Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2021 | Jan. 31, 2022 | Jun. 30, 2021 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-9700 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 94-3025021 | ||
Entity Address, Address Line One | 3000 Schwab Way | ||
Entity Address, City or Town | Westlake | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 76262 | ||
City Area Code | 817 | ||
Local Phone Number | 859-5000 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 122.9 | ||
Documents Incorporated by Reference | Part III of this Form 10-K incorporates certain information contained in the registrant’s definitive proxy statement for its annual meeting of stockholders, to be held May 17, 2022, by reference to that document. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | SCHWAB CHARLES CORP | ||
Entity Central Index Key | 0000316709 | ||
Common Stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock – $.01 par value per share | ||
Trading Symbol | SCHW | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding (shares) | 1,814,620,775 | ||
Series D Preferred Stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Depositary Shares, each representing a 1/40th ownership interest in a share of 5.95% Non-Cumulative Preferred Stock, Series D | ||
Trading Symbol | SCHW PrD | ||
Security Exchange Name | NYSE | ||
Series J Preferred Stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Depositary Shares, each representing a 1/40th ownership interest in a share of 4.450% Non-Cumulative Preferred Stock, Series J | ||
Trading Symbol | SCHW PrJ | ||
Security Exchange Name | NYSE | ||
Nonvoting Common Stock [Member] | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding (shares) | 79,293,695 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Auditor Information [Abstract] | |
Auditor Firm ID | 34 |
Auditor Name | DELOITTE & TOUCHE LLP |
Auditor Location | Dallas, Texas |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Net Revenues | ||||
Interest revenue | $ 8,506 | $ 6,531 | $ 7,580 | |
Interest expense | (476) | (418) | (1,064) | |
Net interest revenue | 8,030 | 6,113 | 6,516 | |
Other | 749 | 332 | 242 | |
Total net revenues | 18,520 | 11,691 | 10,721 | |
Expenses Excluding Interest | ||||
Compensation and benefits | 5,450 | 3,954 | 3,320 | |
Professional services | 994 | 843 | 702 | |
Occupancy and equipment | 976 | 703 | 559 | |
Advertising and market development | 485 | 326 | 307 | |
Communications | 587 | 353 | 253 | |
Depreciation and amortization | 549 | 414 | 322 | |
Amortization of acquired intangible assets | 615 | 190 | 27 | |
Regulatory fees and assessments | 275 | 163 | 122 | |
Other | 876 | 445 | 261 | |
Total expenses excluding interest | 10,807 | 7,391 | 5,873 | |
Income before taxes on income | 7,713 | 4,300 | 4,848 | |
Taxes on income | 1,858 | 1,001 | 1,144 | |
Net Income | 5,855 | 3,299 | 3,704 | |
Preferred stock dividends and other | 495 | 256 | 178 | |
Net Income Available to Common Stockholders | $ 5,360 | $ 3,043 | $ 3,526 | |
Weighted-Average Common Shares Outstanding: | ||||
Basic (in shares) | 1,887 | 1,429 | 1,311 | |
Diluted (in shares) | 1,897 | 1,435 | 1,320 | |
Earnings Per Common Shares Outstanding | ||||
Basic (USD per share) | [1] | $ 2.84 | $ 2.13 | $ 2.69 |
Diluted (USD per share) | [1] | $ 2.83 | $ 2.12 | $ 2.67 |
Asset management and administration fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | [2] | $ 4,274 | $ 3,475 | $ 3,211 |
Trading revenue [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 4,152 | 1,416 | 752 | |
Bank deposit account fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | $ 1,315 | $ 355 | $ 0 | |
[1] | For the years ended December 31, 2021 and 2020, the Company had voting and nonvoting common stock outstanding. As the participation rights, including dividend and liquidation rights, are identical between the voting and nonvoting stock classes, basic and diluted earnings per share are the same for each class. See Notes 19 and 25 for additional information. | |||
[2] | Includes fee waivers of $326 million and $127 million for the years ended December 31, 2021 and 2020, respectively. |
Consolidated Statements of In_2
Consolidated Statements of Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||
Fee waivers | $ 326 | $ 127 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 5,855 | $ 3,299 | $ 3,704 |
Change in net unrealized gain (loss) on available for sale securities: | |||
Net unrealized gain (loss) | (8,521) | 6,961 | 430 |
Other reclassifications included in other revenue | (4) | (4) | (6) |
Change in net unrealized gain (loss) on held to maturity securities: | |||
Amortization of amounts previously recorded upon transfer to held to maturity from available for sale | 0 | 0 | 36 |
Other | (11) | 8 | (14) |
Other comprehensive income (loss), before tax | (8,536) | 6,965 | 446 |
Income tax effect | 2,033 | (1,659) | (106) |
Other comprehensive income (loss), net of tax | (6,503) | 5,306 | 340 |
Comprehensive Income (Loss) | $ (648) | $ 8,605 | $ 4,044 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | |
Assets | |||
Cash and cash equivalents | [1] | $ 62,975 | $ 40,348 |
Cash and investments segregated and on deposit for regulatory purposes (including resale agreements of $13,096 and $14,904 at December 31, 2021 and 2020, respectively) | 53,949 | 50,399 | |
Receivables from brokerage clients — net | 90,565 | 64,440 | |
Available for sale securities (amortized cost of $391,482 and $330,248 at December 31, 2021 and 2020, respectively) | 390,054 | 337,400 | |
Bank loans — net | 34,636 | 23,813 | |
Equipment, office facilities, and property — net | 3,442 | 2,883 | |
Goodwill | 11,952 | 11,952 | |
Acquired intangible assets — net | 9,379 | 9,991 | |
Other assets | 10,318 | 7,783 | |
Total assets | 667,270 | 549,009 | |
Liabilities and Stockholders’ Equity | |||
Bank deposits | 443,778 | 358,022 | |
Payables to brokerage clients | 125,671 | 104,201 | |
Accrued expenses and other liabilities | 17,791 | 17,094 | |
Short-term borrowings | 4,855 | 0 | |
Long-term debt | 18,914 | 13,632 | |
Total liabilities | 611,009 | 492,949 | |
Stockholders’ equity: | |||
Preferred stock — $.01 par value per share; aggregate liquidation preference of $10,100 and $7,850 at December 31, 2021 and 2020, respectively | 9,954 | 7,733 | |
Additional paid-in capital | 26,741 | 26,515 | |
Retained earnings | 25,992 | 21,975 | |
Treasury stock, at cost — 180,959,274 and 193,577,648 shares at December 31, 2021 and 2020, respectively | (5,338) | (5,578) | |
Accumulated other comprehensive income (loss) | (1,109) | 5,394 | |
Total stockholders’ equity | 56,261 | 56,060 | |
Total liabilities and stockholders’ equity | 667,270 | 549,009 | |
Common Stock [Member] | |||
Stockholders’ equity: | |||
Common stock | 20 | 20 | |
Nonvoting Common Stock [Member] | |||
Stockholders’ equity: | |||
Common stock | $ 1 | $ 1 | |
[1] | For more information on the nature of restrictions on restricted cash and cash equivalents, see Note 23. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Cash and investments segregated and on deposit for regulatory purposes, resale agreements | $ 13,096 | $ 14,904 |
Amortized cost | $ 391,482 | $ 330,248 |
Preferred stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Preferred stock, aggregate liquidation preference | $ 10,100 | $ 7,850 |
Common stock, shares authorized (shares) | 3,000,000,000 | 3,000,000,000 |
Common stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares issued (shares) | 1,994,895,180 | 1,994,895,180 |
Treasury stock (shares) | 180,959,274 | 193,577,648 |
Nonvoting Common Stock [Member] | ||
Common stock, shares authorized (shares) | 300,000,000 | 300,000,000 |
Common stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares issued (shares) | 79,293,695 | 79,293,695 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Nonvoting Common Stock [Member] | Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member]Nonvoting Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Treasury Stock, at cost [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Beginning Balance at Dec. 31, 2018 | $ 20,670 | $ 2,793 | $ 15 | $ 0 | $ 4,499 | $ 17,329 | $ (3,714) | $ (252) | |
Beginning Balance (shares) at Dec. 31, 2018 | 1,488 | 0 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 3,704 | 3,704 | |||||||
Other comprehensive income (loss), net of tax | 340 | 340 | |||||||
Dividends declared on preferred stock | (161) | (161) | |||||||
Dividends declared on common stock | (899) | (899) | |||||||
Repurchase of common stock | (2,220) | (2,220) | |||||||
Stock option exercises and other | 118 | (56) | 174 | ||||||
Share-based compensation | 171 | 171 | |||||||
Other | 22 | 42 | (13) | (7) | |||||
Ending Balance at Dec. 31, 2019 | 21,745 | 2,793 | $ 15 | $ 0 | 4,656 | 19,960 | (5,767) | 88 | |
Ending Balance (shares) at Dec. 31, 2019 | 1,488 | 0 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 3,299 | $ 44 | 3,299 | ||||||
Other comprehensive income (loss), net of tax | 5,306 | 5,306 | |||||||
Acquisition of TD Ameritrade (shares) | 509 | 77 | |||||||
Acquisition of TD Ameritrade | 21,758 | $ 5 | $ 1 | 21,757 | (5) | ||||
Issuance of preferred stock, net | 4,940 | 4,940 | |||||||
Dividends declared on preferred stock | (240) | (240) | |||||||
Dividends declared on common stock | (1,040) | (1,040) | |||||||
Stock option exercises and other | 79 | (121) | 200 | ||||||
Share-based compensation | 192 | 192 | |||||||
Other (shares) | (2) | 2 | |||||||
Other | 21 | 31 | (4) | (6) | |||||
Ending Balance at Dec. 31, 2020 | 56,060 | 7,733 | $ 20 | $ 1 | 26,515 | 21,975 | (5,578) | 5,394 | |
Ending Balance (shares) at Dec. 31, 2020 | 1,995 | 79 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 5,855 | $ 245 | 5,855 | ||||||
Other comprehensive income (loss), net of tax | (6,503) | (6,503) | |||||||
Issuance of preferred stock, net | 2,806 | 2,806 | |||||||
Redemption of preferred stock | (600) | (585) | (15) | ||||||
Dividends declared on preferred stock | (456) | (456) | |||||||
Dividends declared on common stock | (1,367) | (1,367) | |||||||
Stock option exercises and other | 221 | (84) | 305 | ||||||
Share-based compensation | 229 | 229 | |||||||
Other | 16 | 81 | (65) | ||||||
Ending Balance at Dec. 31, 2021 | $ 56,261 | $ 9,954 | $ 20 | $ 1 | $ 26,741 | $ 25,992 | $ (5,338) | $ (1,109) | |
Ending Balance (shares) at Dec. 31, 2021 | 1,995 | 79 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared on common stock (USD per share) | $ 0.72 | $ 0.72 | $ 0.68 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||||
Cash Flows from Operating Activities | ||||||
Net income | $ 5,855 | $ 3,299 | $ 3,704 | |||
Adjustments to reconcile net income to net cash provided by (used for) operating activities: | ||||||
Share-based compensation | 254 | 204 | 183 | |||
Depreciation and amortization | 549 | 414 | 322 | |||
Amortization of acquired intangible assets | 615 | 190 | 27 | |||
Provision (benefit) for deferred income taxes | 53 | (138) | 2 | |||
Premium amortization, net, on available for sale securities | 2,346 | 1,586 | 446 | |||
Other | 372 | 349 | 199 | |||
Net change in: | ||||||
Investments segregated and on deposit for regulatory purposes | (3,398) | (10,208) | (977) | |||
Receivables from brokerage clients | (26,168) | (14,609) | (125) | |||
Other assets | (1,152) | 4 | (709) | |||
Payables to brokerage clients | 21,470 | 22,909 | 6,494 | |||
Accrued expenses and other liabilities | 1,322 | 2,852 | (241) | |||
Net cash provided by (used for) operating activities | 2,118 | 6,852 | 9,325 | |||
Cash Flows from Investing Activities | ||||||
Purchases of available for sale securities | (171,732) | (202,171) | (31,815) | |||
Proceeds from sales of available for sale securities | 13,306 | 4,801 | 24,495 | |||
Principal payments on available for sale securities | 94,912 | 63,247 | 21,616 | |||
Purchases of held to maturity securities | 0 | 0 | (19,441) | |||
Principal payments on held to maturity securities | 0 | 0 | 19,606 | |||
Net change in bank loans | (10,845) | (5,675) | (1,730) | |||
Cash acquired in acquisitions, net of cash paid | 0 | 14,748 | 0 | |||
Purchases of equipment, office facilities, and property | (916) | (631) | (708) | |||
Purchases of Federal Home Loan Bank stock | 0 | (26) | (27) | |||
Proceeds from sales of Federal Home Loan Bank stock | 0 | 32 | 24 | |||
Purchases of Federal Reserve stock | (245) | (191) | 0 | |||
Other investing activities | (143) | 15 | (56) | |||
Net cash provided by (used for) investing activities | (75,663) | (125,851) | 11,964 | |||
Cash Flows from Financing Activities | ||||||
Net change in bank deposits | 85,756 | 137,928 | (11,329) | |||
Proceeds from commercial paper and secured lines of credit | 11,107 | 1,234 | 1,400 | |||
Repayment of commercial paper and secured lines of credit | (6,255) | (1,234) | (1,400) | |||
Issuance of long-term debt | 7,036 | 3,070 | 593 | |||
Repayment of long-term debt | (1,822) | (700) | 0 | |||
Repurchases of common stock | 0 | 0 | (2,220) | |||
Net proceeds from preferred stock offerings | 2,806 | 4,940 | 0 | |||
Redemption of preferred stock | (600) | 0 | 0 | |||
Dividends paid | (1,822) | (1,280) | (1,060) | |||
Proceeds from stock options exercised | 221 | 79 | 118 | |||
Other financing activities | (104) | (55) | (41) | |||
Net cash provided by (used for) financing activities | 96,323 | 143,982 | (13,939) | |||
Increase (Decrease) in Cash and Cash Equivalents, including Amounts Restricted | 22,778 | 24,983 | 7,350 | |||
Cash and Cash Equivalents, including Amounts Restricted at Beginning of Year | 70,560 | [1] | 45,577 | [1] | 38,227 | |
Cash and Cash Equivalents, including Amounts Restricted at End of Year | [1] | 93,338 | 70,560 | 45,577 | ||
Non-cash investing activity: | ||||||
Securities transferred from held to maturity to available for sale, at fair value | 0 | 136,099 | 8,771 | |||
Additions of equipment, office facilities, and property | 125 | 110 | 45 | |||
Acquisition of TD Ameritrade | 0 | 21,758 | 0 | |||
Non-cash financing activity: | ||||||
Extinguishment of finance lease obligation through an assignment agreement | 0 | 0 | 52 | |||
Cash paid during the period for: | ||||||
Interest | 501 | 434 | 1,075 | |||
Income taxes | 2,053 | 803 | 1,199 | |||
Amounts included in the measurement of lease liabilities | 212 | 163 | 133 | |||
Leased assets obtained in exchange for new operating lease liabilities | 89 | 160 | 97 | |||
Leased assets obtained in exchange for new finance lease liabilities | $ 109 | $ 0 | $ 0 | |||
[1] | For more information on the nature of restrictions on restricted cash and cash equivalents, see Note 23. |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of cash, cash equivalents and amounts reported within the balance sheet | ||||
Cash and cash equivalents | [1] | $ 62,975 | $ 40,348 | $ 29,345 |
Restricted cash and cash equivalents amounts included in cash and investments segregated and on deposit for regulatory purposes | [1] | 30,363 | 30,212 | 16,232 |
Total cash and cash equivalents, including amounts restricted shown in the statement of cash flows | [1] | $ 93,338 | $ 70,560 | $ 45,577 |
[1] | For more information on the nature of restrictions on restricted cash and cash equivalents, see Note 23. |
Introduction and Basis of Prese
Introduction and Basis of Presentation | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Introduction and Basis of Presentation | Introduction and Basis of Presentation The Charles Schwab Corporation (CSC) is a savings and loan holding company. CSC engages, through its subsidiaries (collectively referred to as Schwab or the Company), in wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. Principal business subsidiaries of CSC include the following: • Charles Schwab & Co., Inc. (CS&Co), incorporated in 1971, a securities broker-dealer; • TD Ameritrade, Inc., an introducing securities broker-dealer; • TD Ameritrade Clearing, Inc. (TDAC), a securities broker-dealer that provides trade execution and clearing services to TD Ameritrade, Inc.; • Charles Schwab Bank, SSB (CSB), our principal banking entity; and • Charles Schwab Investment Management, Inc. (CSIM), the investment advisor for Schwab’s proprietary mutual funds (Schwab Funds ® ) and for Schwab’s exchange-traded funds (Schwab ETFs ™ ). Schwab’s securities broker-dealers have approximately 400 domestic branch offices in 48 states and the District of Columbia, as well as locations in Puerto Rico, the United Kingdom, Hong Kong, and Singapore. Unless otherwise indicated, the terms “Schwab,” “the Company,” “we,” “us,” or “our” mean CSC together with its consolidated subsidiaries. The accompanying consolidated financial statements include CSC and its subsidiaries. Intercompany balances and transactions have been eliminated. These consolidated financial statements have been prepared in conformity with GAAP, which require management to make certain estimates and assumptions that affect the reported amounts in the accompanying financial statements and in the related disclosures. These estimates are based on information available as of the date of the consolidated financial statements. While management makes its best judgment, actual amounts or results could differ from those estimates. Certain estimates relate to taxes on income, legal and regulatory reserves, and fair values of assets acquired and liabilities assumed, as well as goodwill recognized, in business combinations. Effective October 6, 2020, the Company completed its acquisition of TDA Holding and its consolidated subsidiaries (collectively referred to as “TD Ameritrade” or “TDA”). Our consolidated financial statements include the results of operations and financial condition of TD Ameritrade beginning on October 6, 2020. See Note 3 for additional information on our acquisition of TD Ameritrade. Principles of Consolidation Schwab evaluates all entities in which it has financial interests for consolidation, except for money market funds, which are specifically excluded from consolidation guidance. When an entity is evaluated for consolidation, Schwab determines whether its interest in the entity constitutes a controlling financial interest under either the variable interest entity (VIE) model or the voting interest entity (VOE) model. In evaluating whether Schwab’s interest in a VIE is a controlling financial interest, we consider whether our involvement in the context of the design, purpose, and risks of the VIE, as well as any involvement of related parties, provides us with (i) the power to direct the most significant activities of the VIE, and (ii) the obligation to absorb losses or receive benefits that are significant to the VIE. If both of these conditions exist, then Schwab would be the primary beneficiary of that VIE and consolidate it. Based upon the assessments for all of our interests in VIEs, there are no cases where the Company is the primary beneficiary; therefore, we are not required to consolidate any VIEs. See Note 11 for further information about VIEs. Schwab consolidates all VOEs in which it has majority-voting interests. Investments in entities in which Schwab does not have a controlling financial interest are accounted for under the equity method of accounting when we have the ability to exercise significant influence over operating and financing decisions of the entity or by accounting policy for investments in certain types of limited liability entities. Investments in entities for which Schwab does not apply the equity method are generally carried at cost and adjusted for impairment and observable price changes of the identical or similar investments of the same issuer (adjusted cost method), except for certain investments in qualified affordable housing projects which are accounted for under the proportional amortization method. All equity method, |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Revenue recognition Net interest revenue Net interest revenue is not within the scope of Accounting Standards Codification (ASC) 606 Revenue From Contracts With Customers (ASC 606), because it is generated from financial instruments covered by various other areas of GAAP. Net interest revenue is the difference between interest generated on interest earning assets and interest paid on funding sources. Our primary interest earning assets include cash and cash equivalents; segregated cash and investments; margin loans; investment securities; and bank loans. Fees earned and incurred on securities borrowing and lending activities, which are conducted by the Company’s broker-dealer subsidiaries on assets held in client brokerage accounts, are also included in interest revenue and expense. Asset management and administration fees The majority of asset management and administration fees are generated through our proprietary and third-party mutual fund and ETF offerings, as well as fee-based advisory solutions. Mutual fund and ETF service fees are charged for investment management, shareholder, and administration services provided to Schwab Funds ® and Schwab ETFs ™ , as well as recordkeeping, shareholder, and administration services provided to third-party funds. Advice solutions fees are charged for brokerage and asset management services provided to advice solutions clients. Both mutual fund and ETF service fees and advice solutions fees are earned and recognized over time. Fees are generally based on a percentage of the daily value of assets under management and are collected on a monthly or quarterly basis. Trading revenue Trading revenue is primarily generated through commissions earned for executing trades for clients in individual equities, options, fixed income securities, and certain third-party mutual funds and ETFs, as well as order flow revenue. Commissions revenue is earned when the trades are executed and collected when the trades are settled. Order flow revenue is comprised of rebate payments received from execution venues to which our broker-dealer subsidiaries send equity and option orders. Order flow revenue is recognized when the trades are executed and is collected on a monthly or quarterly basis. Bank deposit account fees Bank deposit account fees consist of revenues resulting from sweep programs offered to certain clients whereby uninvested client cash is swept off-balance sheet to FDIC-insured (up to specified limits) accounts at the TD Depository Institutions and other third-party depository institutions. The Company provides marketing, recordkeeping, and support services related to these sweep programs to the TD Depository Institutions and other third-party depository institutions in exchange for bank deposit account fees. These revenues are based on floating and fixed yields as elected by the Company subject to certain requirements, less interest paid to clients and other applicable fees. Bank deposit account fees are earned and recognized over time and collected on a monthly basis. Other revenue Other revenue includes exchange processing fees, certain service fees, software fees, and non-recurring gains. Generally, the most significant portion of other revenue is exchange processing fees, which are comprised of fees the Company’s broker-dealer subsidiaries charge clients to offset the exchange processing fees imposed on us by third-parties. Exchange processing fees are earned and collected when the trade is executed and are recognized gross of amounts remitted to the third-parties, which are included in other expenses. Unsatisfied performance obligations We do not have any unsatisfied performance obligations other than those that are subject to an elective practical expedient under ASC 606. The practical expedient applies to and is elected for contracts where we recognize revenue at the amount to which we have the right to invoice for services performed. Cash and cash equivalents Schwab considers all highly liquid investments that mature in three months or less from the time of acquisition and that are not segregated and on deposit for regulatory purposes to be cash and cash equivalents. Cash and cash equivalents include money market funds, deposits with banks, certificates of deposit, commercial paper, and U.S. Treasury securities. Cash and cash equivalents also include balances that our banking subsidiaries maintain at the Federal Reserve. Cash and investments segregated and on deposit for regulatory purposes Pursuant to Rule 15c3-3 of the Securities Exchange Act of 1934 and other applicable regulations, Schwab maintains cash or qualified securities in segregated reserve accounts for the exclusive benefit of clients. Cash and investments segregated and on deposit for regulatory purposes include resale agreements, which are collateralized by U.S. Government and agency securities. Resale agreements are accounted for as collateralized financing transactions that are recorded at their contractual amounts plus accrued interest. Under these resale agreements, the Company obtains collateral with a market value equal to or in excess of the principal amount loaned and the interest accrued. Collateral is valued daily by the Company, with additional collateral obtained to ensure full collateralization. Cash and investments segregated also include certificates of deposit and U.S. Government securities. Certificates of deposit and U.S. Government securities are recorded at fair value and unrealized gains and losses are included in earnings. Schwab applies the practical expedient based on collateral maintenance provisions under ASC 326 Financial Instruments – Credit Losses (ASC 326), in estimating an allowance for credit losses for resale agreements. This practical expedient can be applied for financial assets with collateral maintenance provisions requiring the borrower to continually adjust the amount of the collateral securing the financial assets as a result of fair value changes in the collateral. In accordance with the practical expedient, when the Company reasonably expects that borrowers (or counterparties, as applicable) will replenish the collateral as required, there is no expectation of credit losses when the collateral’s fair value is greater than the amortized cost of the financial asset. If the amortized cost exceeds the fair value of collateral, then credit losses are estimated only on the unsecured portion. Receivables from brokerage clients Receivables from brokerage clients include margin loans to securities brokerage clients and other trading receivables from clients. Margin loans are collateralized by client securities and are carried at the amount receivable, net of an allowance for credit losses. Collateral is required to be maintained at specified minimum levels at all times. The Company monitors margin levels and requires clients to provide additional collateral, or reduce margin positions, to meet minimum collateral requirements if the fair value of the collateral changes. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for margin loans. An allowance for credit losses on unsecured or partially secured receivables from brokerage clients is estimated based on the aging of those receivables. Unsecured balances due to confirmed fraud are reserved immediately. The Company’s policy is to charge off any delinquent margin loans, including the accrued interest on such loans, no later than at 90 days past due. Accrued interest charged off is recognized as credit loss expense and is included in other expenses in the consolidated statements of income. Clients with margin loans have agreed to allow Schwab to pledge collateralized securities in accordance with federal regulations. The collateral is not reflected in the consolidated financial statements. Other securities owned at fair value Other securities owned are included in other assets on the consolidated balance sheets and recorded at fair value based on quoted market prices or other observable market data. Unrealized gains and losses are included in earnings. Client-held fractional shares are included in other securities owned for client positions for which off-balance sheet treatment pursuant to ASC 940 Financial Services – Brokers and Dealers is not applicable and the derecognition criteria in ASC 860 Transfers and Servicing, are not met. These client-held fractional shares have related repurchase liabilities that are accounted for at fair value with unrealized gains and losses included in earnings. See Fair values of assets and liabilities below in this Note 2 for further information on these repurchase liabilities. AFS investment securities AFS investment securities are recorded at fair value and unrealized gains and losses, other than losses related to credit factors, are reported, net of taxes, in AOCI included in stockholders’ equity. Realized gains and losses from sales of AFS investment securities are determined using the specific-identification method and are included in other revenue. Interest income is recognized using the effective interest method based on the contractual terms of the security. Where applicable, prepayments are accounted for as they occur (i.e., prepayments are not estimated). An AFS investment security is impaired if the fair value of the security is less than its amortized cost basis. Management evaluates AFS investment securities with unrealized losses to determine whether the security impairment has resulted from a credit loss or other factors. This evaluation is performed quarterly on an individual security basis. The evaluation of whether credit loss exists is inherently judgmental. This evaluation considers multiple factors including: the financial condition of the issuer; the payment structure of the security; external credit ratings; our internal credit ratings; the security’s market implied credit spread; for asset-backed securities, the amount of credit support provided by the structure of the security to absorb credit losses on the underlying collateral; recent events specific to the issuer and the issuer’s industry; and whether all scheduled principal and interest payments have been received. If management determines that the impairment of an AFS investment security (or a portion of the impairment) is related to credit losses, an allowance for credit losses is recorded for that security through a charge to earnings. The allowance for credit losses is measured as the difference between the amortized cost and the present value of expected cash flows and is limited to the difference between amortized cost and the fair value of the security. The Company estimates credit losses on a discounted cash flow basis using the security’s effective interest rate. Changes in the allowance for credit losses are recorded through earnings in the period of the change. If it is determined that the Company intends to sell the impaired security or if it is more likely than not that the Company will be required to sell the security before any anticipated recovery of the amortized cost basis, any allowance for credit losses of that security will be written off and the amortized cost basis of the security will be written down to fair value with any incremental impairment recorded through earnings. The Company excludes accrued interest from the fair value and the amortized cost basis of the AFS investment securities for the purposes of identifying and measuring impairment of the securities. AFS investment securities are placed on nonaccrual status on a timely basis and any accrued interest receivable is reversed through interest income. Securities borrowed and securities loaned Securities borrowed transactions require Schwab to deliver cash to the lender in exchange for securities; the receivables from these transactions are included in other assets on the consolidated balance sheets. For securities loaned, Schwab receives collateral in the form of cash in an amount equal to or greater than the market value of securities loaned; the payables from these transactions are included in accrued expenses and other liabilities on the consolidated balance sheets. The market value of securities borrowed and loaned is monitored and collateral is adjusted to ensure full collateralization. Fees received or paid are recorded in interest revenue or interest expense. