Contribution to other post retirement plans

[Table of Contents](#ie64973d8440d48dda3b140796cb1bc77_7)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)The company also sponsors other postretirement employee benefit (OPEB) plans that provide medical and dental benefits, as well as life insurance for some active and qualifying retired employees. The plans are unfunded, and the company and the retirees share the costs. For the company’s main U.S. medical plan, the increase to the pre-Medicare company contribution for retiree medical coverage is limited to no more than four percent each year. Certain life insurance benefits are paid by the company.The components of net periodic benefit costs for 2022 and 2021 are as follows:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|   | Three Months EndedSeptember 30 |  | Nine Months EndedSeptember 30 |
|   | 2022 |  | 2021 |  | 2022 |  | 2021 |
|  | (Millions of dollars) | (Millions of dollars) |
| Pension Benefits |  |  |  |  |  |  |  |
| United States |  |  |  |  |  |  |  |
| Service cost | $ | 116  |  |  | $ | 112  |  |  | $ | 351  |  |  | $ | 337  |  |
| Interest cost | 72  |  |  | 56  |  |  | 207  |  |  | 175  |  |
| Expected return on plan assets | (161) |  |  | (145) |  |  | (484) |  |  | (439) |  |
| Amortization of prior service costs (credits)  | —  |  |  | —  |  |  | 1  |  |  | 1  |  |
| Amortization of actuarial losses (gains) | 55  |  |  | 68  |  |  | 180  |  |  | 245  |  |
| Settlement losses | 233  |  |  | 108  |  |  | 340  |  |  | 576  |  |
| Total United States | 315  |  |  | 199  |  |  | 595  |  |  | 895  |  |
| International |  |  |  |  |  |  |  |
| Service cost | 20  |  |  | 27  |  |  | 63  |  |  | 98  |  |
| Interest cost | 33  |  |  | 35  |  |  | 104  |  |  | 104  |  |
| Expected return on plan assets | (43) |  |  | (42) |  |  | (135) |  |  | (131) |  |
| Amortization of prior service costs (credits) | 2  |  |  | 2  |  |  | 5  |  |  | 6  |  |
| Amortization of actuarial losses (gains) | 4  |  |  | 11  |  |  | 12  |  |  | 35  |  |
| Settlement losses | —  |  |  | (1) |  |  | (9) |  |  | (1) |  |
| Total International | 16  |  |  | 32  |  |  | 40  |  |  | 111  |  |
| Net Periodic Pension Benefit Costs | $ | 331  |  |  | $ | 231  |  |  | $ | 635  |  |  | $ | 1,006  |  |
| Other Benefits\* |  |  |  |  |  |  |  |
| Service cost | $ | 11  |  |  | $ | 11  |  |  | $ | 32  |  |  | $ | 32  |  |
| Interest cost | 14  |  |  | 15  |  |  | 45  |  |  | 41  |  |
| Amortization of prior service costs (credits) | (7) |  |  | (7) |  |  | (20) |  |  | (20) |  |
| Amortization of actuarial losses (gains) | 4  |  |  | 3  |  |  | 10  |  |  | 11  |  |
|  |  |  |  |  |  |  |  |
| Net Periodic Other Benefit Costs | $ | 22  |  |  | $ | 22  |  |  | $ | 67  |  |  | $ | 64  |  |

\* Includes costs for U.S. and international OPEB plans. Obligations for plans outside the United States are not significant relative to the company’s total OPEB obligation. Through September 30, 2022, a total of $1.1 billion was contributed to employee pension plans (including $953 million to the U.S. plans). Contribution amounts are dependent upon plan investment returns, changes in pension obligations, regulatory requirements and other economic factors. Additional funding may ultimately be required if investment returns are insufficient to offset increases in plan obligations.During the first nine months of 2022, the company contributed $121 million to its OPEB plans.Note 9. Assets Held For SaleAt September 30, 2022, the company classified $424 million of net properties, plant and equipment as “Assets held for sale” on the Consolidated Balance Sheet. These assets are associated with upstream operations that are anticipated to be sold in the next 12 months. The revenues and earnings contributions of these assets in 2021 and the first nine months of 2022 were not material. Note 10. Income TaxesThe income tax expense increased between quarterly periods from $1.9 billion in 2021 to $3.6 billion in 2022. The company's income before income tax expense increased $6.8 billion from $8.1 billion in 2021 to $14.8 14
