Employer contributions

  
The Company uses third-party analyses to assist in developing the assumptions used in, as well as calibrating, a Monte Carlo simulation model. The Company is responsible for determining the assumptions used in estimating the fair value of its share-based payment awards.  
For additional information on the Company's long-term share-based compensation plans and the types of share-based awards, see Note 12 of the Notes to the Consolidated Financial Statements included in the 2021 Annual Report.  
11.    BENEFIT PLANS  
The Company has funded defined benefit plans in Japan and the U.S., however the U.S. plan was frozen to new participants effective October 1, 2013. The Company also maintains non-qualified, unfunded supplemental retirement plans that provide defined pension benefits in excess of limits imposed by federal tax law for certain Japanese, U.S. and former employees, however the U.S. plan was frozen to new participants effective January 1, 2015. U.S. employees who are not participants in the defined benefit plan receive a nonelective 401(k) employer contribution.   
The Company provides certain health care benefits for eligible U.S. retired employees, their beneficiaries and covered dependents (other postretirement benefits). The health care plan is contributory and unfunded. Effective January 1, 2014, employees eligible for benefits included the following: (1) active employees whose age plus service, in years, equaled or exceeded 80 (rule of 80); (2) active employees who were age 55 or older and have met the 15 years of service requirement; (3) active employees who would meet the rule of 80 in the next five years; (4) active employees who were age 55 or older and who would meet the 15 years of service requirement within the next five years; and (5) current retirees. For certain employees and former employees, additional coverage is provided for all medical expenses for life.  
Pension and other postretirement benefit expenses are included in acquisition and operating expenses in the consolidated statements of earnings, which includes other components of net periodic pension cost and postretirement costs (other than service costs) of $2 million and $7 million for the three-month periods and $6 million and $14 million for the six-month periods ended June 30, 2022 and 2021, respectively. Total net periodic benefit cost includes the following components:  


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|  |  | Three Months Ended June 30, |
|  |  | Pension Benefits |  | Other |
|  |  | Japan |  | U.S. |  | Postretirement Benefits |
| (In millions) |  | 2022 |  | 2021 |  | 2022 |  | 2021 |  | 2022 |  | 2021 |
| Components of net periodic   benefit cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Service cost |  |  | $ | 5  |  |  |  |  | $ | 6  |  |  |  |  | $ | 7  |  |  |  |  | $ | 7  |  |  |  |  | $ | 0  |  |  |  |  | $ | 0  |  |  |
| Interest cost |  |  | 1  |  |  |  |  | 1  |  |  |  |  | 8  |  |  |  |  | 8  |  |  |  |  | 0  |  |  |  |  | 1  |  |  |
| Expected return on plan assets |  |  | (2) |  |  |  |  | (2) |  |  |  |  | (10) |  |  |  |  | (10) |  |  |  |  | 0  |  |  |  |  | 0  |  |  |
| Amortization of net actuarial loss |  |  | 0  |  |  |  |  | 0  |  |  |  |  | 5  |  |  |  |  | 8  |  |  |  |  | 0  |  |  |  |  | 1  |  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Net periodic (benefit) cost |  |  | $ | 4  |  |  |  |  | $ | 5  |  |  |  |  | $ | 10  |  |  |  |  | $ | 13  |  |  |  |  | $ | 0  |  |  |  |  | $ | 2  |  |  |



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|  |  | Six Months Ended June 30, |
|  |  | Pension Benefits |  | Other |
|  |  | Japan |  | U.S. |  | Postretirement Benefits |
| (In millions) |  | 2022 |  | 2021 |  | 2022 |  | 2021 |  | 2022 |  | 2021 |
| Components of net periodic   benefit cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Service cost |  |  | $ | 10  |  |  |  |  | $ | 12  |  |  |  |  | $ | 13  |  |  |  |  | $ | 14  |  |  |  |  | $ | 0  |  |  |  |  | $ | 0  |  |  |
| Interest cost |  |  | 3  |  |  |  |  | 2  |  |  |  |  | 17  |  |  |  |  | 16  |  |  |  |  | 0  |  |  |  |  | 1  |  |  |
| Expected return on plan assets |  |  | (4) |  |  |  |  | (4) |  |  |  |  | (21) |  |  |  |  | (20) |  |  |  |  | 0  |  |  |  |  | 0  |  |  |
| Amortization of net actuarial loss |  |  | 0  |  |  |  |  | 1  |  |  |  |  | 10  |  |  |  |  | 16  |  |  |  |  | 1  |  |  |  |  | 2  |  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Net periodic (benefit) cost |  |  | $ | 9  |  |  |  |  | $ | 11  |  |  |  |  | $ | 19  |  |  |  |  | $ | 26  |  |  |  |  | $ | 1  |  |  |  |  | $ | 3  |  |  |

  
During the six months ended June 30, 2022, Aflac Japan contributed approximately $17 million (using the weighted-average yen/dollar exchange rate for the six-month period ended June 30, 2022) to the Japanese funded defined benefit plan, and Aflac U.S. did not make a contribution to the U.S. funded defined benefit plan.   
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