XML 81 R55.htm IDEA: XBRL DOCUMENT v3.22.0.1
Retirement-Related Benefits (Tables)
12 Months Ended
Dec. 31, 2021
Retirement-Related Benefits  
Pre-tax cost for all retirement-related plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

U.S. Plans

​

Non-U.S. Plans

​

Total

For the year ended December 31:

    

2021

    

2020

​

2019

​

2021

    

2020

​

2019

​

2021

    

2020

​

2019

Defined benefit pension plans

 

$

303

​

$

167

​

$

(153)

​

$

1,119

​

$

1,057

​

$

842

​

$

1,422

​

$

1,224

​

$

689

Retention Plan

​

​

16

​

​

11

​

​

11

​

​

—

​

​

—

​

​

—

​

​

16

​

​

11

​

​

11

Total defined benefit pension plans (income)/cost

 

$

319

​

$

178

​

$

(142)

​

$

1,119

​

$

1,057

​

$

842

​

$

1,438

​

$

1,235

​

$

700

IBM 401(k) Plus Plan and non-U.S. plans

 

$

561

​

$

585

​

$

588

​

$

409

​

$

403

​

$

389

​

$

971

​

$

988

​

$

976

Excess 401(k)

​

​

21

​

​

27

​

​

26

​

​

—

​

​

—

​

​

—

​

​

21

​

​

27

​

​

26

Total defined contribution plans cost

 

$

582

​

$

612

​

$

613

​

$

409

​

$

403

​

$

389

​

$

992

​

$

1,015

​

$

1,002

Nonpension postretirement benefit plans cost

 

$

127

​

$

145

​

$

154

​

$

44

​

$

57

​

$

64

​

$

172

​

$

202

​

$

218

Total retirement-related benefits net periodic cost

 

$

1,029

​

$

934

​

$

624

​

$

1,573

​

$

1,517

​

$

1,295

​

$

2,601

​

$

2,451

​

$

1,920

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Summary of the total PBO for defined benefit plans, APBO for nonpension postretirement benefit plans, fair value of plan assets and associated funded status

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

Benefit Obligations

​

Fair Value of Plan Assets

​

Funded Status *

At December 31:

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

U.S. Plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Overfunded plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Qualified PPP

 

$

46,458

​

$

50,375

​

$

51,852

​

$

54,386

​

$

5,395

​

$

4,011

Underfunded plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Excess PPP

 

$

1,441

​

$

1,556

​

$

—

​

$

—

​

$

(1,441)

​

$

(1,556)

Retention Plan

​

​

283

​

​

306

​

​

—

​

​

—

​

​

(283)

​

​

(306)

Nonpension postretirement benefit plan

​

​

3,404

​

​

3,791

​

​

8

​

​

15

​

​

(3,395)

​

​

(3,776)

Total underfunded U.S. plans

 

$

5,128

​

$

5,652

​

$

8

​

$

15

​

$

(5,119)

​

$

(5,638)

Non-U.S. Plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Overfunded plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Qualified defined benefit pension plans**

 

$

21,617

​

$

20,504

​

$

26,071

​

$

24,051

​

$

4,454

​

$

3,546

Nonpension postretirement benefit plans

​

​

—

​

​

9

​

​

—

​

​

9

​

​

—

​

​

0

Total overfunded non-U.S. plans

 

$

21,617

​

$

20,513

​

$

26,071

​

$

24,060

​

$

4,454

​

$

3,546

Underfunded plans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Qualified defined benefit pension plans**

 

$

17,360

​

$

23,207

​

$

13,908

​

$

18,257

​

$

(3,452)

​

$

(4,950)

Nonqualified defined benefit pension plans

​

​

6,120

​

​

6,736

​

​

—

​

​

—

​

​

(6,120)

​

​

(6,736)

Nonpension postretirement benefit plans

​

​

638

​

​

747

​

​

31

​

​

31

​

​

(607)

​

​

(716)

Total underfunded non-U.S. plans

 

$

24,118

​

$

30,690

​

$

13,939

​

$

18,288

​

$

(10,179)

​

$

(12,402)

Total overfunded plans

 

$

68,075

​

$

70,888

​

$

77,924

​

$

78,445

​

$

9,850

​

$

7,557

Total underfunded plans

 

$

29,246

​

$

36,342

​

$

13,947

​

$

18,302

​

$

(15,300)

​

$

(18,040)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

*

Funded status is recognized in the Consolidated Balance Statement as follows: Asset amounts as prepaid pension assets; (Liability) amounts as compensation and benefits (current liability) and retirement and nonpension postretirement benefit obligations (noncurrent liability).