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for securities borrowed receivables. Bank loans and related allowance for loan losses Bank loans held for investments are recorded at amortized cost, which is comprised of the contractual principal amounts adjusted for unamortized direct origination costs or net purchase discounts or premiums. Direct origination costs and premiums and discounts are recognized in interest revenue using the effective interest method over the contractual life of the loan and are adjusted for actual prepayments. Additionally, management estimates an allowance for credit losses, which is deducted from the amortized cost basis of loans to arrive at the amount expected to be collected. The bank loan portfolio includes three portfolio segments: residential real estate, PALs, and other loans. We use these segments when developing and documenting our methodology for determining the allowance for credit losses. The residential real estate portfolio segment is divided into two classes of financing receivables for purposes of monitoring and assessing credit risk: First Mortgages and HELOCs. Schwab records an allowance for credit losses through a charge to earnings based on our estimate of current expected credit losses for the existing portfolio. We review the allowance for credit losses quarterly, taking into consideration current economic conditions, reasonable and supportable forecasts, the composition of the existing loan portfolio, past loss experience, and any other risks inherent in the portfolio to ensure that the allowance for credit losses is maintained at an appropriate level. PALs are collateralized by marketable securities with liquid markets. Credit lines are over-collateralized and borrowers are required to maintain collateral at specified levels at all times. The required collateral levels are determined based on the type of security pledged. Additionally, collateral market value is monitored on a daily basis and a borrower’s credit line may be reduced or collateral may be liquidated if the collateral is in danger of falling below specified levels. As such, the credit loss inherent within this portfolio is limited. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for PALs. The methodology to establish an allowance for credit losses for the residential real estate portfolio segment utilizes statistical models that estimate prepayments, defaults, and expected losses for this portfolio segment based on predicted behavior of individual loans within the segment. The methodology also evaluates concentrations in the classes of financing receivables, including loan products within those classes, year of origination, and geographical distribution of collateral. Expected credit losses are forecast using a loan-level simulation of the delinquency status of the loans over the term of the loans. The simulation starts with the current relevant risk indicators, including the current delinquent status of each loan, the estimated current LTV ratio of each loan, the term and structure of each loan, borrower FICO scores, and current key interest rates including U.S. Treasury, SOFR, and LIBOR rates. The more significant variables in the simulation include delinquency roll rates, loss severity, housing prices, interest rates, and the unemployment rate. Delinquency roll rates (i.e., the rates at which loans transition through delinquency stages and ultimately result in a loss) are estimated from our historical loss experience adjusted for current trends and market information, which includes current and forecasted conditions. Loss severity (i.e., loss given default) estimates are based on our historical loss experience and market trends, both current and forecasted. The loss severity estimate used in the allowance for credit loss methodology for HELOCs is higher than that used in the methodology for First Mortgages. Housing price trends are derived from historical home price indices and econometric forecasts of future home values. Factors affecting the home price index include housing inventory, unemployment, interest rates, and inflation expectations. Interest rate projections are based on the current term structure of interest rates and historical volatilities to project various possible future interest rate paths. The unemployment rate forecast is typically based on the recent consensus of regularly published economic surveys. Linear interpolation is applied to revert to long-term trends after the reasonable and supportable forecast period. The methodology described above results in loss factors that are applied to the amortized cost basis of loans, exclusive of accrued interest receivable, to determine the allowance for credit losses for First Mortgages and HELOCs. Management also estimates a liability for expected credit losses on the Company’s commitments to extend credit related to unused HELOCs and commitments to purchase first mortgages. See Note 15 for additional information on these commitments. The liability is calculated by applying the loss factors described above to the commitments expected to be funded and is included in accrued expenses and other liabilities on the consolidated balance sheets. The liability for expected credit losses on these commitments and related activity were immaterial for all periods presented. Schwab considers loan modifications in which it makes an economic concession to a borrower experiencing financial difficulty to be troubled debt restructurings (TDRs). Nonaccrual, nonperforming and impaired loans First Mortgages, HELOCs, PALs, and other loans are placed on nonaccrual status upon becoming 90 days past due as to interest or principal (unless the loans are well-secured and in the process of collection), or when the full timely collection of interest or principal becomes uncertain, including loans to borrowers who have filed for bankruptcy. HELOC loans secured by a second lien are placed on non-accrual status if the associated first lien is 90 days or more delinquent, regardless of the payment status of the HELOC. When a loan is placed on nonaccrual status, the accrued and unpaid interest receivable is reversed and the loan is accounted for on the cash or cost recovery method until qualifying for return to accrual status. Generally, a nonaccrual loan may be returned to accrual status when all delinquent interest and principal is repaid and the borrower demonstrates a sustained period of performance, or when the loan is both well-secured and in the process of collection and collectability is no longer doubtful. Loans on nonaccrual status and other real estate owned are considered nonperforming assets. Loan charge-offs The Company charges off a loan in the period that it is deemed uncollectible and records a reduction in the allowance for credit losses and the loan balance. Our charge-off policy for First Mortgage and HELOC loans is to assess the value of the property when the loan has been delinquent for 180 days or has been discharged in bankruptcy proceedings, regardless of whether the property is in foreclosure, and charge-off the amount of the loan balance in excess of the estimated current value of the underlying property less estimated costs to sell. The Company’s policy for PALs is to charge off any delinquent loans no later than at 90 days past due. Equipment, office facilities, and property Equipment, office facilities, and property are recorded at cost net of accumulated depreciation and amortization, except for land, which is recorded at cost. Equipment, office facilities, and property include certain capitalized costs of acquired or internally developed software. Costs for internally developed software are capitalized when the costs relate to development of approved projects for our internal needs that result in additional functionality. Costs related to preliminary project and post-project activities are expensed as incurred. Equipment, office facilities, and property (other than land) are depreciated on a straight-line basis over their estimated useful lives. Estimated useful lives are as follows: All equipment types and furniture 3 to 10 years Buildings 40 years Building and land improvements 20 years Software 3 to 10 years (1) Leasehold improvements Lesser of useful life or lease term (1) Amortized over contractual term if less than three years. Equipment, office facilities, and property are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Equipment, office facilities, and property acquired in a business combination are recognized at their estimated fair values as of the date of acquisition. The fair values of real property, personal property, construction in progress, and land acquired are estimated using a sales comparison and cost approach, including consideration of functional and economic obsolescence. The Company determined the weighted-average useful lives of the assets based on the current condition and expected future use of the assets as of the date of acquisition. Goodwill Goodwill is not amortized but is tested for impairment annually or whenever indications of impairment exist. Impairment exists when the carrying amount of a reporting unit exceeds its estimated fair value, resulting in an impairment charge for this excess, with the maximum charge limited to the carrying value of goodwill allocated to that reporting unit. Our annual impairment testing date is April 1 st . Schwab can elect to qualitatively assess goodwill for impairment if it is more likely than not that the fair value of a reporting unit exceeds its carrying value. A qualitative assessment considers macroeconomic and other industry-specific factors, such as trends in short-term and long-term interest rates and the ability to access capital, and Company specific factors such as market capitalization in excess of net assets, trends in revenue generating activities, and merger or acquisition activity. If the Company elects to bypass qualitatively assessing goodwill, or it is not more likely than not that the fair value of a reporting unit exceeds its carrying value, management estimates the fair values of each of the Company’s reporting units (defined as the Company’s businesses for which financial information is available and reviewed regularly by management) and compares it to their carrying values. The estimated fair values of the reporting units are established using an income approach based on a discounted cash flow model that includes significant assumptions about the future operating results and cash flows of each reporting unit, a market approach which compares each reporting unit to comparable companies in their respective industries, as well as a market capitalization analysis. Intangible assets Finite-lived intangible assets are amortized over their useful lives in a manner that best reflects their economic benefit. All intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Intangible assets acquired in a business combination are recognized at their estimated fair values as of the date of acquisition. The fair values of the intangible assets acquired in the TD Ameritrade and USAA-IMCO acquisitions were determined using the following valuation methods: Acquired intangible asset Acquisition Method Client relationships TD Ameritrade, USAA-IMCO Multi-period excess earnings Trade names TD Ameritrade Relief from royalty Royalty-free license USAA-IMCO Relief from royalty Brokerage referral agreement USAA-IMCO With-and-without Existing technology TD Ameritrade Cost The multi-period excess earnings method starts with a forecast of all of the expected future net cash flows associated with the asset and the relief from royalty method starts with a forecast of the royalties saved by the Company because it owns the asset. The with-and-without method quantifies the difference between forecasted cash flows with the asset and without the asset. The forecasts are then adjusted to present value by applying an appropriate discount rate that reflects the risks associated with the cash flow streams. The cost approach uses replacement cost as an indicator of fair value. Low-income housing tax credit (LIHTC) investments We account for investments in qualified affordable housing projects using the proportional amortization method if the applicable requirements are met. The proportional amortization method amortizes the cost of the investment over the period in which the investor expects to receive tax credits and other tax benefits, and the resulting amortization is recognized as a component of taxes on income. The carrying value of LIHTC investments is included in other assets on the consolidated balance sheets. Unfunded commitments related to LIHTC investments are included in accrued expenses and other liabilities on the consolidated balance sheets. Leases The Company primarily has operating leases for corporate offices, branch locations, and server equipment and determines if an arrangement is a lease at inception. Leases with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. The Company has also elected to not record leases acquired in a business combination on the balance sheet if the remaining term as of the acquisition date is 12 months or less. Right-of-use (ROU) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The lease liability may include payments that depend on a rate or index (such as the Consumer Price Index), measured using the rate or index at the commencement date. Payments that vary because of changes in facts or circumstances occurring after the commencement date are considered variable. These payments are not recognized as part of the lease liability and are expensed in the period incurred. Lease expense for operating lease payments is recognized on a straight-line basis over the lease term. The amortization of finance lease ROU assets and the interest expense on finance lease liabilities are recognized over the lease term. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. We have lease agreements with lease and non-lease components. For the majority of our leases (real estate leases), the Company has elected the practical expedient to account for the lease and non-lease components as a single lease component. We have not elected the practical expedient for equipment leases and account for lease and non-lease components separately for those classes of leases. As the rates implicit in our leases are not readily determinable, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our lease terms may include periods covered by options to extend when it is reasonably certain that we will exercise those options. The lease terms may also include periods covered by options to terminate when it is reasonably certain that we will not exercise that option. Advertising and market development Advertising and market development activities include the cost to produce and distribute marketing campaigns as well as client incentives and discounts. Where it applies to these costs, the Company’s accounting policy is to expense when incurred. Income taxes Schwab provides for income taxes on all transactions that have been recognized in the consolidated financial statements. Accordingly, deferred tax assets are adjusted to reflect the tax rates at which future taxable amounts will likely be settled or realized. The effects of tax rate changes on future deferred tax assets and deferred tax liabilities, as well as other changes in income tax laws, are recorded in earnings in the period such changes are enacted. Uncertain tax positions are evaluated to determine whether they are more likely than not to be sustained upon examination. When tax positions are more likely than not to be sustained upon examination the difference between positions taken on tax return filings and estimated potential tax settlement outcomes are recognized in accrued expenses and other liabilities. If a position is not more likely than not to be sustained, then none of the tax benefit is recognized in Schwab’s financial statements. Accrued interest and penalties relating to unrecognized tax benefits are recorded in taxes on income. Schwab records amounts within AOCI net of taxes. Income tax effects are released from AOCI using the specific-identification method. Share-based compensation Share-based compensation includes employee and board of director stock options and restricted stock units. Schwab measures compensation expense for these share-based payment arrangements based on their estimated fair values as of the grant date. The fair value of the share-based award is recognized over the service period as share-based compensation. Share-based compensation expense is based on options or units expected to vest and therefore is reduced for estimated forfeitures. Per the Company’s accounting policy election, forfeitures are estimated at the time of grant and reviewed annually based on the Company’s historical forfeiture experience. Share-based compensation expense is adjusted in subsequent periods if actual forfeitures differ from estimated forfeitures. The excess tax benefits or deficiencies from the exercise of stock options and the vesting of restricted stock units are recorded in taxes on income. Fair values of assets and liabilities Fair value is defined as the price that would be received to sell an asset or the price paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurement accounting guidance describes the fair value hierarchy for disclosing assets and liabilities measured at fair value based on the inputs used to value them. The fair value hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs. Observable inputs are based on market pricing data obtained from third-party sources independent of the Company. A quoted price in an active market provides the most reliable evidence of fair value and is generally used to measure fair value whenever available. Unobservable inputs reflect management’s judgment about the assumptions market participants would use in pricing the asset or liability. Where inputs used to measure fair value of an asset or liability are from different levels of the hierarchy, the asset or liability is categorized based on the lowest level input that is significant to the fair value measurement in its entirety. Assessing the significance of a particular input requires judgment. The fair value hierarchy includes three levels based on the objectivity of the inputs as follows: • Level 1 inputs are quoted prices in active markets as of the measurement date for identical assets or liabilities that the Company has the ability to access. • Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates, benchmark yields, issuer spreads, new issue data, and collateral performance. • Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. Assets and liabilities measured at fair value on a r |
Business Acquisitions
Business Acquisitions | 12 Months Ended |
Dec. 31, 2021 | |
Business Combinations [Abstract] | |
Business Acquisitions | Business Acquisitions TD Ameritrade On October 6, 2020 Schwab completed its previously announced acquisition of TD Ameritrade for $21.8 billion in stock. As a result of the acquisition, TDA Holding became a wholly-owned subsidiary of CSC. TD Ameritrade provides securities brokerage services, including trade execution, clearing services, and margin lending, through its broker-dealer subsidiaries, and futures and foreign exchange trade execution services through its FCM and FDM subsidiary. In exchange for each share of TD Ameritrade common stock, TD Ameritrade stockholders received 1.0837 shares of CSC common stock, except for TD Bank and its affiliates which received a portion in nonvoting common stock. In connection with the transaction, Schwab issued approximately 586 million common shares to TD Ameritrade stockholders consisting of approximately 509 million shares of common stock and approximately 77 million shares of nonvoting common stock, as described below. Subsequently, TD Bank and its affiliates exchanged common stock for nonvoting common stock and held approximately 79 million shares of nonvoting common stock as of December 31, 2021. For further details on the new class of nonvoting common stock, see Note 19. The fair value of the purchase price transferred upon completion of the acquisition includes the fair value of CSC common stock and nonvoting common stock that was issued to TD Ameritrade stockholders, as well as the fair value of assumed TD Ameritrade equity awards attributable to pre-combination services. The purchase price was calculated as follows: Fair value of consideration for TD Ameritrade outstanding common stock $ 21,664 Fair value of replaced TD Ameritrade equity awards attributable to pre-combination services (1) 94 Purchase price $ 21,758 (1) Share-based awards held by TD Ameritrade employees prior to the acquisition date were assumed by Schwab and converted into share-based awards with respect to CSC common stock, after giving effect to the exchange ratio of 1.0837. Such share-based awards are otherwise subject to the same terms and conditions as were applicable immediately before the merger, except for performance-based restricted stock units which were converted into time-based restricted stock units. The portion of the fair value of the share-based awards that relates to services performed by the employees prior to the acquisition date is included in the purchase price. The Company accounted for the TD Ameritrade acquisition as a business combination under GAAP and accordingly, the purchase price was allocated to the assets acquired and liabilities assumed based on their fair values, except for certain exceptions to the recognition principle of acquisition accounting, such as leases, share-based payments, and income taxes, as of the date of acquisition. I nformation regarding the acquisition is final and there were no adjustments to the provisional purchase price and fair value estimates presented in the 2020 Form 10-K. The following table summarizes the purchase price, fair values of the assets acquired and liabilities assumed, and resulting goodwill as of the October 6, 2020 acquisition date. Purchase price $ 21,758 Fair value of assets acquired: Cash and cash equivalents 3,484 Cash and investments segregated and on deposit for regulatory purposes 14,236 Receivables from brokerage clients 28,009 Available for sale securities 1,779 Acquired intangible assets 8,880 Equipment, office facilities, and property 470 Other assets 3,088 Total assets acquired 59,946 Fair value of liabilities assumed: Payables to brokerage clients 37,599 Accrued expenses and other liabilities 6,975 Long-term debt 3,829 Total liabilities assumed 48,403 Fair value of net identifiable assets acquired 11,543 Goodwill 10,215 The identifiable tangible and intangible assets of $470 million and $8.9 billion, respectively, are subject to depreciation and amortization. The following table summarizes the major classes of tangible and intangible assets and their respective fair values and weighted-average useful lives: Fair Value Weighted-Average Useful Life (Years) Equipment, office facilities, and property Real property (1) $ 226 37 Personal property (2) 162 2 Construction in progress 49 N/A Land 33 N/A Total equipment, office facilities, and property $ 470 Acquired intangible assets Client relationships $ 8,700 20 Existing technology 165 2 Trade names 15 2 Total acquired intangible assets $ 8,880 (1) Consists primarily of buildings. (2) Consists primarily of equipment and leasehold improvements. N/A Not applicable. Goodwill of $10.2 billion is primarily attributable to the scale, skill sets, operations, and synergies that can be leveraged to enable the combined company to build a stronger enterprise and will not be deductible for tax purposes. The goodwill assigned to the Investor Services and Advisor Services segments were $6.4 billion and $3.8 billion, respectively. The Company’s consolidated statements of income include total net revenues and net income attributable to the TD Ameritrade acquisition of $1.7 billion and $583 million, respectively, for the period October 6, 2020 through December 31, 2020. In connection with the TD Ameritrade acquisition, the Company incurred various professional fees and other costs such as advisory, legal, and accounting fees. In total, the Company incurred acquisition costs of $56 million and $11 million for the years ended December 31, 2020 and 2019, respectively, which are primarily included in professional services on the consolidated statements of income. USAA-IMCO On May 26, 2020, the Company completed its acquisition of the assets of USAA-IMCO for $1.6 billion in cash. Along with the asset purchase agreement, the companies entered into a long-term referral agreement that makes Schwab the exclusive provider of wealth management and investment brokerage services for USAA members. The USAA-IMCO acquisition has added scale to the Company’s operations through the addition of over one million brokerage and managed portfolio accounts with approximately $80 billion in client assets at the acquisition date. The transaction also provides Schwab the opportunity to further expand our client base by serving USAA’s members through the long-term referral agreement. The Company accounted for the USAA-IMCO acquisition as a business combination under GAAP and accordingly, the purchase price was allocated to the assets acquired and liabilities assumed based on their fair values as of the date of acquisition. During the three months ended September 30, 2020, we made a $43 million post-closing adjustment to the purchase price resulting in reductions of $9 million and $34 million to our initial estimates of the fair value of the intangible assets acquired and goodwill, respectively. The Company finalized the valuation of assets and liabilities during the three months ended December 31, 2020, resulting in no additional adjustments to the estimated fair values as of the date of acquisition. The following table summarizes the purchase price, fair values of the assets acquired and liabilities assumed, and resulting goodwill as of the May 26, 2020 acquisition date, adjusted for the post-closing adjustments described above. Purchase price $ 1,581 Fair value of assets acquired: Cash segregated and on deposit for regulatory purposes 4,392 Receivables from brokerage clients 80 Acquired intangible assets 1,109 Total assets acquired 5,581 Fair value of liabilities assumed: Payables to brokerage clients 4,472 Total liabilities assumed 4,472 Fair value of net identifiable assets acquired $ 1,109 Goodwill $ 472 The identifiable intangible assets of $1.1 billion are subject to amortization. The following table summarizes the major classes of intangible assets acquired and their respective fair values and weighted-average useful lives: Fair Weighted-Average Useful Life (Years) Customer relationships $ 962 18 Brokerage referral agreement (1) 142 20 Royalty-free license 5 7 Total acquired intangible assets $ 1,109 (1) The brokerage referral agreement has an initial term of 5 years and is automatically renewable for one-year increments thereafter. Goodwill recorded of $472 million, primarily attributable to the additional scale and anticipated synergies from the USAA-IMCO acquisition, was assigned to the Investor Services segment and is deductible for tax purposes. The Company’s consolidated statements of income include total net revenues and net loss attributable to the USAA-IMCO acquisition of $235 million and $51 million, respectively, for the period May 26, 2020 through December 31, 2020. In connection with the acquisition, the Company agreed to reimburse USAA for certain contract termination and other fees and severance costs incurred by USAA. These costs totaled $21 million for the year ended December 31, 2020 and are included in other expense on the consolidated statements of income. Additionally, the Company incurred various professional fees and other costs related to the USAA-IMCO acquisition, such as advisory, legal, and accounting fees. In total, the Company incurred acquisition costs of $54 million and $14 million for the years ended December 31, 2020 and 2019, respectively, which are primarily included in professional services, other expense, and compensation and benefits on the consolidated statements of income. Pro Forma Financial Information (Unaudited) The following table presents unaudited pro forma financial information as if the TD Ameritrade and USAA-IMCO acquisitions had occurred on January 1, 2019. The unaudited pro forma results reflect after-tax adjustments for acquisition costs, amortization and depreciation of acquired intangible and tangible assets, the impact of the amended IDA agreement which reduced the service fee on client cash deposits held at the TD Depository Institutions to 15 basis points from the 25 basis points paid by TD Ameritrade under its previous IDA agreement, and other immaterial adjustments for the effects of purchase accounting, and do not reflect potential revenue growth or cost savings that may be realized as a result of the acquisitions. Pro forma net income for the year ended December 31, 2020 excludes after-tax acquisition costs for both Schwab and the acquirees of $156 million. These costs and after-tax acquisition costs of $40 million incurred in 2019 by Schwab and the acquirees are included in pro forma net income for the year ended December 31, 2019. The unaudited pro forma financial information is presented for informational purposes only, and is not necessarily indicative of future operations or results had the TD Ameritrade and USAA-IMCO acquisitions been completed as of January 1, 2019. Year Ended 2020 2019 Total net revenues $ 16,617 $ 16,897 Net income available to common stockholders 4,617 5,121 |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Disaggregated Revenue Disaggregation of Schwab’s revenue by major source is as follows: Year Ended December 31, 2021 2020 2019 Net interest revenue Cash and cash equivalents $ 40 $ 120 $ 518 Cash and investments segregated 24 141 345 Receivables from brokerage clients 2,455 848 821 Available for sale securities 4,641 4,537 1,560 Held to maturity securities — — 3,591 Bank loans 620 545 584 Securities lending revenue 720 334 147 Other interest revenue 6 6 14 Interest revenue 8,506 6,531 7,580 Bank deposits (54) (93) (700) Payables to brokerage clients (9) (12) (79) Short-term borrowings (9) — — Long-term debt (384) (289) (258) Securities lending expense (24) (33) (38) Other interest expense 4 9 11 Interest expense (476) (418) (1,064) Net interest revenue 8,030 6,113 6,516 Asset management and administration fees Mutual funds, ETFs, and CTFs 1,961 1,770 1,747 Advice solutions 1,993 1,443 1,198 Other 320 262 266 Asset management and administration fees 4,274 3,475 3,211 Trading revenue Commissions 2,050 739 549 Order flow revenue 2,053 621 135 Principal transactions 49 56 68 Trading revenue 4,152 1,416 752 Bank deposit account fees 1,315 355 — Other 749 332 242 Total net revenues $ 18,520 $ 11,691 $ 10,721 For a summary of revenue provided by our reportable segments, see Note 24. The recognition of revenue is not impacted by the operating segment in which revenue is generated. |
Receivables from and Payables t
Receivables from and Payables to Brokerage Clients | 12 Months Ended |
Dec. 31, 2021 | |
Brokerage Receivables and Payables [Abstract] | |
