Is Paylocity Holding Corp. PCTY stock halal to invest in?

No, as of August 2026, Paylocity Holding Corp. stock (PCTY) is not currently classified as a Shariah compliant stock. This verdict follows the screening methodology of AAOIFI (the Accounting and Auditing Organization for Islamic Financial Institutions), whose Shariah Standard No. 21 is the leading global benchmark for screening halal stocks. To qualify as halal under this standard, a company must keep non-permissible income below 5% of total revenue, keep both interest-bearing investments and interest-bearing debt below 30% of market capitalisation, and have no impermissible preference share structure. Paylocity Holding Corp. currently does not meet the threshold for the non-permissible income screen. Because screenings are refreshed monthly as new financial reports are published, a non-compliant stock can regain compliant status if its financial structure changes. You can track the latest status of Paylocity Holding Corp. and discover Shariah compliant alternatives among the halal stocks in the Tabadulat app.

How often is Paylocity Holding Corp. PCTY reviewed for Shariah compliance?

Tabadulat reviews Paylocity Holding Corp. PCTY for Shariah compliance every month. Each review applies the AAOIFI Shariah Standard No. 21 methodology, screening the company's business activities, non-permissible income, interest-bearing investments, interest-bearing debt, and preference shares, against the company's latest available financial data. The process operates under the direct supervision of Tabadulat's dedicated Shariah Supervisory Board of Islamic finance scholars. Because compliance depends on financial ratios that move with market capitalisation and reported results, a stock's status can change from one review to the next. Monthly screening ensures the status shown for Paylocity Holding Corp. reflects current financial data rather than an outdated assessment, and Tabadulat app users are notified if a holding in their portfolio becomes non-compliant.

Does Paylocity Holding Corp. PCTY pass the AAOIFI Non Permissible Income criteria?

No, as of August 2026, Paylocity Holding Corp. stock (PCTY) does not pass the AAOIFI non-permissible income screen. Under AAOIFI Shariah Standard No. 21, income from impermissible sources (such as interest or riba, conventional financial services, alcohol, gambling, or tobacco) must remain below 5% of a company's total revenue. Paylocity Holding Corp.'s income from non-permissible sources currently exceeds this 5% ceiling, which makes the stock non-compliant on this criterion regardless of how it performs on the other screens. The screen is reassessed monthly, so the status can change when the company releases new financial statements.

Does Paylocity Holding Corp. PCTY pass the AAOIFI Interest Bearing Investments criteria?

Yes, as of August 2026, Paylocity Holding Corp. stock (PCTY) passes the AAOIFI interest-bearing investments screen. Under AAOIFI Shariah Standard No. 21, the cash a company places in interest-earning instruments (such as conventional deposits, bonds, treasury bills and money-market funds) must remain below 30% of its market capitalisation. This limit ensures shareholders are not materially profiting from riba (interest). Paylocity Holding Corp.'s interest-bearing investments are currently within the 30% threshold. Because the ratio is measured against market capitalisation, it can move with the share price as well as the balance sheet, which is why Tabadulat rescreens the stock every month.

Does Paylocity Holding Corp. PCTY pass the AAOIFI Interest Bearing Debt criteria?

Yes, as of August 2026, Paylocity Holding Corp. stock (PCTY) passes the AAOIFI interest-bearing debt screen. Under AAOIFI Shariah Standard No. 21, a company's borrowings that accrue interest (conventional bank loans, bonds and similar riba-based financing) must remain below 30% of its market capitalisation. This cap limits shareholders' exposure to interest-based leverage. Paylocity Holding Corp.'s interest-bearing debt is currently within the 30% threshold. Because market capitalisation changes daily, a company's debt ratio can drift toward or away from the limit even without new borrowing, which is why this screen is reassessed every month.

What is the dividend purification factor for Paylocity Holding Corp. PCTY stock?

Paylocity Holding Corp. (PCTY) is currently classified as not Shariah compliant, so no dividend purification factor applies, because purification factors are calculated only for stocks that pass the AAOIFI screens. Purification (tazkiyah) is the practice of donating to charity the small portion of dividend income that stems from incidental non-permissible sources, such as interest earned on a compliant company's cash deposits. For non-compliant stocks the issue is not purification but eligibility: under AAOIFI Shariah Standard No. 21 the stock does not currently qualify as a halal investment. If Paylocity Holding Corp. returns to compliance in a future monthly screening, its purification factor will be published alongside its updated status in the Tabadulat app.

Does Paylocity Holding Corp. PCTY pass the AAOIFI Preference Share screen?

Yes, as of August 2026, Paylocity Holding Corp. stock (PCTY) passes the AAOIFI preference share screen. AAOIFI Shariah Standard No. 21 prohibits investing in preference shares because they grant holders guaranteed or priority rights to dividends and capital ahead of ordinary shareholders, a structure that conflicts with the Shariah principle that investors should share profit and loss in proportion to their ownership. Paylocity Holding Corp. has no impermissible preference share structure affecting its ordinary shares, so the stock is compliant on this criterion. Like all AAOIFI screens, this is verified in each monthly review.

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English

العربية

Paylocity Holding Corp.

NASDAQ

Shariah-Compliant

Not Shariah

PCTY

About

Paylocity Holding Corp.

PCTY

Paylocity Holding Corporation is a prominent provider in the financial markets, specializing in workforce management solutions. The primary function of Paylocity is to offer cloud-based software services that streamline human capital management processes such as payroll, human resources, benefits administration, and workforce management for medium-sized organizations. Serving various industries, Paylocity's technology integrates advanced analytics and flexible reporting to enhance organizational decision-making and compliance. This company plays a significant role in optimizing operational efficiency and reducing costs for its clients by delivering innovative tools that support employee engagement and simplify complex administrative tasks. With an emphasis on customization, Paylocity empowers businesses with scalable solutions that cater to the unique needs of diverse sectors, including healthcare, retail, and manufacturing. In the financial markets, Paylocity is a valuable asset for its contributions to the growing demand for automation and digital transformation in HR processes. It stands out for its commitment to technology-driven solutions and its ability to adapt quickly to industry shifts, underscoring its importance in the ongoing evolution of workplace management.

Sector:

Technology

Industry:

Software - Application

Employees:

6700

Website:

https://www.paylocity.com

PCTY

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Paylocity Holding Corp.

About

Paylocity Holding Corp.

PCTY

Frequently asked questions

Is Paylocity Holding Corp. PCTY stock halal to invest in?

How often is Paylocity Holding Corp. PCTY reviewed for Shariah compliance?

Does Paylocity Holding Corp. PCTY pass the AAOIFI Non Permissible Income criteria?

Does Paylocity Holding Corp. PCTY pass the AAOIFI Interest Bearing Investments criteria?

Does Paylocity Holding Corp. PCTY pass the AAOIFI Interest Bearing Debt criteria?

What is the dividend purification factor for Paylocity Holding Corp. PCTY stock?

Does Paylocity Holding Corp. PCTY pass the AAOIFI Preference Share screen?

Can I buy Paylocity (PCTY) stock on Tabadulat?

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