The following table sets forth the computation of basic and diluted earnings per share from continuing operations for the three and nine months ended September 30, 2014 and 2013 (in thousands, except per share data).


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2014		2013		2014		2013
Numerator:
Income from continuing operations	$	7,284	$	5,476	$	31,506	$	28,217

Denominator:
Basic
Weighted average common shares outstanding		48,451		48,504		48,303		49,187

Diluted
Stock options (1)		725		227		779		52
Restricted stock awards		209		204		289		230
Contingent shares (2)		103		68		103		68
Convertible senior subordinated notes (3)		1,721		—		1,995		—

Diluted weighted average common shares outstanding		51,209		49,003		51,469		49,537

Basic earnings per share from continuing operations	$	0.15	$	0.11	$	0.65	$	0.57

Diluted earnings per share from continuing operations	$	0.14	$	0.11	$	0.61	$	0.57

(1)

A total of 1.3 million and 1.1 million share based awards were excluded from the calculation of diluted earnings per share for the three and nine months ended September 30, 2014, respectively, and a total of 6.5 million and 7.6 million share based awards were excluded from the calculation of diluted earnings per share for the three and nine months ended September 30, 2013, respectively, as they were anti-dilutive.

(2)	Contingent shares represent additional shares to be issued for purchase price earned by former owners of businesses acquired by CBIZ once future conditions have been met.

(3)	The dilutive impact of potential shares to be issued related to the 2010 Notes based on the average share price of $8.53 and $8.73 for the three and nine months ended September 30, 2014, respectively, which exceeded the conversion price of $7.41.