expenses and other current assets	22	15
Total current assets	1,419	1,991
Restricted cash and available for sale investments	182	162
Workers' compensation collateral receivable	40	39
Property and equipment, net	74	70
Goodwill and other intangible assets, net	314	315
Other assets	18	16
Total assets	2,047	2,593
Current liabilities:
Accounts payable and other current liabilities	46	59
Accrued corporate wages	31	40
Notes payable	43	40
Worksite employee related liabilities:
Accrued wages	284	289
Client deposits	26	52
Payroll tax liabilities and other payroll withholdings	500	1,034
Health benefits loss reserves (net of prepayments of $30 and $19 at March 31, 2018 and December 31, 2017, respectively)	150	151
Workers' compensation loss reserves (net of collateral paid of $5 and $6 at March 31, 2018 and December 31, 2017, respectively)	67	67
Insurance premiums and other payables	25	25
Worksite employee related liabilities	1,052	1,618
Total current liabilities	1,172	1,757
Notes payable, noncurrent	370	383
Workers' compensation loss reserves (net of collateral paid of $XX and $6 at March 31, 2018 and December 31, 2017, respectively)	162	165
Deferred income taxes	71	68
Other liabilities	10	14
Total liabilities	1,785	2,387
Commitments and contingencies (see Note 9)
Stockholders’ equity:
Preferred stock ($0.000025 par value per share; 20,000,000 shares authorized; no shares issued and outstanding at March 31, 2018 and December 31, 2017)	0	0
Common stock and additional paid-in capital ($0.000025 par value per share; 750,000,000 shares authorized; 70,363,251 and 69,818,392 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively)	595	583
Accumulated deficit	(332)	(377)
Accumulated other comprehensive loss	(1)	0
Total stockholders’ equity	262	206
Total liabilities and stockholders’ equity	$ 2,047	$ 2,593

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Worksite employee related assets:
Advance collections	$ 12	$ 12
Worksite employee related liabilities:
Prepayments	30	19
Collateral paid, current	5	6
Collateral paid, noncurrent	$ 16	$ 17
Preferred stock ($0.000025 par value per share; 20,000,000 shares authorized; no shares issued and outstanding at March 31, 2018 and December 31, 2017)
Preferred stock, par value (in dollars per share)	$ 0.000025	$ 0.000025
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock and additional paid-in capital ($0.000025 par value per share; 750,000,000 shares authorized; 70,363,251 and 69,818,392 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively)
Common stock, par value (in dollars per share)	$ 0.000025	$ 0.000025
Common stock, shares authorized (in shares)	750,000,000	750,000,000
Common stock, shares issued (in shares)	70,363,251	69,818,392
Common stock, shares outstanding (in shares)	70,363,251	69,818,392

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Income Statement [Abstract]
Professional service revenues	$ 129	$ 120
Insurance service revenues	732	688
Total revenues	861	808
Costs and operating expenses:
Insurance costs	641	609
Cost of providing services (exclusive of depreciation and amortization of intangible assets)	57	57
Sales and marketing	39	49
General and administrative	31	25
Systems development and programming costs	13	11
Depreciation	8	6
Amortization of intangible assets	1	1
Total costs and operating expenses	790	758
Operating income	71	50
Other income (expense):
Interest expense, bank fees and other, net	(4)	(5)
Income before provision for income taxes	67	45
Income tax expense	13	16
Net income	54	29
Comprehensive income	$ 54	$ 29
Net income per share:
Basic (in dollars per share)	$ 0.77	$ 0.42
Diluted (in dollars per share)	$ 0.75	$ 0.41
Weighted average shares:
Basic (in shares)	70,047,752	68,509,328
Diluted (in shares)	72,274,821	70,913,970

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Operating activities
Net income	$ 54	$ 29
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	10	8
Stock-based compensation	9	6
Changes in operating assets and liabilities:
Prepaid income taxes	13	15
Prepaid expenses and other current assets	(9)	2
Workers' compensation collateral receivable	(1)	(3)
Other assets	(2)	0
Accounts payable and other current liabilities	(15)	2
Accrued corporate wages	(9)	10
Workers' compensation loss reserves and other non-current liabilities	(6)	8
Worksite employee related assets	(14)	4
Worksite employee related liabilities	(566)	(242)
Net cash used in operating activities	(536)	(161)
Investing activities
Proceeds from maturity of marketable securities	14	4
Acquisitions of property and equipment	(12)	(11)
Net cash provided by (used in) investing activities	2	(7)
Financing activities
Repurchase of common stock	(8)	(28)
Proceeds from issuance of common stock on exercised options	3	2
Awards effectively repurchased for required employee withholding taxes	(4)	(2)
Repayment of notes payable	(10)	(9)
Net cash used in financing activities	(19)	(37)
Net increase (decrease) in cash and cash equivalents, unrestricted and restricted	(553)	(205)
Cash and cash equivalents, unrestricted and restricted:
Beginning of period	1,738	1,233
End of period	1,185	1,028
Supplemental disclosures of cash flow information
Interest paid	4	4
Income taxes paid (refunded), net	0	(1)
Supplemental schedule of noncash investing and financing activities
Payable for purchase of property and equipment	2	2
Supplemental schedule of cash and cash equivalents
Net increase (decrease) in unrestricted cash and cash equivalents	(6)	32
Net increase (decrease) in restricted cash and cash equivalents	$ (547)	$ (237)

