Paycom Data Privacy and Security Standards
Our industry-leading approach
Paycom’s single-database software employs comprehensive, in-depth and industry-proven standards and technologies to help protect and defend client data and its privacy in our environment. As one of the few payroll processors with five ISO certifications and SOC 1, 2 and 3 reports, Paycom’s information security, privacy management, business continuity and quality management systems and processes are formally audited and certified for compliance annually.
ISO/IEC 27001
Certifies Paycom’s information security management system meets international standards for protecting sensitive data.
ISO 22301
Certifies Paycom’s business continuity management system, ensuring payroll and HR services remain available during disruptions.
ISO 9001
Certifies Paycom’s quality management system, demonstrating consistent, audited service delivery standards.
ISO/IEC 27701
Certifies Paycom’s privacy information management system, confirming formal controls over how personal data is collected, stored and processed.
ISO/IEC 42001
Certifies Paycom’s AI management system, confirming responsible AI governance standards.
SOC 1, SOC 2 and SOC 3 reports
Annual third-party audits of Paycom’s financial reporting controls (SOC 1), security and availability controls (SOC 2) and a publicly available summary (SOC 3), giving prospects and compliance teams independent verification of Paycom’s security posture.
Tier IV-certified data centers
Both on- and off-site, our comprehensive security standards and technologies are formally audited and ISO- and SOC-certified. We operate our own data centers and are the only HR tech company with Tier IV certification. It’s the highest award given by the Uptime Institute — and we have two of them. Our 24/7 operations center rapidly identifies concerns and includes on-site physical security.
Paycom’s security architecture
We understand that security, availability and processing integrity of your business data is extremely important. We proactively monitor our IT environment and continuously evaluate our security practices, taking reasonable steps to maintain this trust and our security position.
Security overview
Risk mitigation
- risk management framework
- data integrity and confidentiality
- third-party management
Reports
- penetration testing
- SOC 1 report
- SOC 2 report
- SOC 3 report
Endpoint security
- disk encryption
- endpoint detection and response
- threat detection
Policies
- Acceptable Use Policy
- IT policies
Infrastructure
- anti-DDoS
- business resiliency and redundancy
- infrastructure security
- network time protocol
- separate production environment
Data security
- access monitoring
- backups enabled
- encryption
- physical security
- Tier IV data center
Corporate security
- employee training
- incident response
- internal assessments
- penetration testing
Access control
- data access
- logging
- password security
- mobile device trust settings
Product security
- role-based access controls
- audit logging and monitoring
- data security integrations
- multifactor authentication and SSO support
- one-time passwords for high value changes
Application security
- penetration testing
- credential management
- software development life cycle
- secure development training
- vulnerability and patch management
- web application firewall and bot detection
Network security
- firewalls
- intrusion detection and prevention
- security information and event management
- traffic filtering and monitoring
- penetration testing
24/7 operations
- joint security operations center
- security operations center
- network operations center
How Paycom keeps your data secure
Paycom holds all confidential information in strict confidence. We take the same degree of care and caution to prevent its unauthorized disclosure as we do with our own, including measures required by applicable privacy laws.
To ensure the security of your employees’ nonpublic personal information, data is encrypted while in transport and storage. Additionally, data entered through our application is not used for any purpose other than to provide our services. We do not share nonpublic personal data with any third parties unless it is necessary to provide services on behalf of our clients. Examples of these third parties include the IRS, state unemployment agencies, state income agencies, workers’ compensation auditors, 401(k) administrators and entities that participate in the Nacha program for funds transfer purposes.
How Paycom’s security compares
 | Competitor Average | |
|---|---|---|
| Tier IV data center | Yes; one certified facility | Rare; most use third-party hosting |
| ISO certifications | Five (27001, 22301, 9001, 27701 and 42001) | Typically only one or two |
| SOC reports | SOC 1, SOC 2 and SOC 3 | SOC 1 and/or SOC 2 only |
| AI governance (ISO/IEC 42001) | Yes | Not widely adopted |
| Single-database architecture | Yes | Often multisystem integrations |
| 24/7 security operations center | Yes; on-site | Varies |
| Competitor Average |
|---|---|
| Tier IV data center | |
| Yes; one certified facility | Rare; most use third-party hosting |
| ISO certifications | |
| Five (27001, 22301, 9001, 27701 and 42001) | Typically only one or two |
| SOC reports | |
| SOC 1, SOC 2 and SOC 3 | SOC 1 and/or SOC 2 only |
| AI governance (ISO/IEC 42001) | |
| Yes | Not widely adopted |
| Single-database architecture | |
| Yes | Often multisystem integrations |
| 24/7 security operations center | |
| Yes; on-site | Varies |
Explore these resources for greater insight
Frequently Asked Questions
Discover the ins and outs of Paycom’s security standards
Paycom is built on a single-database architecture, meaning all HR and payroll data lives in one system rather than being stitched together from multiple platforms. This eliminates data-transfer vulnerabilities, reduces integration risk and gives IT teams a single source of truth for auditing and compliance.
Paycom provides the ability to limit access via IP address and device-allow lists to help ensure changes are only completed from trusted devices. By requiring security questions be answered by first-time users and existing users logging in from a new computer, Paycom enhances the safety and integrity of login credentials and sensitive user profiles. Paycom has committed to 256-bit encryption technology within our application to protect all information.
Paycom offers a two-step verification solution via text messaging. A token is sent out of band to the phone that the employee has registered in the software as part of the authentication process. We also offer SAML 2.0 (SSO) so clients can use a service like Duo.
The Paycom application maintains an unchangeable audit trail that is not purged, and includes user ID, time and date, and IP stamps.
Validation Reports and Change Reports are provided.
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