Historical Profile
Paychex has led the way with an abundance of products and services to make the process of managing businesses easier. Join us for a trip back in time as we explore our roots and milestones from the beginning in 1971 to the present.
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1971
Milestones
- Many payroll processors were ignoring a huge potential market — the 98 percent of American businesses with fewer than 100 employees. B. Thomas Golisano took advantage of this opportunity, and with $3,000, one employee, and 40 clients, he founded a new company in Rochester, NY called Paymaster — soon to be Paychex, to provide payroll to small- to-medium sized businesses.
1979
Milestones
- Paychex quickly expanded beyond Rochester to include 18 franchises and partnerships, which in 1979 were consolidated into one privately-held company.
1982
Awards and Accolades
- "500 Fastest Growing, Privately Held Companies in the U.S.," Inc. magazine.
1983
Milestones
- Just four years after consolidation, Paychex became a publicly held company and constructed a new corporate headquarters at 911 Panorama Trail South in Rochester, NY.
1985
Awards and Accolades
- Tom Golisano was included in a Forbes list of "People to Watch."
1986
Milestones
- Paychex began its long and proud partnership with professional golfer Jeff Sluman, who began sporting the Paychex logo on the course in a sports marketing agreement. Jeff's 1986 season included 7 top-10 finishes in 36 PGA events.
- Paychex Board of Directors declared its first 3-for-2 stock split.
Awards and Accolades
- "200 Best Small Companies in America," Forbes magazine.
- "100 Most Profitable NASDAQ Companies," OTC Review.
1987
Milestones
- Paychex Board of Directors declared its second 3-for-2 stock split.
New Products and Services
- Paychex expanded beyond payroll services for the first time, introducing its Benefits Services Division.
Awards and Accolades
- "100 Fastest Growing NASDAQ Companies," OTC Review.
- Paychex selected as one of ten "Growth Stocks," BusinessWeek.
- "200 Best Small Companies in America," Forbes magazine.
1988
Milestones
- Paychex-sponsored golfer Jeff Sluman won the PGA Championship at Oak Tree GC in Oklahoma.
New Products and Services
- Following the successful launch of Benefits Services, Paychex introduced its Personnel Services Division.
Awards and Accolades
- Tom Golisano was featured in Inc. magazine on "How to Build an Inc. 500 Company."
- Among the "hottest stocks" in terms of capitalization, Financial World magazine.
- "100 Fastest Growing NASDAQ Companies," OTC Review.
- "Stocks for Growth," BusinessWeek.
1989
Milestones
- Paychex broke ground on a 107,000 square-foot addition to corporate headquarters — more than doubling the size of the building.
- Paychex reached 100,000 clients.
New Products and Services
- Paychex continued to expand its service offerings with the launch of Taxpay®, allowing Paychex clients to outsource tax payments and returns along with their payroll.
Awards and Accolades
- Tom Golisano was featured in Forbes as one of the "Up and Comers" in business.
- Tom Golisano was named to Inc. magazine's management "Dream Team" list.
1990
Milestones
- Paychex grew to 120,000 clients.
- Paychex's Taxpay® service continued to grow, with more than 7,000 clients on the new service, which provides the payment of payroll taxes and automatic filing of payroll tax returns.
1991
Milestones
- Paychex celebrated its 20th anniversary.
New Products and Services
- Paychex introduced Human Resource Services, its fourth new division in five years, offering products and services including employee handbooks, insurance, employee evaluations and testing tools, and section 125 plans.
Awards and Accolades
- "200 Best Small Companies in America," Forbes magazine.
1992
Milestones
- Paychex Board of Directors declared its third 3-for-2 stock split.
- Paychex was named to Standard & Poor's Mid-Cap 400.
New Products and Services
- Direct Deposit service began to be offered to Paychex Taxpay® clients as a simple and effective way to save payroll processing costs.
Awards and Accolades
- Inc. magazine profiled Tom Golisano's commitment to community service and his increasing involvement in government affairs.
- Featured for commitment to quality customer service, Entrepreneur Magazine.
- Top 1,000 companies, BusinessWeek magazine. Based on market value.
- "200 Best Small Companies in America," Forbes magazine.
1993
Milestones
- Taxpay® division reached 50,000 clients.
- Paychex Board of Directors approved Dividend Reinvestment-Stock Purchase Plan.
- Paychex Board of Directors declared its fourth 3-for-2 stock split.
New Products and Services
- Paychex introduced Paylink® Payroll Software to assist clients with in-house payroll processing.