Description of Business and Sig

Description of Business and Significant Accounting Policies	3 Months Ended
	Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES	DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES Description of Business TriNet Group, Inc. (TriNet, or the Company, we, our and us), a professional employer organization (PEO) founded in 1988, provides comprehensive human resources (HR) solutions for small to midsize businesses (SMBs) under a co-employment model. These HR solutions include bundled services, such as multi-state payroll processing and tax administration, employee benefits programs, including health insurance and retirement plans, workers' compensation insurance and claims management, employment and benefit law compliance, and other services. Through the co-employment relationship, we are the employer of record for most administrative and regulatory purposes, including: • compensation through wages and salaries, • employer payroll-related tax payments, • employee payroll-related tax withholdings and payments, • employee benefit programs including health and life insurance, and others, and • workers' compensation coverage. Our clients are responsible for the day-to-day job responsibilities of the worksite employees (WSEs). We operate in one reportable segment. All of our service revenues are generated from external clients. Less than 1% of our revenue is generated outside of the U.S. Basis of Presentation These unaudited condensed consolidated financial statements (Financial Statements) and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X of the Rules and Regulations of the Securities and Exchange Commission (SEC). Certain information and note disclosures included in our annual financial statements prepared in accordance with GAAP, have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the condensed consolidated financial statements reflect all adjustments, that are normal and recurring in nature, necessary for fair financial statement presentation. The results of operations for the first quarter of 2018 are not necessarily indicative of the operating results anticipated for the full year. These Financial Statements should be read in conjunction with the audited Consolidated Financial Statements included in Part II, Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2017 ( 2017 Form 10-K). Reclassifications Certain prior year amounts have been reclassified to conform to current period presentation. These reclassifications include short-term restricted cash, cash equivalents and investments previously classified as WSE-related assets and now presented within restricted cash, cash equivalents and investments. Refer to the accounting policy below for a description of amounts currently included in restricted cash, cash equivalents, and investments. Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect certain reported amounts and related disclosures. Significant estimates include: • liability for unpaid losses and loss adjustment expenses (loss reserves) related to workers' compensation and workers' compensation collateral receivable, • health insurance loss reserves, • liability for insurance premiums payable, • impairments of goodwill and other intangible assets, • income tax assets and liabilities, and • liability for legal contingencies. These estimates are based on historical experience and on various other assumptions that we believe to be reasonable from the facts available to us. Some of the assumptions are highly uncertain at the time of estimation. To the extent actual experience differs from the assumptions used, our consolidated financial statements could be materially affected. Revenue Recognition On January 1, 2018, we adopted Accounting Standards Codification Topic 606 (ASC Topic 606) using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under ASC Topic 606, while the comparative prior period amounts are not restated and continue to be reported in accordance with statements previously accounted for under Accounting Standards Codification Topic 605. Upon adoption of ASC Topic 606, we recorded a $1 million cumulative effect adjustment to opening retained earnings as of January 1, 2018. Impacts from adoption of the new standard on our revenue recognition include: • Our annual service contracts with our clients that are cancellable with 30 days' notice are initially considered 30-day contracts under the new standard; • Professional service revenues are recognized on an output basis which results in recognition at the time payroll is processed; • Our non-refundable set up fees are no longer deferred but accounted for as part of our transaction price and are allocated among professional service revenues and insurance services revenues; and • The majority of sales commissions related to onboarding new clients that were previously expensed are capitalized as contract assets and amortized over the estimated customer life. Accounting Policies under ASC Topic 606 and Nature of Services Revenues are recognized when control of the promised services are transferred to our clients, in an amount that reflects the consideration that we expect to receive in exchange for services. We generate all of our revenue from contracts with customers. We disaggregate revenues by professional services revenues and insurance services revenues as reported on the condensed consolidated statements of operations and comprehensive income. Generally, both the client and the Company may terminate the contract without penalty by providing a 30-day notice. Performance Obligations At contract inception, we assess the services promised in our contracts with customers and identify a performance obligation for each distinct promise to transfer to the customer a service or bundle of services. We determined that the following distinct services represent separate performance obligations: • Payroll and payroll tax processing, • Health benefits services, and • Workers’ compensation services. Payroll and payroll tax processing performance obligations include services to process payroll and payroll tax-related transactions on behalf of our clients. Revenues associated with this performance obligation are reported as professional service revenues and recognized using an output method in which the control of the promised services is considered transferred when a client's payroll is processed by us and its WSEs are paid. Professional service revenues are stated net of the gross payroll and payroll tax amounts funded by our clients. Although we assume the responsibilities to process and remit the payroll and payroll related obligations, we do not assume employment-related responsibilities such as determining the amount of the payroll and related payroll obligations. As a result, we are considered the agent in this arrangement for revenue recognition purposes. Health benefits and workers' compensation services include performance obligations to provide TriNet-sponsored health benefits and workers' compensation insurance coverage through insurance policies provided by third-party insurance carriers. Revenues associated with these performance obligations are reported as insurance services revenues and are recognized using the output method over the period of time that the client and WSEs are covered under TriNet-sponsored insurance policies. As we control the selection of health benefits and workers' compensation coverage made available, insurance services revenues are reported gross since we are considered the principal in this arrangement for revenue recognition purposes. See Item 8 Note 1 in our Form 10-K for further discussion on our accounting policy for insurance costs. We generally charge new customers a nominal upfront non-refundable fee to recover our costs to set up the client on our TriNet platform for payroll processing and other administrative services, such as benefit enrollments. These fees are accounted for as part of our transaction price and are allocated among the performance obligations based on their relative standalone selling price. Variable Consideration and Pricing Allocation Our contracts with customers generally do not include any variable consideration. However, from time to time, we may offer incentive credits to our clients considered to be variable consideration including incentive credits issued related to contract renewals. Incentive credits are recorded as a reduction to revenue as part of the transaction price at contract inception when there is a basis to reasonably estimate the amount of the incentive credit and only to the extent that it is probable that a significant reversal of any incremental revenue will not occur. These incentive credits are allocated among the performance obligations based on their relative standalone selling price. We allocate the total transaction price to each performance obligation based on the estimated relative standalone selling prices of the promised services underlying each performance obligation. The transaction price for payroll and payroll tax processing performance obligations are determined upon establishment of the contract that contains the final terms of the sale, including the description and price of each service purchased. The estimated service fee is calculated based on observable inputs and include the following key assumptions: target profit margin, pricing strategies including the mix of services purchased and competitive factors, and customer and industry specifics. The transaction price for health benefits insurance and worker’s compensation insurance performance obligations is determined during the new client on-boarding and enrollment processes based on the types of benefits coverage the clients and WSEs have elected and the applicable risk profile of the client. We estimate our service fees based on actuarial specialists' forecasts of our expected insurance premiums and claim costs, and our proprietary model to develop an amount to cover our costs to administer these programs. We require our clients to prefund payroll and related taxes and other withholding liabilities before payroll is processed or due for payment. Under the provision of our contracts with customers, we generally will process the payment of a client’s payroll only when the client successfully funds the amount required. Certain contracts to provide payroll and payroll tax processing services permit the client to pay certain payroll tax components ratably over a 12-month period rather than as payroll tax is determined on wages paid, which may be considered a significant financing arrangement under ASC Topic 606. However, as the period between our performing the service under the contract and when the client pays for the service is less than one year, we have elected as a practical expedient, not to adjust the transaction price. Unbilled Revenue We recognize WSE payroll and payroll tax liabilities in the period in which the WSEs perform work. When clients' pay periods cross reporting periods, we accrue the portion of the unpaid WSE payroll where we assume, under state regulations, the obligation for the payment of wages and the corresponding payroll tax liabilities associated with the work performed prior to period-end. These estimated payroll and payroll taxes liabilities are accrued wages in WSE related liabilities. The associated receivables, including estimated insurance services revenues, offset by advance collections from clients, are recorded as unbilled revenues in WSE-related assets. Contract Costs We recognize as deferred commission expense the incremental cost to obtain a contract with a client for certain components under our commission plans for sales representatives and channel partners that are directly related to new customers onboarded as we expect to recover these costs through future service fees. Such assets will be amortized over the estimated average client tenure. These commissions are earned on the basis of the revenue generated from payroll and payroll tax processing performance obligations. When the commission on a renewal contract is not commensurate with the commission on the initial contract, such commission will be capitalized and amortized over the estimated average client tenure. If the commission for both initial contract and renewal contracts are commensurate, such commissions are expensed in the contract period. When the amortization period is less than one year, we apply practical expedient to expense sales commissions in sales and marketing expenses in the period incurred. We capitalized $9 million and amortized less than $1 million of the deferred commission during the first quarter 2018. Certain commission plans will pay a commission on estimated professional service revenues over the first 12 months of the contract with customers. The portion of commission paid in excess of the actual commission earned in that period is recorded as prepaid commission. When the prepaid commission is considered earned, it is classified as a deferred commission expense and subject to amortization. We do not have material contract assets and contract liabilities as of March 31, 2018. We require our clients to prefund payroll and related liabilities before payroll is processed or due for payment. If a client fails to fund payroll or misses the funding cut-off, at our sole discretion, we may pay the payroll and the resulting unfunded payroll is recognized as accounts receivable on the accompanying consolidated balance sheets. When client payment is received in advance of our performance under the contract, such amount is recorded as client deposits. Restricted Cash, Cash Equivalents and Investments Restricted cash and cash equivalents presented on our condensed consolidated balance sheets include: • corporate cash and cash equivalents in trust accounts functioning as security deposits for our insurance carriers, • payroll funds collected represents cash collected in advance from clients which we designate as restricted for the purpose of funding WSE payroll and payroll taxes and other payroll related liabilities, and • amounts held in trust for current and future premium and claim obligations with our insurance carriers, which amounts are held in trust according to the terms of the relevant insurance policies and by the local insurance regulations of the jurisdictions in which the policies are in force. Recent Accounting Pronouncements Recently adopted accounting guidance Revenue Recognition - In May 2014, the FASB issued ASU 2014-09-Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance under GAAP. The core principle of the guidance is that an entity should recognize revenue for the transfer of promised goods or services to customers that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard provides a five-step analysis of transactions to determine when and how revenue is recognized. We have adopted the new standard effective January 1, 2018 using the modified retrospective method. For further discussion of our adoption of ASC Topic 606, including our operating results under the new standard, see Revenue Recognition section above. The impact from the adoption of ASC Topic 606 to our condensed consolidated income statements and balance sheets is as follows: (in millions) As of and for the Three Months Ended March 31, 2018 Balance Using Previous Standard Increase (Decrease) Income statement Revenue Professional service revenues $ 129 $ 126 $ 3 Total revenues 861 858 3 Expense Sales and marketing expense Commissions expense 4 13 (9 ) Total expense 790 799 (9 ) Income before provision for income taxes 67 56 11 Income tax expense 13 11 2 Net income 54 45 9 Basic earnings per share 0.77 0.64 0.13 Diluted earnings per share 0.75 0.62 0.13 Balance sheet Assets Unbilled revenue (net of advance collections) $ 286 $ 291 $ (5 ) Prepaid expenses and other current assets 22 14 8 Other assets 18 14 4 Liabilities Accounts payable and other current liabilities 46 47 (1 ) Other liabilities 10 12 (2 ) Equity Retained earnings (332 ) (342 ) 10 Statement of Cash Flows - In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash . ASU 2016-18 addresses diversity in practice from entities classifying and presenting transfers between cash and restricted cash as operating, investing or financing activities or as a combination of those activities in the statement of cash flows. The ASU requires entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the Statement of Cash Flows. As a result, transfers between such categories are no longer be presented in the Statement of Cash Flows. We adopted ASU 2016-18 on January 1, 2018 using the retrospective method. Recently issued accounting pronouncements Lease arrangements - In February 2016, the FASB issued ASU 2016-02- Leases. The amendment requires that lease arrangements longer than 12 months result in an entity recognizing lease assets and lease liabilities. Most significant impact is on those leases classified as operating leases under previous U.S. GAAP. Under the new standard, disclosures are required to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The amendment is effective for annual reporting periods and interim periods within those years beginning after December 15, 2018. We currently anticipate adoption of the new standard effective January 1, 2019. We anticipate this standard will have a material impact on our condensed consolidated financial statements. While we continue to assess all potential impacts of the standard, we anticipate that there will be a material increase to assets and lease liabilities for existing property leases representing our nationwide office locations not already included on our condensed consolidated balance sheets.