**

Non-U.S. qualified plans represent plans funded outside of the U.S. Non-U.S. nonqualified plans are unfunded.

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

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

Defined Benefit Pension Plans

​

​

U.S. Plans

​

Non-U.S. Plans

For the year ended December 31:

    

2021

    

2020

​

2019

​

2021

    

2020

​

2019

Service cost

 

$

—

​

$

—

​

$

—

​

$

300

​

$

328

​

$

304

Interest cost(1)

​

​

1,109

​

​

1,501

​

​

1,882

​

​

424

​

​

541

​

​

814

Expected return on plan assets(1)

​

​

(1,802)

​

​

(2,169)

​

​

(2,599)

​

​

(1,115)

​

​

(1,229)

​

​

(1,530)

Amortization of transition assets(1)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

0

Amortization of prior service costs/(credits)(1)

​

​

16

​

​

16

​

​

16

​

​

(12)

​

​

(9)

​

​

(25)

Recognized actuarial losses(1)

​

​

996

​

​

829

​

​

559

​

​

1,392

​

​

1,336

​

​

1,190

Curtailments and settlements(1)

​

​

—

​

​

—

​

​

—

​

​

94

​

​

49

​

​

38

Multi-employer plans

​

​

—

​

​

—

​

​

—

​

​

17

​

​

23

​

​

23

Other costs/(credits)

​

​

—

​

​

—

​

​

—

​

​

18

​

​

18

​

​

28

Total net periodic (income)/cost

 

$

319

​

$

178

​

$

(142)

​

$

1,119

​

$

1,057

​

$

842

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plan

​

Non-U.S. Plans

For the year ended December 31:

    

2021

    

2020

​

2019

​

2021

    

2020

​

2019

Service cost

 

$

7

​

$

9

​

$

10

​

$

4

​

$

4

​

$

4

Interest cost(1)

​

​

65

​

​

103

​

​

145

​

​

27

​

​

35

​

​

54

Expected return on plan assets(1)

​

​

—

​

​

—

​

​

—

​

​

(3)

​

​

(4)

​

​

(5)

Amortization of transition assets(1)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

Amortization of prior service costs/(credits)(1)

​

​

4

​

​

4

​

​

(2)

​

​

0

​

​

0

​

​

0

Recognized actuarial losses(1)

​

​

52

​

​

29

​

​

1

​

​

15

​

​

21

​

​

10

Curtailments and settlements(1)

​

​

—

​

​

—

​

​

—

​

​

0

​

​

0

​

​

0

Other costs/(credits)

​

​

—

​

​

—

​

​

—

​

​

0

​

​

0

​

​

—

Total net periodic cost

 

$

127

​

$

145

​

$

154

​

$

44

​

$

57

​

$

64

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

(1)

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

​

Changes in benefit obligations

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

Defined Benefit Pension Plans

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plans

​

Non-U.S. Plans

​

U.S. Plan

​

Non-U.S. Plans

​

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

​

2021

    

2020

Change in benefit obligation

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Benefit obligation at January 1

 

$

52,237

​

$

50,232

​

$

50,447

​

$

45,947

​

$

3,791

​

$

3,857

​

$

756

​

$

830

Service cost

​

​

—

​

​

—

​

​

300

​

​

328

​

​

7

​

​

9

​

​

4

​

​

4

Interest cost

​

​

1,109

​

​

1,501

​

​

424

​

​

541

​

​

65

​

​

103

​

​

27

​

​

35

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(70)

​

​

63

​

​

—

​

​

—

​

​

6

​

​

0

Actuarial losses/(gains)

​

​

(1,582)

​

​

4,071

​

​

(876)

​

​

2,794

​

​

(141)

​

​

135

​

​

(78)

​

​

(2)

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Direct benefit payments

​

​

(125)

​

​

(123)

​

​

(516)

​

​

(391)

​

​

(1)

​

​

0

​

​

(28)

​

​

(24)

Foreign exchange impact

​

​

—

​

​

—

​

​

(2,548)

​

​

3,085

​

​

—

​

​

—

​

​

(42)

​

​

(83)

Amendments/curtailments/ settlements/other

​

​

1

​

​

0

​

​

7

​

​

(29)

​

​

3

​

​

—

​

​

(1)

​

​

(1)

Benefit obligation at December 31

 

$

48,182

​

$

52,237

​

$

45,097

​

$

50,447

​

$

3,404

​

$

3,791

​

$

638

​

$

756

Change in plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair value of plan assets at January 1

 

