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OTHER LIABILITIES, INCLUDING EMPLOYEE BENEFITS (Tables)
 12 Months Ended
Dec. 31, 2021
Other Liabilities, Including Employee Benefits [Abstract]  
Components of Other Liabilities
The components of other liabilities follow:
 December 31,
 20212020
Pension, postretirement, postemployment and other employment benefitsa
$845 $1,213 
Leasesb
281 190 
Provision for tax positions232 261 
Litigation accruals131 110 
Indemnification of PT Inalumb
78 42 
Cerro Verde royalty disputec
— 376 
Other116 77 
Total other liabilities$1,683 $2,269 
a.Refer to Note 7 for current portion.
b.Refer to Note 13 for further discussion.
c.Refer to Note 12 for further discussion.
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets FCX uses a measurement date of December 31 for its plans. Information for qualified and non-qualified plans where the projected benefit obligations and the accumulated benefit obligations exceed the fair value of plan assets follows:
 December 31,
 20212020
Projected benefit obligation$2,476 $2,666 
Accumulated benefit obligation2,476 2,664 
Fair value of plan assets1,988 1,884 
Schedule of Changes Benefit Obligation, Fair Value of Plan Assets, and Funded Status of Plan
Information on the qualified and non-qualified FCX (FMC and SERP plans) and PT-FI plans as of December 31 follows:
FCXPT-FI
 2021202020212020
Change in benefit obligation:    
Benefit obligation at beginning of year$2,722 $2,576 $238 $217 
Service cost12 37 13 11 
Interest cost66 77 14 14 
Actuarial (gains) losses(117)308 (3)12 
Plan amendments— — (2)— 
Foreign exchange (gains) losses(1)1 (3)(2)
Curtailment— (154)— — 
Benefits and administrative expenses paid(129)(123)(20)(14)
Benefit obligation at end of year2,553 2,722 237 238 
Change in plan assets:    
Fair value of plan assets at beginning of year1,946 1,677 251 254 
Actual return on plan assets150 272 8 13 
Employer contributionsa
105 119 4 2 
Foreign exchange (losses) gains(1)1 (3)(4)
Benefits and administrative expenses paid(129)(123)(20)(14)
Fair value of plan assets at end of year2,071 1,946 240 251 
Funded status$(482)$(776)$3 $13 
Accumulated benefit obligation$2,551 $2,719 $194 $194 
Weighted-average assumptions used to determine benefit obligations:    
Discount rate2.85 %2.50 %6.50 %6.25 %
Rate of compensation increase— %— %4.00 %4.00 %
Balance sheet classification of funded status:    
Other assets$6 $7 $3 $13 
Accounts payable and accrued liabilities(4)(4)— — 
Other liabilities(484)(779)— — 
Total$(482)$(776)$3 $13 
a.Employer contributions for 2022 are currently expected to approximate $112 million for the FCX plans and $1 million for the PT-FI plan (based on a December 31, 2021, exchange rate of 14,198 Indonesia rupiah to one U.S. dollar), and are subject to change.
Schedule of Assumptions Used
The weighted-average assumptions used to determine net periodic benefit cost and the components of net periodic benefit cost for FCX’s pension plans for the years ended December 31 follow:
 202120202019
Weighted-average assumptions:a
   
Discount rate2.50 %2.98 %4.40 %
Expected return on plan assets5.25 %6.25 %6.50 %
Rate of compensation increase— %3.25 %3.25 %
Service cost$12 $37 $42 
Interest cost66 77 95 
Expected return on plan assets(98)(105)(90)
Amortization of net actuarial losses25 45 48 
Curtailment loss— 4 — 
Net periodic benefit cost$5 $58 $95 
a.The assumptions shown relate only to the FMC Retirement Plan.

The weighted-average assumptions used to determine net periodic benefit cost and the components of net periodic benefit cost for PT-FI’s pension plan for the years ended December 31 follow:
 202120202019
Weighted-average assumptions:   
Discount rate6.25 %7.25 %8.25 %
Expected return on plan assets7.75 %7.75 %8.25 %
Rate of compensation increase4.00 %4.00 %4.00 %
Service cost$13 $11 $12 
Interest cost14 14 17 
Expected return on plan assets(19)(19)(17)
Amortization of prior service cost1 2 1 
Amortization of net actuarial gains(1)(3)(1)
Net periodic benefit cost$8 $5 $12 
Schedule of Net Periodic Benefit Cost Not yet Recognized
Included in accumulated other comprehensive loss are the following amounts that have not been recognized in net periodic pension cost as of December 31:
20212020
 
Before Taxes
After Taxes and Noncontrolling Interests
Before Taxes
After Taxes and Noncontrolling Interests
Net actuarial losses$488 $369 $673 $558 
Prior service costs2 — 6 1 
$490 $369 $679 $559 
Schedule of Allocation of Plan Assets
A summary of the fair value for pension plan assets, including those measured at net asset value (NAV) as a practical expedient, associated with the FCX plans follows:
 Fair Value at December 31, 2021
 TotalNAVLevel 1Level 2Level 3
Commingled/collective funds:    
    Fixed income securities$522 $522 $— $— $— 
    Real estate property72 72 — — — 
    Short-term investments38 38 — — — 
Fixed income:    
Corporate bonds911 — — 911 — 
Government bonds437 — — 437 — 
Private equity investments11 11 — — — 
Other investments74 — 1 73 — 
Total investments2,065 $643 $1 $1,421 $— 
Cash and receivables18 
Payables(12)
Total pension plan net assets$2,071 

 Fair Value at December 31, 2020
 TotalNAVLevel 1Level 2Level 3
Commingled/collective funds:      
Global equity$527 $527 $— $— $— 
Fixed income securities404 404 — — — 
International small-cap equity76 76 — — — 
Real estate property59 59 — — — 
U.S. real estate securities51 51 — — — 
Short-term investments51 51 — — — 
U.S. small-cap equity25 25 — — — 
Fixed income:
Corporate bonds381 — — 381 — 
Government bonds181 — — 181 — 
Global large-cap equity securities109 — 109 — — 
Private equity investments10 10 — — — 
Other investments55 — 1 54 — 
Total investments1,929 $1,203 $110 $616 $— 
Cash and receivables100 
Payables(83)
Total pension plan net assets$1,946 
A summary of the fair value hierarchy for pension plan assets associated with the PT-FI plan follows:
 Fair Value at December 31, 2021
 TotalLevel 1Level 2Level 3
Government bonds$114 $114 $— $— 
Common stocks80 80 — — 
Mutual funds18 18 — — 
Total investments212 $212 $— $— 
Cash and receivablesa
29 
Payables(1)
Total pension plan net assets$240 

 Fair Value at December 31, 2020
 TotalLevel 1Level 2Level 3
Government bonds$117 $117 $— $— 
Common stocks77 77 — — 
Mutual funds18 18 — — 
Total investments212 $212 $— $— 
Cash and receivablesa
41 
Payables(2)
Total pension plan net assets$251 
a.Cash consists primarily of short-term time deposits.
Schedule of Expected Benefit Payments
The expected benefit payments for FCX’s and PT-FI’s pension plans follow:
FCX
PT-FIa
2022$127 $17 
2023178 27 
2024130 30 
2025131 27 
2026132 30 
2027 through 2031653 146 
a.Based on a December 31, 2021, exchange rate of 14,198 Indonesia rupiah to one U.S. dollar.