Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The items comprising income tax expense are as follows:

	Year Ended December 31,
	2021		2020		2019
Provision for current income taxes
Federal	$	17,557	$	14,680	$	17,812
State		9,539		6,422		6,688
Total provision for current income taxes		27,096		21,102		24,500
Provision for deferred income taxes
Federal		26,579		15,204		16,209
State		6,327		6,177		4,802
Total provision for deferred income taxes		32,906		21,381		21,011
Total provision for income taxes	$	60,002	$	42,483	$	45,511

Income Tax Rate Reconciliation

The following schedule reconciles the statutory Federal tax rate to the effective income tax rate:

	Year Ended December 31,
	2021			2020			2019
Federal statutory tax rate		21	%		21	%		21	%
Increase (decrease) resulting from:
State income taxes, net of Federal income tax benefit		8	%		8	%		6	%
Nondeductible expenses		6	%		6	%		3	%
Research credit, Federal benefit		(3	%)		(3	%)		(3	%)
Stock-based compensation		(7	%)		(9	%)		(7	%)
Remeasurement of state deferred tax liabilities		(2	%)		0	%		0	%
Effective income tax rate		23	%		23	%		20	%

Schedule of Net Deferred Tax Assets and Liabilities

The significant components of our deferred tax assets and liabilities were as follows:

	December 31,
	2021			2020
Deferred income tax assets (liabilities):
Stock-based compensation	$	1,541		$	1,219
Investment in Paycom Payroll Holdings, LLC		(147,659	)		(114,514	)
Net operating losses		614			697
Noncurrent deferred income tax liabilities, net	$	(145,504	)	$	(112,598	)