Cash, Cash Equivalents and Inve

Cash, Cash Equivalents and Investments	3 Months Ended
	Mar. 31, 2018
Cash and Cash Equivalents [Abstract]
CASH, CASH EQUIVALENTS AND INVESTMENTS	CASH, CASH EQUIVALENTS AND INVESTMENTS Under the terms of the agreements with certain of our workers' compensation and health benefit insurance carriers, we are required to maintain collateral in trust accounts for the benefit of specified insurance carriers and to reimburse the carriers’ claim payments within our deductible layer. We invest a portion of the collateral amounts in marketable securities. We report the current portion of these trust accounts as restricted cash and cash equivalents in WSE-related assets, and the long-term portion as restricted cash, cash equivalents and investments on the consolidated balance sheets. We require our clients to prefund their payroll and related taxes and other withholding liabilities before payroll is processed or due for payment. This prefund is included in restricted cash, cash equivalents and investments as payroll funds collected, which is designated to pay pending payrolls and other WSE-related liabilities. Our total cash, cash equivalents and investments are summarized below: March 31, 2018 December 31, 2017 (in millions) Cash and cash equivalents Available for sale marketable securities Certificate of deposits Total Cash and cash equivalents Available for sale marketable securities Certificate of deposits Total Cash and cash equivalents $ 330 $ — $ — $ 330 $ 336 $ — $ — $ 336 Restricted cash, cash equivalents and investments Insurance carriers security deposits 15 — — 15 15 — — 15 Payroll funds collected 523 — — 523 1,095 — — 1,095 Collateral for health benefits claims 71 — — 71 69 — — 69 Collateral for workers' compensation claims 87 1 — 88 98 1 — 99 Collateral to secure standby letter of credit — — 2 2 — — 2 2 Total restricted cash, cash equivalents and investments 696 1 2 699 1,277 1 2 1,280 Restricted cash, cash equivalents and investments, noncurrent Collateral for workers' compensation claims 159 23 — 182 125 37 — 162 Total $ 1,185 $ 24 $ 2 $ 1,211 $ 1,738 $ 38 $ 2 $ 1,778 The amortized cost, gross unrealized gains, gross unrealized losses, fair values, and related maturities of securities available for sale as of March 31, 2018 and December 31, 2017 are presented below: (in millions) Maturity Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value March 31, 2018 U.S. treasuries 1-5 years $ 23 $ — $ — $ 23 Exchange traded fund N/A 1 — — 1 Total $ 24 $ — $ — $ 24 December 31, 2017 U.S. treasuries 1-5 years $ 37 $ — $ — $ 37 Exchange traded fund N/A 1 — — 1 Total $ 38 $ — $ — $ 38 There were immaterial realized gains or losses for the three months ended March 31, 2018 and 2017 . The fair value of our U.S. Treasury securities in an unrealized loss position represented 89% and 78% of the total fair value of all U.S. Treasury securities as of March 31, 2018 and December 31, 2017 , respectively. Unrealized losses are principally caused by changes in interest rates. In analyzing an issuer's financial condition, we consider whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and industry analysts' reports. As we have the ability to hold these available for sale marketable securities until maturity, or for the foreseeable future, no decline was deemed to be other-than-temporary.

Workers' Compensation Loss Rese

Workers' Compensation Loss Reserves	3 Months Ended
	Mar. 31, 2018
Insurance [Abstract]
WORKERS' COMPENSATION LOSS RESERVES	WORKERS' COMPENSATION LOSS RESERVES The following table summarizes the workers’ compensation loss reserve activity for the three months ended March 31, 2018 and 2017 : Three Months Ended (in millions) 2018 2017 Total loss reserves, beginning of period $ 255 $ 255 Incurred Current year 20 27 Prior years (7 ) 1 Total incurred 13 28 Paid Current year — — Prior years (18 ) (22 ) Total paid (18 ) (22 ) Total loss reserves, end of period $ 250 $ 261 The following summarizes workers' compensation liabilities on the condensed consolidated balance sheets: (in millions) March 31, December 31, Total loss reserves, end of period $ 250 $ 255 Collateral paid to carriers and offset against loss reserves (21 ) (23 ) Total loss reserves, net of carrier collateral offset $ 229 $ 232 Payable in less than 1 year $ 67 $ 67 Payable in more than 1 year 162 165 Total loss reserves, net of carrier collateral offset $ 229 $ 232 Incurred claims related to prior years represent changes in estimates for ultimate losses on workers' compensation claims. For the three months ended March 31, 2018 , the favorable development was primarily due to lower than expected severity of reported claims associated with office and non-office worker WSEs in recent accident years. As of March 31, 2018 and December 31, 2017 , we had $61 million and $63 million , respectively, of collateral held by insurance carriers of which $21 million and $23 million , respectively, was offset against workers' compensation loss reserves as the agreements permit and are net settled of insurance obligations against collateral held. Collateral paid to each carrier for a policy year in excess of our loss reserves is recorded as workers' compensation collateral receivable.

Financial Instruments and Fair

Financial Instruments and Fair Value Measurements	3 Months Ended
	Mar. 31, 2018
Investments, Debt and Equity Securities [Abstract]
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS	FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS Fair Value Measurements on a Recurring Basis The following table summarizes our financial instruments by significant categories and fair value measurement on a recurring basis as of March 31, 2018 and December 31, 2017 . (in millions) Level 1 Level 2 Total March 31, 2018 Restricted cash equivalents: Money market mutual funds $ 224 $ — $ 224 Commercial paper 20 — 20 Total restricted cash equivalents 244 — 244 Restricted investments: U.S. Treasuries 23 — 23 Exchange traded fund 1 — 1 Certificate of deposit — 2 2 Total restricted investments 24 2 26 Total restricted cash equivalents and investments $ 268 $ 2 $ 270 December 31, 2017 Restricted cash equivalents: Money market mutual funds $ 199 $ — $ 199 Commercial paper 21 — 21 Total restricted cash equivalents 220 — 220 Restricted investments: U.S. Treasuries 37 — 37 Exchange traded fund 1 — 1 Certificate of deposit — 2 2 Total restricted investments 38 2 40 Total restricted cash equivalents and investments $ 258 $ 2 $ 260 Restricted Cash Equivalents Our restricted cash equivalents include money market mutual funds and commercial paper. The carrying value of cash equivalents approximate their fair values due to the short-term maturities and are classified as Level 1 in the fair value hierarchy because we use quoted market prices that are readily available in an active market to determine the fair value. Restricted Investments Our restricted investments include U.S. Treasuries, an exchange traded fund and a certificate of deposit. The U.S. Treasuries and exchange traded fund are classified as Level 1 securities in the fair value hierarchy as we use active quoted market prices that are readily available in an active market to determine fair value. The certificate of deposit is classified as Level 2 in the fair value hierarchy as we use a market approach that compares the fair values on certificates with similar maturities. We did not have any Level 3 financial instruments as of March 31, 2018 and December 31, 2017 . There were no transfers between levels as of March 31, 2018 and December 31, 2017 . Fair Value of Financial Instruments Disclosures Notes Payable The carrying value of our notes payable at March 31, 2018 and December 31, 2017 was $415 million and $425 million , respectively. The estimated fair values of our notes payable at March 31, 2018 and December 31, 2017 were $418 million and $428 million , respectively. These valuations are considered Level 2 in the hierarchy for fair value measurement and are based on quoted market prices.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2018
Equity [Abstract]
STOCKHOLDERS' EQUITY	STOCKHOLDERS’ EQUITY Equity-Based Incentive Plans Our 2009 Equity Incentive Plan (2009 Plan) provides for the grant of stock awards, including stock options, restricted stock units (time-based and performance-based), restricted stock awards (time-based and performance-based) and other equity awards. The number of shares available for grant under this 2009 Plan as of March 31, 2018 was approximately 11 million . The following table summarizes stock option activity under our 2009 Plan for the three months ended March 31, 2018 : Number Balance at December 31, 2017 1,296,863 Exercised (206,430 ) Forfeited (4,167 ) Balance at March 31, 2018 1,086,266 Exercisable at March 31, 2018 1,011,038 The aggregate intrinsic value of stock options outstanding was $37 million and $41 million as of March 31, 2018 and December 31, 2017 , respectively. In March 2018, the Equity Award Committee of the Compensation Committee granted awards of time-based restricted stock (RSAs) and performance-based restricted stock (PRSAs) to the Company's named executive officers (as defined in Item 402(a)(3) of Regulation S-K promulgated by the Securities and Exchange Commission). A recipient of RSAs owns the underlying shares of common stock upon grant and some of the benefits of ownership, such as voting and dividend rights, but the recipient may not sell those shares and realize any value on a sale, until all time-based and performance-based restrictions have been satisfied or lapsed. Our RSAs granted in March 2018 are eligible to vest in equal installments on a quarterly basis over four years, subject to continued employment through the applicable vesting dates. The PRSAs are earned based on the extent to which the Company meets or exceeds certain annual growth rate percentages. Our PRSAs granted in March 2018 are designed with a single-year performance period subject to subsequent multi-year vesting requirements. Fifty percent of the shares earned (if any) during performance period (January 1, 2018 to December 31, 2018) will vest on December 31, 2019 and the remaining shares earned (if any) will vest on December 31, 2020. The following tables summarize restricted stock unit (RSU), performance-based restricted stock unit (PSU), RSA, and PRSA activity under our 2009 Plan for the three months ended March 31, 2018 : RSUs PSUs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 2,249,661 $ 24.83 453,674 $ 30.72 Granted 548,054 46.97 23,842 47.61 Vested (286,121 ) 23.96 (82,066 ) 33.51 Forfeited (88,396 ) 25.51 — — Nonvested at March 31, 2018 2,423,198 $ 29.91 395,450 $ 30.89 RSAs PRSAs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 — $ — — $ — Granted 72,991 47.61 169,088 47.61 Nonvested at March 31, 2018 72,991 $ 47.61 169,088 $ 47.61 Stock-Based Compensation Stock-based compensation expense is measured based on the fair value of the stock option on the grant date and recognized over the requisite service period for each separately vesting portion of the stock option award. Stock-based compensation expense and other disclosures for stock-based awards made to our employees pursuant to the equity plans was as follows: Three Months Ended (in millions) 2018 2017 Cost of providing services $ 2 $ 2 Sales and marketing 2 1 General and administrative 4 2 Systems development and programming costs 1 1 Total stock-based compensation expense $ 9 $ 6 Income tax benefit related to stock-based compensation expense $ 2 $ 2 Tax benefit realized from stock options exercised and similar awards $ 6 $ 6 Stock Repurchases The board of directors authorizes repurchases through an ongoing program initiated in May 2014. During the three months ended March 31, 2018 , we repurchased 160,033 shares of common stock for approximately $8 million . As of March 31, 2018 , approximately $129 million remained available for further repurchases of our common stock under our ongoing stock repurchase program under all authorizations from our board of directors.

