v3.25.2
Benefit Plans and Other Postretirement Benefits
 6 Months Ended
Jun. 30, 2025
Retirement Benefits [Abstract]  
Benefit Plans and Other Postretirement Benefits
Components of Net Periodic Benefit Cost
Three Months Ended June 30
2025202420252024
(Millions of Dollars)Pension BenefitsPostretirement Health
Care Benefits
Service cost$5 $6 $— $— 
Interest cost (a)
9 8 1 — 
Expected return on plan assets (a)
(11)(12)— — 
Amortization of net loss (a)
3 3 — — 
Settlement charge (b)
— 31 — — 
Net periodic benefit cost6 36 1 — 
Effects of regulation2 (32)— — 
Net benefit cost recognized for financial reporting$8 $4 $1 $— 
Six Months Ended June 30
2025202420252024
(Millions of Dollars)Pension BenefitsPostretirement Health
Care Benefits
Service cost$10 $11 $— $— 
Interest cost (a)
18 17 2 1 
Expected return on plan assets (a)
(22)(23)— — 
Amortization of net loss (a)
6 6 — — 
Settlement charge (b)
— 31 — — 
Net periodic benefit cost12 42 2 1 
Effects of regulation4 (29)— — 
Net benefit cost recognized for financial reporting$16 $13 $2 $1 
(a)The components of net periodic cost other than the service cost component are included in the line item “Other income, net” in the consolidated statements of income or capitalized on the consolidated balance sheets as a regulatory asset.
(b)A settlement charge is required when the amount of lump-sum distributions during the year is greater than the sum of the service and interest cost components of the annual net periodic pension cost. In the second quarter of 2024, as a result of lump-sum distributions during the 2024 plan year, NSP-Minnesota recorded a pension settlement charge of $31 million, which was not recognized in earnings due to the effects of rate making.
In January 2025, contributions totaling $125 million were made across Xcel Energy’s pension plans, of which $54 million was attributable to NSP-Minnesota. Xcel Energy does not expect additional pension contributions during 2025.