Receivables from and Payables to Brokerage Clients | Receivables from and Payables to Brokerage Clients Receivables from and payables to brokerage clients are detailed below: December 31, 2021 2020 Receivables Margin loans $ 87,365 $ 60,865 Other brokerage receivables 3,200 3,575 Receivables from brokerage clients — net (1) $ 90,565 $ 64,440 Payables Interest-bearing payables $ 107,551 $ 84,642 Non-interest-bearing payables 18,120 19,559 Payables to brokerage clients $ 125,671 $ 104,201 (1) The allowance for credit losses for receivables from brokerage clients and related activity were immaterial for all periods presented. At December 31, 2021 and 2020, approximately 17% of total CS&Co and TD Ameritrade, Inc. client accounts were located in California. |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The amortized cost, gross unrealized gains and losses, and fair value of the Company’s AFS investment securities are as follows: December 31, 2021 Amortized Gross Unrealized Gross Unrealized Fair Available for sale securities U.S. agency mortgage-backed securities $ 335,803 $ 3,141 $ 4,589 $ 334,355 U.S. Treasury securities 21,394 13 125 21,282 Asset-backed securities (1) 17,547 79 80 17,546 Corporate debt securities (2) 12,310 143 109 12,344 U.S. state and municipal securities 1,611 81 5 1,687 Non-agency commercial mortgage-backed securities 1,170 20 — 1,190 Certificates of deposit 1,000 — 1 999 Foreign government agency securities 425 — — 425 Commercial paper 200 — — 200 Other 22 4 — 26 Total available for sale securities $ 391,482 $ 3,481 $ 4,909 $ 390,054 December 31, 2020 Available for sale securities U.S. agency mortgage-backed securities $ 283,911 $ 7,005 $ 563 $ 290,353 Asset-backed securities (1) 18,808 174 84 18,898 Corporate debt securities (2) 12,408 388 — 12,796 U.S. Treasury securities 10,631 25 — 10,656 U.S. state and municipal securities 1,544 153 — 1,697 Foreign government agency securities 1,411 2 — 1,413 Non-agency commercial mortgage-backed securities 1,213 52 — 1,265 Certificates of deposit 300 — — 300 Other 22 — — 22 Total available for sale securities $ 330,248 $ 7,799 $ 647 $ 337,400 (1) Approximately 58% and 51% of asset-backed securities held as of December 31, 2021 and 2020, respectively, were Federal Family Education Loan Program Asset-Backed Securities. Asset-backed securities collateralized by credit card receivables represented approximately 30% and 36% of the asset-backed securities held as of December 31, 2021 and 2020, respectively. (2) As of December 31, 2021 and 2020 approximately 31% and 46%, respectively of the total AFS in corporate debt securities were issued by institutions in the financial services industry. On January 1, 2019 the Company transferred certain U.S. agency mortgage-backed securities with a fair value of $8.8 billion from the HTM category to the AFS category as permitted by ASU 2017-12, “ Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities” (ASU 2017-12). This transfer resulted in a net of tax increase to AOCI of $19 million. In October 2019, the Federal Reserve issued a final enhanced prudential standards rule, and the Federal Reserve, the Office of the Comptroller of the Currency, and the FDIC jointly issued a final regulatory capital and liquidity rule. With total consolidated assets of $294.0 billion at December 31, 2019, CSC was designated as a Category III firm pursuant to the framework established by the final rules. Accordingly, the Company opted to exclude AOCI from its regulatory capital as permitted by the regulatory capital and liquidity rule beginning January 1, 2020. In accordance with ASC 320 Investment – Debt Securities and as of January 1, 2020, the Company transferred all of its investment securities designated as HTM to the AFS category without tainting our intent to hold other debt securities to maturity. At the date of transfer, these securities had a total amortized cost of $134.7 billion and a total net unrealized gain of $1.4 billion. In January 2022, the Company transferred $108.8 billion of U.S. agency mortgage-backed securities with a total net unrealized loss at the time of transfer of $2.4 billion from the AFS category to the HTM category. At December 31, 2021, our banking subsidiaries had pledged securities with a fair value of $49.6 billion as collateral to secure borrowing capacity on secured credit facilities with the FHLB (see Note 13). Our banking subsidiaries also pledge investment securities as collateral to secure borrowing capacity at the Federal Reserve discount window, and had pledged securities with a fair value of $12.0 billion as collateral for this facility at December 31, 2021. The Company also pledges securities issued by federal agencies to secure certain trust deposits. The fair value of these pledged securities was $1.3 billion at December 31, 2021. Securities with unrealized losses, aggregated by category and period of continuous unrealized loss, of AFS investment securities are as follows: Less than 12 months Total December 31, 2021 Fair Unrealized Fair Unrealized Fair Unrealized Available for sale securities U.S. agency mortgage-backed securities $ 186,955 $ 3,216 $ 38,007 $ 1,373 $ 224,962 $ 4,589 U.S. Treasury securities 16,658 125 21 — 16,679 125 Asset-backed securities 6,093 58 2,708 22 8,801 80 Corporate debt securities 4,713 99 197 10 4,910 109 Certificates of deposit 799 1 — — 799 1 U.S. state and municipal securities 191 4 5 1 196 5 Total $ 215,409 $ 3,503 $ 40,938 $ 1,406 $ 256,347 $ 4,909 December 31, 2020 Available for sale securities U.S. agency mortgage-backed securities $ 61,706 $ 551 $ 4,774 $ 12 $ 66,480 $ 563 Asset-backed securities 1,398 13 5,822 71 7,220 84 Total $ 63,104 $ 564 $ 10,596 $ 83 $ 73,700 $ 647 At December 31, 2021, substantially all rated securities in the investment portfolios were investment grade. U.S. agency mortgage-backed securities do not have explicit credit ratings; however, management considers these to be of the highest credit quality and rating given the guarantee of principal and interest by the U.S. government or U.S. government-sponsored enterprises. For a description of management’s quarterly evaluation of AFS securities in unrealized loss positions see Note 2. No amounts were recognized as credit loss expense and no securities were written down to fair value through earnings for the years ended December 31, 2021 and 2020. None of the Company’s AFS securities held as of December 31, 2021 and 2020 had an allowance for credit losses. Prior to the Company’s adoption of ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (ASU 2016-13) on January 1, 2020, no amount was recognized as other-than-temporary impairment in earnings or other comprehensive income during the year ended December 31, 2019. The Company had $683 million and $634 million of accrued interest receivable as of December 31, 2021 and 2020, respectively, for AFS securities. These amounts are excluded from the amortized cost basis of AFS securities and included in other assets on the consolidated balance sheets. There were no write-offs of accrued interest receivable on AFS securities during the years ended December 31, 2021 and 2020. In the table below, mortgage-backed securities and other asset-backed securities have been allocated to maturity groupings based on final contractual maturities. As borrowers may have the right to call or prepay certain obligations underlying our investment securities, actual maturities may differ from the scheduled contractual maturities presented below. The maturities of AFS investment securities are as follows: December 31, 2021 Within After 1 year through After 5 years through After Total U.S. agency mortgage-backed securities $ 3,483 $ 20,916 $ 71,705 $ 238,251 $ 334,355 U.S. Treasury securities 4,049 14,569 2,664 — 21,282 Asset-backed securities — 4,922 3,003 9,621 17,546 Corporate debt securities 1,634 6,443 4,267 — 12,344 U.S. state and municipal securities 23 150 1,010 504 1,687 Non-agency commercial mortgage-backed securities — — — 1,190 1,190 Certificates of deposit 300 699 — — 999 Foreign government agency securities 101 324 — — 425 Commercial paper 200 — — — 200 Other — — — 26 26 Total fair value $ 9,790 $ 48,023 $ 82,649 $ 249,592 $ 390,054 Total amortized cost $ 9,761 $ 47,336 $ 82,556 $ 251,829 $ 391,482 Weighted-average yield (1) 1.28 % 1.89 % 1.78 % 1.11 % 1.35 % (1) The weighted-average yield is computed using the amortized cost at December 31, 2021. Proceeds and gross realized gains and losses from sales of AFS investment securities are as follows: Year Ended December 31, 2021 2020 2019 Proceeds $ 13,306 $ 4,801 $ 24,495 Gross realized gains 40 5 16 Gross realized losses 36 1 10 |
Bank Loans and Related Allowanc
Bank Loans and Related Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Bank Loans and Related Allowance for Credit Losses | Bank Loans and Related Allowance for Credit Losses The composition of bank loans and delinquency analysis by portfolio segment and class of financing receivable is as follows: December 31, 2021 Current 30-59 days 60-89 days > 90 days past due and other (3) Total past due and other Total Allowance for credit Total bank – net Residential real estate: First Mortgages (1,2) $ 21,022 $ 41 $ 1 $ 26 $ 68 $ 21,090 $ 13 $ 21,077 HELOCs (1,2) 637 2 — 9 11 648 2 646 Total residential real estate 21,659 43 1 35 79 21,738 15 21,723 Pledged asset lines 12,698 3 8 — 11 12,709 — 12,709 Other 207 — — — — 207 3 204 Total bank loans $ 34,564 $ 46 $ 9 $ 35 $ 90 $ 34,654 $ 18 $ 34,636 December 31, 2020 Residential real estate: First Mortgages (1,2) $ 14,804 $ 27 $ 1 $ 72 $ 100 $ 14,904 $ 22 $ 14,882 HELOCs (1,2) 823 1 1 17 19 842 5 837 Total residential real estate 15,627 28 2 89 119 15,746 27 15,719 Pledged asset lines 7,901 10 5 — 15 7,916 — 7,916 Other 181 — — — — 181 3 178 Total bank loans $ 23,709 $ 38 $ 7 $ 89 $ 134 $ 23,843 $ 30 $ 23,813 (1) First Mortgages and HELOCs include unamortized premiums and discounts and direct origination costs of $91 million and $72 million at December 31, 2021 and 2020, respectively. (2) At December 31, 2021 and 2020, 46% and 45%, respectively, of the First Mortgage and HELOC portfolios were concentrated in California. These loans have performed in a manner consistent with the portfolio as a whole. (3) There were no loans accruing interest that were contractually 90 days or more past due at December 31, 2021 or 2020. At December 31, 2021, CSB had pledged the full balance of First Mortgages and HELOCs pursuant to a blanket lien status collateral arrangement to secure borrowing capacity on a secured credit facility with the FHLB (see Note 13). Changes in the allowance for credit losses on bank loans were as follows: December 31, 2021 December 31, 2020 December 31, 2019 First Mortgages HELOCs Total residential real estate Other Total First Mortgages HELOCs Total residential real estate Other Total First Mortgages HELOCs Total residential real estate Other Total Balance at beginning of year $ 22 $ 5 $ 27 $ 3 $ 30 $ 11 $ 4 $ 15 $ 3 $ 18 $ 14 $ 5 $ 19 2 $ 21 Adoption of ASU 2016-13 — — — — — 1 — 1 — 1 — — — — — Charge-offs — — — (1) (1) — — — — — — — — — — Recoveries — 1 1 — 1 1 — 1 — 1 1 1 2 — 2 Provision for credit losses (9) (4) (13) 1 (12) 9 1 10 — 10 (4) (2) (6) 1 (5) Balance at end of year $ 13 $ 2 $ 15 $ 3 $ 18 $ 22 $ 5 $ 27 $ 3 $ 30 $ 11 $ 4 $ 15 $ 3 $ 18 As discussed in Note 2, PALs are subject to the collateral maintenance practical expedient under ASC 326. All PALs were fully collateralized by securities with fair values in excess of borrowings as of December 31, 2021 and 2020, respectively. Therefore, no allowance for credit losses for PALs as of those dates was required. The economy continued to strengthen overall in 2021, however, COVID-19 has continued to affect the pace of recovery. Management’s macroeconomic outlook reflects continued moderate growth in home prices and lower unemployment anticipated over the near term. This macroeconomic outlook, along with the continued strong credit quality metrics in the bank loans portfolio, result in a lower modeled projection of loss rates compared to December 31, 2020. A summary of bank loan-related nonperforming assets and troubled debt restructurings is as follows: December 31, 2021 2020 Nonaccrual loans (1) $ 35 $ 89 Other real estate owned (2) 1 1 Total nonperforming assets 36 90 Troubled debt restructurings — 1 Total nonperforming assets and troubled debt restructurings $ 36 $ 91 (1) Nonaccrual loans include nonaccrual troubled debt restructurings. (2) Included in other assets on the consolidated balance sheets. Credit Quality In addition to monitoring delinquency, Schwab monitors the credit quality of First Mortgages and HELOCs by stratifying the portfolios by the following: • Year of origination; • Borrower FICO scores at origination (Origination FICO); • Updated borrower FICO scores (Updated FICO); • Loan-to-value (LTV) ratios at origination (Origination LTV); and • Estimated Current LTV ratios (Estimated Current LTV). Borrowers’ FICO scores are provided by an independent third-party credit reporting service and generally updated quarterly. The Origination LTV and Estimated Current LTV for a HELOC include any first lien mortgage outstanding on the same property at the time of the HELOC’s origination. The Estimated Current LTV for each loan is updated on a monthly basis by reference to a home price appreciation index. The credit quality indicators of the Company’s First Mortgages and HELOCs are detailed below: First Mortgages Amortized Cost Basis by Origination Year December 31, 2021 2021 2020 2019 2018 2017 pre-2017 Total First Mortgages Revolving HELOCs amortized cost basis HELOCs converted to term loans Total HELOCs Origination FICO <620 $ 1 $ 1 $ — $ — $ — $ 1 $ 3 $ — $ — $ — 620 – 679 34 25 5 1 6 19 90 — 2 2 680 – 739 1,306 524 146 41 98 215 2,330 61 60 121 ≥740 11,649 4,454 1,049 165 354 996 18,667 308 217 525 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Origination LTV ≤70% $ 11,234 $ 4,159 $ 948 $ 160 $ 351 $ 909 $ 17,761 $ 305 $ 199 $ 504 >70% – ≤90% 1,756 845 252 47 107 319 3,326 64 78 142 >90% – ≤100% — — — — — 3 3 — 2 2 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Weighted Average <620 $ 5 $ 2 $ 1 $ — $ 2 $ 12 $ 22 $ 2 $ 6 $ 8 620 – 679 96 69 19 7 8 30 229 6 14 20 680 – 739 1,265 421 115 24 53 149 2,027 51 39 90 ≥740 11,624 4,512 1,065 176 395 1,040 18,812 310 220 530 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Estimated Current LTV (1) ≤70% $ 11,707 $ 4,961 $ 1,196 $ 206 $ 455 $ 1,229 $ 19,754 $ 368 $ 277 $ 645 >70% – ≤90% 1,283 43 4 1 3 2 1,336 1 2 3 >90% – ≤100% — — — — — — — — — — >100% — — — — — — — — — — Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Percent of Loans on 0.03 % 0.10 % 0.03 % 0.03 % 0.03 % 1.40 % 0.12 % 0.64 % 2.33 % 1.39 % (1) Represents the LTV for the full line of credit (drawn and undrawn) for revolving HELOCs. First Mortgages Amortized Cost Basis by Origination Year December 31, 2020 2020 2019 2018 2017 pre-2017 Total First Mortgages Revolving HELOCs amortized cost basis HELOCs converted to term loans Total HELOCs Origination FICO <620 $ 1 $ — $ — $ — $ 2 $ 3 $ — $ — $ — 620 – 679 29 13 3 8 31 84 1 3 4 680 – 739 794 355 105 181 419 1,854 82 80 162 ≥740 7,150 2,452 449 858 2,054 12,963 380 296 676 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Origination LTV ≤70% $ 6,653 $ 2,211 $ 396 $ 793 $ 1,935 $ 11,988 $ 351 $ 269 $ 620 >70% – ≤90% 1,321 609 161 254 568 2,913 112 107 219 >90% – ≤100% — — — — 3 3 — 3 3 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Weighted Average <620 $ 5 $ 2 $ 1 $ 4 $ 19 $ 31 $ 3 $ 9 $ 12 620 – 679 67 34 16 21 60 198 12 20 32 680 – 739 784 252 66 121 281 1,504 58 55 113 ≥740 7,118 2,532 474 901 2,146 13,171 390 295 685 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Estimated Current LTV (1) ≤70% $ 6,999 $ 2,582 $ 533 $ 1,034 $ 2,490 $ 13,638 $ 452 $ 368 $ 820 >70% – ≤90% 975 238 24 13 16 1,266 11 9 20 >90% – ≤100% — — — — — — — 1 1 >100% — — — — — — — 1 1 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Percent of Loans on 0.09 % 0.38 % 1.02 % 0.87 % 1.57 % 0.48 % 1.37 % 2.80 % 2.02 % (1) Represents the LTV for the full line of credit (drawn and undrawn) for revolving HELOCs. At December 31, 2021, First Mortgage loans of $17.0 billion had adjustable interest rates. Substantially all of these mortgages have initial fixed interest rates for three three At December 31, 2021 and 2020, Schwab had $57 million and $43 million, respectively, of accrued interest on bank loans, which is excluded from the amortized cost basis of bank loans and included in other assets on the consolidated balance sheets. The HELOC product has a 30-year loan term with an initial draw period of ten years from the date of origination. After the initial draw period, the balance outstanding at such time is converted to a 20-year amortizing loan. The interest rate during the initial draw period and the 20-year amortizing period is a floating rate based on the prime rate plus a margin. The following table presents HELOCs converted to amortizing loans during each period presented: December 31, 2021 2020 HELOCs converted to amortizing loans $ 19 $ 26 The following table presents when current outstanding HELOCs will convert to amortizing loans: December 31, 2021 Balance Converted to an amortizing loan by period end $ 279 Within 1 year 16 > 1 year – 3 years 72 > 3 years – 5 years 65 > 5 years 216 Total $ 648 At December 31, 2021, $495 million of the HELOC portfolio was secured by second liens on the associated properties. Second lien mortgage loans typically possess a higher degree of credit risk given the subordination to the first lien holder in the event of default. In addition to the credit monitoring activities described previously, Schwab also monitors credit risk by reviewing the delinquency status of the first lien loan on the associated property. At December 31, 2021, the borrowers on approximately 53% of HELOC loan balances outstanding only paid the minimum amount due. |
Equipment, Office Facilities, a
Equipment, Office Facilities, and Property | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Equipment, Office Facilities, and Property | Equipment, Office Facilities, and Property Equipment, office facilities, and property are detailed below: December 31, 2021 2020 Software $ 2,524 $ 2,314 Buildings 1,640 1,444 Information technology and telecommunications equipment 679 509 Leasehold improvements 462 455 Construction in progress 429 325 Land 208 208 Other 388 295 Total equipment, office facilities, and property 6,330 5,550 Accumulated depreciation and amortization (2,888) (2,667) Total equipment, office facilities, and property — net $ 3,442 $ 2,883 |
Goodwill and Acquired Intangibl
Goodwill and Acquired Intangible Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Acquired Intangible Assets | Goodwill and Acquired Intangible Assets Acquired intangible assets and goodwill are detailed below: December 31, 2021 December 31, 2020 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying Client relationships $ 10,089 $ (908) $ 9,181 $ 10,089 $ (386) $ 9,703 Technology 305 (197) 108 305 (112) 193 Trade names 116 (26) 90 113 (18) 95 Total acquired intangible assets $ 10,510 $ (1,131) $ 9,379 $ 10,507 $ (516) $ 9,991 Estimated future annual amortization expense for acquired intangible assets as of December 31, 2021 is as follows: 2022 $ 596 2023 534 2024 518 2025 512 2026 508 Thereafter 6,630 Total $ 9,298 Note: The above schedule excludes indefinite-lived intangible assets of $81 million. The changes in the carrying amount of goodwill, as allocated to our reportable segments, are presented in the following table: Investor Advisor Total Balance at December 31, 2019 $ 1,096 $ 131 $ 1,227 Goodwill acquired in TD Ameritrade acquisition 6,380 3,835 10,215 Goodwill acquired in other acquisitions 494 16 510 December 31, 2020 7,970 3,982 11,952 Goodwill acquired and other changes during the period — — — Balance at December 31, 2021 $ 7,970 $ 3,982 $ 11,952 See Note 3 for additional information on the Company’s acquisitions. |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets | Other Assets The components of other assets are as follows: December 31, 2021 2020 Other receivables from brokers, dealers, and clearing organizations $ 2,475 $ 1,748 Receivables — interest, dividends, and other 1,615 1,180 Other securities owned at fair value (1) 1,584 687 Other investments (2) 1,526 1,019 Operating lease ROU assets 842 937 Customer contract receivables (3) 637 579 Securities borrowed 582 873 Capitalized contract costs 344 303 Other 713 457 Total other assets $ 10,318 $ 7,783 (1) Includes fractional shares held in client brokerage accounts. Corresponding repurchase liabilities in an equal amount for these client-held fractional shares are included in accrued expenses and other liabilities on the consolidated balance sheet. See also Notes 2 and 18. (2) Includes LIHTC investments and certain other CRA-related investments (see Note 11). This item also includes investments in FHLB stock of $29 million at December 31, 2021 and 2020, which are required to be held as a condition of borrowing with the FHLB (see Note 13) and can only be sold to the issuer at its par value. Any cash dividends received from investments in FHLB stock are recognized as interest revenue in the consolidated statements of income. CSB and CSPB are members of the Federal Reserve and as a condition of membership, are required to hold Federal Reserve stock. Other investments also includes investments in FRB stock of $436 million and $191 million at December 31, 2021 and 2020, respectively. (3) Represents substantially all receivables from contracts with customers within the scope of ASC 606. Schwab does not have any other significant contract assets or contract liability balances as of December 31, 2021 or 2020. Capitalized contract costs Capitalized contract costs relate to incremental costs of obtaining a contract with a customer, including sales commissions paid to employees for obtaining contracts with clients, and are presented in the table above. These costs are amortized to expense on a straight-line basis over a period that is consistent with how the related revenue is recognized. Amortization expense related to capitalized contract costs was $69 million, $63 million, and $55 million during the years ended December 31, 2021, 2020, and 2019, respectively, which was recorded in compensation and benefits expense on the consolidated statements of income. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2021 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entities | Variable Interest EntitiesAs of December 31, 2021 and 2020, all of Schwab’s involvement with variable interest entities (VIEs) is through CSB’s CRA-related investments and most of these are related to LIHTC investments. As part of CSB’s community reinvestment initiatives, CSB invests in funds that make equity investments in multifamily affordable housing properties and receives tax credits and other tax benefits for these investments. During 2021, 2020, and 2019, CSB recorded amortization of $71 million, $56 million, and $39 million, respectively, and recognized tax credits and other tax benefits of $90 million, $69 million, and $47 million, respectively, associated with these investments. The amortization, as well as the tax credits and other tax benefits, are included in taxes on income. Aggregate assets, liabilities, and maximum exposure to loss The aggregate assets, liabilities, and maximum exposure to loss from those VIEs in which Schwab holds a variable interest, but is not the primary beneficiary, are summarized in the table below: December 31, 2021 December 31, 2020 Aggregate Aggregate Maximum exposure Aggregate Aggregate Maximum exposure to loss LIHTC investments (1) $ 915 $ 530 $ 915 $ 649 $ 344 $ 649 Other CRA investments (2) 161 — 211 118 — 152 Total $ 1,076 $ 530 $ 1,126 $ 767 $ 344 $ 801 (1) Aggregate assets and aggregate liabilities are included in other assets and accrued expenses and other liabilities, respectively, on the consolidated balance sheets. (2) Other CRA investments are accounted for as loans at amortized cost, equity method investments, AFS securities, or using the adjusted cost method. Aggregate assets are included in AFS securities, bank loans – net, or other assets on the consolidated balance sheets. Schwab’s maximum exposure to loss would result from the loss of the investments, including any committed amounts. CSB’s funding of these remaining commitments is dependent upon the occurrence of certain conditions, and CSB expects to pay substantially all of these commitments between 2022 and 2025. During the years ended December 31, 2021, 2020, and 2019, Schwab did not provide or intend to provide financial or other support to the VIEs that it was not contractually required to provide. |
Bank Deposits
Bank Deposits | 12 Months Ended |
Dec. 31, 2021 | |
Deposit Liabilities [Abstract] | |
Bank Deposits | Bank Deposits Bank deposits consist of interest-bearing and non-interest-bearing deposits as follows: December 31, 2021 2020 Interest-bearing deposits: Deposits swept from brokerage accounts $ 412,287 $ 332,513 Checking 22,786 17,785 Savings and other 7,234 6,739 Total interest-bearing deposits 442,307 357,037 Non-interest-bearing deposits 1,471 985 Total bank deposits $ 443,778 $ 358,022 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings CSC Senior Notes CSC’s Senior Notes are unsecured obligations. CSC may redeem some or all of the Senior Notes of each series prior to their maturity, subject to certain restrictions, and the payment of an applicable make-whole premium in certain instances. Interest is payable semi-annually for the fixed-rate Senior Notes and quarterly for the floating-rate Senior Notes. TDA Holding Senior Notes TDA Holding’s Senior Notes are unsecured obligations. TDA Holding may redeem some or all of the Senior Notes of each series prior to their maturity, subject to certain restrictions, and the payment of an applicable make-whole premium in certain instances. Interest is payable semi-annually for the fixed-rate Senior Notes. The following table lists long-term debt by instrument outstanding as of December 31, 2021 and 2020. Date of Principal Amount Outstanding Issuance 2021 2020 CSC Fixed-rate Senior Notes: 3.250% due May 21, 2021 05/22/18 $ — $ 600 3.225% due September 1, 2022 08/29/12 256 256 2.650% due January 25, 2023 12/07/17 800 800 3.550% due February 1, 2024 10/31/18 500 500 0.750% due March 18, 2024 03/18/21 1,500 — 3.750% due April 1, 2024 (1) 09/24/21 350 — 3.000% due March 10, 2025 03/10/15 375 375 4.200% due March 24, 2025 03/24/20 600 600 3.625% due April 1, 2025 (1) 09/24/21 418 — 3.850% due May 21, 2025 05/22/18 750 750 3.450% due February 13, 2026 11/13/15 350 350 0.900% due March 11, 2026 12/11/20 1,250 1,250 1.150% due May 13, 2026 05/13/21 1,000 — 3.200% due March 2, 2027 03/02/17 650 650 3.300% due April 1, 2027 (1) 09/24/21 744 — 3.200% due January 25, 2028 12/07/17 700 700 2.000% due March 20, 2028 03/18/21 1,250 — 4.000% due February 1, 2029 10/31/18 600 600 3.250% due May 22, 2029 05/22/19 600 600 2.750% due October 1, 2029 (1) 09/24/21 475 — 4.625% due March 22, 2030 03/24/20 500 500 1.650% due March 11, 2031 12/11/20 750 750 2.300% due May 13, 2031 05/13/21 750 — 1.950% due December 1, 2031 08/26/21 850 — CSC Floating-rate Senior Notes: Three-month LIBOR + 0.32% due May 21, 2021 05/22/18 — 600 SOFR + 0.500% due March 18, 2024 03/18/21 1,250 — SOFR + 0.520% due May 13, 2026 05/13/21 500 — Total CSC Senior Notes 17,768 9,881 TDA Holding Fixed-rate Senior Notes: 2.950% due April 1, 2022 03/09/15 750 750 3.750% due April 1, 2024 (1) 11/01/18 50 400 3.625% due April 1, 2025 (1) 10/22/14 82 500 3.300% due April 1, 2027 (1) 04/27/17 56 800 2.750% due October 1, 2029 (1) 08/16/19 25 500 TDA Holding Floating-rate Senior Notes: Three-month LIBOR + 0.43% due November 1, 2021 11/01/18 — 600 Total TDA Holding Senior Notes 963 3,550 Finance lease liabilities 94 6 Unamortized premium — net 180 249 Debt issuance costs (91) (54) Total long-term debt $ 18,914 $ 13,632 (1) During 2021, we completed an offer to exchange certain senior notes issued by TDA Holding for senior notes issued by CSC. Of the approximately $2.2 billion in aggregate principal amount of TDA Holding’s senior notes offered in the exchange, 90%, or approximately $2.0 billion, were tendered and accepted. The new senior notes issued by CSC have the same interest rates and maturity dates as the TDA Holding senior notes. The $213 million not exchanged remained outstanding across four series of senior notes issued by TDA Holding. The debt exchange was treated as a debt modification for accounting purposes. Annual maturities on all long-term debt outstanding at December 31, 2021, are as follows: Maturities 2022 $ 1,036 2023 829 2024 3,673 2025 2,237 2026 3,100 Thereafter 7,950 Total maturities 18,825 Unamortized premium — net 180 Debt issuance costs (91) Total long-term debt $ 18,914 Short-term borrowings: CSC has the ability to issue up to $5.0 billion of commercial paper notes ($1.5 billion at December 31, 2020) with maturities of up to 270 days. CSC had $3.0 billion of commercial paper notes outstanding at December 31, 2021 and none outstanding at December 31, 2020. CSC and CS&Co also have access to uncommitted lines of credit with external banks with total borrowing capacity of $1.5 billion; no amounts were outstanding as of December 31, 2021 or 2020. Our banking subsidiaries maintain secured credit facilities with the FHLB. Amounts available under these facilities are dependent on the amount of our First Mortgages, HELOCs, and the fair value of certain of their investment securities that are pledged as collateral. As of December 31, 2021 and 2020, the collateral pledged provided a total borrowing capacity of $63.5 billion and $55.1 billion, respectively, of which no amounts were outstanding at the end of either year. Our banking subsidiaries have access to funding through the Federal Reserve discount window. Amounts available are dependent upon the fair value of certain investment securities that are pledged as collateral. As of December 31, 2021 and 2020, our collateral pledged provided total borrowing capacity of $12.0 billion and $7.9 billion, respectively, of which no amounts were outstanding at the end of either year. Our banking subsidiaries may engage with external banks in repurchase agreements collateralized by investment securities as another source of short-term liquidity. The Company had no borrowings outstanding pursuant to such repurchase agreements at December 31, 2021 or 2020. TDAC maintains secured uncommitted lines of credit, under which TDAC borrows on either a demand or short-term basis and pledges client margin securities as collateral. There was $1.9 billion outstanding under the secured uncommitted lines of credit as of December 31, 2021. There were no borrowings outstanding under these secured uncommitted lines of credit as of December 31, 2020. See Note 17 for additional information. TDAC maintains a senior unsecured committed revolving credit facility with an aggregate borrowing capacity of $600 million, which matures in April 2022. Additionally, at December 31, 2020, TDAC maintained an $850 million unsecured committed revolving credit facility which matured in April 2021 and was not renewed. There were no borrowings outstanding under the TDAC senior revolving facilities as of December 31, 2021 or December 31, 2020. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | Leases The following table details the amounts and locations of operating lease assets and liabilities on the consolidated balance sheet: December 31, 2021 2020 Lease assets: Balance Sheet Classification Operating lease ROU assets Other assets $ 842 $ 937 Lease liabilities: Operating lease liabilities Accrued expenses and other liabilities $ 932 $ 1,033 The Company had immaterial sublease income for the years ended December 31, 2021 and 2020. The components of lease expense are as follows: Year Ended December 31, 2021 2020 2019 Lease Cost Operating lease cost (1) $ 220 $ 166 $ 137 Variable lease cost (2) 48 34 34 (1) Includes an immaterial amount attributable to short-term leases. (2) Includes payments that are entirely variable and amounts that represent the difference between payments based on an index or rate that is reflected in the lease liability and what is actually incurred. The following tables present supplemental operating lease information: December 31, 2021 2020 Lease Term and Discount Rate Weighted-average remaining lease term (years) 6.63 7.02 Weighted-average discount rate 2.48 % 2.86 % Maturity of Lease Liabilities Operating Leases (1) 2022 $ 191 2023 185 2024 149 2025 128 2026 103 Thereafter 257 Total lease payments 1,013 Less: Interest 81 Present value of lease liabilities $ 932 (1) Operating lease payments exclude $40 million of legally binding minimum lease payments for leases signed, but not yet commenced. These leases will commence between 2022 and 2023 with lease terms of five years to 15 years. The Company had finance lease ROU assets finance lease liabilities |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Loan Portfolio: CSB provides a co-branded loan origination program for CSB clients (the Program) with Rocket Mortgage, LLC (Rocket Mortgage ® ), formerly known as Quicken Loans, LLC. Pursuant to the Program, Rocket Mortgage originates and services First Mortgages and HELOCs for CSB clients. Under the Program, CSB purchases certain First Mortgages and HELOCs that are originated by Rocket Mortgage. CSB purchased First Mortgages of $14.0 billion and $8.7 billion during 2021 and 2020, respectively. CSB purchased HELOCs with commitments of $418 million and $458 million during 2021 and 2020, respectively. The Company’s commitments to extend credit on bank lines of credit and to purchase First Mortgages are as follows: December 31, 2021 2020 Commitments to extend credit related to unused HELOCs, PALs, and other lines of credit $ 6,193 $ 8,141 Commitments to purchase First Mortgage loans 1,824 1,917 Total $ 8,017 $ 10,058 Guarantees and indemnifications: Schwab has clients that sell (i.e., write) listed option contracts that are cleared by the Options Clearing Corporation – a clearing house that establishes margin requirements on these transactions. We partially satisfy the margin requirements by arranging unsecured standby LOCs, in favor of the Options Clearing Corporation, which are issued by several banks. At December 31, 2021, the aggregate face amount of these LOCs totaled $15 million. There were no funds drawn under any of these LOCs at December 31, 2021. In connection with its securities lending activities, Schwab is required to provide collateral to certain brokerage clients. The Company satisfies the collateral requirements by providing cash as collateral. The Company also provides guarantees to securities clearing houses and exchanges under standard membership agreements, which require members to guarantee the performance of other members. Under the agreements, if another member becomes unable to satisfy its obligations to the clearing houses and exchanges, other members would be required to meet shortfalls. The Company’s liability under these arrangements is not quantifiable and may exceed the amounts it has posted as collateral. The Company also engages third-party firms to clear clients’ futures and options on futures transactions and to facilitate clients’ foreign exchange trading, and has agreed to indemnify these firms for losses that they may incur from the client transactions introduced to them by the Company. The potential requirement for the Company to make payments under these arrangements is remote. Accordingly, no liability has been recognized for these guarantees. IDA agreement: The Company’s IDA agreement with the TD Depository Institutions became effective on October 6, 2020. The IDA agreement creates responsibilities of the Company and certain contingent obligations. Pursuant to the IDA agreement, uninvested cash within eligible brokerage client accounts is swept off-balance sheet to deposit accounts at the TD Depository Institutions. Schwab provides recordkeeping and support services to the TD Depository Institutions with respect to the deposit accounts for which Schwab receives an aggregate monthly fee. Though unlikely, in the event the sweep arrangement fee computation were to result in a negative amount in any given month, Schwab would be required to pay the TD Depository Institutions. The IDA agreement also provides that, as of July 1, 2021, Schwab has the option to migrate up to $10 billion of IDA balances every 12 months to Schwab’s balance sheet, subject to certain limitations and adjustments. The Company’s ability to migrate these balances to its balance sheet is dependent upon multiple factors including having sufficient capital levels to sustain these incremental deposits and certain binding limitations specified in the IDA agreement, including the requirement that Schwab can only move IDA balances designated as floating-rate obligations. In addition, Schwab also must maintain a minimum $50 billion IDA balance through June 2031, and at least 80% of the IDA balances must be designated as fixed-rate obligations through June 2026. The total ending IDA balance was $147.2 billion as of December 31, 2021, and $154.1 billion as of December 31, 2020. Were IDA balances to decline below the required IDA balance minimum, Schwab could be required to direct additional sweep cash from its balance sheet to the IDA program. Through December 31, 2021, Schwab had moved $10.1 billion of IDA balances to its balance sheet, which included uninsured balances and certain international account balances. Subsequent to December 31, 2021, the Company moved approximately $10 billion of additional IDA balances to its balance sheet. Legal contingencies: Schwab is subject to claims and lawsuits in the ordinary course of business, including arbitrations, class actions and other litigation, some of which include claims for substantial or unspecified damages. The Company is also the subject of inquiries, investigations, and proceedings by regulatory and other governmental agencies. Predicting the outcome of a litigation or regulatory matter is inherently difficult, requiring significant judgment and evaluation of various factors, including the procedural status of the matter and any recent developments; prior experience and the experience of others in similar cases; available defenses, including potential opportunities to dispose of a case on the merits or procedural grounds before trial (e.g., motions to dismiss or for summary judgment); the progress of fact discovery; the opinions of counsel and experts regarding potential damages; and potential opportunities for settlement and the status of any settlement discussions. It may not be reasonably possible to estimate a range of potential liability until the matter is closer to resolution – pending, for example, further proceedings, the outcome of key motions or appeals, or discussions among the parties. Numerous issues may have to be developed, such as discovery of important factual matters and determination of threshold legal issues, which may include novel or unsettled questions of law. Reserves are established or adjusted or further disclosure and estimates of potential loss are provided as the matter progresses and more information becomes available. Schwab believes it has strong defenses in all significant matters currently pending and is contesting liability and any damages claimed. Nevertheless, some of these matters may result in adverse judgments or awards, including penalties, injunctions or other relief, and the Company may also determine to settle a matter because of the uncertainty and risks of litigation. Described below are matters in which there is a reasonable possibility that a material loss could be incurred or where the matter may otherwise be of significant interest to stockholders. Unless otherwise noted, the Company is unable to provide a reasonable estimate of any potential liability given the stage of proceedings in the matter. With respect to all other pending matters, based on current information and consultation with counsel, it does not appear reasonably possible that the outcome of any such matter would be material to the financial condition, operating results, or cash flows of the Company. Schwab Intelligent Portfolios ® SEC Investigation : As disclosed on July 1, 2021, the Company has been responding to an enforcement investigation by the SEC arising from a compliance examination and concerning historic disclosures related to the Schwab Intelligent Portfolios digital advisory solution. In connection with a tentative agreement reached with SEC staff to resolve the matter, financial results for 2021 included a liability and related non-deductible charge of approximately $200 million. Completion of any settlement is always contingent on a vote of the Commission. The Company continues to cooperate with SEC staff with the goal of fully resolving the matter. TD Ameritrade Acquisition Litigation : As disclosed previously, Schwab and TD Ameritrade have been responding to a lawsuit challenging the acquisition which was filed on May 12, 2020 in the Delaware Court of Chancery (Hawkes v. Bettino et al.) on behalf of a proposed class of TD Ameritrade’s stockholders, excluding, among others, TD Bank. The initial complaint named as defendants each member of the TD Ameritrade board of directors at the time the acquisition was approved, as well as TD Bank and Schwab. On June 11, 2020, plaintiff dismissed a claim that had sought to enjoin voting on or consummation of the acquisition. On February 5, 2021, plaintiff filed an amended complaint naming an officer and certain directors of TD Ameritrade at the time the acquisition was approved, as well as TD Bank, certain TD Bank related entities, and Schwab. The amended complaint asserts separate claims for breach of fiduciary duty by the TD Ameritrade officer, certain members of the TD Ameritrade board and TD Bank, and against Schwab for aiding and abetting such breaches, the allegation being that the amendment of the Insured Deposit Account Agreement TD Bank negotiated directly with Schwab allowed TD Bank to divert merger consideration from TD Ameritrade’s minority public stockholders. Plaintiff seeks to recover monetary damages, costs and attorneys’ fees. Schwab and the other defendants consider the allegations to be entirely without merit and on April 29, 2021, filed motions to dismiss the remaining claims in the lawsuit. Crago Order Routing Litigation : On July 13, 2016, a securities class action lawsuit was filed in the U.S. District Court for the Northern District of California on behalf of a putative class of customers executing equity orders through CS&Co. The lawsuit names CS&Co and CSC as defendants and alleges that an agreement under which CS&Co routed orders to UBS Securities LLC between July 13, 2011 and December 31, 2014 violated CS&Co’s duty to seek best execution. Plaintiffs seek unspecified damages, interest, injunctive and equitable relief, and attorneys’ fees and costs. Defendants consider the allegations to be entirely without merit and have been vigorously contesting the lawsuit. After a first amended complaint was dismissed with leave to amend, plaintiffs filed a second amended complaint on August 14, 2017. Defendants again moved to dismiss, and in a decision issued December 5, 2017, the court denied the motion. Plaintiffs filed a motion for class certification on April 30, 2021, and in a decision on October 27, 2021, the court denied the motion and held that certification of a class action is inappropriate. Plantiffs sought review of the order denying class certification by the Ninth Circuit Court of Appeals, which was denied, and on February 3, 2022, plantiffs filed a motion for reconsideration of that denial, which is pending. |
Exit and Other Related Liabilit
Exit and Other Related Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | |
Exit and Other Related Liabilities | Exit and Other Related Liabilities As a result of the significant growth seen beginning in late 2020 and early 2021 across key client volume metrics, including the number of active brokerage accounts, clients’ daily average trades, and peak daily trades, the Company determined in 2021 to increase the scope of technology work related to the integration of TD Ameritrade. In 2021, we commenced greater technology build-out to support the expanded volumes of our combined client base. Based on our current integration plans and expanded scope of technology work, the Company continues to expect to complete client conversion within 30 to 36 months from the October 6, 2020 acquisition date. To achieve our integration objectives, the Company expects to recognize significant additional acquisition and integration-related costs and capital expenditures throughout the integration process. Such acquisition and integration-related costs have included, and are expected to continue to include, professional fees, such as legal, advisory, and accounting fees, compensation and benefits expenses for employees and contractors involved in the integration work, and costs for technology enhancements. The Company’s acquisition and integration-related spending also includes exit and other related costs, which are primarily comprised of employee compensation and benefits such as severance pay, other termination benefits, and retention costs, as well as costs related to facility closures such as accelerated amortization and depreciation or impairments of assets in those locations. Exit and other related costs are a component of the Company’s overall acquisition and integration-related spending, and support the Company’s ability to achieve integration objectives including expected synergies. Our estimates of the nature, amounts, and timing of recognition of acquisition and integration-related costs remain subject to change based on a number of factors, including the expected duration and complexity of the integration process and the continued uncertainty of the current economic environment. More specifically, factors that could cause variability in our expected acquisition and integration-related costs include the level of employee attrition, workforce redeployment from eliminated positions into open roles, changes in the levels of client activity, as well as increased real estate-related exit cost variability due to the effects of the COVID-19 pandemic including changes in remote working trends. Inclusive of costs recognized through December 31, 2021, Schwab currently expects to incur total exit and other related costs for the integration of TD Ameritrade ranging from $650 million to $1 billion, consisting of employee compensation and benefits, facility exit costs, and certain other costs. During the years ended December 31, 2021 and 2020, the Company recognized $108 million and $186 million for acquisition-related exit costs, respectively. The Company expects the remaining exit and other related costs will be incurred and charged to expense over the next 21 to 33 months; some costs are expected to be incurred after client conversion. In addition to ASC 420 Exit or Disposal Cost Obligations , certain of the costs associated with these activities are accounted for in accordance with ASC 360 Property, Plant and Equipment , ASC 712 Compensation – Nonretirement Post Employment Benefits , ASC 718 Compensation – Stock Compensation , and ASC 842 Leases . The following is a summary of the activity in the Company’s exit and other related liabilities for the years ended December 31, 2021 and 2020: Investor Services Advisor Services Total Balance at December 31, 2019 $ — $ — $ — Exit and other related liabilities assumed in business acquisition 18 5 23 Amounts recognized in expense (1) 138 38 176 Costs paid or otherwise settled (70) (19) (89) Balance at December 31, 2020 (2) $ 86 $ 24 $ 110 Amounts recognized in expense (1) 66 17 83 Costs paid or otherwise settled (124) (34) (158) Balance at December 31, 2021 (2) $ 28 $ 7 $ 35 (1) Amounts recognized in expense for severance pay and other termination benefits, as well as retention costs, are primarily included in compensation and benefits on the consolidated statements of income. The year ended December 31, 2021 includes a reduction of the liability resulting from changes in estimates of $9 million and $2 million in Investor Services and Advisor Services, respectively. (2) Included in accrued and expenses and other liabilities on the consolidated balance sheets. The following table summarizes the exit and other related costs recognized in expense for the year ended December 31, 2021: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 66 $ — $ 66 $ 17 $ — $ 17 $ 83 Occupancy and equipment — 18 18 — 4 4 22 Professional services — 1 1 — — — 1 Other — 2 2 — — — 2 Total $ 66 $ 21 $ 87 $ 17 $ 4 $ 21 $ 108 (1) Costs related to facility closures. These costs, which are primarily comprised of accelerated amortization of ROU assets, relate to the impact of abandoning leased and other properties. The following table summarizes the exit and other related costs recognized in expense for the year ended December 31, 2020: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 138 $ — $ 138 $ 38 $ — $ 38 $ 176 Occupancy and equipment — 6 6 — 1 1 7 Depreciation and amortization — 2 2 — 1 1 3 Total $ 138 $ 8 $ 146 $ 38 $ 2 $ 40 $ 186 (1) Costs related to facility closures. These costs, which are comprised of accelerated amortization of ROU assets and accelerated depreciation of fixed assets, relate to the impact of abandoning leased and other properties. The following table summarizes the exit and other related costs incurred from October 6, 2020 through December 31, 2021: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 204 $ — $ 204 $ 55 $ — $ 55 $ 259 Occupancy and equipment — 24 24 — 5 5 29 Depreciation and amortization — 2 2 — 1 1 3 Professional services — 1 1 — — — 1 Other — 2 2 — — — 2 Total $ 204 $ 29 $ 233 $ 55 $ 6 $ 61 $ 294 (1) Costs related to facility closures. These costs, which are primarily comprised of accelerated amortization of ROU assets and accelerated depreciation of fixed assets, relate to the impact of abandoning leased and other properties. |
Financial Instruments Subject t
Financial Instruments Subject to Off-Balance Sheet Credit Risk | 12 Months Ended |
Dec. 31, 2021 | |
Offsetting [Abstract] | |
Financial Instruments Subject to Off-Balance Sheet Credit Risk | Financial Instruments Subject to Off-Balance Sheet Credit Risk Resale agreements: Schwab enters into collateralized resale agreements principally with other broker-dealers, which could result in losses in the event the counterparty fails to purchase the securities held as collateral for the cash advanced and the fair value of the securities declines. To mitigate this risk, Schwab requires that the counterparty deliver securities to a custodian, to be held as collateral, with a fair value at or in excess of the resale price. Schwab also sets standards for the credit quality of the counterparty, monitors the fair value of the underlying securities as compared to the related receivable, including accrued interest, and requires additional collateral where deemed appropriate. The collateral provided under these resale agreements is utilized to meet obligations under broker-dealer client protection rules, which place limitations on our ability to access such segregated securities. For Schwab to repledge or sell this collateral, we would be required to deposit cash and/or securities of an equal amount into our segregated reserve bank accounts in order to meet our segregated cash and investment requirement. Schwab’s resale agreements as of December 31, 2021 and 2020 were not subject to master netting arrangements. Securities lending: Schwab loans brokerage client securities temporarily to other brokers and clearing houses in connection with its securities lending activities and receives cash as collateral for the securities loaned. Increases in security prices may cause the fair value of the securities loaned to exceed the amount of cash received as collateral. In the event the counterparty to these transactions does not return the loaned securities or provide additional cash collateral, we may be exposed to the risk of acquiring the securities at prevailing market prices in order to satisfy our client obligations. Schwab mitigates this risk by requiring credit approvals for counterparties, monitoring the fair value of securities loaned, and requiring additional cash as collateral when necessary. In addition, most of our securities lending transactions are through a program with a clearing organization, which guarantees the return of cash to us. We also borrow securities from other broker-dealers to fulfill short sales by brokerage clients and deliver cash to the lender in exchange for the securities. The fair value of these borrowed securities was $566 million and $852 million at December 31, 2021 and 2020, respectively. Our securities lending transactions are subject to enforceable master netting arrangements with other broker-dealers; however, we do not net securities lending transactions. Therefore, the securities loaned and securities borrowed are presented gross in the consolidated balance sheets. The following table presents information about our resale agreements, securities lending, and other activity depicting the potential effect of rights of setoff between these recognized assets and recognized liabilities. Gross Gross Amounts Offset in the Consolidated Net Amounts Presented in the Consolidated Gross Amounts Not Offset in the Net Counterparty Collateral December 31, 2021 Assets Resale agreements (1) $ 13,096 $ — $ 13,096 $ — $ (13,096) (2) $ — Securities borrowed (3) 582 — 582 (383) (195) 4 Total $ 13,678 $ — $ 13,678 $ (383) $ (13,291) $ 4 Liabilities Securities loaned (4,5) $ 7,158 $ — $ 7,158 $ (383) $ (6,015) $ 760 Secured short-term borrowings (6) 1,850 — 1,850 — (1,850) — Total $ 9,008 $ — $ 9,008 $ (383) $ (7,865) $ 760 December 31, 2020 Assets Resale agreements (1) $ 14,904 $ — $ 14,904 $ — $ (14,904) (2) $ — Securities borrowed (3) 873 — 873 (673) (195) 5 Total $ 15,777 $ — $ 15,777 $ (673) $ (15,099) $ 5 Liabilities Securities loaned (4,5) $ 7,549 $ — $ 7,549 $ (673) $ (6,049) $ 827 Total $ 7,549 $ — $ 7,549 $ (673) $ (6,049) $ 827 (1) Included in cash and investments segregated and on deposit for regulatory purposes in the consolidated balance sheets. (2) Actual collateral was greater than or equal to the value of the related assets. At December 31, 2021 and 2020, the fair value of collateral received in connection with resale agreements that are available to be repledged or sold was $13.4 billion and $15.2 billion, respectively. (3) Included in other assets in the consolidated balance sheets. (4) Included in accrued expenses and other liabilities in the consolidated balance sheets. The cash collateral received from counterparties under securities lending transactions was equal to or greater than the market value of the securities loaned at December 31, 2021 and 2020. (5) Securities loaned are predominantly comprised of equity securities held in client brokerage accounts with overnight and continuous remaining contractual maturities. (6) Included in short-term borrowings in the consolidated balance sheets. See below for collateral pledged and Note 13 for additional information. Client trade settlement: Schwab is obligated to settle transactions with brokers and other financial institutions even if our clients fail to meet their obligations to us. Clients are required to complete their transactions on settlement date, generally two business days after the trade date. If clients do not fulfill their contractual obligations, we may incur losses. We have established procedures to reduce this risk by requiring deposits from clients in excess of amounts prescribed by regulatory requirements for certain types of trades, and therefore the potential to make payments under these client transactions is remote. Accordingly, no liability has been recognized for these transactions. Margin lending: Clients with margin loans have agreed to allow Schwab to pledge collateralized securities in their brokerage accounts in accordance with federal regulations. The following table summarizes the fair value of client securities that were available, under such regulations, that could have been used as collateral, as well as the fair value of securities that we had pledged to third parties under such regulations and from securities borrowed transactions: December 31, 2021 2020 Fair value of client securities available to be pledged $ 120,306 $ 84,006 Fair value of securities pledged for: Fulfillment of requirements with the Options Clearing Corporation (1) $ 16,829 $ 10,222 Fulfillment of client short sales 5,934 6,274 Securities lending to other broker-dealers 6,269 6,522 Collateral for short-term borrowings 2,390 — Total collateral pledged to third parties $ 31,422 $ 23,018 Note: Excludes amounts available and pledged for securities lending from fully-paid client securities. The fair value of fully-paid client securities available and pledged was $118 million as of December 31, 2021 and $183 million as of December 31, 2020. |
Fair Values of Assets and Liabi
Fair Values of Assets and Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Values of Assets and Liabilities | Fair Values of Assets and Liabilities For a description of the fair value hierarchy and Schwab’s fair value methodologies, including the use of independent third-party pricing services, see Note 2. The Company did not adjust prices received from the primary independent third-party pricing service at December 31, 2021 or 2020. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables present the fair value hierarchy for assets and liabilities measured at fair value on a recurring basis: December 31, 2021 Level 1 Level 2 Level 3 Balance at Cash equivalents: Money market funds $ 11,719 $ — $ — $ 11,719 Total cash equivalents 11,719 — — 11,719 Investments segregated and on deposit for regulatory purposes: Certificates of deposit — 350 — 350 U.S. Government securities — 36,349 — 36,349 Total investments segregated and on deposit for regulatory purposes — 36,699 — 36,699 Available for sale securities: U.S. agency mortgage-backed securities — 334,355 — 334,355 U.S. Treasury securities — 21,282 — 21,282 Asset-backed securities — 17,546 — 17,546 Corporate debt securities — 12,344 — 12,344 U.S. state and municipal securities — 1,687 — 1,687 Non-agency commercial mortgage-backed securities — 1,190 — 1,190 Certificates of deposit — 999 — 999 Foreign government agency securities — 425 — 425 Commercial paper — 200 — 200 Other — 26 — 26 Total available for sale securities — 390,054 — 390,054 Other assets: Equity, corporate debt, and other securities 854 59 — 913 Mutual funds and ETFs 636 — — 636 State and municipal debt obligations — 32 — 32 U.S. Government securities — 3 — 3 Total other assets 1,490 94 — 1,584 Total assets $ 13,209 $ 426,847 $ — $ 440,056 Accrued expenses and other liabilities $ 1,354 $ 45 $ — $ 1,399 Total liabilities $ 1,354 $ 45 $ — $ 1,399 December 31, 2020 Level 1 Level 2 Level 3 Balance at Cash equivalents: Money market funds $ 11,159 $ — $ — $ 11,159 Total cash equivalents 11,159 — — 11,159 Investments segregated and on deposit for regulatory purposes: Certificates of deposit — 550 — 550 U.S. Government securities — 30,698 — 30,698 Total investments segregated and on deposit for regulatory purposes — 31,248 — 31,248 Available for sale securities: U.S. agency mortgage-backed securities — 290,353 — 290,353 Asset-backed securities — 18,898 — 18,898 Corporate debt securities — 12,796 — 12,796 U.S. Treasury securities — 10,656 — 10,656 U.S. state and municipal securities — 1,697 — 1,697 Foreign government agency securities — 1,413 — 1,413 Non-agency commercial mortgage-backed securities — 1,265 — 1,265 Certificates of deposit — 300 — 300 Other — 22 — 22 Total available for sale securities — 337,400 — 337,400 Other assets: Mutual funds and ETFs 361 — — 361 U.S. Government securities — 253 — 253 State and municipal debt obligations — 37 — 37 Equity, corporate debt, and other securities 7 29 — 36 Total other assets 368 319 — 687 Total $ 11,527 $ 368,967 $ — $ 380,494 Fair Value of Other Financial Instruments The following tables present the fair value hierarchy for other financial instruments: December 31, 2021 Carrying Level 1 Level 2 Level 3 Balance at Assets Cash and cash equivalents $ 51,256 $ 51,256 $ — $ — $ 51,256 Cash and investments segregated and on deposit for regulatory purposes 17,246 4,151 13,095 — 17,246 Receivables from brokerage clients — net 90,560 — 90,560 — 90,560 Bank loans — net: First Mortgages 21,077 — 21,027 — 21,027 HELOCs 646 — 668 — 668 Pledged asset lines 12,709 — 12,709 — 12,709 Other 204 — 204 — 204 Total bank loans — net 34,636 — 34,608 — 34,608 Other assets 3,561 — 3,561 — 3,561 Liabilities Bank deposits $ 443,778 $ — $ 443,778 $ — $ 443,778 Payables to brokerage clients 125,671 — 125,671 — 125,671 Accrued expenses and other liabilities 8,327 — 8,327 — 8,327 Short-term borrowings 4,855 — 4,855 — 4,855 Long-term debt 18,820 — 19,383 — 19,383 December 31, 2020 Carrying Level 1 Level 2 Level 3 Balance at Assets Cash and cash equivalents $ 29,189 $ 29,189 $ — $ — $ 29,189 Cash and investments segregated and on deposit for regulatory purposes 19,143 4,212 14,931 — 19,143 Receivables from brokerage clients — net 64,436 — 64,436 — 64,436 Bank loans — net: First Mortgages 14,882 — 15,305 — 15,305 HELOCs 837 — 838 — 838 Pledged asset lines 7,916 — 7,916 — 7,916 Other 178 — 178 — 178 Total bank loans — net 23,813 — 24,237 — 24,237 Other assets 2,883 — 2,883 — 2,883 Liabilities Bank deposits $ 358,022 $ — $ 358,022 $ — $ 358,022 Payables to brokerage clients 104,201 — 104,201 — 104,201 Accrued expenses and other liabilities 8,263 — 8,263 — 8,263 Long-term debt 13,626 — 14,829 — 14,829 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Except in connection with the 2020 acquisition of TD Ameritrade as described below, CSC did not issue shares of common stock through external offerings during the years ended December 31, 2021, 2020 or 2019. On October 6, 2020, the Company completed its acquisition of TD Ameritrade. In conjunction with the acquisition, the Company issued shares of CSC common stock and a new, nonvoting class of CSC common stock. Immediately prior to the acquisition, on October 6, 2020, the Company amended its certificate of incorporation to create the nonvoting class of common stock with 300 million shares authorized for issuance and to increase the number of authorized shares of capital stock by the same amount. Each share of nonvoting common stock has identical rights to common stock, including liquidation and dividend rights, except that holders of nonvoting common stock have no voting rights other than over matters that significantly and adversely affect the rights or preferences of the nonvoting common stock, or as required by applicable law. Holders of nonvoting common stock are restricted from transferring shares except for permitted inside or outside transfers, as defined in the certificate of incorporation. Shares of nonvoting stock transferred in a permitted outside transfer are automatically converted to shares of common stock. Pursuant to the Merger Agreement, CSC issued approximately 177 million shares of common stock and approximately 77 million shares of nonvoting common stock to TD Bank and its affiliates on October 6, 2020. Those shares of common stock and nonvoting common stock were issued in reliance upon an exemption from registration afforded by Section 4(a)(2) of the Securities Act. Following this issuance, TD Bank exchanged an aggregate of approximately 2 million shares of CSC common stock for an equal number of shares of CSC nonvoting common stock and held approximately 79 million shares of nonvoting common stock as of December 31, 2021. TD Bank and its affiliates are not permitted to own more than 9.9% of CSC common stock. This limit is interpreted in accordance with the applicable rules of the Federal Reserve and includes shares of CSC common stock deemed to be beneficially owned directly or indirectly by TD Bank and its affiliates. On June 1, 2021, the Company redeemed all of the 600,000 outstanding shares of its 6.00% non-cumulative perpetual preferred stock, Series C, and the corresponding 24,000,000 depositary shares, each representing a 1/40th interest in a share of the Series C Preferred Stock. The depositary shares were redeemed at a redemption price of $25 per depositary share for a total of $600 million. On March 30, 2021, the Company issued and sold 24,000,000 depositary shares, each representing a 1/40th ownership interest in a share of 4.450% fixed-rate non-cumulative perpetual preferred stock, Series J, $.01 par value, with a liquidation preference of $1,000 per share (equivalent of $25 per Depositary Share). The