$

54,386

​

$

51,784

​

$

42,308

​

$

38,891

​

$

15

​

$

3

​

$

40

​

$

52

Actual return on plan assets

​

​

924

​

​

6,046

​

​

1,686

​

​

2,559

​

​

—

​

​

0

​

​

(14)

​

​

2

Employer contributions

​

​

—

​

​

—

​

​

86

​

​

166

​

​

313

​

​

325

​

​

6

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(87)

​

​

106

​

​

—

​

​

—

​

​

—

​

​

—

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Foreign exchange impact

​

​

—

​

​

—

​

​

(1,939)

​

​

2,479

​

​

—

​

​

—

​

​

6

​

​

(10)

Amendments/curtailments/ settlements/other

​

​

1

​

​

—

​

​

(4)

​

​

(2)

​

​

0

​

​

0

​

​

0

​

​

0

Fair value of plan assets at December 31

 

$

51,852

​

$

54,386

​

$

39,979

​

$

42,308

​

$

8

​

$

15

​

$

31

​

$

40

Funded status at December 31

 

$

3,671

​

$

2,149

​

$

(5,118)

​

$

(8,140)

​

$

(3,395)

​

$

(3,776)

​

$

(607)

​

$

(716)

Accumulated benefit obligation*

 

$

48,182

​

$

52,237

​

$

44,628

​

$

50,019

​

​

N/A

​

​

N/A

​

​

N/A

​

​

N/A

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

* Represents the benefit obligation assuming no future participant compensation increases.

N/A–Not applicable

Changes in plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

Defined Benefit Pension Plans

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plans

​

Non-U.S. Plans

​

U.S. Plan

​

Non-U.S. Plans

​

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

​

2021

    

2020

Change in benefit obligation

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Benefit obligation at January 1

 

$

52,237

​

$

50,232

​

$

50,447

​

$

45,947

​

$

3,791

​

$

3,857

​

$

756

​

$

830

Service cost

​

​

—

​

​

—

​

​

300

​

​

328

​

​

7

​

​

9

​

​

4

​

​

4

Interest cost

​

​

1,109

​

​

1,501

​

​

424

​

​

541

​

​

65

​

​

103

​

​

27

​

​

35

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(70)

​

​

63

​

​

—

​

​

—

​

​

6

​

​

0

Actuarial losses/(gains)

​

​

(1,582)

​

​

4,071

​

​

(876)

​

​

2,794

​

​

(141)

​

​

135

​

​

(78)

​

​

(2)

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Direct benefit payments

​

​

(125)

​

​

(123)

​

​

(516)

​

​

(391)

​

​

(1)

​

​

0

​

​

(28)

​

​

(24)

Foreign exchange impact

​

​

—

​

​

—

​

​

(2,548)

​

​

3,085

​

​

—

​

​

—

​

​

(42)

​

​

(83)

Amendments/curtailments/ settlements/other

​

​

1

​

​

0

​

​

7

​

​

(29)

​

​

3

​

​

—

​

​

(1)

​

​

(1)

Benefit obligation at December 31

 

$

48,182

​

$

52,237

​

$

45,097

​

$

50,447

​

$

3,404

​

$

3,791

​

$

638

​

$

756

Change in plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair value of plan assets at January 1

 

$

54,386

​

$

51,784

​

$

42,308

​

$

38,891

​

$

15

​

$

3

​

$

40

​

$

52

Actual return on plan assets

​

​

924

​

​

6,046

​

​

1,686

​

​

2,559

​

​

—

​

​

0

​

​

(14)

​

​

2

Employer contributions

​

​

—

​

​

—

​

​

86

​

​

166

​

​

313

​

​

325

​

​

6

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(87)

​

​

106

​

​

—

​

​

—

​

​

—

​

​

—

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Foreign exchange impact

​

​

—

​

​

—

​

​

(1,939)

​

​

2,479

​

​

—

​

​

—

​

​

6

​

​

(10)

Amendments/curtailments/ settlements/other

​

​

1

​

​

—

​

​

(4)

​

​

(2)

​

​

0

​

​

0

​

​

0

​

​

0

Fair value of plan assets at December 31

 

$

51,852

​

$

54,386

​

$

39,979

​

$

42,308

​

$

8

​

$

15

​

$

31

​

$

40

Funded status at December 31

 

$

3,671

​

$

2,149

​

$

(5,118)

​

$

(8,140)

​

$

(3,395)

​

$

(3,776)

​

$

(607)

​

$

(716)

Accumulated benefit obligation*

 

$

48,182

​

$

52,237

​

$

44,628

​

$

50,019

​

​

N/A

​

​

N/A

​

​

N/A

​

​

N/A

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

* Represents the benefit obligation assuming no future participant compensation increases.

