Retirement-Related Benefits (Tables)

3 Months Ended

Mar. 31, 2021

Retirement-Related Benefits

Pre-tax cost for all retirement-related plans

					Yr. to Yr.
(Dollars in millions)					Percent
For the three months ended March 31:	2021		2020		Change
Retirement-related plans — cost:
Defined benefit and contribution pension plans — cost	$	672	$	584	15.2	%
Nonpension postretirement plans — cost		44		52	(14.5)
Total	$	717	$	636	12.8	%

Components of net periodic (income)/cost of the company's retirement-related benefit plans

(Dollars in millions)	U.S. Plan				Non-U.S. Plans
For the three months ended March 31:	2021		2020		2021		2020
Service cost	$	—	$	—	$	92	$	95
Interest cost (1)		277		375		111		129
Expected return on plan assets (1)		(451)		(542)		(291)		(309)
Amortization of prior service costs/(credits) (1)		4		4		(2)		(5)
Recognized actuarial losses (1)		249		207		375		342
Curtailments and settlements (1)		—		—		17		8
Multi-employer plans		—		—		8		7
Other costs/(credits) (1)		—		—		11		5
Total net periodic pension (income)/cost of defined benefit plans	$	80	$	44	$	322	$	274
Cost of defined contribution plans		151		155		119		110
Total defined benefit and contribution pension plans cost recognized in the Consolidated Income Statement	$	231	$	199	$	441	$	385

(1) These components of net periodic pension cost are included in other (income) and expense in the Consolidated Income Statement.

(Dollars in millions)	U.S. Plan				Non-U.S. Plans
For the three months ended March 31:	2021		2020		2021		2020
Service cost	$	2	$	2	$	1	$	1
Interest cost (1)		16		26		8		10
Expected return on plan assets (1)		—		—		(1)		(1)
Amortization of prior service costs/(credits) (1)		1		1		0		0
Recognized actuarial losses (1)		13		7		4		6
Curtailments and settlements (1)		—		—		—		0
Total nonpension postretirement plans cost recognized in the Consolidated Income Statement	$	32	$	36	$	12	$	16

(1)These components of net periodic pension cost are included in other (income) and expense in the Consolidated Income Statement.

Schedule of contributions

(Dollars in millions)	Plan Contributions
For the three months ended March 31:	2021		2020
U.S. nonpension postretirement benefit plan	$	106	$	136
Non-U.S. DB and multi-employer plans		66		82
Total plan contributions	$	172	$	217