net proceeds of the offering were $584 million, after deducting the underwriting discount and offering expenses. On March 18, 2021, the Company issued and sold 2,250,000 depositary shares, each representing a 1/100th ownership interest in a share of 4.000% fixed-rate reset non-cumulative perpetual preferred stock, Series I, $.01 par value per share, with a liquidation preference of $100,000 per share (equivalent of $1,000 per Depositary Share). The net proceeds of the offering were $2.2 billion, after deducting the underwriting discount and offering expenses. On December 11, 2020, the Company issued and sold 2,500,000 depositary shares, each representing a 1/100th ownership interest in a share of 4.000% fixed-rate reset non-cumulative perpetual preferred stock, Series H, $.01 par value per share, with a liquidation preference of $100,000 per share (equivalent of $1,000 per Depositary Share). The net proceeds of the offering were approximately $2.47 billion, after deducting the underwriting discount and offering expenses. On April 30, 2020, the Company issued and sold 2,500,000 depositary shares, each representing a 1/100th ownership interest in a share of 5.375% fixed-rate reset non-cumulative perpetual preferred stock, Series G, $.01 par value per share, with a liquidation preference of $100,000 per share (equivalent of $1,000 per Depositary Share). The net proceeds of the offering were approximately $2.47 billion, after deducting the underwriting discount and offering expenses. On January 30, 2019, CSC publicly announced that its Board of Directors authorized a share repurchase program to repurchase up to $4.0 billion of common stock. The share repurchase authorization does not have an expiration date. There were no repurchases of CSC’s common stock under this authorization during the years ended December 31, 2021 and 2020. During 2019, CSC repurchased 55 million shares of its common stock under this authorization for $2.2 billion. CSC was authorized to issue 9,940,000 shares of preferred stock, $.01 par value, at December 31, 2021 and 2020. The following is a summary of CSC’s non-cumulative perpetual preferred stock outstanding as of such dates: Dividend Rate in Effect at December 31, 2021 Date at Which Dividend Rate Resets or Becomes Floating Reset / Margin Over Reset / Floating Rate Shares Issued and Outstanding (in thousands) at December 31, Liquidation Preference Per Share Carrying Value at December 31, Earliest Redemption Date 2021 (1) 2020 (1) 2021 2020 Issue Date Fixed-rate: Series C (2) — 600 $ 1,000 $ — $ 585 08/03/15 — — N/A N/A N/A Series D 750 750 1,000 728 728 03/07/16 5.950 % 06/01/21 N/A N/A N/A Series J 600 — 1,000 584 — 03/30/21 4.450 % 06/01/26 N/A N/A N/A Fixed-to-floating-rate/Fixed-rate reset (3) : Series A 400 400 1,000 397 397 01/26/12 7.000 % 02/01/22 02/01/22 3M LIBOR 4.820 % Series E 6 6 100,000 591 591 10/31/16 4.625 % 03/01/22 03/01/22 3M LIBOR 3.315 % Series F 5 5 100,000 492 492 10/31/17 5.000 % 12/01/27 12/01/27 3M LIBOR 2.575 % Series G 25 25 100,000 2,470 2,470 04/30/20 5.375 % 06/01/25 06/01/25 5-Year Treasury 4.971 % Series H 25 25 100,000 2,470 2,470 12/11/20 4.000 % 12/01/30 12/01/30 10-Year Treasury 3.079 % Series I (4) 23 — 100,000 2,222 — 03/18/21 4.000 % 06/01/26 06/01/26 5-Year Treasury 3.168 % Total preferred stock 1,834 1,811 $ 9,954 $ 7,733 (1) Represented by depositary shares, except for Series A. (2) Series C Preferred Stock was redeemed on June 1, 2021. (3) The dividend rate for Series G resets on each five-year anniversary from the first reset date. The dividend rate for Series H resets on each 10-year anniversary from the first reset date. (4) The Series I dividend rate resets on each five-year anniversary beginning on June 1, 2026 based on a five-year treasury rate, representing the average of the yields on actively traded U.S. treasury securities adjusted to constant maturity for five-year maturities. Series I is only redeemable on dividend payment dates on or after the first reset date. N/A Not applicable. Dividends declared on the Company’s preferred stock are as follows: Year Ended December 31, 2021 2020 2019 Total Per Share Total Per Share Total Per Share Series A $ 28.0 $ 70.00 $ 28.0 $ 70.00 $ 28.0 $ 70.00 Series C (1) 18.0 30.00 36.0 60.00 36.0 60.00 Series D 44.6 59.52 44.6 59.52 44.6 59.52 Series E 27.8 4,625.00 27.8 4,625.00 27.8 4,625.00 Series F 25.0 5,000.00 25.0 5,000.00 25.0 5,000.00 Series G (2) 134.4 5,375.00 78.8 3,150.35 N/A N/A Series H (3) 97.2 3,888.89 N/A N/A N/A N/A Series I (4) 63.2 2,811.11 N/A N/A N/A N/A Series J (5) 17.9 29.80 N/A N/A N/A N/A Total $ 456.1 $ 240.2 $ 161.4 (1) Series C Preferred Stock was redeemed on June 1, 2021. Prior to redemption, dividends were paid quarterly and the final dividend was paid on June 1, 2021. (2) Series G Preferred Stock was issued on April 30, 2020. Dividends are paid quarterly, and the first dividend was paid on September 1, 2020. (3) Series H Preferred Stock was issued on December 11, 2020. Dividends are paid quarterly, and the first dividend was paid on March 1, 2021. (4) Series I Preferred Stock was issued on March 18, 2021. Dividends are paid quarterly, and the first dividend was paid on June 1, 2021. (5) Series J Preferred Stock was issued on March 30, 2021. Dividends are paid quarterly, and the first dividend was paid on June 1, 2021. N/A Not applicable. Dividends on CSC’s preferred stock are not cumulative and will only be paid on a series of preferred stock for a dividend period if declared by CSC’s Board of Directors. Under the terms of each series of preferred stock, CSC’s ability to pay dividends on, make distributions with respect to, or to repurchase, redeem or acquire its common stock or any preferred stock ranking on parity with or junior to the series of preferred stock, is subject to restrictions in the event that CSC does not declare and either pay or set aside a sum sufficient for payment of dividends on the series of preferred stock for the immediately preceding dividend period. Dividends on fixed-rate preferred stock, as well as Series G, H, and I, are payable quarterly. Dividends on fixed-to-floating-rate preferred stock are payable semi-annually while at a fixed rate and will become payable quarterly after converting to a floating rate. The Series A preferred stock dividend converted to a floating rate on February 1, 2022 and is now payable quarterly. Redemption Rights Each series of CSC’s preferred stock, except for Series G, may be redeemed at CSC’s option on any dividend payment date on or after the earliest redemption date for that series. Series G preferred stock may be redeemed at CSC’s option on any reset date on or after the earliest redemption date for the series. All outstanding preferred stock series may also be redeemed following a “capital treatment event,” as described in the terms of each series set forth in the relevant certificate of designations. Any redemption of CSC’s preferred stock is subject to approval from the Federal Reserve. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income AOCI represents cumulative gains and losses that are not reflected in earnings. AOCI balances and the components of other comprehensive income (loss) are as follows: Total AOCI Balance at December 31, 2018 $ (252) Available for sale securities: Net unrealized gain (loss) excluding transfers to available for sale from held to maturity, net of tax expense (benefit) of $96 309 Net unrealized gain on securities transferred to available for sale from held to maturity, net of tax expense (benefit) of $6 (1) 19 Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (5) Held to maturity securities: Amortization of amounts previously recorded upon transfer to held to maturity from available for sale, net of tax expense (benefit) of $9 27 Other, net of tax expense (benefit) of $(4) (10) Balance at December 31, 2019 $ 88 Available for sale securities: Net unrealized gain (loss) excluding transfers to available for sale from held to maturity, net of tax expense (benefit) of $1,322 4,246 Net unrealized gain on securities transferred to available for sale from held to maturity, net of tax expense (benefit) of $336 (2) 1,057 Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (3) Other, net of tax expense (benefit) of $2 6 Balance at December 31, 2020 $ 5,394 Available for sale securities: Net unrealized gain (loss), net of tax expense (benefit) of $(2,029) (6,492) Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (3) Other, net of tax expense (benefit) of $(3) (8) Balance at December 31, 2021 $ (1,109) (1) In the first quarter of 2019, the Company made an election to transfer a portion of its HTM securities to AFS as part of the adoption of ASU 2017-12. The transfer resulted in a net of tax increase to AOCI of $19 million. See Note 6 for additional discussion on the 2019 transfer of HTM securities to AFS. (2) On January 1, 2020, the Company transferred all of its investment securities designated as HTM to the AFS category. The transfer resulted in a net of tax increase to AOCI of $1.1 billion. See Note 6 for additional discussion on the 2020 transfer of HTM securities to AFS. |
Employee Incentive, Retirement,
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans | Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans Schwab’s share-based incentive plans provide for granting options and restricted stock units to employees and directors. In addition, we offer retirement and employee stock purchase plans to eligible employees and sponsor deferred compensation plans for eligible officers and non-employee directors. A summary of share-based compensation expense and related income tax benefit is as follows: Year Ended December 31, 2021 2020 2019 Stock option expense $ 36 $ 36 $ 51 Restricted stock unit expense 200 156 120 Employee stock purchase plan expense 18 12 12 Total share-based compensation expense $ 254 $ 204 $ 183 Income tax benefit on share-based compensation expense (1) $ (60) $ (49) $ (44) (1) Excludes income tax benefits from stock options exercised and restricted stock units vested of $93 million, $14 million, and $23 million in 2021, 2020, and 2019, respectively. The Company issues shares for stock options and restricted stock units from treasury stock. At December 31, 2021, the Company was authorized to grant up to 58 million common shares under its existing stock incentive plans. Additionally, at December 31, 2021, the Company had 30 million shares reserved for future issuance under its employee stock purchase plan. As of December 31, 2021, there was $297 million of total unrecognized compensation cost related to outstanding stock options and restricted stock units, which is expected to be recognized through 2025 with a remaining weighted-average service period of 0.7 years for stock options, 1.9 years for restricted stock units, and 0.5 years for performance-based stock units. Acquisition of TD Ameritrade: Upon the completion of the TD Ameritrade acquisition on October 6, 2020, TD Ameritrade’s equity awards, whether vested or unvested, were assumed by the Company and converted into equity awards based on CSC common stock taking into account the defined exchange ratio of 1.0837. Otherwise, these share-based awards are subject to the same terms and conditions that were applicable immediately before the merger, except for performance-based restricted stock units which were converted into time-based restricted stock units. The fair value of the stock options assumed by the Company was determined using an option pricing model. The portion of the fair value of the replacement awards related to services provided prior to the acquisition was $94 million and was accounted for as consideration transferred. The remaining portion of the fair value of $73 million is associated with future services and had a remaining weighted-average service period of 1.9 years on the acquisition date. A change in the actual or estimated forfeiture rate from the amount originally or subsequently estimated will result in an adjustment to compensation expense based on the full acquisition-date fair value of awards not expected to vest, regardless of whether those awards were treated as consideration transferred or stock-based compensation for future services. Stock Option Plan Options are granted for the purchase of shares of common stock at an exercise price not less than market value on the date of grant, and expire ten years from the date of grant. Options generally vest annually over a one Stock option activity is summarized below: Number Weighted- Average Exercise Price Weighted- Average Remaining Contractual Aggregate Intrinsic Outstanding at December 31, 2020 24 $ 33.67 5.36 $ 452 Granted 2 64.49 Exercised (9) 27.80 Forfeited (1) — 45.99 Expired (1) — 35.00 Outstanding at December 31, 2021 17 $ 39.11 5.38 $ 782 Vested and expected to vest at December 31, 2021 17 $ 39.09 5.38 $ 782 Vested and exercisable at December 31, 2021 13 $ 34.93 4.54 $ 650 (1) Number of options was less than 500 thousand. The aggregate intrinsic value in the table above represents the difference between CSC’s closing stock price and the exercise price of each in-the-money option on the last trading day of the period presented. Information on stock options granted and exercised is presented below: Year Ended December 31, 2021 2020 2019 Weighted-average fair value of options granted per share $ 19.51 $ 11.56 $ 11.97 Cash received from options exercised 221 79 118 Tax benefit realized on options exercised 61 11 17 Aggregate intrinsic value of options exercised 322 71 108 We use an option pricing model to estimate the fair value of options granted. The model takes into account the contractual term of the stock option, expected volatility, dividend yield, and the risk-free interest rate. Expected volatility is based on the implied volatility of publicly-traded options on CSC’s stock. Dividend yield is based on the average historical CSC dividend yield. The risk-free interest rate is based on the yield of a U.S. Treasury zero-coupon issue with a remaining term similar to the contractual term of the option. We use historical option exercise data, which includes employee termination data, to estimate the probability of future option exercises. The assumptions used to value the options granted during the years presented and their expected lives were as follows: Year Ended December 31, 2021 2020 2019 Weighted-average expected dividend yield 1.36 % 2.08 % 1.85 % Weighted-average expected volatility 37 % 36 % 30 % Weighted-average risk-free interest rate 0.8 % 1.0 % 2.5 % Expected life (in years) 4.2 - 5.4 4.3 - 5.9 4.2 - 5.9 Restricted Stock Units Restricted stock units are awards that entitle the holder to receive shares of CSC’s common stock following a vesting period. Restricted stock units are restricted from transfer or sale and generally vest annually over a one The Company’s restricted stock units activity is summarized below: Number Weighted- Average Grant Date Fair Value Outstanding at December 31, 2020 10 $ 40.85 Granted 4 64.18 Vested (4) 41.25 Forfeited (1) 45.63 Outstanding at December 31, 2021 9 $ 49.69 Retirement and Deferred Compensation Plans Employees can participate in Schwab’s qualified retirement plan, the SchwabPlan Retirement Savings and Investment Plan. The Company may match certain employee contributions or make additional contributions to this plan at its discretion. The Company’s total expense was $187 million, $136 million, and $118 million in 2021, 2020, and 2019, respectively. Schwab’s deferred compensation plan for officers permits participants to defer the receipt of certain cash compensation. The deferred compensation plan for non-employee directors permits participants to defer receipt of all or a portion of their director fees and to receive either a grant of stock options, or upon ceasing service as a director, the number of shares of CSC’s common stock that would have resulted from investing the deferred fee amount into CSC’s common stock. The deferred compensation liability was $194 million and $176 million at December 31, 2021 and 2020, respectively. Effective upon the completion of the TD Ameritrade acquisition on October 6, 2020, TD Ameritrade’s 401(k) and deferred profit-sharing plan was terminated and all unvested balances in the plan became fully vested. TD Ameritrade employees employed immediately prior to the acquisition who continued as employees of TDA Holding, CSC, or any of their subsidiaries after completion of the acquisition became eligible to participate in the SchwabPlan Retirement Savings and Investment Plan and make rollover contributions from their TD Ameritrade plan balances to the SchwabPlan Retirement Savings and Investment Plan. Financial Consultant Career Achievement Plan The financial consultant career achievement plan is a noncontributory, unfunded, nonqualified plan for eligible financial consultants. A financial consultant is eligible for earned cash payments after retirement contingent upon meeting certain performance levels, tenure, age, and client transitioning requirements. Allocations to the plan are calculated annually based on performance levels achieved and eligible compensation and are subject to general creditors of the Company. Full vesting occurs when a financial consultant reaches 60 years of age and has at least ten years of service with the Company. The following table presents the changes in projected benefit obligation: December 31, 2021 2020 Projected benefit obligation at beginning of year $ 92 $ 83 Benefit cost (1) 16 17 Actuarial loss/(gain) (2) 11 (8) Projected benefit obligation at end of year (3) $ 119 $ 92 (1) Includes service cost and interest cost, which are recognized in compensation and benefits expense and other expense, respectively, in the consolidated statements of income. (2) Actuarial loss/(gain) is reflected in the consolidated statements of comprehensive income and is included in AOCI on the consolidated balance sheets. (3) This amount is recognized as a liability in accrued expenses and other liabilities on the consolidated balance sheets. |
Taxes on Income
Taxes on Income | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Taxes on Income | Taxes on Income The components of taxes on income are as follows: Year Ended December 31, 2021 2020 2019 Current: Federal $ 1,507 $ 967 $ 958 State 298 172 184 Total current 1,805 1,139 1,142 Deferred: Federal 38 (113) 3 State 15 (25) (1) Total deferred 53 (138) 2 Taxes on income $ 1,858 $ 1,001 $ 1,144 The temporary differences that created deferred tax assets and liabilities are detailed below: December 31, 2021 2020 Deferred tax assets: Net unrealized loss on available for sale securities $ 347 $ — Employee compensation, severance, and benefits 237 271 Operating lease liabilities 225 249 Reserves and allowances 74 70 Debt fair value remeasurement 47 67 State and local taxes 40 37 Net operating loss carryforwards 8 8 Total deferred tax assets 978 702 Valuation allowance (8) (8) Deferred tax assets — net of valuation allowance 970 694 Deferred tax liabilities: Amortization of acquired intangible assets (1,888) (1,954) Net unrealized gain on available for sale securities — (1,686) Operating lease ROU assets (210) (233) Capitalized internal-use software development costs (142) (101) Other (212) (182) Total deferred tax liabilities (2,452) (4,156) Deferred tax asset/(liability) — net (1) $ (1,482) $ (3,462) (1) Amounts are included in accrued expenses and other liabilities on the consolidated balance sheets at December 31, 2021 and 2020. A reconciliation of the federal statutory income tax rate to the effective income tax rate is as follows: Year Ended December 31, 2021 2020 2019 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State income taxes, net of federal tax benefit 3.4 3.2 3.2 Equity compensation benefit (1.2) (0.3) (0.5) Other 0.9 (0.6) (0.1) Effective income tax rate 24.1 % 23.3 % 23.6 % A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, 2021 2020 Balance at beginning of year $ 248 $ 101 Additions for tax positions related to the current year 34 15 Additions for tax positions related to prior years 15 3 Additions for current year acquisitions — 200 Reductions for tax positions related to prior years (15) (7) Reductions due to lapse of statute of limitations (8) (24) Reductions for settlements with tax authorities (3) (40) Balance at end of year $ 271 $ 248 Unrecognized tax benefits totaled $271 million and $248 million as of December 31, 2021 and 2020, respectively, $221 million and $202 million of which if recognized, would affect the annual effective tax rate. Interest and penalties were accrued related to unrecognized tax benefits in tax expense. At December 31, 2021 and 2020, we had accrued approximately $68 million and $58 million, respectively, for the payment of interest and penalties. |
Regulatory Requirements
Regulatory Requirements | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Regulatory Requirements | Regulatory Requirements CSC is a savings and loan holding company and is subject to examination, supervision, and regulation by the Federal Reserve. CSB, CSC’s primary depository institution subsidiary, is a Texas-chartered state savings bank and is a member of the Federal Reserve system. CSB is subject to examination, supervision, and regulation by the Federal Reserve, the TDSML, the FDIC as its deposit insurer, and the CFPB. CSC is required to serve as a source of strength for CSB. CSB is subject to various requirements and restrictions under federal and state laws, including regulatory capital requirements and requirements that restrict and govern the terms of affiliate transactions, such as extensions of credit to, or asset purchases from CSC or its other subsidiaries by CSB. In addition, CSB is required to provide notice to and may be required to obtain approval of the Federal Reserve and the TDSML to declare dividends to CSC. The federal banking agencies have broad powers to enforce these regulations, including the power to terminate deposit insurance, impose substantial fines and other civil and criminal penalties, and appoint a conservator or receiver. Under the prompt corrective action provisions of the Federal Deposit Insurance Act, CSB could be subject to restrictive actions if it were to fall within one of the lowest three of five capital categories. CSC and CSB are required to maintain minimum capital levels as specified in federal banking regulations. Failure to meet the minimum levels could result in certain mandatory, and possibly additional discretionary actions by the regulators that, if undertaken, could have a direct material effect on CSC and CSB. At December 31, 2021, both CSC and CSB met all of their respective capital requirements. The regulatory capital and ratios for CSC (consolidated) and CSB are as follows: Actual Minimum to be Minimum Capital December 31, 2021 Amount Ratio Amount Ratio Amount Ratio (1) CSC Common Equity Tier 1 Risk-Based Capital $ 27,967 19.7 % N/A $ 6,389 4.5 % Tier 1 Risk-Based Capital 37,921 26.7 % N/A 8,518 6.0 % Total Risk-Based Capital 37,950 26.7 % N/A 11,358 8.0 % Tier 1 Leverage 37,921 6.2 % N/A 24,346 4.0 % Supplementary Leverage Ratio 37,921 6.2 % N/A 18,434 3.0 % CSB Common Equity Tier 1 Risk-Based Capital $ 28,014 26.8 % $ 6,787 6.5 % $ 4,698 4.5 % Tier 1 Risk-Based Capital 28,014 26.8 % 8,353 8.0 % 6,265 6.0 % Total Risk-Based Capital 28,033 26.8 % 10,441 10.0 % 8,353 8.0 % Tier 1 Leverage 28,014 7.1 % 19,790 5.0 % 15,832 4.0 % Supplementary Leverage Ratio 28,014 7.0 % N/A 12,016 3.0 % December 31, 2020 CSC Common Equity Tier 1 Risk-Based Capital $ 22,916 18.5 % N/A $ 5,575 4.5 % Tier 1 Risk-Based Capital 30,649 24.7 % N/A 7,433 6.0 % Total Risk-Based Capital 30,688 24.8 % N/A 9,910 8.0 % Tier 1 Leverage 30,649 6.3 % N/A 19,396 4.0 % Supplementary Leverage Ratio 30,649 6.2 % N/A 14,744 3.0 % CSB Common Equity Tier 1 Risk-Based Capital $ 17,526 19.2 % $ 5,919 6.5 % $ 4,098 4.5 % Tier 1 Risk-Based Capital 17,526 19.2 % 7,285 8.0 % 5,464 6.0 % Total Risk-Based Capital 17,558 19.3 % 9,106 10.0 % 7,285 8.0 % Tier 1 Leverage 17,526 5.5 % 15,979 5.0 % 12,783 4.0 % Supplementary Leverage Ratio 17,526 5.4 % N/A 9,763 3.0 % (1) Under the Basel III capital rule, CSC and CSB are also required to maintain a capital conservation buffer and a countercyclical capital buffer above the regulatory minimum risk-based capital ratios. The capital conservation buffer and countercyclical buffer were 2.5% and zero percent, respectively, for both periods presented. If either buffer falls below the minimum requirement, the Company would be subject to limits on capital distributions and discretionary bonus payments to executive officers. At December 31, 2021, the minimum capital requirement plus capital conservation buffer and countercyclical capital buffer for Common Equity Tier 1 Risk-Based Capital, Tier 1 Risk-Based Capital, and Total Risk-Based Capital ratios were 7.0%, 8.5%, and 10.5%, respectively. N/A Not applicable. Based on its regulatory capital ratios at December 31, 2021, CSB is considered well capitalized (the highest category) under its respective regulatory capital rules. There are no conditions or events since December 31, 2021 that management believes have changed CSB’s capital category. CSC’s other banking subsidiaries are Charles Schwab Premier Bank, SSB (CSPB) and Charles Schwab Trust Bank (Trust Bank). CSPB is Texas-chartered state savings bank that provides banking and custody services, and Trust Bank is a Nevada-state chartered savings bank that provides trust and custody services. At December 31, 2021 and 2020, the balance sheets of CSPB and Trust Bank primarily consisted of investment securities. At December 31, 2021 and 2020, CSPB held total assets of $39.2 billion and $31.6 billion, respectively, and Trust Bank held total assets of $15.9 billion and $12.5 billion, respectively. Based on their regulatory capital ratios, at December 31, 2021 and 2020, CSPB and Trust Bank are considered well capitalized under their respective regulatory capital rules. As securities broker-dealers, CS&Co, TDAC, and TD Ameritrade, Inc. are subject to the SEC’s Uniform Net Capital Rule. CS&Co and TDAC each compute net capital under the alternative method permitted by the Uniform Net Capital Rule, which requires the maintenance of minimum net capital, as defined, of the greater of 2% of aggregate debit balances arising from client transactions or a minimum dollar requirement, which is based on the type of business conducted by the broker-dealer. TD Ameritrade, Inc. is required to maintain minimum net capital of the greater of 2% of aggregate debit balances arising from client transactions or a minimum dollar requirement. Under the alternative method, a broker-dealer may not repay subordinated borrowings, pay cash dividends, or make any unsecured advances or loans if such payment would result in a net capital amount of less than 5% of aggregate debit balances or less than 120% of its minimum dollar requirement. Net capital and net capital requirements for CS&Co, TDAC, and TD Ameritrade, Inc., are as follows: December 31, 2021 2020 CS&Co Net capital $ 5,231 $ 3,117 Minimum dollar requirement (1) 0.250 1.000 2% of aggregate debit balances 941 616 Net capital in excess of required net capital $ 4,290 $ 2,501 TDAC Net capital $ 5,337 $ 4,040 Minimum dollar requirement 1.500 1.500 2% of aggregate debit balances 1,007 748 Net capital in excess of required net capital $ 4,330 $ 3,292 TD Ameritrade, Inc. Net capital $ 711 $ 350 Minimum dollar requirement 0.250 0.250 2% of aggregate debit balances — — Net capital in excess of required net capital $ 711 $ 350 (1) During 2021, CS&Co transferred its futures business to Charles Schwab Futures and Forex LLC, a wholly-owned subsidiary of CSC. This transfer was accounted for as a common control transaction and did not have an impact on the consolidated financial statements. CS&Co subsequently deregistered prior to December 31, 2021 as an FCM with the CFTC, and, therefore, is no longer subject to net capital requirements under CFTC Regulation 1.17 under the Commodity Exchange Act. Pursuant to the SEC’s Customer Protection Rule and other applicable regulations, Schwab had cash and investments segregated for the exclusive benefit of clients at December 31, 2021. The SEC’s Customer Protection Rule requires broker-dealers to segregate client fully-paid securities and cash balances not collateralizing margin positions and not swept to money market funds or bank deposit accounts. Amounts included in cash and investments segregated and on deposit for regulatory purposes represent actual balances on deposit, whereas cash and investments required to be segregated and on deposit for regulatory purposes at December 31, 2021 for CS&Co totaled $38.4 billion and for TDAC totaled $15.9 billion. As of January 4, 2022, CS&Co had deposited $1.5 billion of cash and qualified securities into its segregated reserve accounts. As of January 3, 2022, TDAC had deposited $406 million of cash and qualified securities from its segregated reserve accounts. Cash and investments required to be segregated and on deposit for regulatory purposes at December 31, 2020 for CS&Co totaled $39.2 billion and for TDAC totaled $14.5 billion. Cash and cash equivalents included in cash and investments segregated and on deposit for regulatory purposes are presented as part of Schwab’s cash balances in the consolidated statements of cash flows. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | Segment InformationSchwab’s two reportable segments are Investor Services and Advisor Services. Schwab structures the operating segments according to its clients and the services provided to those clients. The Investor Services segment provides retail brokerage, investment advisory, and banking and trust services to individual investors, and retirement plan services, as well as other corporate brokerage services, to businesses and their employees. The Advisor Services segment provides custodial, trading, banking and trust, and support services, as well as retirement business services, to independent RIAs, independent retirement advisors, and recordkeepers. Revenues and expenses are attributed to the two segments based on which segment services the client. The Company integrated its business and asset acquisitions during 2020 into its two existing reportable segments. Revenues and expenses from our acquisition of USAA-IMCO are allocated to Investor Services only; revenues and expenses from TD Ameritrade and our other 2020 acquisitions are attributed to Investor Services and Advisor Services based on which segment services the client. See Note 3 for more information regarding business acquisitions. The accounting policies of the segments are the same as those described in Note 2. For the computation of its segment information, Schwab utilizes an activity-based costing model to allocate traditional income statement line item expenses (e.g., compensation and benefits, depreciation and amortization, and professional services) to the business activities driving segment expenses (e.g., client service, opening new accounts, or business development) and a funds transfer pricing methodology to allocate certain revenues. Management evaluates the performance of the segments on a pre-tax basis. Segment assets and liabilities are not used for evaluating segment performance or in deciding how to allocate resources to segments. There are no revenues from transactions between the segments. Financial information for the segments is presented in the following table: Investor Services Advisor Services Total Year Ended December 31, 2021 2020 2019 2021 2020 2019 2021 2020 2019 Net Revenues Net interest revenue $ 6,052 $ 4,391 $ 4,685 $ 1,978 $ 1,722 $ 1,831 $ 8,030 $ 6,113 $ 6,516 Asset management and administration fees 3,130 2,544 2,289 1,144 931 922 4,274 3,475 3,211 Trading revenue 3,753 1,156 503 399 260 249 4,152 1,416 752 Bank deposit account fees 964 255 — 351 100 — 1,315 355 — Other 562 262 146 187 70 96 749 332 242 Total net revenues 14,461 8,608 7,623 4,059 3,083 3,098 18,520 11,691 10,721 Expenses Excluding Interest 8,289 5,529 4,284 2,518 1,862 1,589 10,807 7,391 5,873 Income before taxes on income $ 6,172 $ 3,079 $ 3,339 $ 1,541 $ 1,221 $ 1,509 $ 7,713 $ 4,300 $ 4,848 Capital expenditures $ 771 $ 535 $ 507 $ 270 $ 206 $ 246 $ 1,041 $ 741 $ 753 Depreciation and amortization $ 399 $ 288 $ 216 $ 150 $ 126 $ 106 $ 549 $ 414 $ 322 Amortization of acquired intangible assets $ 499 $ 149 $ 26 $ 116 $ 41 $ 1 $ 615 $ 190 $ 27 |