Awards and Accolades
- Top 1,000 U.S. companies, United Shareholders Association. Based on shareholder responsiveness.
- "200 Best Growth Companies," Financial World magazine.
- "America's Most Valuable Companies," BusinessWeek magazine.
- "200 Best Small Companies in America," Forbes magazine.
1994
Milestones
- Paychex joined The NASDAQ-100 Index®, comprised of 100 of the largest non-financial stocks listed on the NASDAQ Stock Market.
Awards and Accolades
- "200 Best Small Companies in America," Forbes magazine.
- "America's 50 Best Mid-Cap Companies," Financial World magazine.
- "America's 265 Most Profitable Companies." EQUITIES.
- "200 Best Growth Companies," Financial World magazine.
- "America's Most Valuable Companies," BusinessWeek magazine.
1995
Milestones
- Paychex acquired two California companies — Pay-Fone and Payday.
- Paychex reached 210,000 clients.
- Taxpay® division reached 100,000 clients.
- Paychex Board of Directors declared its fifth 3-for-2 stock split.
New Products and Services
- Paychex expanded its services again, offering 401(k) Recordkeeping through its Human Resource Services Division.
Awards and Accolades
- "200 Best Small Companies in America," Forbes magazine.
- "America's Best 100 Growth Companies," Financial World magazine.
- "America's Most Valuable Companies," BusinessWeek magazine.
- "America's 50 Best Mid-Cap Companies," Financial World magazine.
1996
Milestones
- Paychex celebrated its 25th anniversary.
- Paychex expanded its large business portfolio and experience by acquiring Olsen Computer Systems, Inc. and National Business Solutions.
- Paychex Board of Directors declared its sixth 3-for-2 stock split.
New Products and Services
- Major Market Services was introduced to businesses with 50 or more employees, providing comprehensive payroll and human resource solutions for medium and large businesses across the United States.
Awards and Accolades
- No. 2 Industrial & Commercial Services Company in "Shareholder Scoreboard," The Wall Street Journal.
- "America's Most Valuable Companies," BusinessWeek magazine.
1997
Milestones
- Paychex Board of Directors declared its seventh 3-for-2 stock split.
Awards and Accolades
- Tom Golisano profiled in Inc. magazine's 1997 Inc. 500 issue as a successful alumnus of the Inc. 500.
- Global 1000, BusinessWeek magazine. Based on market value.
- "America's Best 100 Growth Companies," Financial World magazine.
- Honor Roll company in "Shareholder Scoreboard," The Wall Street Journal.
1998
Milestones
- Paychex sponsored the Scandia Bodine Racing team's 1998 NASCAR Winston Cup campaign, with Brett Bodine driving the no. 11 Paychex Ford.
- Paychex Board of Directors declared its eighth 3-for-2 stock split.
Awards and Accolades
- The IRS recognized Paychex for exceptional Electronic Federal Tax Payment System (EFTPS) participation and transmission success rate.
- Paychex is added to the Standard & Poor's 500 Index (S&P 500), a list of the most commonly held stocks in major industries and one of the prime gauges of the nation's economic health.
- Global 1000, BusinessWeek magazine. Based on market value.
- The Forbes 500, Forbes magazine. Based on sales, profits, assets, and value.
- "A" rating in "Shareholder Scoreboard," The Wall Street Journal.
1999
Milestones
- Paychex again sponsored the Brett Bodine Racing team's 1999 NASCAR Winston Cup campaign, with Brett Bodine driving the no. 11 Paychex Ford.
- Paychex Board of Directors declared its ninth 3-for-2 stock split.
Awards and Accolades
- Tom Golisano was featured in "The Power of the Paycheck," BusinessWeek magazine.
- Global 1000, BusinessWeek magazine. Based on market value.
- The Forbes 500, Forbes magazine. Based on sales, profits, assets, and value.
- "The BusinessWeek Fifty," BusinessWeek magazine, a listing of the top 50 companies of the S&P 500.
- Honor Roll Company in "Shareholder Scoreboard," The Wall Street Journal.
2000
Milestones
- Paychex Board of Directors declared its tenth 3-for-2 stock split.
Awards and Accolades
- Global 1000, BusinessWeek magazine. Based on market value.
- Barron's 500, Barron's magazine. Based on the best performing corporations for investors.
- George Mitchell Payment Systems Excellence Award, NACHA: The Electronic Payments Association.
