PREPAID EXPENSES AND OTHER CURRENT ASSETS AND ACCRUED EXPENSES

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets at December 31, 2013 and 2012 are as follows (in thousands):



	2013		2012
Available-for-sale securities	$	3,537	$	—
Prepaid expenses	2,979		2,252
Other receivable	6,926		4,551
Prepaid direct costs	3,319		5,586
Prepaid software license	1,131		1,451
Prepaid software and hardware maintenance cost	1,559		1,226
Other	3,194		3,179
	$	22,645	$	18,245

Accrued Expenses

Accrued expenses at December 31, 2013 and 2012 are as follows (in thousands):



	2013		2012
Accrued wages and wage-related taxes	$	12,496	$	9,778
Accrued sales commissions	5,616		6,190
Employee benefits	1,440		1,406
Accrued professional fees	2,275		1,998
Deferred revenue	5,222		8,735
Deferred rent	1,652		1,467
Interest payable	2,276		682
Accrued acquisition liability	1,625		25
Other	1,800		1,812
	$	34,402	$	32,093

Excise and Sales Tax

Some of our solutions may be subject to telecommunications excise tax and sales taxes in states and local jurisdictions where we have not collected and remitted such taxes from our customers. During the year ended December 31, 2013, we paid $0.9 million of tax and interest related to the settlement of these state excise and sales tax contingencies. No such payments were made in 2012.

We have reserves for certain state excise and sales tax contingencies based on the likelihood of obligation. These contingencies are included in “Accrued taxes, other than income taxes” in our consolidated balance sheets. At December 31, 2013 and 2012, we had reserved $8.3 million and $2.0 million, respectively, for certain state excise and sales tax contingencies and interest. We believe we have appropriately accrued for these contingencies. In the event that actual results differ from these reserves, we may need to make adjustments, which could materially impact our financial condition and results of operations. In addition, states or local taxing authorities may disagree with our method of assessing and remitting such taxes or additional states or local taxing authorities may subject us to inquiries regarding such taxes.