N/A–Not applicable

Accumulated benefit obligation

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

Defined Benefit Pension Plans

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plans

​

Non-U.S. Plans

​

U.S. Plan

​

Non-U.S. Plans

​

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

​

2021

    

2020

Change in benefit obligation

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Benefit obligation at January 1

 

$

52,237

​

$

50,232

​

$

50,447

​

$

45,947

​

$

3,791

​

$

3,857

​

$

756

​

$

830

Service cost

​

​

—

​

​

—

​

​

300

​

​

328

​

​

7

​

​

9

​

​

4

​

​

4

Interest cost

​

​

1,109

​

​

1,501

​

​

424

​

​

541

​

​

65

​

​

103

​

​

27

​

​

35

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(70)

​

​

63

​

​

—

​

​

—

​

​

6

​

​

0

Actuarial losses/(gains)

​

​

(1,582)

​

​

4,071

​

​

(876)

​

​

2,794

​

​

(141)

​

​

135

​

​

(78)

​

​

(2)

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Direct benefit payments

​

​

(125)

​

​

(123)

​

​

(516)

​

​

(391)

​

​

(1)

​

​

0

​

​

(28)

​

​

(24)

Foreign exchange impact

​

​

—

​

​

—

​

​

(2,548)

​

​

3,085

​

​

—

​

​

—

​

​

(42)

​

​

(83)

Amendments/curtailments/ settlements/other

​

​

1

​

​

0

​

​

7

​

​

(29)

​

​

3

​

​

—

​

​

(1)

​

​

(1)

Benefit obligation at December 31

 

$

48,182

​

$

52,237

​

$

45,097

​

$

50,447

​

$

3,404

​

$

3,791

​

$

638

​

$

756

Change in plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fair value of plan assets at January 1

 

$

54,386

​

$

51,784

​

$

42,308

​

$

38,891

​

$

15

​

$

3

​

$

40

​

$

52

Actual return on plan assets

​

​

924

​

​

6,046

​

​

1,686

​

​

2,559

​

​

—

​

​

0

​

​

(14)

​

​

2

Employer contributions

​

​

—

​

​

—

​

​

86

​

​

166

​

​

313

​

​

325

​

​

6

​

​

—

Acquisitions/divestitures, net

​

​

—

​

​

1

​

​

(87)

​

​

106

​

​

—

​

​

—

​

​

—

​

​

—

Plan participants' contributions

​

​

—

​

​

—

​

​

19

​

​

18

​

​

50

​

​

56

​

​

—

​

​

—

Benefits paid from trust

​

​

(3,459)

​

​

(3,445)

​

​

(2,090)

​

​

(1,908)

​

​

(369)

​

​

(369)

​

​

(6)

​

​

(4)

Foreign exchange impact

​

​

—

​

​

—

​

​

(1,939)

​

​

2,479

​

​

—

​

​

—

​

​

6

​

​

(10)

Amendments/curtailments/ settlements/other

​

​

1

​

​

—

​

​

(4)

​

​

(2)

​

​

0

​

​

0

​

​

0

​

​

0

Fair value of plan assets at December 31

 

$

51,852

​

$

54,386

​

$

39,979

​

$

42,308

​

$

8

​

$

15

​

$

31

​

$

40

Funded status at December 31

 

$

3,671

​

$

2,149

​

$

(5,118)

​

$

(8,140)

​

$

(3,395)

​

$

(3,776)

​

$

(607)

​

$

(716)

Accumulated benefit obligation*

 

$

48,182

​

$

52,237

​

$

44,628

​

$

50,019

​

​

N/A

​

​

N/A

​

​

N/A

​

​

N/A

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

* Represents the benefit obligation assuming no future participant compensation increases.

N/A–Not applicable

Net funded status

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

Defined Benefit Pension Plans

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plans

​

Non-U.S. Plans

​

U.S. Plan

​

Non-U.S. Plans 

At December 31:

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

​

2021

    

2020

Prepaid pension assets

 

$

5,395

​

$

4,011

​

$

4,455

​

$

3,546

​

$

0

​

$

0

​

$

0

​

$

0

Current liabilities—compensation and benefits

​

​

(123)

​

​

(122)

​

​

(359)

​

​

(342)

​

​

(364)

​

​

(346)

​

​

(19)

​

​

(46)

Noncurrent liabilities—retirement and nonpension postretirement benefit obligations

​

​

(1,601)

​

​

(1,740)

​

​

(9,215)

​

​

(11,344)

​

​

(3,031)

​

​

(3,430)

​

​

(588)

​

​

(670)

