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EMPLOYEE BENEFIT PLANS
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
EMPLOYEE BENEFIT PLANS EMPLOYEE BENEFIT PLANS
Pension Plans

We sponsor several defined benefit pension plans covering most employees not covered by union-administered plans, including certain employees in foreign countries. These plans generally provided participants with benefits based on years of service and career-average compensation levels.

In past years, we made amendments to defined benefit retirement plans that froze the retirement benefits for non-grandfathered and certain non-union employees in the U.S., Canada and the U.K. As of December 31, 2025, our U.S., Canadian and U.K. pension plans are frozen for all remaining active employees. These employees have ceased accruing further benefits under the defined benefit pension plans and began receiving benefits under enhanced defined contribution plans. All pension benefits earned were fully preserved and will be paid in accordance with plan and legal requirements. We maintain an active $16 million statutory unfunded pension plan in Mexico.

In September 2023, we executed a bulk annuity contract with a U.K. insurance company to fully settle our $287 million U.K. pension benefit obligation. The bulk annuity transaction will not impact our financial position or statement of earnings until administrative rights for the annuity payments are transferred to the U.K. insurance company. The transfer is expected to occur within the next two years and will result in the elimination of any remaining funded obligations related to the U.K.
pension plan. At the time of the transfer, we expect to recognize a non-cash pre-tax charge for the U.K pension plan actuarial loss in Accumulated other comprehensive loss, which as of December 31, 2025 was $221 million.

In April 2025, we executed a bulk annuity contract with a Canadian insurance company to settle $41 million of $60 million in Canadian pension benefit obligations. The remaining $19 million of Canadian pension benefit obligations, for members not covered by the bulk annuity contract, will be settled by utilizing lump sum payments. This bulk annuity transaction will have no impact on our financial position or statement of earnings until administrative rights for the annuity payments are transferred to the Canadian insurance company and lump sum payments are made to pension plan members. The transfer and lump sum payments are expected to occur within the next two years and will result in the elimination of any remaining funded obligations related to this Canadian pension plan. At the time of transfer and lump sum payments, we expect to recognize a non-cash pre-tax charge for the Canadian pension plan actuarial loss in Accumulated other comprehensive loss, which as of December 31, 2025 was $26 million.

We also have a non-qualified supplemental pension plan covering certain U.S. employees, which provides for incremental pension payments so that the participants' payments equal the amounts that could have been received under our qualified pension plan if it were not for limitations imposed by income tax regulations. The accrued pension liability related to this plan was $43 million as of December 31, 2025 and 2024.

Net Pension Expense

Components of net pension expense for defined benefit pension plans were as follows:
(In millions)
202520242023
Company-administered plans:
Service cost$1 $1 $1 
Interest cost87 86 90 
Expected return on plan assets(82)(76)(77)
Amortization of net actuarial loss and prior service cost31 31 27 
Net pension expense$37 $42 $41 
Company-administered plans:
U.S.$23 $29 $31 
Non-U.S.14 13 10 
Net pension expense$37 $42 $41 
 
Non-operating pension costs, net include the amortization of net actuarial loss and prior service cost, interest cost and expected return on plan assets components of pension and postretirement benefit costs, as well as any significant charges for settlements or curtailments if recognized.

The following table sets forth the weighted-average actuarial assumptions used in determining our annual net pension expense:
 
U.S. Plans
Non-U.S. Plans
 202520242023202520242023
Discount rate5.65%5.15%5.50%5.23%4.25%5.05%
Expected long-term rate of return on plan assets6.15%5.40%5.40%4.82%3.97%3.80%
Gain and loss amortization period (years)192020232424

The return on plan assets assumption reflects the weighted-average of the expected long-term rates of return for the broad categories of investments held in the plans, net of fees.
Obligations and Funded Status

The following table sets forth the benefit obligations, assets and funded status associated with our pension plans:
(In millions)
20252024
Change in benefit obligations:
Benefit obligations at January 1$1,628 $1,858
Service cost1 1
Interest cost88 86
Actuarial loss (gain)
23 (127)
Benefits paid(140)(180)
Foreign currency exchange rate changes25 (10)
Benefit obligations at December 311,625 1,628
Change in plan assets:
Fair value of plan assets at January 11,481 1,642
Actual return on plan assets101 (28)
Employer contribution66 56
Benefits paid(140)(180)
Foreign currency exchange rate changes22 (9)
Fair value of plan assets at December 311,530 1,481
Funded status$(95)$(147)
Funded percent94%91%