Earnings Per Common Share
Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share EPS is computed using the two-class method. Preferred stock dividends, and undistributed earnings and dividends allocated to participating securities are subtracted from net income in determining net income available to common stockholders. Basic EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted EPS is calculated similar to basic EPS except that the numerator and denominator are adjusted as necessary for any effects of dilutive potential common shares, which include, if dilutive, outstanding stock options and non-vested restricted stock units. For the years ended December 31, 2021 and 2020, the Company had voting and nonvoting common stock outstanding. Since the rights of the voting and nonvoting common stock are identical, except with respect to voting, the net income of the Company has been allocated on a proportionate basis to the two classes. Diluted earnings per share is calculated using the treasury stock method for outstanding stock options and non-vested restricted stock units and the if-converted method for nonvoting common stock. The if-converted method assumes conversion of all nonvoting common stock to common stock. EPS under the basic and diluted computations for both common stock and nonvoting common stock are as follows: Year Ended December 31, 2021 2020 2019 Common Stock Nonvoting Common Stock (1) Common Stock Nonvoting Common Stock (1) Common Stock Nonvoting Common Stock (1) Basic earnings per share: Numerator Net income $ 5,610 $ 245 $ 3,255 $ 44 $ 3,704 N/A Preferred stock dividends and other (2) (474) (21) (253) (3) (178) N/A Net income available to common stockholders $ 5,136 $ 224 $ 3,002 $ 41 $ 3,526 N/A Denominator Weighted-average common shares outstanding — 1,808 79 1,410 19 1,311 N/A Basic earnings per share $ 2.84 $ 2.84 $ 2.13 $ 2.13 $ 2.69 N/A Diluted earnings per share: Numerator Net income available to common stockholders $ 5,136 $ 224 $ 3,002 $ 41 $ 3,526 N/A Reallocation of net income available to 224 — 41 — N/A N/A Allocation of net income available to common $ 5,360 $ 224 $ 3,043 $ 41 $ 3,526 N/A Denominator Weighted-average common shares outstanding — 1,808 79 1,410 19 1,311 N/A Conversion of nonvoting shares to voting shares 79 — 19 — N/A N/A Common stock equivalent shares related to 10 — 6 — 9 N/A Weighted-average common shares outstanding — diluted (3) 1,897 79 1,435 19 1,320 N/A Diluted earnings per share $ 2.83 $ 2.83 $ 2.12 $ 2.12 $ 2.67 N/A (1) Nonvoting common stock was issued in conjunction with the October 6, 2020 acquisition of TD Ameritrade. As such, nonvoting common stock is not applicable for the basic and diluted EPS computations in 2019. (2) Includes preferred stock dividends and undistributed earnings and dividends allocated to non-vested restricted stock units. (3) Antidilutive stock options and restricted stock units excluded from the calculation of diluted EPS totaled 16 million, 22 million, and 21 million in 2021, 2020, and 2019 respectively. N/A Not applicable. |
The Charles Schwab Corporation
The Charles Schwab Corporation - Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Disclosure [Abstract] | |
The Charles Schwab Corporation - Parent Company Only Financial Statements | The Charles Schwab Corporation – Parent Company Only Financial Statements Condensed Statements of Income Year Ended December 31, 2021 2020 2019 Interest revenue $ 11 $ 38 $ 119 Interest expense (355) (273) (248) Net interest expense (344) (235) (129) Trading revenue — 1 — Other revenue (2) (1) (1) Expenses Excluding Interest: Professional services (17) (68) (24) Other expenses excluding interest (125) (85) (83) Loss before income tax benefit and equity in net income of subsidiaries (488) (388) (237) Income tax benefit/(expense) 32 45 (9) Loss before equity in net income of subsidiaries (456) (343) (246) Equity in net income of subsidiaries: Equity in undistributed net income/(distributions in excess of net income) of subsidiaries 3,361 2,476 (1,198) Dividends from bank subsidiaries — — 4,915 Dividends from non-bank subsidiaries 2,950 1,166 233 Net Income 5,855 3,299 3,704 Preferred stock dividends and other (1) 495 256 178 Net Income Available to Common Stockholders $ 5,360 $ 3,043 $ 3,526 (1) Includes preferred stock dividends and undistributed earnings and dividends allocated to non-vested restricted stock units. Condensed Balance Sheets December 31, 2021 2020 Assets Cash and cash equivalents $ 6,839 $ 4,654 Receivables from subsidiaries 1,288 1,260 Available for sale securities 4,218 4,982 Investment in non-bank subsidiaries 34,377 29,550 Investment in bank subsidiaries 30,720 25,548 Other assets 357 371 Total assets $ 77,799 $ 66,365 Liabilities and Stockholders’ Equity Accrued expenses and other liabilities $ 618 $ 458 Payables to subsidiaries 80 34 Short-term borrowings 3,005 — Long-term debt 17,835 9,813 Total liabilities 21,538 10,305 Stockholders’ equity 56,261 56,060 Total liabilities and stockholders’ equity $ 77,799 $ 66,365 Condensed Statements of Cash Flows Year Ended December 31, 2021 2020 2019 Cash Flows from Operating Activities Net income $ 5,855 $ 3,299 $ 3,704 Adjustments to reconcile net income to net cash provided by (used for) operating activities: Dividends in excess of (equity in undistributed) earnings of subsidiaries (3,361) (2,476) 1,198 Other 21 41 9 Net change in: Other assets 76 (65) 57 Accrued expenses and other liabilities 112 34 34 Net cash provided by (used for) operating activities 2,703 833 5,002 Cash Flows from Investing Activities Due from (to) subsidiaries — net 211 46 (122) Increase in investments in subsidiaries (10,926) (2,172) (1,783) Repayments (advances) of subordinated loan to CS&Co — — 185 Purchases of available for sale securities (8,002) (5,397) (1,141) Proceeds from sales of available for sale securities 2 2 181 Principal payments on available for sale securities 8,754 2,395 994 Net cash provided by (used for) investing activities (9,961) (5,126) (1,686) Cash Flows from Financing Activities Issuance of long-term debt 7,036 3,070 593 Repayment of long-term debt (1,200) (700) — Issuance of commercial paper 8,253 1,234 1,400 Repayments of commercial paper (5,250) (1,234) (1,400) Repurchases of common stock — — (2,220) Net proceeds from preferred stock offerings 2,806 4,940 — Redemption of preferred stock (600) — — Dividends paid (1,822) (1,280) (1,060) Proceeds from stock options exercised and other 220 79 118 Other financing activities — (1) — Net cash provided by (used for) financing activities 9,443 6,108 (2,569) Increase (Decrease) in Cash and Cash Equivalents 2,185 1,815 747 Cash and Cash Equivalents at Beginning of Year 4,654 2,839 2,092 Cash and Cash Equivalents at End of Year $ 6,839 $ 4,654 $ 2,839 Supplemental Cash Flow Information Non-Cash Investing and Financing Activity Exchange of TDA Holding-issued senior notes for CSC-issued senior notes $ 1,987 $ — $ — |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Accounting | The accompanying consolidated financial statements include CSC and its subsidiaries. Intercompany balances and transactions have been eliminated. These consolidated financial statements have been prepared in conformity with GAAP, which require management to make certain estimates and assumptions that affect the reported amounts in the accompanying financial statements and in the related disclosures. These estimates are based on information available as of the date of the consolidated financial statements. While management makes its best judgment, actual amounts or results could differ from those estimates. Certain estimates relate to taxes on income, legal and regulatory reserves, and fair values of assets acquired and liabilities assumed, as well as goodwill recognized, in business combinations. Effective October 6, 2020, the Company completed its acquisition of TDA Holding and its consolidated subsidiaries (collectively referred to as “TD Ameritrade” or “TDA”). Our consolidated financial statements include the results of operations and financial condition of TD Ameritrade beginning on October 6, 2020. See Note 3 for additional information on our acquisition of TD Ameritrade. |
Revenue recognition | Revenue recognition Net interest revenue Net interest revenue is not within the scope of Accounting Standards Codification (ASC) 606 Revenue From Contracts With Customers (ASC 606), because it is generated from financial instruments covered by various other areas of GAAP. Net interest revenue is the difference between interest generated on interest earning assets and interest paid on funding sources. Our primary interest earning assets include cash and cash equivalents; segregated cash and investments; margin loans; investment securities; and bank loans. Fees earned and incurred on securities borrowing and lending activities, which are conducted by the Company’s broker-dealer subsidiaries on assets held in client brokerage accounts, are also included in interest revenue and expense. Asset management and administration fees The majority of asset management and administration fees are generated through our proprietary and third-party mutual fund and ETF offerings, as well as fee-based advisory solutions. Mutual fund and ETF service fees are charged for investment management, shareholder, and administration services provided to Schwab Funds ® and Schwab ETFs ™ , as well as recordkeeping, shareholder, and administration services provided to third-party funds. Advice solutions fees are charged for brokerage and asset management services provided to advice solutions clients. Both mutual fund and ETF service fees and advice solutions fees are earned and recognized over time. Fees are generally based on a percentage of the daily value of assets under management and are collected on a monthly or quarterly basis. Trading revenue Trading revenue is primarily generated through commissions earned for executing trades for clients in individual equities, options, fixed income securities, and certain third-party mutual funds and ETFs, as well as order flow revenue. Commissions revenue is earned when the trades are executed and collected when the trades are settled. Order flow revenue is comprised of rebate payments received from execution venues to which our broker-dealer subsidiaries send equity and option orders. Order flow revenue is recognized when the trades are executed and is collected on a monthly or quarterly basis. Bank deposit account fees Bank deposit account fees consist of revenues resulting from sweep programs offered to certain clients whereby uninvested client cash is swept off-balance sheet to FDIC-insured (up to specified limits) accounts at the TD Depository Institutions and other third-party depository institutions. The Company provides marketing, recordkeeping, and support services related to these sweep programs to the TD Depository Institutions and other third-party depository institutions in exchange for bank deposit account fees. These revenues are based on floating and fixed yields as elected by the Company subject to certain requirements, less interest paid to clients and other applicable fees. Bank deposit account fees are earned and recognized over time and collected on a monthly basis. Other revenue Other revenue includes exchange processing fees, certain service fees, software fees, and non-recurring gains. Generally, the most significant portion of other revenue is exchange processing fees, which are comprised of fees the Company’s broker-dealer subsidiaries charge clients to offset the exchange processing fees imposed on us by third-parties. Exchange processing fees are earned and collected when the trade is executed and are recognized gross of amounts remitted to the third-parties, which are included in other expenses. |
Cash and cash equivalents | Cash and cash equivalents Schwab considers all highly liquid investments that mature in three months or less from the time of acquisition and that are not segregated and on deposit for regulatory purposes to be cash and cash equivalents. Cash and cash equivalents include money market funds, deposits with banks, certificates of deposit, commercial paper, and U.S. Treasury securities. Cash and cash equivalents also include balances that our banking subsidiaries maintain at the Federal Reserve. |
Credit loss, financial instrument | Cash and investments segregated and on deposit for regulatory purposes Pursuant to Rule 15c3-3 of the Securities Exchange Act of 1934 and other applicable regulations, Schwab maintains cash or qualified securities in segregated reserve accounts for the exclusive benefit of clients. Cash and investments segregated and on deposit for regulatory purposes include resale agreements, which are collateralized by U.S. Government and agency securities. Resale agreements are accounted for as collateralized financing transactions that are recorded at their contractual amounts plus accrued interest. Under these resale agreements, the Company obtains collateral with a market value equal to or in excess of the principal amount loaned and the interest accrued. Collateral is valued daily by the Company, with additional collateral obtained to ensure full collateralization. Cash and investments segregated also include certificates of deposit and U.S. Government securities. Certificates of deposit and U.S. Government securities are recorded at fair value and unrealized gains and losses are included in earnings. Schwab applies the practical expedient based on collateral maintenance provisions under ASC 326 Financial Instruments – Credit Losses (ASC 326), in estimating an allowance for credit losses for resale agreements. This practical expedient can be applied for financial assets with collateral maintenance provisions requiring the borrower to continually adjust the amount of the collateral securing the financial assets as a result of fair value changes in the collateral. In accordance with the practical expedient, when the Company reasonably expects that borrowers (or counterparties, as applicable) will replenish the collateral as required, there is no expectation of credit losses when the collateral’s fair value is greater than the amortized cost of the financial asset. If the amortized cost exceeds the fair value of collateral, then credit losses are estimated only on the unsecured portion. Receivables from brokerage clients Receivables from brokerage clients include margin loans to securities brokerage clients and other trading receivables from clients. Margin loans are collateralized by client securities and are carried at the amount receivable, net of an allowance for credit losses. Collateral is required to be maintained at specified minimum levels at all times. The Company monitors margin levels and requires clients to provide additional collateral, or reduce margin positions, to meet minimum collateral requirements if the fair value of the collateral changes. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for margin loans. An allowance for credit losses on unsecured or partially secured receivables from brokerage clients is estimated based on the aging of those receivables. Unsecured balances due to confirmed fraud are reserved immediately. The Company’s policy is to charge off any delinquent margin loans, including the accrued interest on such loans, no later than at 90 days past due. Accrued interest charged off is recognized as credit loss expense and is included in other expenses in the consolidated statements of income. Clients with margin loans have agreed to allow Schwab to pledge collateralized securities in accordance with federal regulations. The collateral is not reflected in the consolidated financial statements. Other securities owned at fair value Other securities owned are included in other assets on the consolidated balance sheets and recorded at fair value based on quoted market prices or other observable market data. Unrealized gains and losses are included in earnings. Client-held fractional shares are included in other securities owned for client positions for which off-balance sheet treatment pursuant to ASC 940 Financial Services – Brokers and Dealers is not applicable and the derecognition criteria in ASC 860 Transfers and Servicing, are not met. These client-held fractional shares have related repurchase liabilities that are accounted for at fair value with unrealized gains and losses included in earnings. See Fair values of assets and liabilities below in this Note 2 for further information on these repurchase liabilities. AFS investment securities AFS investment securities are recorded at fair value and unrealized gains and losses, other than losses related to credit factors, are reported, net of taxes, in AOCI included in stockholders’ equity. Realized gains and losses from sales of AFS investment securities are determined using the specific-identification method and are included in other revenue. Interest income is recognized using the effective interest method based on the contractual terms of the security. Where applicable, prepayments are accounted for as they occur (i.e., prepayments are not estimated). An AFS investment security is impaired if the fair value of the security is less than its amortized cost basis. Management evaluates AFS investment securities with unrealized losses to determine whether the security impairment has resulted from a credit loss or other factors. This evaluation is performed quarterly on an individual security basis. The evaluation of whether credit loss exists is inherently judgmental. This evaluation considers multiple factors including: the financial condition of the issuer; the payment structure of the security; external credit ratings; our internal credit ratings; the security’s market implied credit spread; for asset-backed securities, the amount of credit support provided by the structure of the security to absorb credit losses on the underlying collateral; recent events specific to the issuer and the issuer’s industry; and whether all scheduled principal and interest payments have been received. If management determines that the impairment of an AFS investment security (or a portion of the impairment) is related to credit losses, an allowance for credit losses is recorded for that security through a charge to earnings. The allowance for credit losses is measured as the difference between the amortized cost and the present value of expected cash flows and is limited to the difference between amortized cost and the fair value of the security. The Company estimates credit losses on a discounted cash flow basis using the security’s effective interest rate. Changes in the allowance for credit losses are recorded through earnings in the period of the change. If it is determined that the Company intends to sell the impaired security or if it is more likely than not that the Company will be required to sell the security before any anticipated recovery of the amortized cost basis, any allowance for credit losses of that security will be written off and the amortized cost basis of the security will be written down to fair value with any incremental impairment recorded through earnings. The Company excludes accrued interest from the fair value and the amortized cost basis of the AFS investment securities for the purposes of identifying and measuring impairment of the securities. AFS investment securities are placed on nonaccrual status on a timely basis and any accrued interest receivable is reversed through interest income. Securities borrowed and securities loaned Securities borrowed transactions require Schwab to deliver cash to the lender in exchange for securities; the receivables from these transactions are included in other assets on the consolidated balance sheets. For securities loaned, Schwab receives collateral in the form of cash in an amount equal to or greater than the market value of securities loaned; the payables from these transactions are included in accrued expenses and other liabilities on the consolidated balance sheets. The market value of securities borrowed and loaned is monitored and collateral is adjusted to ensure full collateralization. Fees received or paid are recorded in interest revenue or interest expense. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for securities borrowed receivables. Bank loans and related allowance for loan losses Bank loans held for investments are recorded at amortized cost, which is comprised of the contractual principal amounts adjusted for unamortized direct origination costs or net purchase discounts or premiums. Direct origination costs and premiums and discounts are recognized in interest revenue using the effective interest method over the contractual life of the loan and are adjusted for actual prepayments. Additionally, management estimates an allowance for credit losses, which is deducted from the amortized cost basis of loans to arrive at the amount expected to be collected. The bank loan portfolio includes three portfolio segments: residential real estate, PALs, and other loans. We use these segments when developing and documenting our methodology for determining the allowance for credit losses. The residential real estate portfolio segment is divided into two classes of financing receivables for purposes of monitoring and assessing credit risk: First Mortgages and HELOCs. Schwab records an allowance for credit losses through a charge to earnings based on our estimate of current expected credit losses for the existing portfolio. We review the allowance for credit losses quarterly, taking into consideration current economic conditions, reasonable and supportable forecasts, the composition of the existing loan portfolio, past loss experience, and any other risks inherent in the portfolio to ensure that the allowance for credit losses is maintained at an appropriate level. PALs are collateralized by marketable securities with liquid markets. Credit lines are over-collateralized and borrowers are required to maintain collateral at specified levels at all times. The required collateral levels are determined based on the type of security pledged. Additionally, collateral market value is monitored on a daily basis and a borrower’s credit line may be reduced or collateral may be liquidated if the collateral is in danger of falling below specified levels. As such, the credit loss inherent within this portfolio is limited. Schwab applies the practical expedient based on collateral maintenance provisions in estimating an allowance for credit losses for PALs. The methodology to establish an allowance for credit losses for the residential real estate portfolio segment utilizes statistical models that estimate prepayments, defaults, and expected losses for this portfolio segment based on predicted behavior of individual loans within the segment. The methodology also evaluates concentrations in the classes of financing receivables, including loan products within those classes, year of origination, and geographical distribution of collateral. Expected credit losses are forecast using a loan-level simulation of the delinquency status of the loans over the term of the loans. The simulation starts with the current relevant risk indicators, including the current delinquent status of each loan, the estimated current LTV ratio of each loan, the term and structure of each loan, borrower FICO scores, and current key interest rates including U.S. Treasury, SOFR, and LIBOR rates. The more significant variables in the simulation include delinquency roll rates, loss severity, housing prices, interest rates, and the unemployment rate. Delinquency roll rates (i.e., the rates at which loans transition through delinquency stages and ultimately result in a loss) are estimated from our historical loss experience adjusted for current trends and market information, which includes current and forecasted conditions. Loss severity (i.e., loss given default) estimates are based on our historical loss experience and market trends, both current and forecasted. The loss severity estimate used in the allowance for credit loss methodology for HELOCs is higher than that used in the methodology for First Mortgages. Housing price trends are derived from historical home price indices and econometric forecasts of future home values. Factors affecting the home price index include housing inventory, unemployment, interest rates, and inflation expectations. Interest rate projections are based on the current term structure of interest rates and historical volatilities to project various possible future interest rate paths. The unemployment rate forecast is typically based on the recent consensus of regularly published economic surveys. Linear interpolation is applied to revert to long-term trends after the reasonable and supportable forecast period. The methodology described above results in loss factors that are applied to the amortized cost basis of loans, exclusive of accrued interest receivable, to determine the allowance for credit losses for First Mortgages and HELOCs. Management also estimates a liability for expected credit losses on the Company’s commitments to extend credit related to unused HELOCs and commitments to purchase first mortgages. See Note 15 for additional information on these commitments. The liability is calculated by applying the loss factors described above to the commitments expected to be funded and is included in accrued expenses and other liabilities on the consolidated balance sheets. The liability for expected credit losses on these commitments and related activity were immaterial for all periods presented. Schwab considers loan modifications in which it makes an economic concession to a borrower experiencing financial difficulty to be troubled debt restructurings (TDRs). Nonaccrual, nonperforming and impaired loans First Mortgages, HELOCs, PALs, and other loans are placed on nonaccrual status upon becoming 90 days past due as to interest or principal (unless the loans are well-secured and in the process of collection), or when the full timely collection of interest or principal becomes uncertain, including loans to borrowers who have filed for bankruptcy. HELOC loans secured by a second lien are placed on non-accrual status if the associated first lien is 90 days or more delinquent, regardless of the payment status of the HELOC. When a loan is placed on nonaccrual status, the accrued and unpaid interest receivable is reversed and the loan is accounted for on the cash or cost recovery method until qualifying for return to accrual status. Generally, a nonaccrual loan may be returned to accrual status when all delinquent interest and principal is repaid and the borrower demonstrates a sustained period of performance, or when the loan is both well-secured and in the process of collection and collectability is no longer doubtful. Loans on nonaccrual status and other real estate owned are considered nonperforming assets. Loan charge-offs The Company charges off a loan in the period that it is deemed uncollectible and records a reduction in the allowance for credit losses and the loan balance. Our charge-off policy for First Mortgage and HELOC loans is to assess the value of the property when the loan has been delinquent for 180 days or has been discharged in bankruptcy proceedings, regardless of whether the property is in foreclosure, and charge-off the amount of the loan balance in excess of the estimated current value of the underlying property less estimated costs to sell. The Company’s policy for PALs is to charge off any delinquent loans no later than at 90 days past due. |
Equipment, office facilities, and property | Equipment, office facilities, and property Equipment, office facilities, and property are recorded at cost net of accumulated depreciation and amortization, except for land, which is recorded at cost. Equipment, office facilities, and property include certain capitalized costs of acquired or internally developed software. Costs for internally developed software are capitalized when the costs relate to development of approved projects for our internal needs that result in additional functionality. Costs related to preliminary project and post-project activities are expensed as incurred. Equipment, office facilities, and property (other than land) are depreciated on a straight-line basis over their estimated useful lives. Equipment, office facilities, and property are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Equipment, office facilities, and property acquired in a business combination are recognized at their estimated fair values as of the date of acquisition. The fair values of real property, personal property, construction in progress, and land acquired are estimated using a sales comparison and cost approach, including consideration of functional and economic obsolescence. The Company determined the weighted-average useful lives of the assets based on the current condition and expected future use of the assets as of the date of acquisition. |
Goodwill | Goodwill Goodwill is not amortized but is tested for impairment annually or whenever indications of impairment exist. Impairment exists when the carrying amount of a reporting unit exceeds its estimated fair value, resulting in an impairment charge for this excess, with the maximum charge limited to the carrying value of goodwill allocated to that reporting unit. Our annual impairment testing date is April 1 st . Schwab can elect to qualitatively assess goodwill for impairment if it is more likely than not that the fair value of a reporting unit exceeds its carrying value. A qualitative assessment considers macroeconomic and other industry-specific factors, such as trends in short-term and long-term interest rates and the ability to access capital, and Company specific factors such as market capitalization in excess of net assets, trends in revenue generating activities, and merger or acquisition activity. If the Company elects to bypass qualitatively assessing goodwill, or it is not more likely than not that the fair value of a reporting unit exceeds its carrying value, management estimates the fair values of each of the Company’s reporting units (defined as the Company’s businesses for which financial information is available and reviewed regularly by management) and compares it to their carrying values. The estimated fair values of the reporting units are established using an income approach based on a discounted cash flow model that includes significant assumptions about the future operating results and |
Intangible assets | Intangible assets Finite-lived intangible assets are amortized over their useful lives in a manner that best reflects their economic benefit. All intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Intangible assets acquired in a business combination are recognized at their estimated fair values as of the date of acquisition. The fair values of the intangible assets acquired in the TD Ameritrade and USAA-IMCO acquisitions were determined using the following valuation methods: Acquired intangible asset Acquisition Method Client relationships TD Ameritrade, USAA-IMCO Multi-period excess earnings Trade names TD Ameritrade Relief from royalty Royalty-free license USAA-IMCO Relief from royalty Brokerage referral agreement USAA-IMCO With-and-without Existing technology TD Ameritrade Cost The multi-period excess earnings method starts with a forecast of all of the expected future net cash flows associated with the asset and the relief from royalty method starts with a forecast of the royalties saved by the Company because it owns the asset. The with-and-without method quantifies the difference between forecasted cash flows with the asset and without the asset. The forecasts are then adjusted to present value by applying an appropriate discount rate that reflects the risks associated with the cash flow streams. The cost approach uses replacement cost as an indicator of fair value. |