Funded status—net

 

$

3,671

​

$

2,149

​

$

(5,118)

​

$

(8,140)

​

$

(3,395)

​

$

(3,776)

​

$

(607)

​

$

(716)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pre-tax net loss and prior service costs/(credits) and transition (assets)/liabilities recognized in OCI and changes in pre-tax net loss, prior service costs/(credits) and transition (assets)/liabilities recognized in AOCI

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

Defined Benefit Pension Plans

​

Nonpension Postretirement Benefit Plans

​

​

U.S. Plans

​

Non-U.S. Plans

​

U.S. Plan

​

Non-U.S. Plans 

​

    

2021

    

2020

​

2021

    

2020

​

2021

    

2020

​

2021

    

2020

Net loss at January 1

 

$

15,972

​

$

16,608

​

$

16,310

​

$

16,361

​

$

656

​

$

551

​

$

263

​

$

284

Current period loss/(gain)

 

​

(704)

​

​

194

​

​

(1,411)

​

​

1,334

​

​

(141)

​

​

135

​

​

(65)

​

​

0

Curtailments and settlements

 

​

—

​

​

—

​

​

(94)

​

​

(49)

​

​

—

​

​

—

​

​

0

​

​

0

Amortization of net loss included in net periodic (income)/cost

 

​

(996)

​

​

(829)

​

​

(1,392)

​

​

(1,336)

​

​

(52)

​

​

(29)

​

​

(15)

​

​

(21)

Net loss at December 31

 

$

14,273

​

$

15,972

​

$

13,412

​

$

16,310

​

$

464

​

$

656

​

$

183

​

$

263

Prior service costs/(credits) at January 1

 

$

24

​

$

41

​

$

325

​

$

280

​

$

30

​

$

34

​

$

(4)

​

$

(4)

Current period prior service costs/(credits)

 

​

—

​

​

—

​

​

60

​

​

36

​

​

—

​

​

—

​

​

0

​

​

—

Curtailments, settlements and other

 

​

—

​

​

—

​

​

—

​

​

0

​

​

—

​

​

—

​

​

—

​

​

—

Amortization of prior service (costs)/credits included in net periodic (income)/cost

 

​

(16)

​

​

(16)

​

​

12

​

​

9

​

​

(4)

​

​

(4)

​

​

0

​

​

0

Prior service costs/(credits) at December 31

 

$

8

​

$

24

​

$

397

​

$

325

​

$

26

​

$

30

​

$

(4)

​

$

(4)

Transition (assets)/liabilities at January 1

 

$

—

​

$

—

​

$

0

​

$

0

​

$

—

​

$

—

​

$

0

​

$

0

Amortization of transition assets/(liabilities) included in net periodic (income)/cost

 

​

—

​

​

—

​

​

—

​

​

0

​

​

—

​

​

—

​

​

0

​

​

0

Transition (assets)/liabilities at December 31

 

$

—

​

$

—

​

$

0

​

$

0

​

$

—

​

$

—

​

$

0

​

$

0

Total loss recognized in accumulated other comprehensive income/(loss)*

 

$

14,281

​

$

15,997

​

$

13,809

​

$

16,635

​

$

490

​

$

687

​

$

179

​

$

259

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

*   Refer to note T, “Equity Activity,” for the total change in AOCI, and the Consolidated Statement of Comprehensive Income for the components of net periodic (income)/cost, including the related tax effects, recognized in OCI for the retirement-related benefit plans.

Assumptions used to measure the net periodic (income)/cost and year-end benefit obligations

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Defined Benefit Pension Plans

 

​

​

U.S. Plans

​

Non-U.S. Plans

 

​

    

2021

    

2020

​

2019

​

2021

    

2020

​

2019

​

Weighted-average assumptions used to measure net periodic (income)/cost for the year ended December 31

​

​

​

​

​

​

​

​

​

​

​

​

​

Discount rate

 

2.20

%

3.10

%

4.10

%

0.87

%

1.20

%

1.86

%

Expected long-term returns on plan assets

 

3.75

%

4.50

%

5.25

%

2.85

%

3.36

%

4.38

%

Rate of compensation increase

 

N/A

​

N/A

​

N/A

​

2.59

%

2.32

%

2.20

%

Interest crediting rate

​

1.10

%

2.70

%

3.60

%

0.26

%

0.28

%

0.30

%

Weighted-average assumptions used to measure benefit obligations at December 31

​

​

​

​

​

​

​

​

​

​

​

​

​

Discount rate

 

2.60

%

2.20

%

3.10

%

1.26

%

0.87

%

1.20

%

Rate of compensation increase

 