The funded status of our pension plans was presented in the Consolidated Balance Sheets as follows:
 December 31,
(In millions)
20252024
Noncurrent asset$— $2 
Current liability(4)(4)
Noncurrent liability(91)(145)
Net amount recognized$(95)$(147)
Amounts recognized in Accumulated other comprehensive loss (pre-tax) consisted of:
 December 31,
 (In millions)20252024
Prior service cost$25 $26 
Net actuarial loss753 777 
Net amount recognized$778 $803 

In 2026, we expect to amortize $31 million of net actuarial loss and prior service cost as a component of pension expense.
    
The following table sets forth the weighted-average actuarial assumptions used in determining funded status:
 U.S. Plans
December 31,		Non-U.S. Plans
December 31,
 2025202420252024
Discount rate5.45%5.65%5.34%5.23%
As of December 31, 2025 and 2024, our total accumulated benefit obligations, as well as our pension plan obligations (projected benefit obligations (PBO) and accumulated benefit obligations (ABO)) in excess of the fair value of the related plan assets, for our U.S. and foreign plans were as follows:
 U.S. Plans
December 31,		Non-U.S. Plans
December 31,		Total
December 31,
 (In millions)202520242025202420252024
Total accumulated benefit obligations$1,260 $1,284 $361 $341 $1,621 $1,625 
Plans with pension obligations in excess of plan assets:
PBO1,260 1,284 305 285 1,565 1,569 
ABO1,260 1,284 301 283 1,561 1,567 
Fair value of plan assets1,188 1,154 282 267 1,470 1,421 
Investment Policy and Fair Value of Plan Assets 
We have a liability hedging investment strategy for our qualified U.S pension plan that reduces the volatility of our pension assets relative to our pension liability. The overall objective is to achieve attractive risk-adjusted returns that will balance the liquidity requirement related to the plan's liability while striving to minimize the risk of significant funded status deterioration. As the funded status of the plan improves, we gradually (1) increase the liability hedging portfolio, which consists of high quality, longer-term fixed income securities and (2) reduce our allocation of equity investments. The plan utilizes several investment strategies, including actively and passively managed fixed income and equity strategies. The investment policy establishes targeted allocations for each asset class that incorporate measures of asset and liability risks. Deviations between actual pension plan asset allocations and targeted asset allocations may occur as a result of investment performance and changes in the funded status from time to time. Rebalancing of the pension plan asset portfolio is evaluated periodically and rebalanced if actual allocations exceed an acceptable range. The qualified U.S.pension plan accounts for 78% of our total pension plan assets.

The following table presents the fair value of each major category of pension plan assets and the level of inputs used to measure fair value:

 (In millions)December 31, 2025
Asset CategoryTotalLevel 1Level 2Level 3
Commingled funds:
Equity funds
$68 $— $68 $— 
Fixed income funds
374 — 374 — 
Fixed income securities
646 — 646 — 
Alternative investments:
Private equity fund
30 — — 30 
Hedge fund
65 — — 65 
Bulk annuity contracts
320 — — 320 
Cash and cash equivalents
27 18 9 — 
Total$1,530 $18 $1,097 $415 
 
 (In millions)December 31, 2024
Asset CategoryTotalLevel 1Level 2Level 3
Commingled funds:
Equity funds
$166 $— $166 $— 
Fixed income funds
57 — 57 — 
Fixed income securities
879 — 879 — 
Alternative investments:
Private equity fund
34 — — 34 
Hedge fund
58 — — 58 
Bulk annuity contracts
263 — — 263 
Cash and cash equivalents
24 — 24 — 
Total$1,481 $— $1,126 $355 

The following is a description of the valuation methodologies used for our pension assets as well as the level of input used to measure fair value:

Commingled funds — These investments include passively and actively managed fixed income and equity collective investment trusts. The collective investment trusts were valued utilizing the Net Asset Value (NAV) established by the funds’ sponsors and used by investors to redeem and purchase fund shares daily. Since the units of the funds are not actively traded, the fair value measurements have been classified within Level 2 of the fair value hierarchy.