- Top 70 in "Performance Rankings of the S&P 500," BusinessWeek magazine.
- The Forbes 500, Forbes magazine. Based on sales, profits, assets, and value.
- No. 1 Business Services Company in the "Global A-List," Forbes magazine.
2001
Awards and Accolades
- Excellence Award, Administrative Service Organization (ASO) category, The ProEmp Journal.
- Global 1000, BusinessWeek magazine. Based on market value.
- Top 50 in "Performance Rankings of the S&P 500," BusinessWeek magazine.
- No. 1 Industrial Services Company in "Shareholder Scoreboard," The Wall Street Journal.
- Top 10 in "Exclusive Club" of S&P 500 companies, FORTUNE magazine. Honorees met analyst's expectations for at least five years.
- Global A-List, Forbes magazine.
2002
Milestones
- Paychex acquired Advantage Payroll Services, Inc., a privately owned payroll processor with a national network of 41 offices serving small- to mid-sized businesses throughout the U.S. The merger added more than 49,000 new clients.
- Paychex reached 390,000 clients.
Awards and Accolades
- Forbes magazine rated Paychex CEO Tom Golisano number one in its annual ranking of chief executives who give shareholders the best return compared to their pay.
- Global 1000, BusinessWeek magazine. Based on market value.
- Most new 401(k) plans gained (6,800), PLANSPONSOR magazine.
- Among top 401(k) recordkeepers in the U.S., PLANSPONSOR magazine.
- Employer Excellence Award, The IMC in Rochester, NY. One of 70 employers' associations nationwide, the IMC honored Paychex for our commitment to employee training, its wellness program, and other factors.
- Top 25 in "2002 Shareholder Scoreboard," The Wall Street Journal.
- Top 100 training organizations, Training magazine.
- "100 Best Companies to Work For," FORTUNE magazine.
- Positive evaluation for Paychex Online Payroll®, Accounting Technology magazine. The article notes that Paychex Online Payroll's "sophisticated data-entry screens combined with its breadth of reporting position this solution as a candidate for companies of any size."
2003
Milestones
- The American Institute of Certified Public Accountants (AICPA) Business Solutions Program selected Paychex as its preferred payroll provider. This CPA partnership program helps strengthen the relationship between CPAs and their clients.
- Paychex acquired InterPay, Inc., a national payroll and human resource administrative services provider focused on small- to medium-sized clients in 49 states. The merger added 33,000 new clients.
- Paychex opened new offices in the growing areas of Chattanooga, TN; Greenville, SC; Lexington, KY; and Wilmington, NC.
- Paychex reached 490,000 clients.
New Products and Services
- Paychex acquired the Time In A Box® product from Stromberg, a market leader in time and attendance and employee management solutions.
Awards and Accolades
- Forbes named Paychex's CEO Tom Golisano one of the 10 best bosses in the U.S. for a second consecutive year.
- Ranked among the top 401(k) recordkeepers and first among most new 401(k) plans gained, PLANSPONSOR magazine.
- Top 25 in "Shareholder Scoreboard," The Wall Street Journal.
- Top 100 training organizations, Training magazine.
- "100 Best Companies to Work For," FORTUNE magazine.
2004
Milestones
- Paychex founder B. Thomas Golisano retired from his position as president and CEO; long-time IBM executive Jonathan J. Judge was named as his successor. Tom remained chairman of the Paychex Board of Directors.
- Paychex announced the acquisition of Stromberg, a market leader in time and attendance software solutions for mid- to large-sized businesses. Stromberg's suite of labor management products includes time and attendance, employee self-serve, scheduling, and more.
- Paychex Major Market Services reached 25,000 clients.
- Paychex reached 505,000 clients.
Awards and Accolades
- Tom Golisano named the 2004 Outstanding Philanthropist by the Association of Fundraising Professionals (AFP), the largest association of charitable fundraisers in the world.
- Highest ranked payroll and HR services provider in "Shareholder Scoreboard," The Wall Street Journal.
- "America's Most Admired Companies," FORTUNE magazine.
- Ranked among the top 25 in Training magazine's list of Top 100 training organizations, Training magazine.
- One of the best managed companies in America, Forbes magazine.
- "100 Best Companies to Work For," FORTUNE magazine.
2005
Milestones
- Paychex processed, printed, and mailed more than 270,000 disaster relief checks for victims of Hurricane Katrina in Louisiana. Paychex partnered with the American Red Cross and Hibernia National Bank for this six-week program.