N/A

​

N/A

​

N/A

​

3.02

%

2.59

%

2.32

%

Interest crediting rate

​

1.10

%

1.10

%

2.70

%

0.26

%

0.26

%

0.28

%

​

​

​

​

​

​

​

​

​

​

​

​

​

​

N/A–Not applicable

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Nonpension Postretirement Benefit Plans

 

​

​

U.S. Plan

​

Non-U.S. Plans

 

​

    

2021

    

2020

​

2019

​

2021

    

2020

​

2019

​

Weighted-average assumptions used to measure net periodic cost for the year ended December 31

​

​

​

​

​

​

​

​

​

​

​

​

​

Discount rate

 

1.80

%

2.80

%

3.90

%

4.55

%

5.08

%

4.88

%

Expected long-term returns on plan assets

 

N/A

​

N/A

​

N/A

​

6.62

%

7.73

%

7.70

%

Interest crediting rate

 

1.10

%

2.70

%

3.60

%

N/A

​

N/A

​

N/A

​

Weighted-average assumptions used to measure benefit obligations at December 31

​

​

​

​

​

​

​

​

​

​

​

​

​

Discount rate

​

2.30

%

1.80

%

2.80

%

5.35

%

4.55

%

5.08

%

Interest crediting rate

 

1.10

%

1.10

%

2.70

%

N/A

​

N/A

​

N/A

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

N/A–Not applicable

Defined benefit pension plans' asset classes and their associated fair value

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

U.S. Plan

​

Non-U.S. Plans

​

    

Level 1

    

Level 2

    

Level 3

    

Total

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Equity securities(1)

 

$

2,023

​

$

0

​

$

—

​

$

2,023

​

$

485

​

$

—

​

$

—

​

$

485

Equity mutual funds(2)

​

​

133

​

​

—

​

​

—

​

​

133

​

​

0

​

​

—

​

​

—

​

​

0

Fixed income

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Government and related(3)

​

​

—

​

​

21,751

​

​

—

​

​

21,751

​

​

—

​

​

9,900

​

​

—

​

​

9,900

Corporate bonds(4)

​

​

—

​

​

16,246

​

​

598

​

​

16,844

​

​

—

​

​

3,842

​

​

—

​

​

3,842

Mortgage and asset-backed securities

​

​

—

​

​

660

​

​

—

​

​

660

​

​

—

​

​

3

​

​

—

​

​

3

Fixed income mutual funds(5)

​

​

281

​

​

—

​

​

—

​

​

281

​

​

—

​

​

—

​

​

—

​

​

—

Insurance contracts(6)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

5,662

​

​

—

​

​

5,662

Cash and short-term investments(7)

​

​

104

​

​

1,269

​

​

—

​

​

1,373

​

​

324

​

​

403

​

​

—

​

​

728

Real estate

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

174

​

​

174

Derivatives(8)

​

​

3

​

​

3

​

​

—

​

​

5

​

​

61

​

​

489

​

​

—

​

​

550

Other mutual funds(9)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

30

​

​

—

​

​

—

​

​

30

Subtotal

​

​

2,543

​

​

39,930

​

​

598

​

​

43,070

​

​

900

​

​

20,300

​

​

174

​

​

21,374

Investments measured at net asset value using the NAV practical expedient(10)

​

​

—

​

​

—

​

​

—

​

​

9,078

​

​

—

​

​

—

​

​

—

​

​

18,652

Other(11)

​

​

—

​

​

—

​

​

—

​

​

(296)

​

​

—

​

​

—

​

​

—

​

​

(47)

Fair value of plan assets

 

$

2,543

​

$

39,930

​

$

598

​

$

51,852

​

$

900

​

$

20,300

​

$

174

​

$

39,979

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

(1)

Represents U.S. and international securities. The U.S. Plan includes IBM common stock of $2 million. Non-U.S. Plans include IBM common stock of $2 million.

(2)

Invests in predominantly equity securities.

(3)

Includes debt issued by national, state and local governments and agencies.

(4)

The U.S. Plans include IBM corporate bonds of $19 million. Non-U.S. Plans include IBM corporate bonds of $4 million.

(5)

Invests predominantly in fixed-income securities.

(6)

Primarily represents insurance policy contracts (Buy-In) in certain non-U.S. plans.

(7)

Includes cash, cash equivalents and short-term marketable securities.

(8)

Includes interest-rate derivatives, forwards, exchange-traded and other over-the-counter derivatives.

(9)

Invests in both equity and fixed-income securities.

(10)Investments measured at fair value using the net asset value (NAV) per share (or its equivalent) as a practical expedient, including commingled funds, hedge funds, private equity and real estate partnerships.

