Paylocity Holding Corp

Paylocity

Overview

Paylocity is a cloud-based provider of human capital management (HCM), finance, and IT software solutions. The company delivers a unified SaaS platform that automates HR, finance, and IT operations, manages spend and talent, and supports employee connection with AI embedded into workflows.

Scale and customers

• Approximately 44,400 client organizations in the United States as of June 30, 2026 (excluding clients acquired through acquisitions).
• Average client size: over 150 employees.
• Customer concentration: no single client accounted for more than 1% of revenues in fiscal years 2024, 2025, or 2026.

Financial highlights

• Total revenues:
  • Fiscal 2024: $1,402.5 million
  • Fiscal 2025: $1,595.2 million (14% year-over-year increase)
  • Fiscal 2026: $1,771.3 million (11% year-over-year increase)
• Revenue retention: greater than 92% in fiscal years 2024, 2025, and 2026.

Workforce

• Approximately 6,900 employees as of June 30, 2026, with the vast majority located in the United States and employed full time.

Platform and capabilities

Platform architecture: unified, cloud-based platform built on a single employee record with workflows and integrations across HR, finance, and IT.

Key product categories and features:

• Payroll and Tax Services
  • Payroll processing, tax deposits, and filing across local, state, and federal jurisdictions
  • Global payroll for employees outside the U.S. (in over 100 countries)
  • On Demand Payment (earned wages between pay cycles)
  • Garnishments and Elevate Payroll (managed payroll processes)
• Human Resources (HR)
  • HR data management, compliance tracking, onboarding, employee self-service, workflows, and documents
  • HR Compliance Dashboard and Elevate HR / HR Edge advisory options
• Time & Labor
  • Time and attendance, AI-driven scheduling, and time collection via multiple devices
• Talent (Recruiting, Onboarding, Learning, Performance, Compensation, Market Pay)
  • Recruiting tools with AI-powered add-ons for re-engagement and outreach
  • Onboarding, learning management, continuous performance and compensation tools
  • Market Pay for real-time compensation insights
• Benefits
  • Benefits enrollment and updates; third-party administrative (TPA) solutions (HSA/HRA/FSA, etc.)
  • Retirement plan management integration
• Employee Experience
  • Community, video, employee engagement feedback, recognition & rewards, data insights, reporting
• Paylocity for Finance
  • Headcount planning, expense management, AI-powered accounts payable automation, corporate cards, guided procurement
• Paylocity for IT
  • Access and identity management, asset management

AI and analytics

• Ignite AI: platform-wide AI with agents embedded in workflows for tasks such as payroll, time, and recruiting.
• Ignite AI Hub: centralized dashboard to manage and measure AI adoption, impact, and governance.

Go-to-market

• Direct sales force supported by marketing activities, including seminars, webinars, and digital marketing.
• Strong referral network (401(k) advisors, benefits administrators, insurance brokers, HR consultants, accountants); in fiscal 2026, more than 25% of new client revenue originated from referrals.
• Integrated marketplace and partnerships with hundreds of third-party systems for data exchange with payroll, HR, and benefits providers.

Platform and security posture

• Cloud-based hosting with multiple data centers, including Franklin Park, IL, and Kenosha, WI for backup and disaster recovery.
• Security and privacy practices aligned with frameworks such as NIST CSF and ISO 27001, and subject to SOC 1 and SOC 2 audits; ongoing third-party risk assessments and vendor security reviews.
• Data and application security features include encryption in transit and at rest, intrusion detection, firewalls, data loss prevention, and regular vulnerability management.

Customer service and delivery

• Integrated implementation and client service organization with dedicated teams for implementation, account management, payroll processing, and tax services.
• Focus on rapid implementation, scalable architecture, and ongoing client support to maintain high revenue retention.

Growth outlook

• Strategy emphasizes extending technological leadership in AI, automation, analytics, and mobile; growing the client base; expanding product offerings; and broadening referral and partner ecosystems.
• The company targets increasing spend per client and per employee through expanded offerings and integrations.