Paychex, Inc. Annual report pursuant to Section 13 and 15(d)

Basic and Diluted Earnings Per Share

12 Months Ended

May 31, 2012

Note B — Basic and Diluted Earnings Per Share

Basic and diluted earnings per share were calculated as follows:


	Year ended May 31,
In millions, except per share amounts	2012		2011		2010
Basic earnings per share:
Net income	$	548.0	$	515.3	$	477.0
Weighted-average common shares outstanding		362.4		361.8		361.4

Basic earnings per share	$	1.51	$	1.42	$	1.32

Diluted earnings per share:
Net income	$	548.0	$	515.3	$	477.0
Weighted-average common shares outstanding		362.4		361.8		361.4
Dilutive effect of common share equivalents at average market price		0.6		0.6		0.3

Weighted-average common shares outstanding, assuming dilution		363.0		362.4		361.7

Diluted earnings per share	$	1.51	$	1.42	$	1.32

Weighted-average anti-dilutive common share equivalents		9.9		11.5		13.0

Weighted-average common share equivalents that had an anti-dilutive impact are excluded from the computation of diluted earnings per share.

The entire disclosure for earnings per share.