Earnings Per Share (EPS)

Earnings Per Share (EPS)	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
EARNINGS PER SHARE (EPS)	EARNINGS PER SHAR E (EPS) The following table presents the computation of our basic and diluted EPS attributable to our common stock: Three Months Ended (in millions, except per share data) 2018 2017 Net income $ 54 $ 29 Weighted average shares of common stock outstanding 70 69 Basic EPS $ 0.77 $ 0.42 Net income $ 54 $ 29 Weighted average shares of common stock 70 69 Dilutive effect of stock options and restricted stock units 2 2 Weighted average shares of common stock outstanding 72 71 Diluted EPS $ 0.75 $ 0.41 Common stock equivalents excluded from income per diluted share because of their anti-dilutive effect 1 1

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES Our effective income tax rate was 20% and 36% for the three months ended March 31, 2018 and 2017 , respectively. The decrease was primarily attributable to a reduction of the federal corporate income tax rate from 35% to 21% on January 1, 2018 under the Tax Cuts and Jobs Act (TCJA). The decrease is also attributable to changes to uncertain income tax positions arising from state tax exposures recorded in the same period of 2017. The remaining impacts consisted of tax benefits recognized from excess tax benefits related to stock-based compensation and an increase in excludable income for state income tax purposes. During the three months ended March 31, 2018, there was a de minimis increase in our unrecognized tax benefits. The total amount of gross interest and penalties accrued was immaterial. Our unrecognized tax benefits are not expected to change significantly during the next 12 months. We are subject to tax in U.S. federal and various state and local jurisdictions, as well as Canada. We are not subject to any material income tax examinations in federal or state jurisdictions for tax years prior to January 1, 2011. We previously paid Notices of Proposed Assessments disallowing employment tax credits totaling $11 million , plus interest of $4 million in connection with the IRS examination of Gevity HR, Inc. and its subsidiaries, which was acquired by TriNet in June 2009. This issue is being resolved through the litigation process. Currently, we anticipate our recovery of the refund to likely be less than the total amount.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Lease Commitments We lease office facilities, including our headquarters and other facilities, and equipment under non-cancellable operating leases. For detail of these commitments refer to Note 13 in Part II, Item 8 in our 2017 Form 10-K. Credit Facilities We maintain a $75 million revolving credit facility which includes capacity for a $40 million letter of credit facility and a $10 million swingline facility. Letters of credit issued pursuant to the revolving credit facility reduce the amount available for borrowing under the revolving credit facility. The total unused portion of the revolving credit facility was $60 million as of March 31, 2018 . The terms of the credit agreement governing the revolving credit facility require us to maintain certain financial ratios at each quarter end. We were in compliance with these covenants at March 31, 2018 . We also have a $ 5 million line of credit facility to secure standby letters of credit related to our workers' compensation obligations. At March 31, 2018 , the total unused portion of the credit facility was $ 3 million . Standby Letters of Credit We have two standby letters of credit totaling $18 million provided as collateral for our workers’ compensation obligations. At March 31, 2018 , the facilities were not drawn down. Contingencies In August 2015, Howard Welgus, a purported stockholder. filed a putative securities class action lawsuit, Welgus v. TriNet Group, Inc. et. al. , under the Securities Exchange Act of 1934 in the United States District Court for the Northern District of California. The complaint was later amended in April 2016 and again in March 2017. On December 19, 2017, the district court granted TriNet’s motion to dismiss the amended complaint in its entirety, without leave to amend. Plaintiff filed a notice of appeal of the district court’s order on January 17, 2018. Plaintiff-Appellant filed his opening appeal brief before the Ninth Circuit Court of Appeals on April 27, 2018. TriNet intends to file a responsive brief by May 29, 2018. We will defend the appeal of the district court’s decision vigorously as we see no basis for reversal. We are unable to reasonably estimate the possible loss or expense, or range of losses and expenses, if any, arising from this litigation. We are and, from time to time, have been and may in the future become involved in various litigation matters, legal proceedings and claims arising in the ordinary course of its business, including disputes with our clients or various class action, collective action, representative action and other proceedings arising from the nature of our co-employment relationship with our clients and WSEs in which we are named as a defendant. In addition, due to the nature of our co-employment relationship with our clients and WSEs, we could be subject to liability for federal and state law violations, even if we do not participate in such violations. While our agreements with our clients contain indemnification provisions related to the conduct of our clients, we may not be able to avail ourselves of such provisions in every instance. We have accrued our current best estimates of probable losses with respect to these matters which are individually and in aggregate immaterial to our consolidated financial statements. While the outcome of the matters described above cannot be predicted with certainty, management currently does not believe that any such claims or proceedings or the above mentioned securities class action will have a materially adverse effect on our consolidated financial position, results of operations or cash flows. However, the unfavorable resolution of any particular matter or our reassessment of our exposure for any of the above matters based on additional information obtained in the future could have a material impact on our consolidated financial position, results of operations or cash flows.

