Revenue

12 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

Revenue

REVENUEBased upon similar operational and economic characteristics, the Company’s revenues are disaggregated by its three strategic pillars: Human Capital Management (“HCM”), HR Outsourcing (“HRO”), and Global (“Global”) Solutions, with separate disaggregation for PEO zero-margin benefits pass-through revenues and client fund interest revenues. The Company believes

these revenue categories depict how the nature, amount, timing, and uncertainty of its revenue and cash flows are affected by economic factors.

The following tables provide details of revenue by our strategic pillars and includes a reconciliation to the Company’s reportable segments:

	Years Ended
	June 30,
Types of Revenues	2021		2020		2019
HCM	$	6,629.1	$	6,540.9	$	6,441.8
HRO, excluding PEO zero-margin benefits pass-throughs	2,694.8		2,543.2		2,444.4
PEO zero-margin benefits pass-throughs	3,092.0		2,907.7		2,647.5
Global	2,167.1		2,052.8		2,014.6
Interest on funds held for clients	422.4		545.2		561.9
Total Revenues	$	15,005.4	$	14,589.8	$	14,110.2

Reconciliation of disaggregated revenue to our reportable segments for the fiscal year ended June 30, 2021:

Types of Revenues	Employer Services		PEO		Other		Total
HCM	$	6,634.6	$	—	$	(5.5)	$	6,629.1
HRO, excluding PEO zero-margin benefits pass-throughs	975.0		1,722.4		(2.6)		2,694.8
PEO zero-margin benefits pass-throughs	—		3,092.0		—		3,092.0
Global	2,167.1		—		—		2,167.1
Interest on funds held for clients	418.5		3.9		—		422.4
Total Segment Revenues	$	10,195.2	$	4,818.3	$	(8.1)	$	15,005.4

Reconciliation of disaggregated revenue to our reportable segments for the fiscal year ended June 30, 2020:

Types of Revenues	Employer Services		PEO		Other		Total
HCM	$	6,546.4	$	—	$	(5.5)	$	6,540.9
HRO, excluding PEO zero-margin benefits pass-throughs	947.2		1,598.8		(2.8)		2,543.2
PEO zero-margin benefits pass-throughs	—		2,907.7		—		2,907.7
Global	2,052.8		—		—		2,052.8
Interest on funds held for clients	540.2		5.0		—		545.2
Total Segment Revenues	$	10,086.6	$	4,511.5	$	(8.3)	$	14,589.8

Reconciliation of disaggregated revenue to our reportable segments for the fiscal year ended June 30, 2019:

Types of Revenues	Employer Services		PEO		Other		Total
HCM	$	6,447.5	$	—	$	(5.7)	$	6,441.8
HRO, excluding PEO zero-margin benefits pass-throughs	924.0		1,525.0		(4.6)		2,444.4
PEO zero-margin benefits pass-throughs	—		2,647.5		—		2,647.5
Global	2,014.6		—		—		2,014.6
Interest on funds held for clients	556.7		5.2		—		561.9
Total Segment Revenues	$	9,942.8	$	4,177.7	$	(10.3)	$	14,110.2

Contract Balances

The timing of revenue recognition for our HCM, HRO and Global Solutions is consistent with the invoicing of clients, as invoicing occurs in the period the services are provided. Therefore, the Company does not recognize a contract asset or liability resulting from the timing of revenue recognition and invoicing.

Changes in deferred revenue related to set up fees for the twelve months ended June 30, 2021 were as follows:

Contract Liability
Contract liability, July 1, 2020	$	522.7
Recognition of revenue included in beginning of year contract liability	(163.3)
Contract liability, net of revenue recognized on contracts during the period	130.2
Currency translation adjustments	26.5
Contract liability, June 30, 2021	$	516.1

Deferred costs

The balance is as follows:

June 30,	2021		2020
Deferred costs to obtain a contract	$	1,055.7	$	977.8
Deferred costs to fulfill a contract	1,442.5		1,423.8
Total deferred contract costs (1)	$	2,498.2	$	2,401.6

(1) The amount of total deferred costs amortized during the twelve months ended June 30, 2021, June 30, 2020, and June 30, 2019 were $935.3 million, $915.0 million, and $874.0 million, respectively.

Deferred costs are periodically reviewed for impairment. There were no impairment losses incurred during the period.