Retirement Benefits (Tables)

12 Months Ended

Dec. 31, 2022

Defined Benefit Plan, Assumptions [Table Text Block]

The assumptions used to determine benefit obligation and net periodic benefit cost/(income) were as follows:


	Pension Benefits
	U.S. Plans				Non-U.S. Plans				Worldwide OPEB
	2021		2022		2021		2022		2021		2022
Weighted Average Assumptions at December 31
Discount rate	2.91	%	5.51	%	1.75	%	4.42	%	2.97	%	5.48	%
Average rate of increase in compensation	3.50		3.70		3.19		3.42		3.46		3.65
Weighted Average Assumptions Used to Determine Net Benefit Cost for the Year Ended December 31
Discount rate - Service cost	3.02	%	3.12	%	1.44	%	1.78	%	3.14	%	3.27	%
Effective interest rate on benefit obligation	2.00		2.40		1.06		1.54		1.96		2.49
Expected long-term rate of return on assets	6.00		5.75		3.42		3.29		—		—
Average rate of increase in compensation	3.50		3.50		3.34		3.19		3.44		3.46

Schedule of defined benefit plans expense [Table Text Block]

The pre-tax net periodic benefit cost/(income) for our defined benefit pension and OPEB plans for the years ended December 31 was as follows (in millions):


	Pension Benefits
	U.S. Plans						Non-U.S. Plans						Worldwide OPEB
	2020		2021		2022		2020		2021		2022		2020		2021		2022
Service cost	$	520	$	526	$	500	$	529	$	557	$	416	$	47	$	49	$	42
Interest cost	1,291		928		1,054		514		420		504		169		127		146
Expected return on assets	(2,795)		(2,728)		(2,569)		(1,067)		(1,130)		(1,006)		—		—		—
Amortization of prior service costs/(credits)	4		2		2		32		24		22		(16)		(12)		(3)
Net remeasurement (gain)/loss	377		(254)		1,720		499		(3,241)		(436)		556		(376)		(1,314)
Separation programs/other	35		19		46		226		156		63		—		—		—
Settlements and curtailments	5		70		438		103		(2)		(2)		(2)		—		(1)
Net periodic benefit cost/(income)	$	(563)	$	(1,437)	$	1,191	$	836	$	(3,216)	$	(439)	$	754	$	(212)	$	(1,130)

Schedule Of Defined Benefit Plan Obligations [Table Text Block]

The year-end status of these plans was as follows (in millions):


	Pension Benefits
	U.S. Plans				Non-U.S. Plans				Worldwide OPEB
	2021		2022		2021		2022		2021		2022
Change in Benefit Obligation
Benefit obligation at January 1	$	49,020	$	44,888	$	39,835	$	34,432	$	6,575	$	6,040
Service cost	526		500		557		416		49		42
Interest cost	928		1,054		420		504		127		146
Amendments	—		—		4		—		—		—
Separation programs/other	(25)		4		185		56		—		—
Curtailments	—		—		(4)		(2)		—		—
Settlements (a)	(1,297)		(1,172)		—		(674)		—		—
Plan participant contributions	20		18		13		12		21		1
Benefits paid	(2,522)		(2,466)		(1,565)		(1,302)		(356)		(363)
Foreign exchange translation	—		—		(1,432)		(2,877)		—		(92)
Actuarial (gain)/loss	(1,762)		(9,959)		(3,581)		(8,960)		(376)		(1,315)
Benefit obligation at December 31	44,888		32,867		34,432		21,605		6,040		4,459
Change in Plan Assets
Fair value of plan assets at January 1	48,355		45,909		33,820		33,085		—		—
Actual return on plan assets	1,150		(9,548)		788		(7,516)		—		—
Company contributions	247		223		912		722		—		—
Plan participant contributions	20		18		13		12		—		—
Benefits paid	(2,522)		(2,466)		(1,565)		(1,302)		—		—
Settlements (a)	(1,297)		(1,172)		—		(674)		—		—
Foreign exchange translation	—		—		(855)		(2,973)		—		—
Other	(44)		(42)		(28)		(10)		—		—
Fair value of plan assets at December 31	45,909		32,922		33,085		21,344		—		—
Funded status at December 31	$	1,021	$	55	$	(1,347)	$	(261)	$	(6,040)	$	(4,459)

