Composition of Certain Financial Statement Captions

9 Months Ended

Sep. 30, 2022

Items Included in Consolidated Statement of Financial Condition [Abstract]

Composition of Certain Financial Statement Captions

Receivables

Receivables on the accompanying Consolidated Balance Sheets consist of:


	September 30, 2022		December 31, 2021
Trade receivables	$	121,181	$	111,209
Fees earned, not billed	332,457		315,255
Other receivables	31,390		16,747
	485,028		443,211
Less: Allowance for doubtful accounts	(2,336)		(1,602)
	$	482,692	$	441,609

Fees earned, not billed represents receivables from contracts with customers earned but unbilled and results from timing differences between services provided and contractual billing schedules. These billing schedules generally provide for fees to be billed on a quarterly basis. In addition, certain fees earned from investment operations services are calculated based on assets under administration that have an extended valuation process. Billings to these clients occur once the asset valuation processes are completed.

Receivables from investment products on the accompanying Consolidated Balance Sheets primarily represent fees receivable for distribution, investment advisory, and administration services to various regulated investment companies and other investment products sponsored by SEI.

Property and Equipment

Property and Equipment on the accompanying Consolidated Balance Sheets consists of:


	September 30, 2022		December 31, 2021
Buildings	$	210,108	$	209,766
Equipment	175,059		153,158
Land	26,439		24,651
Purchased software	160,437		156,387
Furniture and fixtures	21,402		21,254
Leasehold improvements	19,590		21,946
Construction in progress	960		955
	613,995		588,117
Less: Accumulated depreciation	(431,473)		(409,248)
Property and Equipment, net	$	182,522	$	178,869

The Company recognized $24,942 and $25,141 in depreciation expense related to property and equipment for the nine months ended September 30, 2022 and 2021, respectively.

Deferred Contract Costs

Deferred contract costs, which primarily consist of deferred sales commissions, were $37,790 and $36,236 as of September 30, 2022 and December 31, 2021, respectively. The Company deferred expenses related to contract costs of $4,648 and $2,932 during the three months ended September 30, 2022 and 2021, respectively. During the nine months ended September 30, 2022 and 2021, the Company deferred expenses related to contract costs of $9,710 and $6,978, respectively. Amortization expense related to deferred contract costs were $8,156 and $6,496 during the nine months ended September 30, 2022 and 2021, respectively. Amortization expense during the nine months ended September 30, 2022 includes $1,784 in expense accelerated as a result of the termination of a contractual agreement with a significant client (See Note 13). Amortization expense related to deferred contract costs is included in Compensation, benefits and other personnel on the accompanying Consolidated Statements of Operations. There were no material impairment losses in relation to deferred contract costs during the nine months ended September 30, 2022.

Accrued Liabilities

Accrued liabilities on the accompanying Consolidated Balance Sheets consist of:


	September 30, 2022		December 31, 2021
Accrued employee compensation	$	82,946	$	107,933
Accrued employee benefits and other personnel	7,142		13,951
Accrued voluntary separation program	58,424		—
Accrued consulting, outsourcing and professional fees	41,919		36,411
Accrued sub-advisory, distribution and other asset management fees	57,988		58,661

Accrued dividend payable	—		55,452

Other accrued liabilities	46,568		51,974
Total accrued liabilities	$	294,987	$	324,382