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Retirement-Related Benefits (Tables)
 9 Months Ended
Sep. 30, 2024
Retirement Benefits [Abstract]  
Changes in plan assets
The following table presents the changes in benefit obligations and plan assets of the company's retirement-related benefit plans affected by the interim remeasurements described above for the nine months ended September 30, 2024.
Qualified PPP
(Dollars in millions)U.S. Plan
Change in benefit obligation:
Benefit obligation at January 1, 2024
$19,854 
Service cost295 
Interest cost686 
Plan participants' contributions— 
Actuarial losses/(gains) (1)
46 
Benefits paid from trust(1,073)
Direct benefit payments— 
Amendments/curtailments/settlements/other (2)
(6,229)
Benefit obligation at September 30, 2024
$13,578 
Change in plan assets:
Fair value of plan assets at January 1, 2024
$24,437 
Actual return of plan assets (1)
1,140 
Employer contributions— 
Plan participants' contributions— 
Benefits paid from trust(1,073)
Direct benefit payments— 
Amendments/curtailments/settlements/other (2)
(6,229)
Fair value of plan assets at September 30, 2024
$18,275 
Funded status at September 30, 2024
$4,697 
Accumulated benefit obligation (3)
$13,578 
(1)Reflects a 5.00 percent discount rate at both December 31, 2023 and at the remeasurement date.
(2)Primarily represents the transfer of pension obligations and related plan assets to the Insurer pursuant to a group annuity contract and lump sum payments to Transferred Participants.
(3)Represents the benefit obligation assuming no future participant compensation increases.
Pre-tax cost for all retirement-related plans
The following tables provide the pre-tax cost for all retirement-related plans.
Yr.-to-Yr.
(Dollars in millions)Percent
For the three months ended September 30:20242023Change
Retirement-related plans — cost:   
Defined benefit pension and defined contribution plans — cost (1)
$3,024 $250 nm 
Nonpension postretirement plans — cost30 33 (9.4)%
Total$3,053 $283 nm 
Yr.-to-Yr.
(Dollars in millions)Percent
For the nine months ended September 30:20242023Change
Retirement-related plans — cost:   
Defined benefit pension and defined contribution plans — cost (1)
$3,667 $791 nm 
Nonpension postretirement plans — cost90 98 (7.8)%
Total$3,757 $888 nm 
(1)2024 includes the impact of a one-time, non-cash, pre-tax pension settlement charge of $2.7 billion related to the Qualified PPP, as described above.
nm - not meaningful
Components of net periodic (income)/cost of the company's retirement-related benefit plans
The following tables provide the components of the cost/(income) for the company’s retirement-related benefit plans.
(Dollars in millions)U.S. PlansNon-U.S. Plans
For the three months ended September 30:2024 202320242023
Service cost (1)
$98 $— $43 $44 
Interest cost (2)
228 272 271 293 
Expected return on plan assets (2)
(313)(382)(395)(363)
Amortization of prior service costs/(credits) (2)
— — 6 5 
Recognized actuarial losses (2)
113 27 131 99 
Curtailments and settlements (2) (3)
2,725 — 2 2 
Multi-employer plans— — 3 4 
Other costs/(credits) (2)
— — 0 3 
Total net periodic pension (income)/cost of defined benefit plans$2,851 $(82)$62 $88 
Cost of defined contribution plans15 150 95 95 
Total defined benefit pension and defined contribution plans cost recognized in the Consolidated Income Statement$2,866 $68 $158 $182 
(1)Increase in U.S. Plans service cost in 2024 is due to the Qualified PPP plan changes effective January 1, 2024 described above.
(2)These components of net periodic pension cost are included in other (income) and expense in the Consolidated Income Statement.
(3)U.S. Plans in 2024 reflects the impact of a one-time, non-cash, pre-tax pension settlement charge related to the Qualified PPP, as described above.
(Dollars in millions)U.S. PlansNon-U.S. Plans
For the nine months ended September 30:2024 202320242023
Service cost (1)
$295 $— $128 $133 
Interest cost (2)
735 817 803 873 
Expected return on plan assets (2)
(994)(1,146)(1,168)(1,081)
Amortization of prior service costs/(credits) (2)
— 0 17 15 
Recognized actuarial losses (2)
370 82 389 302 
Curtailments and settlements (2) (3)
2,725 — 7 7 
Multi-employer plans— — 10 10 
Other costs/(credits) (2)
— — 20 21 
Total net periodic pension (income)/cost of defined benefit plans$3,131 $(247)$206 $281 
Cost of defined contribution plans42 473 288 283 
Total defined benefit pension and defined contribution plans cost recognized in the Consolidated Income Statement$3,173 $226 $494 $565 
(1)Increase in U.S. Plans service cost in 2024 is due to the Qualified PPP plan changes effective January 1, 2024 described above.
(2)These components of net periodic pension cost are included in other (income) and expense in the Consolidated Income Statement.
(3)U.S. Plans in 2024 reflects the impact of a one-time, non-cash, pre-tax pension settlement charge related to the Qualified PPP, as described above.
Components of the cost/(income) for the company's nonpension postretirement plans
The following tables provide the components of the cost for the company’s nonpension postretirement plans.
(Dollars in millions)U.S. PlanNon-U.S. Plans
For the three months ended September 30:2024202320242023
Service cost$1 $1 $1 $1 
Interest cost (1)
27 29 10 10 
Expected return on plan assets (1)
— — 0 (1)
Amortization of prior service costs/(credits) (1)
(7)(7)0 0 
Recognized actuarial losses (1)
— — 0 0 
Curtailments and settlements (1)
— — — — 
Total nonpension postretirement plans cost recognized in the Consolidated Income Statement$20 $23 $10 $10 
(Dollars in millions)U.S. PlanNon-U.S. Plans
For the nine months ended September 30:2024202320242023
Service cost$2 $3 $2 $2 
Interest cost (1)
80 88 31 29 
Expected return on plan assets (1)
— — (1)(2)
Amortization of prior service costs/(credits) (1)
(22)(22)0 0 
Recognized actuarial losses (1)
— — (1)(1)
Curtailments and settlements (1)
— — — — 
Total nonpension postretirement plans cost recognized in the Consolidated Income Statement$59 $69 $30 $28 
(1)These components of net periodic pension cost are included in other (income) and expense in the Consolidated Income Statement.
Schedule of contributions The table below includes contributions to the following plans:
(Dollars in millions)Plan Contributions
For the nine months ended September 30:20242023
U.S. nonpension postretirement benefit plan
$155 $188 
Non-U.S. DB and multi-employer plans (1)
53 45 
Total plan contributions$208 $233 
(1)Amounts reported net of refunds.