Amounts Recognized on the Balance Sheets
Prepaid assets	$	3,130	$	2,064	$	5,404	$	3,599	$	—	$	—
Other liabilities	(2,109)		(2,009)		(6,751)		(3,860)		(6,040)		(4,459)
Total	$	1,021	$	55	$	(1,347)	$	(261)	$	(6,040)	$	(4,459)
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
Unamortized prior service costs/(credits)	$	2	$	—	$	170	$	130	$	22	$	25

Pension Plans in which Accumulated Benefit Obligation Exceeds Plan Assets at December 31
Accumulated benefit obligation	$	2,192	$	15,055	$	12,586	$	8,346
Fair value of plan assets	140		13,576		6,835		5,068

Accumulated Benefit Obligation at December 31	$	43,879	$	32,336	$	31,850	$	20,304

Pension Plans in which Projected Benefit Obligation Exceeds Plan Assets at December 31
Projected benefit obligation	$	2,249	$	15,585	$	13,651	$	8,932
Fair value of plan assets	140		13,576		6,900		5,068

Projected Benefit Obligation at December 31	$	44,888	$	32,867	$	34,432	$	21,605

__________

(a) In the fourth quarter of 2022, we transferred a non-U.S. pension obligation and related plan assets to an insurance company. There were no gains or losses recognized upon settlement.

Schedule of Expected Benefit Payments [Table Text Block]

The expected future benefit payments at December 31, 2022 were as follows (in millions):


	Benefit Payments
	Pension
	U.S. Plans		Non-U.S. Plans		Worldwide OPEB
2023	$	3,805	$	1,300	$	335
2024	2,595		1,225		335
2025	2,605		1,245		335
2026	2,570		1,255		330
2027	2,530		1,275		330
2028-2032	12,445		6,485		1,595

Schedule of Allocation of Plan Assets [Table Text Block]

The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $310 million and $96 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):


	2021
	U.S. Plans										Non-U.S. Plans
	Level 1		Level 2		Level 3		Assets measured at NAV (a)		Total		Level 1		Level 2		Level 3		Assets measured at NAV (a)		Total
Asset Category
Equity
U.S. companies	$	1,396	$	20	$	—	$	—	$	1,416	$	1,862	$	48	$	—	$	—	$	1,910
International companies	740		8		8		—		756		1,254		59		—		—		1,313
Total equity	2,136		28		8		—		2,172		3,116		107		—		—		3,223
Fixed Income
U.S. government and agencies	9,660		1,687		—		—		11,347		47		13		—		—		60
Non-U.S. government	—		1,230		12		—		1,242		—		20,338		123		—		20,461
Corporate bonds	—		25,842		—		—		25,842		—		2,901		70		—		2,971
Mortgage/other asset-backed	—		464		—		—		464		—		338		15		—		353
Commingled funds	—		164		—		—		164		—		185		—		—		185
Derivative financial instruments, net	1		(19)		—		—		(18)		(1)		23		28		—		50
Total fixed income	9,661		29,368		12		—		39,041		46		23,798		236		—		24,080
Alternatives
Hedge funds	—		—		—		3,390		3,390		—		—		—		1,221		1,221
Private equity	1		—		—		1,976		1,977		—		—		—		756		756
Real estate	—		—		—		1,323		1,323		—		—		—		386		386
Total alternatives	1		—		—		6,689		6,690		—		—		—		2,363		2,363
Cash, cash equivalents, and repurchase agreements (b)	(1,220)		—		—		—		(1,220)		(1,899)		—		—		—		(1,899)
Other (c)	(774)		—		—		—		(774)		(466)		—		5,784		—		5,318
Total assets at fair value	$	9,804	$	29,396	$	20	$	6,689	$	45,909	$	797	$	23,905	$	6,020	$	2,363	$	33,085

__________

(a)Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.