Fixed income securities — These investments include bonds of corporate issuers from diverse industries, government issuers, fixed income pooled funds and other fixed income investments. Fair values for the corporate bonds were valued using third-party pricing services. These sources determine prices utilizing market income models which factor in, where applicable, transactions of similar assets in active markets, transactions of identical assets in infrequent markets, interest rates, bond or credit default swap spreads and volatility. Since the corporate bonds are not actively traded, the fair value measurements have been classified within Level 2 of the fair value hierarchy. The fixed income pooled funds were valued utilizing the NAV established by the funds’ sponsors and used by investors to redeem and purchase fund shares daily. Since the units of the funds are not actively traded, the fair value measurements have been classified within Level 2 of the fair value hierarchy. The other investments are not actively traded and fair values are estimated using bids provided by brokers, dealers or quoted prices of similar securities with similar characteristics or pricing models. Therefore, the other investments have been classified within Level 2 of the fair value hierarchy.

Private equity and hedge funds — These investments represent limited partnership interests in private equity and hedge funds. The partnership interests are valued by the general partners based on the underlying assets in each fund. The limited partnership interests are valued using unobservable inputs and have been classified within Level 3 of the fair value hierarchy.

Bulk annuity contracts — The bulk annuity contracts relates to U.K. and Canadian insurance policies issued by U.K. and Canadian insurance companies, respectively. The U.K. and Canadian contracts are valued by the insurer using unobservable inputs not traded on an open market. Accordingly, the contracts were categorized as Level 3.

Cash and Cash Equivalent - These investments include short-term investments, such as obligations of the U.S. Government and its agencies, and related money market instruments held in a collective investment trust structure. The collective investment trusts were valued utilizing the NAV established by the funds’ sponsors and used by investors to redeem and purchase fund shares daily. Since the units of the funds are not actively traded, the fair value measurements have been classified within Level 2 of the fair value hierarchy.
The following table presents a summary of changes in the fair value of the pension plans’ Level 3 assets: 
(In millions)20252024
Beginning balance at January 1$355 $437 
Return on plan assets:
Relating to assets still held at the reporting date26 (47)
Purchases, sales, settlements and expenses34 (35)
Ending balance at December 31$415 $355 
Funding Policy and Contributions

The funding policy for these plans is to make contributions when required by statute. We may, from time to time, make voluntary contributions to our pension plans, which exceed the amount required by statute. The majority of the plans’ assets are invested in a master trust that, in turn, is invested primarily in commingled funds and fixed income securities. During 2025, total global pension contributions were $66 million, which includes the prefunding of $60 million in future required contributions to our U.S. pension plan, compared with $56 million in 2024. We estimate total 2026 required contributions to our pension plans to be approximately $10 million, and we do not expect to make voluntary contributions.

Estimated Future Benefits Payments

The following table details pension benefits expected to be paid in each of the next five fiscal years and in the aggregate for the five fiscal years thereafter:
 (In millions)
2026$139 
2027134 
2028130 
2029127 
2030125 
2031-2035591 

Savings Plans
Employees who are not covered by union-administered plans are generally eligible to participate in enhanced savings plans. These plans provide for (1) a company contribution even if employees do not make contributions for employees hired before January 1, 2016, (2) a company match of employee contributions of eligible pay, subject to tax limits and (3) a discretionary company match. Savings plan costs totaled $51 million, $49 million and $48 million in 2025, 2024 and 2023, respectively.

Deferred Compensation and Long-Term Compensation Plans
We have deferred compensation plans that permit eligible U.S. employees, officers and directors to defer a portion of their compensation. The deferred compensation liability, including Ryder matching amounts and accumulated earnings, was $155 million and $133 million as of December 31, 2025 and 2024, respectively.
We have established a grantor trust (Rabbi Trust) to provide funding for benefits payable under the supplemental pension plan, deferred compensation plans and long-term incentive compensation plans. The assets held in the trust were $156 million and $134 million as of December 31, 2025 and 2024, respectively. The Rabbi Trust's assets consist of short-term cash investments and mutual funds that invest in debt and equity securities, including our common stock. These assets, except for the investment in our common stock, are included in “Sales-type leases and other assets” because they are available to our general creditors in the event of insolvency. The equity securities are classified as trading securities and stated at fair value. The realized and unrealized investment income recognized in "Miscellaneous income, net" was $21 million income for 2025, $20 million income for 2024 and $17 million income for 2023. The Rabbi Trust's investments in our common stock as of both December 31, 2025 and 2024 were not material. Investments held in the Rabbi Trust are assets measured at fair value on a recurring basis. All investments are considered Level 1 of the fair value hierarchy.