Other Balance Sheet Information (Notes)

6 Months Ended

Jun. 30, 2024

OtherBalanceSheetDisclosuresAbstract [Abstract]

Other Balance Sheet Disclosures [Text Block]


3.			Other Balance Sheet Information

Cash, Cash Equivalents and Marketable Securities

The following table summarizes our cash and investments in cash equivalents and marketable securities held by investment managers and overnight investments:


	June 30, 2024						December 31, 2023
(in millions)	Cash & Cash Equivalents		Marketable Securities		Total		Cash & Cash Equivalents		Marketable Securities		Total

Overnight holdings	$	520	$	—	$	520	$	611	$	—	$	611
Investment holdings	158		16		174		119		16		135
	678		16		694		730		16		746
Cash in demand accounts	14		—		14		27		—		27
Outstanding checks	(16)		—		(16)		(64)		—		(64)
Total	$	676	$	16	$	692	$	693	$	16	$	709

Our cash and overnight holdings fluctuate based on the timing of clients’ payroll processing cycles. Our cash, cash equivalents and marketable securities at June 30, 2024 and December 31, 2023 included $459 million and $510 million, respectively, of funds associated with federal and state income tax withholdings, employment taxes, and other payroll deductions, as well as $22 million and $28 million, respectively, in client prepayments. At June 30, 2024, our cash, cash equivalents and marketable securities included $97 million of funds we received in late June 2024 from the Internal Revenue Service related to employee retention tax credits claimed by our PEO clients under the COVID relief programs, that were distributed to clients in early July 2024.

Cash, Cash Equivalents, Restricted Cash and Funds Held for Clients

The following table summarizes our cash, cash equivalents, restricted cash, funds held for clients, and deposits - workers’ compensation as reported in our Consolidated Statements of Cash Flows:


	Six Months Ended June 30,
(in millions)	2024		2023

Supplemental schedule of cash and cash equivalents, restricted cash and funds held for clients
Cash and cash equivalents	$	693	$	733
Restricted cash	57		50
Other current assets – funds held for clients(1)	87		35
Deposits – workers’ compensation	198		196
Cash, cash equivalents, restricted cash and funds held for clients beginning of period	$	1,035	$	1,014

Cash and cash equivalents	$	676	$	580
Restricted cash	64		48
Other current assets – funds held for clients(1)	38		34
Deposits – workers’ compensation	170		181
Cash, cash equivalents, restricted cash and funds held for clients end of period	$	948	$	843

____________________________________

(1)Funds held for clients represent amounts held on behalf of our Traditional Payroll Solution customers that are restricted for the purpose of satisfying obligations to remit funds to clients’ employees and various tax authorities.

Please read Note 2. “Accounting Policies,” for a discussion of our accounting policies for deposits – workers’ compensation and restricted cash.

Payroll Taxes and Other Payroll Deductions Payable

As a co-employer, we generally assume responsibility for the withholding and remittance of federal and state payroll taxes and other payroll deductions with respect to wages and salaries paid to our WSEEs. As of June 30, 2024 and December 31, 2023, payroll taxes and other payroll deductions payable were $504 million and $566 million, respectively. The balance at June 30, 2024 includes $97 million of funds we received in late June 2024 from the Internal Revenue Service related to employee retention tax credits claimed by our PEO clients under the COVID relief programs, that were distributed to clients in early July 2024.