Description of Business and S14

Description of Business and Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Segment Information	We operate in one reportable segment. All of our service revenues are generated from external clients. Less than 1% of our revenue is generated outside of the U.S.
Basis of Presentation	These unaudited condensed consolidated financial statements (Financial Statements) and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X of the Rules and Regulations of the Securities and Exchange Commission (SEC). Certain information and note disclosures included in our annual financial statements prepared in accordance with GAAP, have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the condensed consolidated financial statements reflect all adjustments, that are normal and recurring in nature, necessary for fair financial statement presentation. The results of operations for the first quarter of 2018 are not necessarily indicative of the operating results anticipated for the full year. These Financial Statements should be read in conjunction with the audited Consolidated Financial Statements included in Part II, Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2017 ( 2017 Form 10-K).
Reclassifications	Certain prior year amounts have been reclassified to conform to current period presentation. These reclassifications include short-term restricted cash, cash equivalents and investments previously classified as WSE-related assets and now presented within restricted cash, cash equivalents and investments. Refer to the accounting policy below for a description of amounts currently included in restricted cash, cash equivalents, and investments.
Use of Estimates	The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect certain reported amounts and related disclosures. Significant estimates include: • liability for unpaid losses and loss adjustment expenses (loss reserves) related to workers' compensation and workers' compensation collateral receivable, • health insurance loss reserves, • liability for insurance premiums payable, • impairments of goodwill and other intangible assets, • income tax assets and liabilities, and • liability for legal contingencies. These estimates are based on historical experience and on various other assumptions that we believe to be reasonable from the facts available to us. Some of the assumptions are highly uncertain at the time of estimation. To the extent actual experience differs from the assumptions used, our consolidated financial statements could be materially affected.
Revenue Recognition	On January 1, 2018, we adopted Accounting Standards Codification Topic 606 (ASC Topic 606) using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under ASC Topic 606, while the comparative prior period amounts are not restated and continue to be reported in accordance with statements previously accounted for under Accounting Standards Codification Topic 605. Upon adoption of ASC Topic 606, we recorded a $1 million cumulative effect adjustment to opening retained earnings as of January 1, 2018. Impacts from adoption of the new standard on our revenue recognition include: • Our annual service contracts with our clients that are cancellable with 30 days' notice are initially considered 30-day contracts under the new standard; • Professional service revenues are recognized on an output basis which results in recognition at the time payroll is processed; • Our non-refundable set up fees are no longer deferred but accounted for as part of our transaction price and are allocated among professional service revenues and insurance services revenues; and • The majority of sales commissions related to onboarding new clients that were previously expensed are capitalized as contract assets and amortized over the estimated customer life. Accounting Policies under ASC Topic 606 and Nature of Services Revenues are recognized when control of the promised services are transferred to our clients, in an amount that reflects the consideration that we expect to receive in exchange for services. We generate all of our revenue from contracts with customers. We disaggregate revenues by professional services revenues and insurance services revenues as reported on the condensed consolidated statements of operations and comprehensive income. Generally, both the client and the Company may terminate the contract without penalty by providing a 30-day notice. Performance Obligations At contract inception, we assess the services promised in our contracts with customers and identify a performance obligation for each distinct promise to transfer to the customer a service or bundle of services. We determined that the following distinct services represent separate performance obligations: • Payroll and payroll tax processing, • Health benefits services, and • Workers’ compensation services. Payroll and payroll tax processing performance obligations include services to process payroll and payroll tax-related transactions on behalf of our clients. Revenues associated with this performance obligation are reported as professional service revenues and recognized using an output method in which the control of the promised services is considered transferred when a client's payroll is processed by us and its WSEs are paid. Professional service revenues are stated net of the gross payroll and payroll tax amounts funded by our clients. Although we assume the responsibilities to process and remit the payroll and payroll related obligations, we do not assume employment-related responsibilities such as determining the amount of the payroll and related payroll obligations. As a result, we are considered the agent in this arrangement for revenue recognition purposes. Health benefits and workers' compensation services include performance obligations to provide TriNet-sponsored health benefits and workers' compensation insurance coverage through insurance policies provided by third-party insurance carriers. Revenues associated with these performance obligations are reported as insurance services revenues and are recognized using the output method over the period of time that the client and WSEs are covered under TriNet-sponsored insurance policies. As we control the selection of health benefits and workers' compensation coverage made available, insurance services revenues are reported gross since we are considered the principal in this arrangement for revenue recognition purposes. See Item 8 Note 1 in our Form 10-K for further discussion on our accounting policy for insurance costs. We generally charge new customers a nominal upfront non-refundable fee to recover our costs to set up the client on our TriNet platform for payroll processing and other administrative services, such as benefit enrollments. These fees are accounted for as part of our transaction price and are allocated among the performance obligations based on their relative standalone selling price. Variable Consideration and Pricing Allocation Our contracts with customers generally do not include any variable consideration. However, from time to time, we may offer incentive credits to our clients considered to be variable consideration including incentive credits issued related to contract renewals. Incentive credits are recorded as a reduction to revenue as part of the transaction price at contract inception when there is a basis to reasonably estimate the amount of the incentive credit and only to the extent that it is probable that a significant reversal of any incremental revenue will not occur. These incentive credits are allocated among the performance obligations based on their relative standalone selling price. We allocate the total transaction price to each performance obligation based on the estimated relative standalone selling prices of the promised services underlying each performance obligation. The transaction price for payroll and payroll tax processing performance obligations are determined upon establishment of the contract that contains the final terms of the sale, including the description and price of each service purchased. The estimated service fee is calculated based on observable inputs and include the following key assumptions: target profit margin, pricing strategies including the mix of services purchased and competitive factors, and customer and industry specifics. The transaction price for health benefits insurance and worker’s compensation insurance performance obligations is determined during the new client on-boarding and enrollment processes based on the types of benefits coverage the clients and WSEs have elected and the applicable risk profile of the client. We estimate our service fees based on actuarial specialists' forecasts of our expected insurance premiums and claim costs, and our proprietary model to develop an amount to cover our costs to administer these programs. We require our clients to prefund payroll and related taxes and other withholding liabilities before payroll is processed or due for payment. Under the provision of our contracts with customers, we generally will process the payment of a client’s payroll only when the client successfully funds the amount required. Certain contracts to provide payroll and payroll tax processing services permit the client to pay certain payroll tax components ratably over a 12-month period rather than as payroll tax is determined on wages paid, which may be considered a significant financing arrangement under ASC Topic 606. However, as the period between our performing the service under the contract and when the client pays for the service is less than one year, we have elected as a practical expedient, not to adjust the transaction price. Unbilled Revenue We recognize WSE payroll and payroll tax liabilities in the period in which the WSEs perform work. When clients' pay periods cross reporting periods, we accrue the portion of the unpaid WSE payroll where we assume, under state regulations, the obligation for the payment of wages and the corresponding payroll tax liabilities associated with the work performed prior to period-end. These estimated payroll and payroll taxes liabilities are accrued wages in WSE related liabilities. The associated receivables, including estimated insurance services revenues, offset by advance collections from clients, are recorded as unbilled revenues in WSE-related assets. Contract Costs We recognize as deferred commission expense the incremental cost to obtain a contract with a client for certain components under our commission plans for sales representatives and channel partners that are directly related to new customers onboarded as we expect to recover these costs through future service fees. Such assets will be amortized over the estimated average client tenure. These commissions are earned on the basis of the revenue generated from payroll and payroll tax processing performance obligations. When the commission on a renewal contract is not commensurate with the commission on the initial contract, such commission will be capitalized and amortized over the estimated average client tenure. If the commission for both initial contract and renewal contracts are commensurate, such commissions are expensed in the contract period. When the amortization period is less than one year, we apply practical expedient to expense sales commissions in sales and marketing expenses in the period incurred. We capitalized $9 million and amortized less than $1 million of the deferred commission during the first quarter 2018. Certain commission plans will pay a commission on estimated professional service revenues over the first 12 months of the contract with customers. The portion of commission paid in excess of the actual commission earned in that period is recorded as prepaid commission. When the prepaid commission is considered earned, it is classified as a deferred commission expense and subject to amortization. We do not have material contract assets and contract liabilities as of March 31, 2018. We require our clients to prefund payroll and related liabilities before payroll is processed or due for payment. If a client fails to fund payroll or misses the funding cut-off, at our sole discretion, we may pay the payroll and the resulting unfunded payroll is recognized as accounts receivable on the accompanying consolidated balance sheets. When client payment is received in advance of our performance under the contract, such amount is recorded as client deposits.
Restricted Cash, Cash Equivalents and Investments	Restricted cash and cash equivalents presented on our condensed consolidated balance sheets include: • corporate cash and cash equivalents in trust accounts functioning as security deposits for our insurance carriers, • payroll funds collected represents cash collected in advance from clients which we designate as restricted for the purpose of funding WSE payroll and payroll taxes and other payroll related liabilities, and • amounts held in trust for current and future premium and claim obligations with our insurance carriers, which amounts are held in trust according to the terms of the relevant insurance policies and by the local insurance regulations of the jurisdictions in which the policies are in force.
Recent Accounting Pronouncements	Recently adopted accounting guidance Revenue Recognition - In May 2014, the FASB issued ASU 2014-09-Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance under GAAP. The core principle of the guidance is that an entity should recognize revenue for the transfer of promised goods or services to customers that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard provides a five-step analysis of transactions to determine when and how revenue is recognized. We have adopted the new standard effective January 1, 2018 using the modified retrospective method. For further discussion of our adoption of ASC Topic 606, including our operating results under the new standard, see Revenue Recognition section above. The impact from the adoption of ASC Topic 606 to our condensed consolidated income statements and balance sheets is as follows: (in millions) As of and for the Three Months Ended March 31, 2018 Balance Using Previous Standard Increase (Decrease) Income statement Revenue Professional service revenues $ 129 $ 126 $ 3 Total revenues 861 858 3 Expense Sales and marketing expense Commissions expense 4 13 (9 ) Total expense 790 799 (9 ) Income before provision for income taxes 67 56 11 Income tax expense 13 11 2 Net income 54 45 9 Basic earnings per share 0.77 0.64 0.13 Diluted earnings per share 0.75 0.62 0.13 Balance sheet Assets Unbilled revenue (net of advance collections) $ 286 $ 291 $ (5 ) Prepaid expenses and other current assets 22 14 8 Other assets 18 14 4 Liabilities Accounts payable and other current liabilities 46 47 (1 ) Other liabilities 10 12 (2 ) Equity Retained earnings (332 ) (342 ) 10 Statement of Cash Flows - In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash . ASU 2016-18 addresses diversity in practice from entities classifying and presenting transfers between cash and restricted cash as operating, investing or financing activities or as a combination of those activities in the statement of cash flows. The ASU requires entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the Statement of Cash Flows. As a result, transfers between such categories are no longer be presented in the Statement of Cash Flows. We adopted ASU 2016-18 on January 1, 2018 using the retrospective method. Recently issued accounting pronouncements Lease arrangements - In February 2016, the FASB issued ASU 2016-02- Leases. The amendment requires that lease arrangements longer than 12 months result in an entity recognizing lease assets and lease liabilities. Most significant impact is on those leases classified as operating leases under previous U.S. GAAP. Under the new standard, disclosures are required to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The amendment is effective for annual reporting periods and interim periods within those years beginning after December 15, 2018. We currently anticipate adoption of the new standard effective January 1, 2019. We anticipate this standard will have a material impact on our condensed consolidated financial statements. While we continue to assess all potential impacts of the standard, we anticipate that there will be a material increase to assets and lease liabilities for existing property leases representing our nationwide office locations not already included on our condensed consolidated balance sheets.