(11)Represents net unsettled transactions, relating primarily to purchases and sales of plan assets.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

U.S. Plan

​

Non-U.S. Plans

​

    

Level 1

    

Level 2

    

Level 3

    

Total

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Equity securities(1)

 

$

2,714

​

$

0

​

$

—

​

$

2,714

​

​

$

466

​

$

0

​

$

—

​

$

466

Equity mutual funds(2)

​

​

105

​

​

—

​

​

—

​

​

105

​

​

​

0

​

​

—

​

​

—

​

​

0

Fixed income

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Government and related(3)

​

​

—

​

​

21,375

​

​

—

​

​

21,375

​

​

​

—

​

​

9,599

​

​

2

​

​

9,601

Corporate bonds(4)

​

​

—

​

​

18,217

​

​

542

​

​

18,759

​

​

​

—

​

​

3,690

​

​

—

​

​

3,690

Mortgage and asset-backed securities

​

​

—

​

​

612

​

​

—

​

​

612

​

​

​

—

​

​

3

​

​

—

​

​

3

Fixed income mutual funds(5)

​

​

470

​

​

—

​

​

—

​

​

470

​

​

​

—

​

​

—

​

​

—

​

​

—

Insurance contracts(6)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

—

​

​

6,378

​

​

—

​

​

6,378

Cash and short-term investments(7)

​

​

76

​

​

1,001

​

​

—

​

​

1,077

​

​

​

337

​

​

651

​

​

—

​

​

988

Real estate

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

—

​

​

—

​

​

298

​

​

298

Derivatives(8)

​

​

(3)

​

​

18

​

​

—

​

​

15

​

​

​

66

​

​

510

​

​

—

​

​

575

Other mutual funds(9)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

21

​

​

—

​

​

—

​

​

21

Subtotal

​

​

3,363

​

​

41,222

​

​

542

​

​

45,128

​

​

​

891

​

​

20,832

​

​

300

​

​

22,023

Investments measured at net asset value using the NAV practical expedient(10)

​

​

—

​

​

—

​

​

—

​

​

9,579

​

​

​

—

​

​

—

​

​

—

​

​

20,321

Other(11)

​

​

—

​

​

—

​

​

—

​

​

(321)

​

​

​

—

​

​

—

​

​

—

​

​

(37)

Fair value of plan assets

 

$

3,363

​

$

41,222

​

$

542

​

$

54,386

​

​

$

891

​

$

20,832

​

$

300

​

$

42,308

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

(1)

Represents U.S. and international securities. The U.S. Plan includes IBM common stock of $6 million. Non-U.S. Plans include IBM common stock of $1 million.

(2)

Invests in predominantly equity securities.

(3)

Includes debt issued by national, state and local governments and agencies.

(4)

Non-U.S. Plans include IBM corporate bonds of $5 million.

(5)

Invests in predominantly fixed-income securities.

(6)

Primarily represents insurance policy contracts (Buy-In) in certain non-U.S. plans.

(7)

Includes cash, cash equivalents and short-term marketable securities.

(8)

Includes interest-rate derivatives, forwards, exchange-traded and other over-the-counter derivatives.

(9)

Invests in both equity and fixed-income securities.

(10)Investments measured at fair value using the net asset value (NAV) per share (or its equivalent) as a practical expedient, including commingled funds, hedge funds, private equity and real estate partnerships.

(11)Represents net unsettled transactions, relating primarily to purchases and sales of plan assets.

Reconciliation of the beginning and ending balances of Level 3 assets

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

    

Total

*

Balance at January 1, 2021

 

$

542

​

Return on assets held at end of year

​

​

(15)

​

Return on assets sold during the year

​

​

1

​

Purchases, sales and settlements, net

​

​

63

​

Transfers, net

​

​

6

​

Balance at December 31, 2021

 

$

598

​

​

​

​

​

​

​

* Corporate bonds.

​

​

​

​

​

($ in millions)

​

​

​

​

​

    

Total

*

Balance at January 1, 2020

 

$

518

​

Return on assets held at end of year

​

​

29

​

Return on assets sold during the year

​

​

0

​

Purchases, sales and settlements, net

​

​

(5)

​

Transfers, net

​

​

0

​

Balance at December 31, 2020

 

$

542

​

* Corporate bonds.

The following tables present the reconciliation of the beginning and ending balances of Level 3 assets for the years ended December 31, 2021 and 2020 for the non-U.S. Plans.

