The present invention generally relates to a method for manufacturing phase change material (PCM) pellets. The method includes providing a melt composition including paraffin and a polymer. The paraffin has a melt point between about 10° C. and about 50° C., and more preferably between about 18° C. and about 28° C. In one embodiment, the melt composition includes various additives, such as a flame retardant. The method further includes forming the melt composition into PCM pellets. The method further may include the step of cooling the melt to increase the melt viscosity before pelletizing.