Description of Business and S15

Description of Business and Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Impact of the Adoption of Topic 606 on the Condensed Consolidated Income Statements	The impact from the adoption of ASC Topic 606 to our condensed consolidated income statements and balance sheets is as follows: (in millions) As of and for the Three Months Ended March 31, 2018 Balance Using Previous Standard Increase (Decrease) Income statement Revenue Professional service revenues $ 129 $ 126 $ 3 Total revenues 861 858 3 Expense Sales and marketing expense Commissions expense 4 13 (9 ) Total expense 790 799 (9 ) Income before provision for income taxes 67 56 11 Income tax expense 13 11 2 Net income 54 45 9 Basic earnings per share 0.77 0.64 0.13 Diluted earnings per share 0.75 0.62 0.13 Balance sheet Assets Unbilled revenue (net of advance collections) $ 286 $ 291 $ (5 ) Prepaid expenses and other current assets 22 14 8 Other assets 18 14 4 Liabilities Accounts payable and other current liabilities 46 47 (1 ) Other liabilities 10 12 (2 ) Equity Retained earnings (332 ) (342 ) 10

Cash, Cash Equivalents and In16

Cash, Cash Equivalents and Investments (Tables)	3 Months Ended
	Mar. 31, 2018
Cash and Cash Equivalents [Abstract]
Summary of Cash, Cash Equivalents and Investments	Our total cash, cash equivalents and investments are summarized below: March 31, 2018 December 31, 2017 (in millions) Cash and cash equivalents Available for sale marketable securities Certificate of deposits Total Cash and cash equivalents Available for sale marketable securities Certificate of deposits Total Cash and cash equivalents $ 330 $ — $ — $ 330 $ 336 $ — $ — $ 336 Restricted cash, cash equivalents and investments Insurance carriers security deposits 15 — — 15 15 — — 15 Payroll funds collected 523 — — 523 1,095 — — 1,095 Collateral for health benefits claims 71 — — 71 69 — — 69 Collateral for workers' compensation claims 87 1 — 88 98 1 — 99 Collateral to secure standby letter of credit — — 2 2 — — 2 2 Total restricted cash, cash equivalents and investments 696 1 2 699 1,277 1 2 1,280 Restricted cash, cash equivalents and investments, noncurrent Collateral for workers' compensation claims 159 23 — 182 125 37 — 162 Total $ 1,185 $ 24 $ 2 $ 1,211 $ 1,738 $ 38 $ 2 $ 1,778
Amortized Cost, Gross Unrealized Gains and Losses, Fair Values and Related Maturities of Securities Available for Sale	The amortized cost, gross unrealized gains, gross unrealized losses, fair values, and related maturities of securities available for sale as of March 31, 2018 and December 31, 2017 are presented below: (in millions) Maturity Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value March 31, 2018 U.S. treasuries 1-5 years $ 23 $ — $ — $ 23 Exchange traded fund N/A 1 — — 1 Total $ 24 $ — $ — $ 24 December 31, 2017 U.S. treasuries 1-5 years $ 37 $ — $ — $ 37 Exchange traded fund N/A 1 — — 1 Total $ 38 $ — $ — $ 38

Workers' Compensation Loss Re17

Workers' Compensation Loss Reserves (Tables)	3 Months Ended
	Mar. 31, 2018
Insurance [Abstract]
Summary of Activities in Liability for Unpaid Claims and Claims Adjustment Expenses	The following table summarizes the workers’ compensation loss reserve activity for the three months ended March 31, 2018 and 2017 : Three Months Ended (in millions) 2018 2017 Total loss reserves, beginning of period $ 255 $ 255 Incurred Current year 20 27 Prior years (7 ) 1 Total incurred 13 28 Paid Current year — — Prior years (18 ) (22 ) Total paid (18 ) (22 ) Total loss reserves, end of period $ 250 $ 261 The following summarizes workers' compensation liabilities on the condensed consolidated balance sheets: (in millions) March 31, December 31, Total loss reserves, end of period $ 250 $ 255 Collateral paid to carriers and offset against loss reserves (21 ) (23 ) Total loss reserves, net of carrier collateral offset $ 229 $ 232 Payable in less than 1 year $ 67 $ 67 Payable in more than 1 year 162 165 Total loss reserves, net of carrier collateral offset $ 229 $ 232

Financial Instruments and Fai18

Financial Instruments and Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Summary of Financial Instruments by Significant Categories and Fair Value Measurement on a Recurring Basis	The following table summarizes our financial instruments by significant categories and fair value measurement on a recurring basis as of March 31, 2018 and December 31, 2017 . (in millions) Level 1 Level 2 Total March 31, 2018 Restricted cash equivalents: Money market mutual funds $ 224 $ — $ 224 Commercial paper 20 — 20 Total restricted cash equivalents 244 — 244 Restricted investments: U.S. Treasuries 23 — 23 Exchange traded fund 1 — 1 Certificate of deposit — 2 2 Total restricted investments 24 2 26 Total restricted cash equivalents and investments $ 268 $ 2 $ 270 December 31, 2017 Restricted cash equivalents: Money market mutual funds $ 199 $ — $ 199 Commercial paper 21 — 21 Total restricted cash equivalents 220 — 220 Restricted investments: U.S. Treasuries 37 — 37 Exchange traded fund 1 — 1 Certificate of deposit — 2 2 Total restricted investments 38 2 40 Total restricted cash equivalents and investments $ 258 $ 2 $ 260

