If you work at Paylocity, you may be eligible to enroll in the employee stock purchase plan (ESPP). To help you make the most of this opportunity, we’ve put together a comprehensive guide to all the ins and outs of this program, from how it works to how you enroll.
If you’d like to learn more about how ESPPs work in general, be sure to read our blog about an overview of employee stock purchase plans.
Here’s a quick rundown of how Paylocity’s ESPP works.
- You can buy Paylocity stock at a 15% discount.
- You can enroll twice a year.
- Your next enrollment window closes on Oct 31, 2023.
- You can contribute up to 10% of your salary with a maximum of $21,250 per year.
Should You Participate In Paylocity’s ESPP?
When you enroll in Paylocity’s ESPP, you have the opportunity to purchase shares of your company stock at a discounted price through automatic payroll deductions.
The benefits of participating in an ESPP are clear – you can make gains and build wealth. In fact, Paylocity employees can gain $3,750 or even more annually through their ESPP.
Paylocity’s ESPP Discount
Paylocity offers employees an opportunity to buy Paylocity stock at a 15% discount.
Paylocity’s ESPP Discount
You can enroll in Paylocity’s ESPP twice a year, once in the spring and once in the fall. You can enroll by the following dates:
- Apr 30th
- Oct 31st
Paylocity’s ESPP Contribution Limits
The first thing you need to do is decide how much you want to contribute. You can contribute up to 10% of your salary, with a limit of $21,250 per year.
Paylocity’s ESPP Offering Period
The offering period is the time that employees can purchase the stock. Paylocity’s employee stock purchase plan (ESPP) has two 6-month offering periods every year.
When you’re participating in Paylocity’s ESPP, you set aside money from each paycheck from the beginning of a purchase period through the end. At the end of this purchase period, the money that has been set aside is used to purchase company stock at a discount.
If you are interested in Paylocity’s ESPP, here are some key dates to keep in mind.
The offering periods are
- May 16th – Nov 15th
- Nov 16th – May 15th
The stock purchase dates are the last trading day before the end of each period.
Selling Your ESPP Shares
Once Paylocity purchases the shares on your behalf, they will be deposited into your brokerage account. From there, you can do what you want with them…sell immediately (as long as it’s during the open trading windows), hold for a short time, hold for an extended time, etc.
How does Benny help me make the most of Paylocity’s ESPP?
Benny makes it easy to participate in Paylocity’s employee stock purchase plan by giving you cash to match your ESPP paycheck deduction so you can get the benefits of your ESPP without impacting your take-home pay.
For example, if you’re contributing $350 per paycheck to Paylocity’s ESPP, Benny will deposit $350 in your bank account before each paycheck’s pay date.
Use our ESPP calculator to see how much you can earn with Paylocity’s ESPP.