- Paychex launched Accountant Advisory Boards in Boston, Massachusetts; Atlanta, Georgia; and Orange County, California. The new initiative expands Paychex's long-time partnership with accounting professionals and offers a new forum to gain valuable input on ways to best meet the needs of CPAs and their clients.
- The Paychex Partner Program from AICPA Business Solutions was expanded to include not only Paychex Payroll offers, but also Paychex 401(k) Recordkeeping Services and Major Market Services offers. This program benefits CPAs by providing unique value opportunities intended to enhance their client relationships.
- Paychex reached 522,000 clients.
- Paychex Administrative Services reached 5,000 clients.
New Products and Services
- Paychex added Paychex Premier® Human Resources to its growing suite of HR products and services. This comprehensive human resource outsourcing solution offers full payroll and HR administration services with the expert support of an on-site Human Resource Representative.
- Health Savings Accounts (HSAs) were added to the Paychex product line as a tool for employers and employees to pay for current and future qualified medical expenses on a tax-free basis.
Awards and Accolades
- Ranked among the top 401(k) recordkeepers and first among the most new 401(k) plans gained, PLANSPONSOR magazine.
- Largest 401(k) recordkeeper by total number of plans (33,427), CFO magazine's Buyer's Guide to 401(k) Providers.
- 100 Best Places to Work for IT Professionals, Computerworld magazine.
- Ranked among the top 25 on Training magazine's list of Top 100 training organizations, Training magazine.
- Highest ranked payroll and HR services provider in "Shareholder Scoreboard," The Wall Street Journal.
- Forbes Platinum 400, an exclusive list of the best big companies in America, Forbes magazine.
- Institutional Investor magazine named Paychex CFO John Morphy one of the best CFOs in the nation.
- Among the world's 2000 biggest public companies in 2005, Forbes magazine.
2006
Milestones
- Paychex signs a lifetime sponsorship contract with six-time PGA winner Jeff Sluman while recognizing the 20th anniversary of the partnership between Paychex and the pro golfer. The partnership is one of the longest-running corporate sponsorships on the PGA Tour today.
- The Paychex Partner Program from AICPA Business Solutions is extended for an additional five years. Paychex earned the distinction of being named AICPA Business Solutions' preferred retirement plan services provider.
- Paychex reached 543,000 clients.
Awards and Accolades
- Forbes magazine ranked Paychex one of the 400 Best Big Companies in America in 2006.
- Bronze award winner in the credit risk management category of the 2006 Alexander Hamilton Awards for Excellence, Treasury & Risk magazine.
- Human Resource Executive® magazine named William G. Kuchta, Ed.D, Paychex vice president of organizational development, to its 2006 HR Honor Roll.
- Institutional Investor magazine named Paychex CFO John Morphy one of the best CFOs in the nation.
- InfoWorld magazine named Paychex Vice President of Information Technology Dan Canzano to the CTO 25 list of top technology officers.
- FORTUNE 1000 list of America's largest corporations for 2006, FORTUNE magazine.
- Among the world's 2000 biggest public companies in 2006, Forbes magazine.
- Ranked among the top 25 on Training magazine's list of Top 100 training organizations in the country, Training magazine.
- 100 Best Places to Work for IT Professionals, Computerworld magazine.
- One of America's most shareholder-friendly companies, Institutional Investor magazine.
- 2006 Shareholder Scoreboard, The Wall Street Journal.
- Ranked among the nation's top recordkeepers and first among the most 401(k) plans gained, PLANSPONSOR magazine.
2007
Milestones
- Paychex signs a two-year sponsorship agreement with professional golfer Danielle Downey.
- Paychex named a Preferred Payroll Provider for the National Association of Enrolled Agents (NAEA).
- In July, the Board of Directors declared a 43% increase in the company's regular quarterly dividend – going from $.21 per share to $.30 per share. Paychex also announced its intention to repurchase up to $1.0 billion of its common stock.
- Paychex reached 561,000 clients.
New Products and Services
- Paychex introduced its new Tax Credit Services, a product that provides small and medium-sized businesses across the United States with an easy and cost-effective tool, to help them identify and apply for wage-based tax credits that they may be eligible to receive.
Awards and Accolades
- "100 Best Companies to Work For," FORTUNE magazine.
- Ranked 34th among Training magazine's list of Top 125 training organizations in the country, Training magazine.
- Ranked among the 50 best performing companies in the United States in the 2007 BusinessWeek 50 list, BusinessWeek magazine.