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

    

Government

    

Private

    

​

​

​

    

and Related

    

Real Estate

    

Total

Balance at January 1, 2021

 

$

2

​

$

298

​

$

300

Return on assets held at end of year

​

​

0

​

​

(43)

​

​

(43)

Return on assets sold during the year

​

​

0

​

​

58

​

​

58

Purchases, sales and settlements, net

​

​

(2)

​

​

(138)

​

​

(140)

Transfers, net

​

​

—

​

​

—

​

​

—

Foreign exchange impact

​

​

0

​

​

(1)

​

​

(1)

Balance at December 31, 2021

 

$

—

​

$

174

​

$

174

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

    

Government

    

Private

    

​

​

​

    

and Related

    

Real Estate

    

Total

Balance at January 1, 2020

 

$

2

​

$

328

​

$

330

Return on assets held at end of year

​

​

0

​

​

(29)

​

​

(29)

Return on assets sold during the year

​

​

—

​

​

2

​

​

2

Purchases, sales and settlements, net

​

​

—

​

​

(14)

​

​

(14)

Transfers, net

​

​

—

​

​

4

​

​

4

Foreign exchange impact

​

​

0

​

​

7

​

​

7

Balance at December 31, 2020

 

$

2

​

$

298

​

$

300

​

​

​

​

​

​

​

​

​

​

Schedule of contributions and direct benefit payments

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

For the years ended December 31:

    

2021

    

2020

Non-U.S. DB plans

 

$

86

​

$

166

Nonpension postretirement benefit plans

 

​

319

​

​

325

Multi-employer plans

​

​

17

​

​

23

DC plans

​

​

992

​

​

1,015

Direct benefit payments

​

​

671

​

​

538

Total

​

$

2,085

​

$

2,066

​

​

​

​

​

​

​

Total expected benefit payments

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Qualified

​

Nonqualified

​

Qualified

​

Nonqualified

​

Total Expected

​

​

U.S. Plan

​

U.S. Plans

​

Non-U.S. Plans

​

Non-U.S. Plans

​

Benefit

​

    

Payments

    

Payments

    

Payments

    

Payments

    

Payments

2022

 

$

3,488

​

$

124

​

$

1,968

​

$

342

​

$

5,922

2023

​

​

3,450

​

​

123

​

​

1,949

​

​

320

​

​

5,842

2024

​

​

3,419

​

​

121

​

​

1,959

​

​

328

​

​

5,827

2025

​

​

3,348

​

​

119

​

​

1,976

​

​

331

​

​

5,774

2026

​

​

3,244

​

​

116

​

​

1,972

​

​

337

​

​

5,670

2027-2031

​

​

14,524

​

​

532

​

​

9,438

​

​

1,624

​

​

26,117

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Qualified

​

Nonqualified

​

Total Expected

​

​

U.S. Plan

​

Non-U.S. Plans

​

Non-U.S. Plans

​

Benefit

​

    

Payments

    

Payments

    

Payments

    

Payments

2022

 

$

377

​

$

16

​

$

25

​

$

418

2023

​

​

380

​

​

17

​

​

25

​

​

422

2024

​

​

363

​

​

18

​

​

24

​

​

405

2025

​

​

339

​

​

19

​

​

24

​

​

382

2026

​

​

316

​

​

20

​

​

24

​

​

360

2027-2031

​

​

1,156

​

​

115

​

​

115

​

​

1,386

​

​

​

​

​

​

​

​

​

​

​

​

​

Defined benefit pension plans with accumulated benefit obligations (ABO) in excess of plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

2021

​

2020

​

    

Benefit

    

Plan

    

Benefit

    

Plan

At December 31:

    

Obligation

    

Assets

    

Obligation

    

Assets

Plans with PBO in excess of plan assets

 

$

25,204

​

$

13,908

​

$

31,805

​

$

18,257

Plans with ABO in excess of plan assets

​

​

24,853

​

​

13,908

​

​

31,465

​

​

18,257

Plans with plan assets in excess of PBO

​

​

68,075

​

​

77,924

​

​

70,879

​

​

78,436

​

​

​

​

​

​

​

​

​

​

​

​

​

Schedule of nonpension postretirement benefit plan with APBO in excess of plan assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

($ in millions)

​

​

​

​

​

​

2021

​

2020

​

    

Benefit

    

Plan

    

Benefit

    

Plan

At December 31:

    

Obligation

    

Assets

    

Obligation

    

Assets

Plans with APBO in excess of plan assets

​

$

4,042

​

$

40

​

$

4,537

​

$

45

Plans with plan assets in excess of APBO

 

​

—

​

​

—

​

​

9

​

​

9

​

​

​

​

​

​

​

​

​

​

​

​

​