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2018
Equity [Abstract]
Stock Option Activity Under Equity-Based Plans	The following table summarizes stock option activity under our 2009 Plan for the three months ended March 31, 2018 : Number Balance at December 31, 2017 1,296,863 Exercised (206,430 ) Forfeited (4,167 ) Balance at March 31, 2018 1,086,266 Exercisable at March 31, 2018 1,011,038
Restricted Stock Unit and Restricted Stock Award Activity Under Equity-Based Plans	The following tables summarize restricted stock unit (RSU), performance-based restricted stock unit (PSU), RSA, and PRSA activity under our 2009 Plan for the three months ended March 31, 2018 : RSUs PSUs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 2,249,661 $ 24.83 453,674 $ 30.72 Granted 548,054 46.97 23,842 47.61 Vested (286,121 ) 23.96 (82,066 ) 33.51 Forfeited (88,396 ) 25.51 — — Nonvested at March 31, 2018 2,423,198 $ 29.91 395,450 $ 30.89 RSAs PRSAs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 — $ — — $ — Granted 72,991 47.61 169,088 47.61 Nonvested at March 31, 2018 72,991 $ 47.61 169,088 $ 47.61
Performance Stock Unit and Performance Stock Award Activity Under Equity-Based Plans	The following tables summarize restricted stock unit (RSU), performance-based restricted stock unit (PSU), RSA, and PRSA activity under our 2009 Plan for the three months ended March 31, 2018 : RSUs PSUs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 2,249,661 $ 24.83 453,674 $ 30.72 Granted 548,054 46.97 23,842 47.61 Vested (286,121 ) 23.96 (82,066 ) 33.51 Forfeited (88,396 ) 25.51 — — Nonvested at March 31, 2018 2,423,198 $ 29.91 395,450 $ 30.89 RSAs PRSAs Number of Units Weighted-Average Grant Date Fair Value Number of Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2017 — $ — — $ — Granted 72,991 47.61 169,088 47.61 Nonvested at March 31, 2018 72,991 $ 47.61 169,088 $ 47.61
Stock-based Compensation Expense	Stock-based compensation expense and other disclosures for stock-based awards made to our employees pursuant to the equity plans was as follows: Three Months Ended (in millions) 2018 2017 Cost of providing services $ 2 $ 2 Sales and marketing 2 1 General and administrative 4 2 Systems development and programming costs 1 1 Total stock-based compensation expense $ 9 $ 6 Income tax benefit related to stock-based compensation expense $ 2 $ 2 Tax benefit realized from stock options exercised and similar awards $ 6 $ 6

Earnings Per Share (EPS) (Table

Earnings Per Share (EPS) (Tables)	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
Computation of Basic and Diluted EPS	The following table presents the computation of our basic and diluted EPS attributable to our common stock: Three Months Ended (in millions, except per share data) 2018 2017 Net income $ 54 $ 29 Weighted average shares of common stock outstanding 70 69 Basic EPS $ 0.77 $ 0.42 Net income $ 54 $ 29 Weighted average shares of common stock 70 69 Dilutive effect of stock options and restricted stock units 2 2 Weighted average shares of common stock outstanding 72 71 Diluted EPS $ 0.75 $ 0.41 Common stock equivalents excluded from income per diluted share because of their anti-dilutive effect 1 1

Description of Business and S21

Description of Business and Significant Accounting Policies - Additional Information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2018USD ($)segment	Jan. 01, 2018USD ($)	Dec. 31, 2017USD ($)
Product Information [Line Items]
Retained earnings	$ (332)		$ (377)
Number of reportable segments | segment	1
Contract costs capitalized	$ 9
Amortization of capitalized contract costs	1
ASU 2014-09 | Difference between Revenue Guidance in Effect before and after Topic 606
Product Information [Line Items]
Retained earnings	$ 10	$ 1
Non-US | Revenue | Foreign Sales
Product Information [Line Items]
Percent of concentration risk	1.00%

Description of Business and S22

Description of Business and Significant Accounting Policies - Impact of the Adoption of Topic 606 on the Condensed Consolidated Income Statements (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Jan. 01, 2018	Dec. 31, 2017
Revenue
Professional service revenues	$ 129	$ 120
Total revenues	861	808
Expense
Commissions expense	4
Total expense	790	758
Income before provision for income taxes	67	45
Income tax expense	13	16
Net income	$ 54	$ 29
Basic EPS (in dollars per share)	$ 0.77	$ 0.42
Diluted EPS (in dollars per share)	$ 0.75	$ 0.41
Assets
Unbilled revenue (net of advance collections)	$ 286			$ 297
Prepaid expenses and other current assets	22			15
Other assets	18			16
Accounts payable and other current liabilities	46			59
Liabilities
Other liabilities	10			14
Equity
Retained earnings	(332)			$ (377)
Balance using Previous Standard
Revenue
Professional service revenues	126
Total revenues	858
Expense
Commissions expense	13
Total expense	799
Income before provision for income taxes	56
Income tax expense	11
Net income	$ 45
Basic EPS (in dollars per share)	$ 0.64
Diluted EPS (in dollars per share)	$ 0.62
Assets
Unbilled revenue (net of advance collections)	$ 291
Prepaid expenses and other current assets	14
Other assets	14
Liabilities
Accounts payable and other current liabilities	47
Other liabilities	12
Equity
Retained earnings	(342)
ASU 2014-09 | Increase (Decrease)
Revenue
Professional service revenues	3
Total revenues	3
Expense
Commissions expense	(9)
Total expense	(9)
Income before provision for income taxes	11
Income tax expense	2
Net income	$ 9
Basic EPS (in dollars per share)	$ 0.13
Diluted EPS (in dollars per share)	$ 0.13
Assets
Unbilled revenue (net of advance collections)	$ (5)
Prepaid expenses and other current assets	8
Other assets	4
Liabilities
Accounts payable and other current liabilities	(1)
Other liabilities	(2)
Equity
Retained earnings	$ 10		$ 1

Cash, Cash Equivalents and In23

Cash, Cash Equivalents and Investments - Summary of Cash, Cash Equivalents and Investments (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	$ 330	$ 336
Restricted cash, cash equivalents and investments	699	1,280
Restricted cash, cash equivalents and investments, noncurrent	182	162
Total restricted cash equivalents and investments	1,211	1,778
Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	330	336
Restricted cash, cash equivalents and investments	696	1,277
Total restricted cash equivalents and investments	1,185	1,738
Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	0	0
Restricted cash, cash equivalents and investments	1	1
Total restricted cash equivalents and investments	24	38
Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	0	0
Restricted cash, cash equivalents and investments	2	2
Total restricted cash equivalents and investments	2	2
Insurance carriers security deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	15	15
Insurance carriers security deposits | Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	15	15
Insurance carriers security deposits | Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Insurance carriers security deposits | Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Payroll funds collected
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	523	1,095
Payroll funds collected | Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	523	1,095
Payroll funds collected | Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Payroll funds collected | Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Collateral for health benefits claims
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	71	69
Collateral for health benefits claims | Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	71	69
Collateral for health benefits claims | Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Collateral for health benefits claims | Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Collateral for workers' compensation claims
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	88	99
Restricted cash, cash equivalents and investments, noncurrent	182	162
Collateral for workers' compensation claims | Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	87	98
Restricted cash, cash equivalents and investments, noncurrent	159	125
Collateral for workers' compensation claims | Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	1	1
Restricted cash, cash equivalents and investments, noncurrent	23	37
Collateral for workers' compensation claims | Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Restricted cash, cash equivalents and investments, noncurrent	0	0
Collateral to secure standby letter of credit
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	2	2
Collateral to secure standby letter of credit | Cash and cash equivalents
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Collateral to secure standby letter of credit | Available for sale marketable securities
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	0	0
Collateral to secure standby letter of credit | Certificate of deposits
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash, cash equivalents and investments	$ 2	$ 2

Cash, Cash Equivalents and In24

Cash, Cash Equivalents and Investments - Amortized Cost, Gross Unrealized Gains and Losses, Fair Values and Related Maturities of Securities Available for Sale (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost	$ 24	$ 38
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair Value	24	38
U.S. treasuries
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost	23	37
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair Value	$ 23	$ 37
U.S. treasuries | Minimum
Schedule Of Available For Sale Securities [Line Items]
Maturity	1 year	1 year
U.S. treasuries | Maximum
Schedule Of Available For Sale Securities [Line Items]
Maturity	5 years	5 years
Exchange traded fund
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost	$ 1	$ 1
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair Value	$ 1	$ 1

Cash, Cash Equivalents and In25

Cash, Cash Equivalents and Investments - Narrative (Details)	Mar. 31, 2018	Dec. 31, 2017
U.S. treasuries
Schedule Of Available For Sale Securities [Line Items]
Percent of total fair value of all securities in an unrealized loss position	89.00%	78.00%

Workers' Compensation Loss Re26

Workers' Compensation Loss Reserves - Summary of Workers' Compensation Loss Reserve Activity (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Total loss reserves, beginning of period	$ 255	$ 255
Incurred
Current year	20	27
Prior years	(7)	1
Total incurred	13	28
Paid
Current year	0	0
Prior years	(18)	(22)
Total paid	(18)	(22)
Total loss reserves, end of period	$ 250	$ 261

