XML 35 R22.htm IDEA: XBRL DOCUMENT v3.25.1
INVESTMENTS AND FAIR VALUE MEASUREMENTS (Tables)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table presents the fair value hierarchy for our financial assets and liabilities measured at fair value on a recurring basis for the periods presented below (in thousands):
Total Carrying ValueLevel 1Level 2Level 3
March 31, 2025
Assets:    
Funds held for clients
Money market funds$4,788 $4,788 $— $— 
Available-for-sale securities72,092 — 72,092 — 
Total$76,880 $4,788 $72,092 $— 
December 31, 2024
Assets:
Funds held for clients
Money market funds$8,105 $8,105 $— $— 
Available-for-sale securities68,328 — 68,328 — 
Total$76,433 $8,105 $68,328 $— 
Debt Securities, Available-for-sale
Cash equivalents and investments classified as available-for-sale within funds held for clients consisted of the following for the periods presented below (in thousands):
Amortized
Cost
Gross
Unrealized
Gains (1)
Gross
Unrealized
Losses (1)
Aggregate
Estimated
Fair Value
March 31, 2025
Cash equivalents$4,789 $— $(1)$4,788 
Available-for-sale securities:
Corporate debt securities66,579 305 (364)66,520 
Municipal bonds3,191 — (76)3,115 
U.S. Government agency securities2,454 13 (10)2,457 
Total available-for-sale securities72,224 318 (450)72,092 
Total(2)
$77,013 $318 $(451)$76,880 
December 31, 2024
Cash equivalents$8,115 $— $(10)$8,105 
Available-for-sale securities:
Corporate debt securities63,253 164 (619)62,798 
Municipal bonds3,194 — (104)3,090 
U.S. Government agency securities2,449 6 (15)2,440 
Total available-for-sale securities68,896 170 (738)68,328 
Total(2)
$77,011 $170 $(748)$76,433 

(1)Unrealized gains and losses on available-for-sale securities are included as a component of comprehensive loss. As of March 31, 2025 and December 31, 2024, there were 79 and 45 securities, respectively, in an unrealized gain position and there were 61 and 89 securities in an unrealized loss position, respectively. As of March 31, 2025, these unrealized losses were less than $29 individually and $450 in the aggregate. As of December 31, 2024, these unrealized losses were less than $38 individually and $738 in the aggregate. We invest in high quality securities with roughly 67% of our portfolio made up of A ratings and above with unrealized losses primarily attributable to macroeconomic factors rather than credit related. We have no material individual securities that have been in a continuous unrealized loss position greater than twelve months. We do not intend to sell these investments, and we do not expect to sell these investments before recovery of their amortized cost basis, which may be at maturity. We review our investments to identify and evaluate investments that indicate possible credit losses. Factors considered in determining whether a loss is a credit loss include the length of time and extent to which fair value has been less than the cost basis, the financial condition and near-term prospects of the investee, and our intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value.

(2)At March 31, 2025 and December 31, 2024, none of these securities were classified as cash and cash equivalents on the accompanying Condensed Consolidated Balance Sheets.
Funds held for clients have been invested in the following categories for the periods presented below (in thousands):
March 31, 2025December 31, 2024
Restricted cash and cash equivalents held to satisfy client funds obligations$184,927 $124,287 
Restricted short-term marketable securities held to satisfy client funds obligations9,903 5,273 
Restricted long-term marketable securities held to satisfy client funds obligations62,189 63,055 
Total funds held for clients$257,019 $192,615 
Investments Classified by Contractual Maturity Date
Expected maturities of available-for-sale securities are as of March 31, 2025, are as follows (in thousands):
One year or less$9,903 
After one year through five years62,189 
Total$72,092