Paychex, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets, Net of Accumulated Amortization

Goodwill and Intangible Assets, Net of Accumulated Amortization

6 Months Ended

Nov. 30, 2018

Goodwill and Intangible Assets, Net of Accumulated Amortization [Abstract]

Goodwill and Intangible Assets, Net of Accumulated Amortization

Note J: Goodwill and Intangible Assets, Net of Accumulated Amortization

The Company had goodwill balances on its Consolidated Balance Sheets of $810.6 million as of November 30, 2018 and $814.0 million as of May 31, 2018. Changes in goodwill balances are the result of foreign currency exchange rate fluctuations.

The Company has certain intangible assets on its Consolidated Balance Sheets. The components of intangible assets, at cost, consisted of the following:



	November 30,		May 31,
In millions	2018		2018
Client lists	$	305.7	$	308.5
Other intangible assets		12.8		13.3
Total intangible assets, gross		318.5		321.8
Less: Accumulated amortization		190.5		180.4
Intangible assets, net of accumulated amortization	$	128.0	$	141.4

Amortization expense relating to intangible assets was $6.6 million and $13.1 million for the three and six months ended November 30, 2018, respectively, compared to $5.3 million and $9.2 million for the three and six months ended November 30, 2017, respectively.

As of November 30, 2018, the estimated amortization expense relating to intangible asset balances for the full year fiscal 2019 and the following four fiscal years is as follows:


In millions	Estimated amortization
Year ending May 31,	expense
2019	$	25.9
2020		22.6
2021		19.5
2022		16.6
2023		14.2