(b)Primarily short-term investment funds to provide liquidity to plan investment managers, cash held to pay benefits, and repurchase agreements valued at $2.9 billion in U.S. plans and $2.6 billion in non-U.S. plans.

(c)For U.S. plans, amounts related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, $4.7 billion of insurance contracts, primarily Ford-Werke, and amounts related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).

NOTE 17. RETIREMENT BENEFITS (Continued)

The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $268 million and $74 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):


	2022
	U.S. Plans										Non-U.S. Plans
	Level 1		Level 2		Level 3		Assets measured at NAV (a)		Total		Level 1		Level 2		Level 3		Assets measured at NAV (a)		Total
Asset Category
Equity
U.S. companies	$	412	$	2	$	—	$	—	$	414	$	1,426	$	33	$	—	$	—	$	1,459
International companies	269		6		8		—		283		989		13		—		—		1,002
Total equity	681		8		8		—		697		2,415		46		—		—		2,461
Fixed Income
U.S. government and agencies	7,380		1,509		—		—		8,889		36		35		—		—		71
Non-U.S. government	—		640		—		—		640		—		12,256		231		—		12,487
Corporate bonds	—		17,774		1		—		17,775		—		2,059		124		—		2,183
Mortgage/other asset-backed	—		422		—		—		422		—		265		10		—		275
Commingled funds	—		104		—		—		104		—		170		—		—		170
Derivative financial instruments, net	(2)		19		—		—		17		2		(74)		77		—		5
Total fixed income	7,378		20,468		1		—		27,847		38		14,711		442		—		15,191
Alternatives
Hedge funds	—		—		—		3,342		3,342		—		—		—		1,009		1,009
Private equity	—		—		—		1,411		1,411		—		—		—		584		584
Real estate	—		—		—		1,553		1,553		—		—		—		405		405
Total alternatives	—		—		—		6,306		6,306		—		—		—		1,998		1,998
Cash, cash equivalents, and repurchase agreements (b)	(1,135)		—		—		—		(1,135)		(1,363)		—		—		—		(1,363)
Other (c)	(793)		—		—		—		(793)		(310)		—		3,367		—		3,057
Total assets at fair value	$	6,131	$	20,476	$	9	$	6,306	$	32,922	$	780	$	14,757	$	3,809	$	1,998	$	21,344

__________

(a)Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.

(b)Primarily short-term investment funds to provide liquidity to plan investment managers, cash held to pay benefits, and repurchase agreements valued at $2.6 billion in U.S. plans and $2.1 billion in non-U.S. plans.

(c)For U.S. plans, amounts related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, $2.5 billion of insurance contracts, primarily Ford-Werke, and amounts related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).

Schedule of Changes in Fair Value of Plan Assets [Table Text Block]

The following table summarizes the changes in Level 3 defined benefit pension plan assets measured at fair value on a recurring basis for the years ended December 31 (in millions):


	2021
			Return on plan assets
	Fair Value at January 1		Attributable to Assets Held at December 31		Attributable to Assets Sold		Net Purchases/ (Settlements)		Transfers Into/ (Out of) Level 3		Fair Value at December 31
U.S. Plans	$	16	$	(2)	$	—	$	5	$	1	$	20
Non-U.S. Plans (a)	6,006		(943)		153		687		117		6,020

	2022
			Return on plan assets
	Fair Value at January 1		Attributable to Assets Held at December 31		Attributable to Assets Sold		Net Purchases/ (Settlements)		Transfers Into/ (Out of) Level 3		Fair Value at December 31
U.S. Plans	$	20	$	—	$	(4)	$	(8)	$	1	$	9
Non-U.S. Plans (a)	6,020		(1,732)		26		(722)		217		3,809

__________

(a)Includes insurance contracts, primarily the Ford-Werke plan, valued at $4.7 billion and $2.5 billion at year-end 2021 and 2022, respectively. In the fourth quarter of 2022, we transferred a non-U.S. pension obligation and related plan assets to an insurance company. There were no gains or losses recognized upon settlement.