Low-Income Housing Tax Credit (LIHTC) Investments | Low-income housing tax credit (LIHTC) investments We account for investments in qualified affordable housing projects using the proportional amortization method if the applicable requirements are met. The proportional amortization method amortizes the cost of the investment over the period in which the investor expects to receive tax credits and other tax benefits, and the resulting amortization is recognized as a component of taxes on income. The carrying value of LIHTC investments is included in other assets on the consolidated balance sheets. Unfunded commitments related to LIHTC investments are included in accrued expenses and other liabilities on the consolidated balance sheets. |
Leases | Leases The Company primarily has operating leases for corporate offices, branch locations, and server equipment and determines if an arrangement is a lease at inception. Leases with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. The Company has also elected to not record leases acquired in a business combination on the balance sheet if the remaining term as of the acquisition date is 12 months or less. Right-of-use (ROU) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The lease liability may include payments that depend on a rate or index (such as the Consumer Price Index), measured using the rate or index at the commencement date. Payments that vary because of changes in facts or circumstances occurring after the commencement date are considered variable. These payments are not recognized as part of the lease liability and are expensed in the period incurred. Lease expense for operating lease payments is recognized on a straight-line basis over the lease term. The amortization of finance lease ROU assets and the interest expense on finance lease liabilities are recognized over the lease term. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. We have lease agreements with lease and non-lease components. For the majority of our leases (real estate leases), the Company has elected the practical expedient to account for the lease and non-lease components as a single lease component. We have not elected the practical expedient for equipment leases and account for lease and non-lease components separately for those classes of leases. |
Advertising and market development | Advertising and market development Advertising and market development activities include the cost to produce and distribute marketing campaigns as well as client incentives and discounts. Where it applies to these costs, the Company’s accounting policy is to expense when incurred. |
Income taxes | Income taxes Schwab provides for income taxes on all transactions that have been recognized in the consolidated financial statements. Accordingly, deferred tax assets are adjusted to reflect the tax rates at which future taxable amounts will likely be settled or realized. The effects of tax rate changes on future deferred tax assets and deferred tax liabilities, as well as other changes in income tax laws, are recorded in earnings in the period such changes are enacted. Uncertain tax positions are evaluated to determine whether they are more likely than not to be sustained upon examination. When tax positions are more likely than not to be sustained upon examination the difference between positions taken on tax return filings and estimated potential tax settlement outcomes are recognized in accrued expenses and other liabilities. If a position is not more likely than not to be sustained, then none of the tax benefit is recognized in Schwab’s financial statements. Accrued interest and penalties relating to unrecognized tax benefits are recorded in taxes on income. Schwab records amounts within AOCI net of taxes. Income tax effects are released from AOCI using the specific-identification method. |
Share-based compensation | Share-based compensation Share-based compensation includes employee and board of director stock options and restricted stock units. Schwab measures compensation expense for these share-based payment arrangements based on their estimated fair values as of the grant date. The fair value of the share-based award is recognized over the service period as share-based compensation. Share-based compensation expense is based on options or units expected to vest and therefore is reduced for estimated forfeitures. Per the Company’s accounting policy election, forfeitures are estimated at the time of grant and reviewed annually based on the Company’s historical forfeiture experience. Share-based compensation expense is adjusted in subsequent periods if actual forfeitures differ from estimated forfeitures. The excess tax benefits or deficiencies from the exercise of stock options and the vesting of restricted stock units are recorded in taxes on income. |
Fair values of assets and liabilities | Fair values of assets and liabilities Fair value is defined as the price that would be received to sell an asset or the price paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurement accounting guidance describes the fair value hierarchy for disclosing assets and liabilities measured at fair value based on the inputs used to value them. The fair value hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs. Observable inputs are based on market pricing data obtained from third-party sources independent of the Company. A quoted price in an active market provides the most reliable evidence of fair value and is generally used to measure fair value whenever available. Unobservable inputs reflect management’s judgment about the assumptions market participants would use in pricing the asset or liability. Where inputs used to measure fair value of an asset or liability are from different levels of the hierarchy, the asset or liability is categorized based on the lowest level input that is significant to the fair value measurement in its entirety. Assessing the significance of a particular input requires judgment. The fair value hierarchy includes three levels based on the objectivity of the inputs as follows: • Level 1 inputs are quoted prices in active markets as of the measurement date for identical assets or liabilities that the Company has the ability to access. • Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates, benchmark yields, issuer spreads, new issue data, and collateral performance. • Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. Assets and liabilities measured at fair value on a recurring basis Schwab’s assets and liabilities measured at fair value on a recurring basis include: certain cash equivalents, certain investments segregated and on deposit for regulatory purposes, AFS securities, and certain other assets and accrued expenses and other liabilities. The Company uses the market approach to determine the fair value of assets and liabilities. When available, the Company uses quoted prices in active markets to measure the fair value of assets and liabilities. Quoted prices for investments in exchange-traded securities represent end-of-day close prices published by exchanges. Quoted prices for money market funds and other mutual funds represent reported net asset values. When utilizing market data and bid-ask spread, the Company uses the price within the bid-ask spread that best represents fair value. When quoted prices in active markets do not exist, the Company uses prices obtained from independent third-party pricing services to measure the fair value of investment assets, and we generally obtain prices from three independent third-party pricing sources for such assets recorded at fair value. Our primary independent pricing service provides prices for our fixed income investments such as commercial paper; certificates of deposits; U.S. government and agency securities; state and municipal securities; corporate debt securities; asset-backed securities; foreign government agency securities; and non-agency commercial mortgage-backed securities. Such prices are based on observable trades, broker/dealer quotes, and discounted cash flows that incorporate observable information such as yields for similar types of securities (a benchmark interest rate plus observable spreads) and weighted-average maturity for the same or similar “to-be-issued” securities. We compare the prices obtained from the primary independent pricing service to the prices obtained from the additional independent pricing services to determine if the price obtained from the primary independent pricing service is reasonable. Schwab does not adjust the prices received from independent third-party pricing services unless such prices are inconsistent with the definition of fair value and result in material differences in the amounts recorded. Liabilities measured at fair value on a recurring basis include repurchase liabilities related to client-held fractional shares of equities, ETFs, and other securities. See Other securities owned at fair value above in this Note 2 for the treatment of client-held fractional shares. The Company has elected the fair value option pursuant to ASC 825 Financial Instruments for the repurchase liabilities to match the measurement and accounting of the related client-held fractional shares. The fair values of the repurchase liabilities are based on quoted market prices or other observable market data consistent with the related client-held fractional shares. Unrealized gains and losses on client-held fractional shares offset the unrealized gains and losses on the corresponding repurchase liabilities, resulting in no impact to the consolidated statements of income. The Company’s liabilities to repurchase client-held fractional shares do not have credit risk, and, as a result, the Company has not recognized any gains or losses in the consolidated statements of income or comprehensive income attributable to instrument-specific credit risk for these repurchase liabilities. The repurchase liabilities are included in accrued expenses and other liabilities on the consolidated balance sheet. |
New Accounting Standards | New Accounting Standards No new accounting standards that are material to the Company were adopted during the year ended December 31, 2021. There are currently no new accounting standards not yet adopted that are material to the Company. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Estimated Useful Lives | Estimated useful lives are as follows: All equipment types and furniture 3 to 10 years Buildings 40 years Building and land improvements 20 years Software 3 to 10 years (1) Leasehold improvements Lesser of useful life or lease term (1) Amortized over contractual term if less than three years. Equipment, office facilities, and property are detailed below: December 31, 2021 2020 Software $ 2,524 $ 2,314 Buildings 1,640 1,444 Information technology and telecommunications equipment 679 509 Leasehold improvements 462 455 Construction in progress 429 325 Land 208 208 Other 388 295 Total equipment, office facilities, and property 6,330 5,550 Accumulated depreciation and amortization (2,888) (2,667) Total equipment, office facilities, and property — net $ 3,442 $ 2,883 |
Business Acquisitions (Tables)
Business Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combinations [Abstract] | |
Schedule of Equity Interest Issued | The purchase price was calculated as follows: Fair value of consideration for TD Ameritrade outstanding common stock $ 21,664 Fair value of replaced TD Ameritrade equity awards attributable to pre-combination services (1) 94 Purchase price $ 21,758 (1) Share-based awards held by TD Ameritrade employees prior to the acquisition date were assumed by Schwab and converted into share-based awards with respect to CSC common stock, after giving effect to the exchange ratio of 1.0837. Such share-based awards are otherwise subject to the same terms and conditions as were applicable immediately before the merger, except for performance-based restricted stock units which were converted into time-based restricted stock units. The portion of the fair value of the share-based awards that relates to services performed by the employees prior to the acquisition date is included in the purchase price. |
Schedule of Purchase Price | The following table summarizes the purchase price, fair values of the assets acquired and liabilities assumed, and resulting goodwill as of the October 6, 2020 acquisition date. Purchase price $ 21,758 Fair value of assets acquired: Cash and cash equivalents 3,484 Cash and investments segregated and on deposit for regulatory purposes 14,236 Receivables from brokerage clients 28,009 Available for sale securities 1,779 Acquired intangible assets 8,880 Equipment, office facilities, and property 470 Other assets 3,088 Total assets acquired 59,946 Fair value of liabilities assumed: Payables to brokerage clients 37,599 Accrued expenses and other liabilities 6,975 Long-term debt 3,829 Total liabilities assumed 48,403 Fair value of net identifiable assets acquired 11,543 Goodwill 10,215 The following table summarizes the purchase price, fair values of the assets acquired and liabilities assumed, and resulting goodwill as of the May 26, 2020 acquisition date, adjusted for the post-closing adjustments described above. Purchase price $ 1,581 Fair value of assets acquired: Cash segregated and on deposit for regulatory purposes 4,392 Receivables from brokerage clients 80 Acquired intangible assets 1,109 Total assets acquired 5,581 Fair value of liabilities assumed: Payables to brokerage clients 4,472 Total liabilities assumed 4,472 Fair value of net identifiable assets acquired $ 1,109 Goodwill $ 472 |
Schedule Of Tangible Assets Acquired | The following table summarizes the major classes of tangible and intangible assets and their respective fair values and weighted-average useful lives: Fair Value Weighted-Average Useful Life (Years) Equipment, office facilities, and property Real property (1) $ 226 37 Personal property (2) 162 2 Construction in progress 49 N/A Land 33 N/A Total equipment, office facilities, and property $ 470 Acquired intangible assets Client relationships $ 8,700 20 Existing technology 165 2 Trade names 15 2 Total acquired intangible assets $ 8,880 (1) Consists primarily of buildings. (2) Consists primarily of equipment and leasehold improvements. N/A Not applicable. |
Schedule of Intangible Assets Acquired | The following table summarizes the major classes of tangible and intangible assets and their respective fair values and weighted-average useful lives: Fair Value Weighted-Average Useful Life (Years) Equipment, office facilities, and property Real property (1) $ 226 37 Personal property (2) 162 2 Construction in progress 49 N/A Land 33 N/A Total equipment, office facilities, and property $ 470 Acquired intangible assets Client relationships $ 8,700 20 Existing technology 165 2 Trade names 15 2 Total acquired intangible assets $ 8,880 (1) Consists primarily of buildings. (2) Consists primarily of equipment and leasehold improvements. N/A Not applicable. Fair Weighted-Average Useful Life (Years) Customer relationships $ 962 18 Brokerage referral agreement (1) 142 20 Royalty-free license 5 7 Total acquired intangible assets $ 1,109 (1) The brokerage referral agreement has an initial term of 5 years and is automatically renewable for one-year increments thereafter. Acquired intangible assets and goodwill are detailed below: December 31, 2021 December 31, 2020 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying Client relationships $ 10,089 $ (908) $ 9,181 $ 10,089 $ (386) $ 9,703 Technology 305 (197) 108 305 (112) 193 Trade names 116 (26) 90 113 (18) 95 Total acquired intangible assets $ 10,510 $ (1,131) $ 9,379 $ 10,507 $ (516) $ 9,991 |
Schedule of Pro Forma Information | The unaudited pro forma financial information is presented for informational purposes only, and is not necessarily indicative of future operations or results had the TD Ameritrade and USAA-IMCO acquisitions been completed as of January 1, 2019. Year Ended 2020 2019 Total net revenues $ 16,617 $ 16,897 Net income available to common stockholders 4,617 5,121 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Schwab's Revenue | Disaggregation of Schwab’s revenue by major source is as follows: Year Ended December 31, 2021 2020 2019 Net interest revenue Cash and cash equivalents $ 40 $ 120 $ 518 Cash and investments segregated 24 141 345 Receivables from brokerage clients 2,455 848 821 Available for sale securities 4,641 4,537 1,560 Held to maturity securities — — 3,591 Bank loans 620 545 584 Securities lending revenue 720 334 147 Other interest revenue 6 6 14 Interest revenue 8,506 6,531 7,580 Bank deposits (54) (93) (700) Payables to brokerage clients (9) (12) (79) Short-term borrowings (9) — — Long-term debt (384) (289) (258) Securities lending expense (24) (33) (38) Other interest expense 4 9 11 Interest expense (476) (418) (1,064) Net interest revenue 8,030 6,113 6,516 Asset management and administration fees Mutual funds, ETFs, and CTFs 1,961 1,770 1,747 Advice solutions 1,993 1,443 1,198 Other 320 262 266 Asset management and administration fees 4,274 3,475 3,211 Trading revenue Commissions 2,050 739 549 Order flow revenue 2,053 621 135 Principal transactions 49 56 68 Trading revenue 4,152 1,416 752 Bank deposit account fees 1,315 355 — Other 749 332 242 Total net revenues $ 18,520 $ 11,691 $ 10,721 |
Receivables from and Payables_2
Receivables from and Payables to Brokerage Clients (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Brokerage Receivables and Payables [Abstract] | |
Summary of Receivables from and Payables to Brokerage Clients | Receivables from and payables to brokerage clients are detailed below: December 31, 2021 2020 Receivables Margin loans $ 87,365 $ 60,865 Other brokerage receivables 3,200 3,575 Receivables from brokerage clients — net (1) $ 90,565 $ 64,440 Payables Interest-bearing payables $ 107,551 $ 84,642 Non-interest-bearing payables 18,120 19,559 Payables to brokerage clients $ 125,671 $ 104,201 (1) The allowance for credit losses for receivables from brokerage clients and related activity were immaterial for all periods presented. |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Securities Available for Sale | The amortized cost, gross unrealized gains and losses, and fair value of the Company’s AFS investment securities are as follows: December 31, 2021 Amortized Gross Unrealized Gross Unrealized Fair Available for sale securities U.S. agency mortgage-backed securities $ 335,803 $ 3,141 $ 4,589 $ 334,355 U.S. Treasury securities 21,394 13 125 21,282 Asset-backed securities (1) 17,547 79 80 17,546 Corporate debt securities (2) 12,310 143 109 12,344 U.S. state and municipal securities 1,611 81 5 1,687 Non-agency commercial mortgage-backed securities 1,170 20 — 1,190 Certificates of deposit 1,000 — 1 999 Foreign government agency securities 425 — — 425 Commercial paper 200 — — 200 Other 22 4 — 26 Total available for sale securities $ 391,482 $ 3,481 $ 4,909 $ 390,054 December 31, 2020 Available for sale securities U.S. agency mortgage-backed securities $ 283,911 $ 7,005 $ 563 $ 290,353 Asset-backed securities (1) 18,808 174 84 18,898 Corporate debt securities (2) 12,408 388 — 12,796 U.S. Treasury securities 10,631 25 — 10,656 U.S. state and municipal securities 1,544 153 — 1,697 Foreign government agency securities 1,411 2 — 1,413 Non-agency commercial mortgage-backed securities 1,213 52 — 1,265 Certificates of deposit 300 — — 300 Other 22 — — 22 Total available for sale securities $ 330,248 $ 7,799 $ 647 $ 337,400 (1) Approximately 58% and 51% of asset-backed securities held as of December 31, 2021 and 2020, respectively, were Federal Family Education Loan Program Asset-Backed Securities. Asset-backed securities collateralized by credit card receivables represented approximately 30% and 36% of the asset-backed securities held as of December 31, 2021 and 2020, respectively. (2) As of December 31, 2021 and 2020 approximately 31% and 46%, respectively of the total AFS in corporate debt securities were issued by institutions in the financial services industry. |
Securities with Unrealized Losses, Aggregated by Category and Period of Continuous Unrealized Loss | Securities with unrealized losses, aggregated by category and period of continuous unrealized loss, of AFS investment securities are as follows: Less than 12 months Total December 31, 2021 Fair Unrealized Fair Unrealized Fair Unrealized Available for sale securities U.S. agency mortgage-backed securities $ 186,955 $ 3,216 $ 38,007 $ 1,373 $ 224,962 $ 4,589 U.S. Treasury securities 16,658 125 21 — 16,679 125 Asset-backed securities 6,093 58 2,708 22 8,801 80 Corporate debt securities 4,713 99 197 10 4,910 109 Certificates of deposit 799 1 — — 799 1 U.S. state and municipal securities 191 4 5 1 196 5 Total $ 215,409 $ 3,503 $ 40,938 $ 1,406 $ 256,347 $ 4,909 December 31, 2020 Available for sale securities U.S. agency mortgage-backed securities $ 61,706 $ 551 $ 4,774 $ 12 $ 66,480 $ 563 Asset-backed securities 1,398 13 5,822 71 7,220 84 Total $ 63,104 $ 564 $ 10,596 $ 83 $ 73,700 $ 647 |
Securities with Unrealized Losses, Aggregated by Category and Period of Continuous Unrealized Loss | Securities with unrealized losses, aggregated by category and period of continuous unrealized loss, of AFS investment securities are as follows: Less than 12 months Total December 31, 2021 Fair Unrealized Fair Unrealized Fair Unrealized Available for sale securities U.S. agency mortgage-backed securities $ 186,955 $ 3,216 $ 38,007 $ 1,373 $ 224,962 $ 4,589 U.S. Treasury securities 16,658 125 21 — 16,679 125 Asset-backed securities 6,093 58 2,708 22 8,801 80 Corporate debt securities 4,713 99 197 10 4,910 109 Certificates of deposit 799 1 — — 799 1 U.S. state and municipal securities 191 4 5 1 196 5 Total $ 215,409 $ 3,503 $ 40,938 $ 1,406 $ 256,347 $ 4,909 December 31, 2020 Available for sale securities U.S. agency mortgage-backed securities $ 61,706 $ 551 $ 4,774 $ 12 $ 66,480 $ 563 Asset-backed securities 1,398 13 5,822 71 7,220 84 Total $ 63,104 $ 564 $ 10,596 $ 83 $ 73,700 $ 647 |
Maturities of Securities Available for Sale | The maturities of AFS investment securities are as follows: December 31, 2021 Within After 1 year through After 5 years through After Total U.S. agency mortgage-backed securities $ 3,483 $ 20,916 $ 71,705 $ 238,251 $ 334,355 U.S. Treasury securities 4,049 14,569 2,664 — 21,282 Asset-backed securities — 4,922 3,003 9,621 17,546 Corporate debt securities 1,634 6,443 4,267 — 12,344 U.S. state and municipal securities 23 150 1,010 504 1,687 Non-agency commercial mortgage-backed securities — — — 1,190 1,190 Certificates of deposit 300 699 — — 999 Foreign government agency securities 101 324 — — 425 Commercial paper 200 — — — 200 Other — — — 26 26 Total fair value $ 9,790 $ 48,023 $ 82,649 $ 249,592 $ 390,054 Total amortized cost $ 9,761 $ 47,336 $ 82,556 $ 251,829 $ 391,482 Weighted-average yield (1) 1.28 % 1.89 % 1.78 % 1.11 % 1.35 % (1) The weighted-average yield is computed using the amortized cost at December 31, 2021. |
Proceeds and Gross Realized Gains And Losses from Sales of Securities Available for Sale | Proceeds and gross realized gains and losses from sales of AFS investment securities are as follows: Year Ended December 31, 2021 2020 2019 Proceeds $ 13,306 $ 4,801 $ 24,495 Gross realized gains 40 5 16 Gross realized losses 36 1 10 |
Bank Loans and Related Allowa_2
Bank Loans and Related Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Composition of Bank Loans and Delinquency Analysis by Loan Segment | The composition of bank loans and delinquency analysis by portfolio segment and class of financing receivable is as follows: December 31, 2021 Current 30-59 days 60-89 days > 90 days past due and other (3) Total past due and other Total Allowance for credit Total bank – net Residential real estate: First Mortgages (1,2) $ 21,022 $ 41 $ 1 $ 26 $ 68 $ 21,090 $ 13 $ 21,077 HELOCs (1,2) 637 2 — 9 11 648 2 646 Total residential real estate 21,659 43 1 35 79 21,738 15 21,723 Pledged asset lines 12,698 3 8 — 11 12,709 — 12,709 Other 207 — — — — 207 3 204 Total bank loans $ 34,564 $ 46 $ 9 $ 35 $ 90 $ 34,654 $ 18 $ 34,636 December 31, 2020 Residential real estate: First Mortgages (1,2) $ 14,804 $ 27 $ 1 $ 72 $ 100 $ 14,904 $ 22 $ 14,882 HELOCs (1,2) 823 1 1 17 19 842 5 837 Total residential real estate 15,627 28 2 89 119 15,746 27 15,719 Pledged asset lines 7,901 10 5 — 15 7,916 — 7,916 Other 181 — — — — 181 3 178 Total bank loans $ 23,709 $ 38 $ 7 $ 89 $ 134 $ 23,843 $ 30 $ 23,813 (1) First Mortgages and HELOCs include unamortized premiums and discounts and direct origination costs of $91 million and $72 million at December 31, 2021 and 2020, respectively. (2) At December 31, 2021 and 2020, 46% and 45%, respectively, of the First Mortgage and HELOC portfolios were concentrated in California. These loans have performed in a manner consistent with the portfolio as a whole. (3) There were no loans accruing interest that were contractually 90 days or more past due at December 31, 2021 or 2020. |
Changes in Allowance for Credit Losses on Bank Loans | Changes in the allowance for credit losses on bank loans were as follows: December 31, 2021 December 31, 2020 December 31, 2019 First Mortgages HELOCs Total residential real estate Other Total First Mortgages HELOCs Total residential real estate Other Total First Mortgages HELOCs Total residential real estate Other Total Balance at beginning of year $ 22 $ 5 $ 27 $ 3 $ 30 $ 11 $ 4 $ 15 $ 3 $ 18 $ 14 $ 5 $ 19 2 $ 21 Adoption of ASU 2016-13 — — — — — 1 — 1 — 1 — — — — — Charge-offs — — — (1) (1) — — — — — — — — — — Recoveries — 1 1 — 1 1 — 1 — 1 1 1 2 — 2 Provision for credit losses (9) (4) (13) 1 (12) 9 1 10 — 10 (4) (2) (6) 1 (5) Balance at end of year $ 13 $ 2 $ 15 $ 3 $ 18 $ 22 $ 5 $ 27 $ 3 $ 30 $ 11 $ 4 $ 15 $ 3 $ 18 |
Bank Loan-related Nonperforming Assets and Troubled Debt Restructurings | A summary of bank loan-related nonperforming assets and troubled debt restructurings is as follows: December 31, 2021 2020 Nonaccrual loans (1) $ 35 $ 89 Other real estate owned (2) 1 1 Total nonperforming assets 36 90 Troubled debt restructurings — 1 Total nonperforming assets and troubled debt restructurings $ 36 $ 91 (1) Nonaccrual loans include nonaccrual troubled debt restructurings. (2) Included in other assets on the consolidated balance sheets. |
Credit Quality Indicators of Bank Loan Portfolio | The credit quality indicators of the Company’s First Mortgages and HELOCs are detailed below: First Mortgages Amortized Cost Basis by Origination Year December 31, 2021 2021 2020 2019 2018 2017 pre-2017 Total First Mortgages Revolving HELOCs amortized cost basis HELOCs converted to term loans Total HELOCs Origination FICO <620 $ 1 $ 1 $ — $ — $ — $ 1 $ 3 $ — $ — $ — 620 – 679 34 25 5 1 6 19 90 — 2 2 680 – 739 1,306 524 146 41 98 215 2,330 61 60 121 ≥740 11,649 4,454 1,049 165 354 996 18,667 308 217 525 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Origination LTV ≤70% $ 11,234 $ 4,159 $ 948 $ 160 $ 351 $ 909 $ 17,761 $ 305 $ 199 $ 504 >70% – ≤90% 1,756 845 252 47 107 319 3,326 64 78 142 >90% – ≤100% — — — — — 3 3 — 2 2 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Weighted Average <620 $ 5 $ 2 $ 1 $ — $ 2 $ 12 $ 22 $ 2 $ 6 $ 8 620 – 679 96 69 19 7 8 30 229 6 14 20 680 – 739 1,265 421 115 24 53 149 2,027 51 39 90 ≥740 11,624 4,512 1,065 176 395 1,040 18,812 310 220 530 Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Estimated Current LTV (1) ≤70% $ 11,707 $ 4,961 $ 1,196 $ 206 $ 455 $ 1,229 $ 19,754 $ 368 $ 277 $ 645 >70% – ≤90% 1,283 43 4 1 3 2 1,336 1 2 3 >90% – ≤100% — — — — — — — — — — >100% — — — — — — — — — — Total $ 12,990 $ 5,004 $ 1,200 $ 207 $ 458 $ 1,231 $ 21,090 $ 369 $ 279 $ 648 Percent of Loans on 0.03 % 0.10 % 0.03 % 0.03 % 0.03 % 1.40 % 0.12 % 0.64 % 2.33 % 1.39 % (1) Represents the LTV for the full line of credit (drawn and undrawn) for revolving HELOCs. First Mortgages Amortized Cost Basis by Origination Year December 31, 2020 2020 2019 2018 2017 pre-2017 Total First Mortgages Revolving HELOCs amortized cost basis HELOCs converted to term loans Total HELOCs Origination FICO <620 $ 1 $ — $ — $ — $ 2 $ 3 $ — $ — $ — 620 – 679 29 13 3 8 31 84 1 3 4 680 – 739 794 355 105 181 419 1,854 82 80 162 ≥740 7,150 2,452 449 858 2,054 12,963 380 296 676 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Origination LTV ≤70% $ 6,653 $ 2,211 $ 396 $ 793 $ 1,935 $ 11,988 $ 351 $ 269 $ 620 >70% – ≤90% 1,321 609 161 254 568 2,913 112 107 219 >90% – ≤100% — — — — 3 3 — 3 3 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Weighted Average <620 $ 5 $ 2 $ 1 $ 4 $ 19 $ 31 $ 3 $ 9 $ 12 620 – 679 67 34 16 21 60 198 12 20 32 680 – 739 784 252 66 121 281 1,504 58 55 113 ≥740 7,118 2,532 474 901 2,146 13,171 390 295 685 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Estimated Current LTV (1) ≤70% $ 6,999 $ 2,582 $ 533 $ 1,034 $ 2,490 $ 13,638 $ 452 $ 368 $ 820 >70% – ≤90% 975 238 24 13 16 1,266 11 9 20 >90% – ≤100% — — — — — — — 1 1 >100% — — — — — — — 1 1 Total $ 7,974 $ 2,820 $ 557 $ 1,047 $ 2,506 $ 14,904 $ 463 $ 379 $ 842 Percent of Loans on 0.09 % 0.38 % 1.02 % 0.87 % 1.57 % 0.48 % 1.37 % 2.80 % 2.02 % (1) Represents the LTV for the full line of credit (drawn and undrawn) for revolving HELOCs. |
Convert to Amortizing Loans | The following table presents HELOCs converted to amortizing loans during each period presented: December 31, 2021 2020 HELOCs converted to amortizing loans $ 19 $ 26 The following table presents when current outstanding HELOCs will convert to amortizing loans: December 31, 2021 Balance Converted to an amortizing loan by period end $ 279 Within 1 year 16 > 1 year – 3 years 72 > 3 years – 5 years 65 > 5 years 216 Total $ 648 |
Equipment, Office Facilities,_2
Equipment, Office Facilities, and Property (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Equipment, Office Facilities, and Property | Estimated useful lives are as follows: All equipment types and furniture 3 to 10 years Buildings 40 years Building and land improvements 20 years Software 3 to 10 years (1) Leasehold improvements Lesser of useful life or lease term (1) Amortized over contractual term if less than three years. Equipment, office facilities, and property are detailed below: December 31, 2021 2020 Software $ 2,524 $ 2,314 Buildings 1,640 1,444 Information technology and telecommunications equipment 679 509 Leasehold improvements 462 455 Construction in progress 429 325 Land 208 208 Other 388 295 Total equipment, office facilities, and property 6,330 5,550 Accumulated depreciation and amortization (2,888) (2,667) Total equipment, office facilities, and property — net $ 3,442 $ 2,883 |
Goodwill and Acquired Intangi_2
Goodwill and Acquired Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets Acquired | The following table summarizes the major classes of tangible and intangible assets and their respective fair values and weighted-average useful lives: Fair Value Weighted-Average Useful Life (Years) Equipment, office facilities, and property Real property (1) $ 226 37 Personal property (2) 162 2 Construction in progress 49 N/A Land 33 N/A Total equipment, office facilities, and property $ 470 Acquired intangible assets Client relationships $ 8,700 20 Existing technology 165 2 Trade names 15 2 Total acquired intangible assets $ 8,880 (1) Consists primarily of buildings. (2) Consists primarily of equipment and leasehold improvements. N/A Not applicable. Fair Weighted-Average Useful Life (Years) Customer relationships $ 962 18 Brokerage referral agreement (1) 142 20 Royalty-free license 5 7 Total acquired intangible assets $ 1,109 (1) The brokerage referral agreement has an initial term of 5 years and is automatically renewable for one-year increments thereafter. Acquired intangible assets and goodwill are detailed below: December 31, 2021 December 31, 2020 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying Client relationships $ 10,089 $ (908) $ 9,181 $ 10,089 $ (386) $ 9,703 Technology 305 (197) 108 305 (112) 193 Trade names 116 (26) 90 113 (18) 95 Total acquired intangible assets $ 10,510 $ (1,131) $ 9,379 $ 10,507 $ (516) $ 9,991 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Estimated future annual amortization expense for acquired intangible assets as of December 31, 2021 is as follows: 2022 $ 596 2023 534 2024 518 2025 512 2026 508 Thereafter 6,630 Total $ 9,298 |