Workers' Compensation Loss Re27

Workers' Compensation Loss Reserves - Summary of Workers' Compensation Liabilities (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017	Dec. 31, 2016
Insurance [Abstract]
Total loss reserves, end of period	$ 250	$ 255	$ 261	$ 255
Collateral paid to carriers and offset against loss reserves	(21)	(23)
Total loss reserves, net of carrier collateral offset	229	232
Payable in less than 1 year (net of collateral paid to carriers of $5 and $6 at March 31, 2018 and December 31, 2017, respectively)	67	67
Payable in more than 1 year (net of collateral paid to carriers of $16 and $17 at March 31, 2018 and December 31, 2017, respectively)	162	165
Collateral paid to carriers, current	5	6
Collateral paid to carriers, noncurrent	$ 16	$ 17

Workers' Compensation Loss Re28

Workers' Compensation Loss Reserves - Additional Information (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Insurance [Abstract]
Collateral held by insurance carriers	$ 61	$ 63
Collateral paid to carriers and offset against loss reserves	$ 21	$ 23

Financial Instruments and Fai29

Financial Instruments and Fair Value Measurements - Summary of Financial Instruments by Significant Categories and Fair Value Measurement on a Recurring Basis (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Fair Value, Financial Instruments [Line Items]
Total restricted cash equivalents and investments	$ 1,211	$ 1,778
Certificate of deposit
Fair Value, Financial Instruments [Line Items]
Total restricted cash equivalents and investments	2	2
Fair Value Measurement on a Recurring Basis
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	244	220
Restricted investments	26	40
Total restricted cash equivalents and investments	270	260
Fair Value Measurement on a Recurring Basis | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	244	220
Restricted investments	24	38
Total restricted cash equivalents and investments	268	258
Fair Value Measurement on a Recurring Basis | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	0	0
Restricted investments	2	2
Total restricted cash equivalents and investments	2	2
Fair Value Measurement on a Recurring Basis | U.S. treasuries
Fair Value, Financial Instruments [Line Items]
Restricted investments	23	37
Fair Value Measurement on a Recurring Basis | U.S. treasuries | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted investments	23	37
Fair Value Measurement on a Recurring Basis | U.S. treasuries | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted investments	0	0
Fair Value Measurement on a Recurring Basis | Exchange traded fund
Fair Value, Financial Instruments [Line Items]
Restricted investments	1	1
Fair Value Measurement on a Recurring Basis | Exchange traded fund | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted investments	1	1
Fair Value Measurement on a Recurring Basis | Exchange traded fund | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted investments	0	0
Fair Value Measurement on a Recurring Basis | Certificate of deposit
Fair Value, Financial Instruments [Line Items]
Restricted investments	2	2
Fair Value Measurement on a Recurring Basis | Certificate of deposit | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted investments	0	0
Fair Value Measurement on a Recurring Basis | Certificate of deposit | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted investments	2	2
Fair Value Measurement on a Recurring Basis | Money market mutual funds
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	224	199
Fair Value Measurement on a Recurring Basis | Money market mutual funds | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	224	199
Fair Value Measurement on a Recurring Basis | Money market mutual funds | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	0	0
Fair Value Measurement on a Recurring Basis | Commercial paper
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	20	21
Fair Value Measurement on a Recurring Basis | Commercial paper | Level 1
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	20	21
Fair Value Measurement on a Recurring Basis | Commercial paper | Level 2
Fair Value, Financial Instruments [Line Items]
Restricted cash equivalents	$ 0	$ 0

Financial Instruments and Fai30

Financial Instruments and Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying value of notes payable	$ 415	$ 425
Estimated Fair Values
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Estimated fair value of notes payable	$ 418	$ 428

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available for grant (in shares)	11,000,000
Aggregate intrinsic value of stock options outstanding	$ 37	$ 41
Stock repurchased during period (in shares)	160,033
Stock repurchased during period	$ 8
Amount available for further repurchases under stock repurchase program	$ 129
PRSAs | Tranche 1
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	50.00%

Stockholders' Equity - Stock Op

Stockholders' Equity - Stock Option Activity Under Equity-Based Plans (Details)	3 Months Ended
	Mar. 31, 2018shares
Number of Shares
Balance (in shares)	1,296,863
Exercised (in shares)	(206,430)
Forfeited (in shares)	(4,167)
Balance (in shares)	1,086,266
Exercisable (in shares)	1,011,038

Stockholders' Equity - RSU, RSA

Stockholders' Equity - RSU, RSA, PSU, and PRSA Activity Under Equity-Based Plans (Details)	3 Months Ended
	Mar. 31, 2018$ / sharesshares
RSUs
Number of Units
Nonvested (in shares) | shares	2,249,661
Granted (in shares) | shares	548,054
Vested (in shares) | shares	(286,121)
Forfeited (in shares) | shares	(88,396)
Nonvested (in shares) | shares	2,423,198
Weighted-Average Grant Date Fair Value
Nonvested (in dollars per share) | $ / shares	$ 24.83
Granted (in dollars per share) | $ / shares	46.97
Vested (in dollars per share) | $ / shares	23.96
Forfeited (in dollars per share) | $ / shares	25.51
Nonvested (in dollars per share) | $ / shares	$ 29.91
PSUs
Number of Units
Nonvested (in shares) | shares	453,674
Granted (in shares) | shares	23,842
Vested (in shares) | shares	(82,066)
Forfeited (in shares) | shares	0
Nonvested (in shares) | shares	395,450
Weighted-Average Grant Date Fair Value
Nonvested (in dollars per share) | $ / shares	$ 30.72
Granted (in dollars per share) | $ / shares	47.61
Vested (in dollars per share) | $ / shares	33.51
Forfeited (in dollars per share) | $ / shares	0
Nonvested (in dollars per share) | $ / shares	$ 30.89
RSAs
Number of Units
Nonvested (in shares) | shares	0
Granted (in shares) | shares	72,991
Nonvested (in shares) | shares	72,991
Weighted-Average Grant Date Fair Value
Nonvested (in dollars per share) | $ / shares	$ 0
Granted (in dollars per share) | $ / shares	47.61
Nonvested (in dollars per share) | $ / shares	$ 47.61
PRSAs
Number of Units
Nonvested (in shares) | shares	0
Granted (in shares) | shares	169,088
Nonvested (in shares) | shares	169,088
Weighted-Average Grant Date Fair Value
Nonvested (in dollars per share) | $ / shares	$ 0
Granted (in dollars per share) | $ / shares	47.61
Nonvested (in dollars per share) | $ / shares	$ 47.61

Stockholders' Equity - Stock-Ba

Stockholders' Equity - Stock-Based Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 9	$ 6
Income tax benefit related to stock-based compensation expense	2	2
Tax benefit realized from stock options exercised and similar awards	6	6
Cost of providing services
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	2	2
Sales and marketing
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	2	1
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	4	2
Systems development and programming costs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 1	$ 1

Earnings Per Share (EPS) - Comp

Earnings Per Share (EPS) - Computation of Basic and Diluted EPS Attributable to Common Stock (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Basic EPS
Net income	$ 54	$ 29
Weighted average shares of common stock outstanding (in shares)	70,047,752	68,509,328
Basic EPS (in dollars per share)	$ 0.77	$ 0.42
Diluted EPS
Net income	$ 54	$ 29
Weighted average shares of common stock outstanding (in shares)	70,047,752	68,509,328
Dilutive effect of stock options and restricted stock units (in shares)	2,000,000	2,000,000
Weighted average shares of common stock outstanding (in shares)	72,274,821	70,913,970
Diluted EPS (in dollars per share)	$ 0.75	$ 0.41
Common stock equivalents excluded from income per diluted share because of their anti-dilutive effect (in shares)	1,000,000	1,000,000

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Income Tax Contingency [Line Items]
Effective income tax rate	20.00%	36.00%
Disallowed employment tax credits	$ 11
Internal Revenue Service
Income Tax Contingency [Line Items]
Interest on disallowed employment tax credits	$ 4

Commitments and Contingencies (

Commitments and Contingencies (Details)	Mar. 31, 2018USD ($)letter_of_credit
Debt Instrument [Line Items]
Number of letters of credit provided as collateral | letter_of_credit	2
Standby Letters of Credit
Debt Instrument [Line Items]
Current borrowing capacity	$ 18,000,000
Credit Facility | Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility	75,000,000
Unused portion of facility	60,000,000
Credit Facility | Letter of Credit Facility
Debt Instrument [Line Items]
Line of credit facility	40,000,000
Credit Facility | Swingline Facility
Debt Instrument [Line Items]
Line of credit facility	10,000,000
Collateral for Workers' Compensation Obligation | Line of Credit Facility
Debt Instrument [Line Items]
Line of credit facility	5,000,000
Unused portion of facility	$ 3,000,000