- "World's Most Ethical Companies," Ethisphere® Institute.
- "Wealth of Health Award," sponsored by Excellus BlueCross BlueShield and the Rochester Business Journal.
- "Innovations in Employee Ownership Award," National Center for Employee Ownership and the Beyster Institute.
- Paychex CFO John Morphy named one of the best CFOs in the nation, Institutional Investor magazine.
- FORTUNE 1000 list of America's largest corporations, FORTUNE magazine.
- 2007 Shareholder Scoreboard, The Wall Street Journal.
- "America's Most Admired Companies," FORTUNE magazine.
- 25 Top-Performing Stocks of the Past 25 Years, USA Today.
- Ranked 1st among the "Top Ten Payroll Outsourcing Vendors," The Black Book of Outsourcing.
- 100 Best Places to Work for IT Professionals, Computerworld magazine.
- Ranked among the nation's top 401(k) recordkeepers and first among the most new plans gained, PLANSPONSOR magazine.
- Paychex Training Director Kimberly Kelly honored with Learning in Practice Award, Chief Learning Officer magazine.
- Alexander Hamilton Awards For Excellence in Treasury and Financial Management, Treasury & Risk magazine.
2008
Awards and Accolades
- "100 Best Companies to Work For," FORTUNE magazine.
- Ranked among the top 30 on Training magazine's list of Top 125 training organizations in the country, Training magazine.
- "America's Most Admired Companies," FORTUNE magazine.
- Paychex CFO John Morphy named one of the best CFOs in the nation, Institutional Investor magazine.
- One of America's most shareholder-friendly companies, Institutional Investor magazine.
- Paychex CEO Jon Judge among the best CEOs in the nation, Institutional Investor magazine.
- Ranked number 1,339 on the 2008 Forbes Global 2000 list, Forbes magazine.
- Named a Top 100 Company by Better Investing Community, a membership website of the National Association of Investors Corporation.
- 100 Best Places to Work for IT Professionals, Computerworld magazine.
- Director of Risk Management Frank Fiorille was named one of the "100 Most Influential People in Finance," Treasury & Risk magazine.
- Ranked among the nation's top 401(k) recordkeepers and first by number of plans won and recordkeeping-only plans, PLANSPONSOR magazine.
- Named the largest 401(k) recordkeeper by number of plans on the 2008 401(k) Providers Guide, CFO magazine.
- Named a High-Impact Learning Organization, Bersin & Associates.
- Alexander Hamilton Awards For Excellence in Treasury and Financial Management, Treasury & Risk magazine.
2009
Milestones
- Paychex announced the sale of Stromberg, a time and attendance company serving mid- to large-sized businesses, to Kronos Incorporated, a global leader in workforce management solutions.
New Products and Services
- Time and attendance product expanded with the addition of Time and Labor Online, an Internet-based time and labor management system that gives businesses an easy and cost-effective way to automate time and attendance processes.
Awards and Accolades
- "100 Best Companies to Work For," FORTUNE magazine.
- Top 125 training organizations, Training magazine.
- Paychex CFO John Morphy named one of the best CFOs in the nation, Institutional Investor magazine.
- 100 Best Places to Work in IT, Computerworld magazine.
- "Best Employers for Healthy Lifestyles," National Business Group on Health.
- Ranked among the nation's top 401(k) recordkeepers and first by number of plans won and recordkeeping-only plans, PLANSPONSOR magazine.
- Ranked number 263 in this year's Newsweek Green Rankings (number 77 by environmental impact score alone), Newsweek magazine.
- Platinum-Level Start! Fit-Friendly Company, American Heart Association.
2010
Milestones
- Jonathan J. Judge resigned his position as president and chief executive officer. Until a new CEO is appointed, an executive committee consisting of senior executives John Morphy, Martin Mucci, and Delbert Humenik will lead the company, with oversight from Chairman B. Thomas Golisano and the Paychex Board of Directors.
Awards and Accolades
- "100 Best Companies to Work For," FORTUNE magazine.
- Top 125 training organizations, Training magazine.
- Paychex CFO John Morphy named one of the best CFOs in the nation, Institutional Investor magazine.
- Paychex named one of the best Investor Relations Companies, Institutional Investor magazine.
- "World's Most Ethical Companies," Ethisphere® Institute.
- "Best Employers for Healthy Lifestyles," National Business Group on Health.
- 100 Best Places to Work for IT Professionals, Computerworld magazine.
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