Changes in Carrying Amount of Goodwill as Allocated to Reportable Segments | The changes in the carrying amount of goodwill, as allocated to our reportable segments, are presented in the following table: Investor Advisor Total Balance at December 31, 2019 $ 1,096 $ 131 $ 1,227 Goodwill acquired in TD Ameritrade acquisition 6,380 3,835 10,215 Goodwill acquired in other acquisitions 494 16 510 December 31, 2020 7,970 3,982 11,952 Goodwill acquired and other changes during the period — — — Balance at December 31, 2021 $ 7,970 $ 3,982 $ 11,952 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Components of Other Assets | The components of other assets are as follows: December 31, 2021 2020 Other receivables from brokers, dealers, and clearing organizations $ 2,475 $ 1,748 Receivables — interest, dividends, and other 1,615 1,180 Other securities owned at fair value (1) 1,584 687 Other investments (2) 1,526 1,019 Operating lease ROU assets 842 937 Customer contract receivables (3) 637 579 Securities borrowed 582 873 Capitalized contract costs 344 303 Other 713 457 Total other assets $ 10,318 $ 7,783 (1) Includes fractional shares held in client brokerage accounts. Corresponding repurchase liabilities in an equal amount for these client-held fractional shares are included in accrued expenses and other liabilities on the consolidated balance sheet. See also Notes 2 and 18. (2) Includes LIHTC investments and certain other CRA-related investments (see Note 11). This item also includes investments in FHLB stock of $29 million at December 31, 2021 and 2020, which are required to be held as a condition of borrowing with the FHLB (see Note 13) and can only be sold to the issuer at its par value. Any cash dividends received from investments in FHLB stock are recognized as interest revenue in the consolidated statements of income. CSB and CSPB are members of the Federal Reserve and as a condition of membership, are required to hold Federal Reserve stock. Other investments also includes investments in FRB stock of $436 million and $191 million at December 31, 2021 and 2020, respectively. (3) Represents substantially all receivables from contracts with customers within the scope of ASC 606. Schwab does not have any other significant contract assets or contract liability balances as of December 31, 2021 or 2020. |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Variable Interest Entities [Abstract] | |
Aggregate Assets, Liabilities and Maximum Exposure to Loss | The aggregate assets, liabilities, and maximum exposure to loss from those VIEs in which Schwab holds a variable interest, but is not the primary beneficiary, are summarized in the table below: December 31, 2021 December 31, 2020 Aggregate Aggregate Maximum exposure Aggregate Aggregate Maximum exposure to loss LIHTC investments (1) $ 915 $ 530 $ 915 $ 649 $ 344 $ 649 Other CRA investments (2) 161 — 211 118 — 152 Total $ 1,076 $ 530 $ 1,126 $ 767 $ 344 $ 801 (1) Aggregate assets and aggregate liabilities are included in other assets and accrued expenses and other liabilities, respectively, on the consolidated balance sheets. (2) Other CRA investments are accounted for as loans at amortized cost, equity method investments, AFS securities, or using the adjusted cost method. Aggregate assets are included in AFS securities, bank loans – net, or other assets on the consolidated balance sheets. |
Bank Deposits (Tables)
Bank Deposits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Deposit Liabilities [Abstract] | |
Deposits from Banking Clients Consisting of Interest Bearing and Noninterest Bearing Deposits | Bank deposits consist of interest-bearing and non-interest-bearing deposits as follows: December 31, 2021 2020 Interest-bearing deposits: Deposits swept from brokerage accounts $ 412,287 $ 332,513 Checking 22,786 17,785 Savings and other 7,234 6,739 Total interest-bearing deposits 442,307 357,037 Non-interest-bearing deposits 1,471 985 Total bank deposits $ 443,778 $ 358,022 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-term Debt Including Unamortized Debt Discounts and Premiums | The following table lists long-term debt by instrument outstanding as of December 31, 2021 and 2020. Date of Principal Amount Outstanding Issuance 2021 2020 CSC Fixed-rate Senior Notes: 3.250% due May 21, 2021 05/22/18 $ — $ 600 3.225% due September 1, 2022 08/29/12 256 256 2.650% due January 25, 2023 12/07/17 800 800 3.550% due February 1, 2024 10/31/18 500 500 0.750% due March 18, 2024 03/18/21 1,500 — 3.750% due April 1, 2024 (1) 09/24/21 350 — 3.000% due March 10, 2025 03/10/15 375 375 4.200% due March 24, 2025 03/24/20 600 600 3.625% due April 1, 2025 (1) 09/24/21 418 — 3.850% due May 21, 2025 05/22/18 750 750 3.450% due February 13, 2026 11/13/15 350 350 0.900% due March 11, 2026 12/11/20 1,250 1,250 1.150% due May 13, 2026 05/13/21 1,000 — 3.200% due March 2, 2027 03/02/17 650 650 3.300% due April 1, 2027 (1) 09/24/21 744 — 3.200% due January 25, 2028 12/07/17 700 700 2.000% due March 20, 2028 03/18/21 1,250 — 4.000% due February 1, 2029 10/31/18 600 600 3.250% due May 22, 2029 05/22/19 600 600 2.750% due October 1, 2029 (1) 09/24/21 475 — 4.625% due March 22, 2030 03/24/20 500 500 1.650% due March 11, 2031 12/11/20 750 750 2.300% due May 13, 2031 05/13/21 750 — 1.950% due December 1, 2031 08/26/21 850 — CSC Floating-rate Senior Notes: Three-month LIBOR + 0.32% due May 21, 2021 05/22/18 — 600 SOFR + 0.500% due March 18, 2024 03/18/21 1,250 — SOFR + 0.520% due May 13, 2026 05/13/21 500 — Total CSC Senior Notes 17,768 9,881 TDA Holding Fixed-rate Senior Notes: 2.950% due April 1, 2022 03/09/15 750 750 3.750% due April 1, 2024 (1) 11/01/18 50 400 3.625% due April 1, 2025 (1) 10/22/14 82 500 3.300% due April 1, 2027 (1) 04/27/17 56 800 2.750% due October 1, 2029 (1) 08/16/19 25 500 TDA Holding Floating-rate Senior Notes: Three-month LIBOR + 0.43% due November 1, 2021 11/01/18 — 600 Total TDA Holding Senior Notes 963 3,550 Finance lease liabilities 94 6 Unamortized premium — net 180 249 Debt issuance costs (91) (54) Total long-term debt $ 18,914 $ 13,632 (1) During 2021, we completed an offer to exchange certain senior notes issued by TDA Holding for senior notes issued by CSC. Of the approximately $2.2 billion in aggregate principal amount of TDA Holding’s senior notes offered in the exchange, 90%, or approximately $2.0 billion, were tendered and accepted. The new senior notes issued by CSC have the same interest rates and maturity dates as the TDA Holding senior notes. The $213 million not exchanged remained outstanding across four series of senior notes issued by TDA Holding. The debt exchange was treated as a debt modification for accounting purposes. |
Annual Maturities on Long-term Debt Outstanding | Annual maturities on all long-term debt outstanding at December 31, 2021, are as follows: Maturities 2022 $ 1,036 2023 829 2024 3,673 2025 2,237 2026 3,100 Thereafter 7,950 Total maturities 18,825 Unamortized premium — net 180 Debt issuance costs (91) Total long-term debt $ 18,914 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Schedule of Lease Assets and Liabilities | The following table details the amounts and locations of operating lease assets and liabilities on the consolidated balance sheet: December 31, 2021 2020 Lease assets: Balance Sheet Classification Operating lease ROU assets Other assets $ 842 $ 937 Lease liabilities: Operating lease liabilities Accrued expenses and other liabilities $ 932 $ 1,033 |
Schedule of Lease Cost and Lease Term and Discount Rate | The components of lease expense are as follows: Year Ended December 31, 2021 2020 2019 Lease Cost Operating lease cost (1) $ 220 $ 166 $ 137 Variable lease cost (2) 48 34 34 (1) Includes an immaterial amount attributable to short-term leases. (2) Includes payments that are entirely variable and amounts that represent the difference between payments based on an index or rate that is reflected in the lease liability and what is actually incurred. The following tables present supplemental operating lease information: December 31, 2021 2020 Lease Term and Discount Rate Weighted-average remaining lease term (years) 6.63 7.02 Weighted-average discount rate 2.48 % 2.86 % |
Schedule of Maturity of Lease Liabilities | Maturity of Lease Liabilities Operating Leases (1) 2022 $ 191 2023 185 2024 149 2025 128 2026 103 Thereafter 257 Total lease payments 1,013 Less: Interest 81 Present value of lease liabilities $ 932 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Commitments to Purchase or Sell | The Company’s commitments to extend credit on bank lines of credit and to purchase First Mortgages are as follows: December 31, 2021 2020 Commitments to extend credit related to unused HELOCs, PALs, and other lines of credit $ 6,193 $ 8,141 Commitments to purchase First Mortgage loans 1,824 1,917 Total $ 8,017 $ 10,058 |
Exit and Other Related Liabil_2
Exit and Other Related Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | |
Summary of the Activity in Exit Liabilities | The following is a summary of the activity in the Company’s exit and other related liabilities for the years ended December 31, 2021 and 2020: Investor Services Advisor Services Total Balance at December 31, 2019 $ — $ — $ — Exit and other related liabilities assumed in business acquisition 18 5 23 Amounts recognized in expense (1) 138 38 176 Costs paid or otherwise settled (70) (19) (89) Balance at December 31, 2020 (2) $ 86 $ 24 $ 110 Amounts recognized in expense (1) 66 17 83 Costs paid or otherwise settled (124) (34) (158) Balance at December 31, 2021 (2) $ 28 $ 7 $ 35 (1) Amounts recognized in expense for severance pay and other termination benefits, as well as retention costs, are primarily included in compensation and benefits on the consolidated statements of income. The year ended December 31, 2021 includes a reduction of the liability resulting from changes in estimates of $9 million and $2 million in Investor Services and Advisor Services, respectively. (2) Included in accrued and expenses and other liabilities on the consolidated balance sheets. |
Summary of the Cumulative Amount of Acquisition-Related Exit Costs | The following table summarizes the exit and other related costs recognized in expense for the year ended December 31, 2021: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 66 $ — $ 66 $ 17 $ — $ 17 $ 83 Occupancy and equipment — 18 18 — 4 4 22 Professional services — 1 1 — — — 1 Other — 2 2 — — — 2 Total $ 66 $ 21 $ 87 $ 17 $ 4 $ 21 $ 108 (1) Costs related to facility closures. These costs, which are primarily comprised of accelerated amortization of ROU assets, relate to the impact of abandoning leased and other properties. The following table summarizes the exit and other related costs recognized in expense for the year ended December 31, 2020: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 138 $ — $ 138 $ 38 $ — $ 38 $ 176 Occupancy and equipment — 6 6 — 1 1 7 Depreciation and amortization — 2 2 — 1 1 3 Total $ 138 $ 8 $ 146 $ 38 $ 2 $ 40 $ 186 (1) Costs related to facility closures. These costs, which are comprised of accelerated amortization of ROU assets and accelerated depreciation of fixed assets, relate to the impact of abandoning leased and other properties. The following table summarizes the exit and other related costs incurred from October 6, 2020 through December 31, 2021: Investor Services Advisor Services Employee Facility Exit Costs (1) Investor Services Total Employee Facility Exit Costs (1) Advisor Services Total Total Compensation and benefits $ 204 $ — $ 204 $ 55 $ — $ 55 $ 259 Occupancy and equipment — 24 24 — 5 5 29 Depreciation and amortization — 2 2 — 1 1 3 Professional services — 1 1 — — — 1 Other — 2 2 — — — 2 Total $ 204 $ 29 $ 233 $ 55 $ 6 $ 61 $ 294 (1) Costs related to facility closures. These costs, which are primarily comprised of accelerated amortization of ROU assets and accelerated depreciation of fixed assets, relate to the impact of abandoning leased and other properties. |
Financial Instruments Subject_2
Financial Instruments Subject to Off-Balance Sheet Credit Risk (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Offsetting [Abstract] | |
Offsetting Assets and Liabilities | The following table presents information about our resale agreements, securities lending, and other activity depicting the potential effect of rights of setoff between these recognized assets and recognized liabilities. Gross Gross Amounts Offset in the Consolidated Net Amounts Presented in the Consolidated Gross Amounts Not Offset in the Net Counterparty Collateral December 31, 2021 Assets Resale agreements (1) $ 13,096 $ — $ 13,096 $ — $ (13,096) (2) $ — Securities borrowed (3) 582 — 582 (383) (195) 4 Total $ 13,678 $ — $ 13,678 $ (383) $ (13,291) $ 4 Liabilities Securities loaned (4,5) $ 7,158 $ — $ 7,158 $ (383) $ (6,015) $ 760 Secured short-term borrowings (6) 1,850 — 1,850 — (1,850) — Total $ 9,008 $ — $ 9,008 $ (383) $ (7,865) $ 760 December 31, 2020 Assets Resale agreements (1) $ 14,904 $ — $ 14,904 $ — $ (14,904) (2) $ — Securities borrowed (3) 873 — 873 (673) (195) 5 Total $ 15,777 $ — $ 15,777 $ (673) $ (15,099) $ 5 Liabilities Securities loaned (4,5) $ 7,549 $ — $ 7,549 $ (673) $ (6,049) $ 827 Total $ 7,549 $ — $ 7,549 $ (673) $ (6,049) $ 827 (1) Included in cash and investments segregated and on deposit for regulatory purposes in the consolidated balance sheets. (2) Actual collateral was greater than or equal to the value of the related assets. At December 31, 2021 and 2020, the fair value of collateral received in connection with resale agreements that are available to be repledged or sold was $13.4 billion and $15.2 billion, respectively. (3) Included in other assets in the consolidated balance sheets. (4) Included in accrued expenses and other liabilities in the consolidated balance sheets. The cash collateral received from counterparties under securities lending transactions was equal to or greater than the market value of the securities loaned at December 31, 2021 and 2020. (5) Securities loaned are predominantly comprised of equity securities held in client brokerage accounts with overnight and continuous remaining contractual maturities. (6) Included in short-term borrowings in the consolidated balance sheets. See below for collateral pledged and Note 13 for additional information. |
Summary of the Fair Value of Client Securities Available to Utilize as Collateral and Amounts Pledged | The following table summarizes the fair value of client securities that were available, under such regulations, that could have been used as collateral, as well as the fair value of securities that we had pledged to third parties under such regulations and from securities borrowed transactions: December 31, 2021 2020 Fair value of client securities available to be pledged $ 120,306 $ 84,006 Fair value of securities pledged for: Fulfillment of requirements with the Options Clearing Corporation (1) $ 16,829 $ 10,222 Fulfillment of client short sales 5,934 6,274 Securities lending to other broker-dealers 6,269 6,522 Collateral for short-term borrowings 2,390 — Total collateral pledged to third parties $ 31,422 $ 23,018 Note: Excludes amounts available and pledged for securities lending from fully-paid client securities. The fair value of fully-paid client securities available and pledged was $118 million as of December 31, 2021 and $183 million as of December 31, 2020. |
Fair Values of Assets and Lia_2
Fair Values of Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following tables present the fair value hierarchy for assets and liabilities measured at fair value on a recurring basis: December 31, 2021 Level 1 Level 2 Level 3 Balance at Cash equivalents: Money market funds $ 11,719 $ — $ — $ 11,719 Total cash equivalents 11,719 — — 11,719 Investments segregated and on deposit for regulatory purposes: Certificates of deposit — 350 — 350 U.S. Government securities — 36,349 — 36,349 Total investments segregated and on deposit for regulatory purposes — 36,699 — 36,699 Available for sale securities: U.S. agency mortgage-backed securities — 334,355 — 334,355 U.S. Treasury securities — 21,282 — 21,282 Asset-backed securities — 17,546 — 17,546 Corporate debt securities — 12,344 — 12,344 U.S. state and municipal securities — 1,687 — 1,687 Non-agency commercial mortgage-backed securities — 1,190 — 1,190 Certificates of deposit — 999 — 999 Foreign government agency securities — 425 — 425 Commercial paper — 200 — 200 Other — 26 — 26 Total available for sale securities — 390,054 — 390,054 Other assets: Equity, corporate debt, and other securities 854 59 — 913 Mutual funds and ETFs 636 — — 636 State and municipal debt obligations — 32 — 32 U.S. Government securities — 3 — 3 Total other assets 1,490 94 — 1,584 Total assets $ 13,209 $ 426,847 $ — $ 440,056 Accrued expenses and other liabilities $ 1,354 $ 45 $ — $ 1,399 Total liabilities $ 1,354 $ 45 $ — $ 1,399 December 31, 2020 Level 1 Level 2 Level 3 Balance at Cash equivalents: Money market funds $ 11,159 $ — $ — $ 11,159 Total cash equivalents 11,159 — — 11,159 Investments segregated and on deposit for regulatory purposes: Certificates of deposit — 550 — 550 U.S. Government securities — 30,698 — 30,698 Total investments segregated and on deposit for regulatory purposes — 31,248 — 31,248 Available for sale securities: U.S. agency mortgage-backed securities — 290,353 — 290,353 Asset-backed securities — 18,898 — 18,898 Corporate debt securities — 12,796 — 12,796 U.S. Treasury securities — 10,656 — 10,656 U.S. state and municipal securities — 1,697 — 1,697 Foreign government agency securities — 1,413 — 1,413 Non-agency commercial mortgage-backed securities — 1,265 — 1,265 Certificates of deposit — 300 — 300 Other — 22 — 22 Total available for sale securities — 337,400 — 337,400 Other assets: Mutual funds and ETFs 361 — — 361 U.S. Government securities — 253 — 253 State and municipal debt obligations — 37 — 37 Equity, corporate debt, and other securities 7 29 — 36 Total other assets 368 319 — 687 Total $ 11,527 $ 368,967 $ — $ 380,494 |
Fair Value of Other Financial Instruments | The following tables present the fair value hierarchy for other financial instruments: December 31, 2021 Carrying Level 1 Level 2 Level 3 Balance at Assets Cash and cash equivalents $ 51,256 $ 51,256 $ — $ — $ 51,256 Cash and investments segregated and on deposit for regulatory purposes 17,246 4,151 13,095 — 17,246 Receivables from brokerage clients — net 90,560 — 90,560 — 90,560 Bank loans — net: First Mortgages 21,077 — 21,027 — 21,027 HELOCs 646 — 668 — 668 Pledged asset lines 12,709 — 12,709 — 12,709 Other 204 — 204 — 204 Total bank loans — net 34,636 — 34,608 — 34,608 Other assets 3,561 — 3,561 — 3,561 Liabilities Bank deposits $ 443,778 $ — $ 443,778 $ — $ 443,778 Payables to brokerage clients 125,671 — 125,671 — 125,671 Accrued expenses and other liabilities 8,327 — 8,327 — 8,327 Short-term borrowings 4,855 — 4,855 — 4,855 Long-term debt 18,820 — 19,383 — 19,383 December 31, 2020 Carrying Level 1 Level 2 Level 3 Balance at Assets Cash and cash equivalents $ 29,189 $ 29,189 $ — $ — $ 29,189 Cash and investments segregated and on deposit for regulatory purposes 19,143 4,212 14,931 — 19,143 Receivables from brokerage clients — net 64,436 — 64,436 — 64,436 Bank loans — net: First Mortgages 14,882 — 15,305 — 15,305 HELOCs 837 — 838 — 838 Pledged asset lines 7,916 — 7,916 — 7,916 Other 178 — 178 — 178 Total bank loans — net 23,813 — 24,237 — 24,237 Other assets 2,883 — 2,883 — 2,883 Liabilities Bank deposits $ 358,022 $ — $ 358,022 $ — $ 358,022 Payables to brokerage clients 104,201 — 104,201 — 104,201 Accrued expenses and other liabilities 8,263 — 8,263 — 8,263 Long-term debt 13,626 — 14,829 — 14,829 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Preferred Stock Issued and Outstanding | The following is a summary of CSC’s non-cumulative perpetual preferred stock outstanding as of such dates: Dividend Rate in Effect at December 31, 2021 Date at Which Dividend Rate Resets or Becomes Floating Reset / Margin Over Reset / Floating Rate Shares Issued and Outstanding (in thousands) at December 31, Liquidation Preference Per Share Carrying Value at December 31, Earliest Redemption Date 2021 (1) 2020 (1) 2021 2020 Issue Date Fixed-rate: Series C (2) — 600 $ 1,000 $ — $ 585 08/03/15 — — N/A N/A N/A Series D 750 750 1,000 728 728 03/07/16 5.950 % 06/01/21 N/A N/A N/A Series J 600 — 1,000 584 — 03/30/21 4.450 % 06/01/26 N/A N/A N/A Fixed-to-floating-rate/Fixed-rate reset (3) : Series A 400 400 1,000 397 397 01/26/12 7.000 % 02/01/22 02/01/22 3M LIBOR 4.820 % Series E 6 6 100,000 591 591 10/31/16 4.625 % 03/01/22 03/01/22 3M LIBOR 3.315 % Series F 5 5 100,000 492 492 10/31/17 5.000 % 12/01/27 12/01/27 3M LIBOR 2.575 % Series G 25 25 100,000 2,470 2,470 04/30/20 5.375 % 06/01/25 06/01/25 5-Year Treasury 4.971 % Series H 25 25 100,000 2,470 2,470 12/11/20 4.000 % 12/01/30 12/01/30 10-Year Treasury 3.079 % Series I (4) 23 — 100,000 2,222 — 03/18/21 4.000 % 06/01/26 06/01/26 5-Year Treasury 3.168 % Total preferred stock 1,834 1,811 $ 9,954 $ 7,733 (1) Represented by depositary shares, except for Series A. (2) Series C Preferred Stock was redeemed on June 1, 2021. (3) The dividend rate for Series G resets on each five-year anniversary from the first reset date. The dividend rate for Series H resets on each 10-year anniversary from the first reset date. (4) The Series I dividend rate resets on each five-year anniversary beginning on June 1, 2026 based on a five-year treasury rate, representing the average of the yields on actively traded U.S. treasury securities adjusted to constant maturity for five-year maturities. Series I is only redeemable on dividend payment dates on or after the first reset date. N/A Not applicable. |
Dividends Declared | Dividends declared on the Company’s preferred stock are as follows: Year Ended December 31, 2021 2020 2019 Total Per Share Total Per Share Total Per Share Series A $ 28.0 $ 70.00 $ 28.0 $ 70.00 $ 28.0 $ 70.00 Series C (1) 18.0 30.00 36.0 60.00 36.0 60.00 Series D 44.6 59.52 44.6 59.52 44.6 59.52 Series E 27.8 4,625.00 27.8 4,625.00 27.8 4,625.00 Series F 25.0 5,000.00 25.0 5,000.00 25.0 5,000.00 Series G (2) 134.4 5,375.00 78.8 3,150.35 N/A N/A Series H (3) 97.2 3,888.89 N/A N/A N/A N/A Series I (4) 63.2 2,811.11 N/A N/A N/A N/A Series J (5) 17.9 29.80 N/A N/A N/A N/A Total $ 456.1 $ 240.2 $ 161.4 (1) Series C Preferred Stock was redeemed on June 1, 2021. Prior to redemption, dividends were paid quarterly and the final dividend was paid on June 1, 2021. (2) Series G Preferred Stock was issued on April 30, 2020. Dividends are paid quarterly, and the first dividend was paid on September 1, 2020. (3) Series H Preferred Stock was issued on December 11, 2020. Dividends are paid quarterly, and the first dividend was paid on March 1, 2021. (4) Series I Preferred Stock was issued on March 18, 2021. Dividends are paid quarterly, and the first dividend was paid on June 1, 2021. (5) Series J Preferred Stock was issued on March 30, 2021. Dividends are paid quarterly, and the first dividend was paid on June 1, 2021. N/A Not applicable. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income Balances | AOCI balances and the components of other comprehensive income (loss) are as follows: Total AOCI Balance at December 31, 2018 $ (252) Available for sale securities: Net unrealized gain (loss) excluding transfers to available for sale from held to maturity, net of tax expense (benefit) of $96 309 Net unrealized gain on securities transferred to available for sale from held to maturity, net of tax expense (benefit) of $6 (1) 19 Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (5) Held to maturity securities: Amortization of amounts previously recorded upon transfer to held to maturity from available for sale, net of tax expense (benefit) of $9 27 Other, net of tax expense (benefit) of $(4) (10) Balance at December 31, 2019 $ 88 Available for sale securities: Net unrealized gain (loss) excluding transfers to available for sale from held to maturity, net of tax expense (benefit) of $1,322 4,246 Net unrealized gain on securities transferred to available for sale from held to maturity, net of tax expense (benefit) of $336 (2) 1,057 Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (3) Other, net of tax expense (benefit) of $2 6 Balance at December 31, 2020 $ 5,394 Available for sale securities: Net unrealized gain (loss), net of tax expense (benefit) of $(2,029) (6,492) Other reclassifications included in other revenue, net of tax expense (benefit) of $(1) (3) Other, net of tax expense (benefit) of $(3) (8) Balance at December 31, 2021 $ (1,109) (1) In the first quarter of 2019, the Company made an election to transfer a portion of its HTM securities to AFS as part of the adoption of ASU 2017-12. The transfer resulted in a net of tax increase to AOCI of $19 million. See Note 6 for additional discussion on the 2019 transfer of HTM securities to AFS. (2) On January 1, 2020, the Company transferred all of its investment securities designated as HTM to the AFS category. The transfer resulted in a net of tax increase to AOCI of $1.1 billion. See Note 6 for additional discussion on the 2020 transfer of HTM securities to AFS. |
Employee Incentive, Retiremen_2
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Stock-Based Compensation Expense and Related Income Tax Benefit | A summary of share-based compensation expense and related income tax benefit is as follows: Year Ended December 31, 2021 2020 2019 Stock option expense $ 36 $ 36 $ 51 Restricted stock unit expense 200 156 120 Employee stock purchase plan expense 18 12 12 Total share-based compensation expense $ 254 $ 204 $ 183 Income tax benefit on share-based compensation expense (1) $ (60) $ (49) $ (44) |
Stock Option Activity | Stock option activity is summarized below: Number Weighted- Average Exercise Price Weighted- Average Remaining Contractual Aggregate Intrinsic Outstanding at December 31, 2020 24 $ 33.67 5.36 $ 452 Granted 2 64.49 Exercised (9) 27.80 Forfeited (1) — 45.99 Expired (1) — 35.00 Outstanding at December 31, 2021 17 $ 39.11 5.38 $ 782 Vested and expected to vest at December 31, 2021 17 $ 39.09 5.38 $ 782 Vested and exercisable at December 31, 2021 13 $ 34.93 4.54 $ 650 (1) Number of options was less than 500 thousand. |
Information on Stock Options Granted and Exercised | Information on stock options granted and exercised is presented below: Year Ended December 31, 2021 2020 2019 Weighted-average fair value of options granted per share $ 19.51 $ 11.56 $ 11.97 Cash received from options exercised 221 79 118 Tax benefit realized on options exercised 61 11 17 Aggregate intrinsic value of options exercised 322 71 108 |
Assumptions Used to Value Options Granted and Their Expected Lives | The assumptions used to value the options granted during the years presented and their expected lives were as follows: Year Ended December 31, 2021 2020 2019 Weighted-average expected dividend yield 1.36 % 2.08 % 1.85 % Weighted-average expected volatility 37 % 36 % 30 % Weighted-average risk-free interest rate 0.8 % 1.0 % 2.5 % Expected life (in years) 4.2 - 5.4 4.3 - 5.9 4.2 - 5.9 |
Restricted Stock Units Activity | The Company’s restricted stock units activity is summarized below: Number Weighted- Average Grant Date Fair Value Outstanding at December 31, 2020 10 $ 40.85 Granted 4 64.18 Vested (4) 41.25 Forfeited (1) 45.63 Outstanding at December 31, 2021 9 $ 49.69 |
Schedule of Changes in Projected Benefit Obligations | The following table presents the changes in projected benefit obligation: December 31, 2021 2020 Projected benefit obligation at beginning of year $ 92 $ 83 Benefit cost (1) 16 17 Actuarial loss/(gain) (2) 11 (8) Projected benefit obligation at end of year (3) $ 119 $ 92 (1) Includes service cost and interest cost, which are recognized in compensation and benefits expense and other expense, respectively, in the consolidated statements of income. (2) Actuarial loss/(gain) is reflected in the consolidated statements of comprehensive income and is included in AOCI on the consolidated balance sheets. (3) This amount is recognized as a liability in accrued expenses and other liabilities on the consolidated balance sheets. |
Taxes on Income (Tables)
Taxes on Income (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax Expense | The components of taxes on income are as follows: Year Ended December 31, 2021 2020 2019 Current: Federal $ 1,507 $ 967 $ 958 State 298 172 184 Total current 1,805 1,139 1,142 Deferred: Federal 38 (113) 3 State 15 (25) (1) Total deferred 53 (138) 2 Taxes on income $ 1,858 $ 1,001 $ 1,144 |
Temporary Differences That Created Deferred Tax Assets and Liabilities | The temporary differences that created deferred tax assets and liabilities are detailed below: December 31, 2021 2020 Deferred tax assets: Net unrealized loss on available for sale securities $ 347 $ — Employee compensation, severance, and benefits 237 271 Operating lease liabilities 225 249 Reserves and allowances 74 70 Debt fair value remeasurement 47 67 State and local taxes 40 37 Net operating loss carryforwards 8 8 Total deferred tax assets 978 702 Valuation allowance (8) (8) Deferred tax assets — net of valuation allowance 970 694 Deferred tax liabilities: Amortization of acquired intangible assets (1,888) (1,954) Net unrealized gain on available for sale securities — (1,686) Operating lease ROU assets (210) (233) Capitalized internal-use software development costs (142) (101) Other (212) (182) Total deferred tax liabilities (2,452) (4,156) Deferred tax asset/(liability) — net (1) $ (1,482) $ (3,462) (1) Amounts are included in accrued expenses and other liabilities on the consolidated balance sheets at December 31, 2021 and 2020. |
Reconciliation of Federal Statutory Income Tax Rate to Effective Income Tax Rate | A reconciliation of the federal statutory income tax rate to the effective income tax rate is as follows: Year Ended December 31, 2021 2020 2019 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State income taxes, net of federal tax benefit 3.4 3.2 3.2 Equity compensation benefit (1.2) (0.3) (0.5) Other 0.9 (0.6) (0.1) Effective income tax rate 24.1 % 23.3 % 23.6 % |
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, 2021 2020 Balance at beginning of year $ 248 $ 101 Additions for tax positions related to the current year 34 15 Additions for tax positions related to prior years 15 3 Additions for current year acquisitions — 200 Reductions for tax positions related to prior years (15) (7) Reductions due to lapse of statute of limitations (8) (24) Reductions for settlements with tax authorities (3) (40) Balance at end of year $ 271 $ 248 |
Regulatory Requirements (Tables
Regulatory Requirements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Regulatory Capital and Ratios | The regulatory capital and ratios for CSC (consolidated) and CSB are as follows: Actual Minimum to be Minimum Capital December 31, 2021 Amount Ratio Amount Ratio Amount Ratio (1) CSC Common Equity Tier 1 Risk-Based Capital $ 27,967 19.7 % N/A $ 6,389 4.5 % Tier 1 Risk-Based Capital 37,921 26.7 % N/A 8,518 6.0 % Total Risk-Based Capital 37,950 26.7 % N/A 11,358 8.0 % Tier 1 Leverage 37,921 6.2 % N/A 24,346 4.0 % Supplementary Leverage Ratio 37,921 6.2 % N/A 18,434 3.0 % CSB Common Equity Tier 1 Risk-Based Capital $ 28,014 26.8 % $ 6,787 6.5 % $ 4,698 4.5 % Tier 1 Risk-Based Capital 28,014 26.8 % 8,353 8.0 % 6,265 6.0 % Total Risk-Based Capital 28,033 26.8 % 10,441 10.0 % 8,353 8.0 % Tier 1 Leverage 28,014 7.1 % 19,790 5.0 % 15,832 4.0 % Supplementary Leverage Ratio 28,014 7.0 % N/A 12,016 3.0 % December 31, 2020 CSC Common Equity Tier 1 Risk-Based Capital $ 22,916 18.5 % N/A $ 5,575 4.5 % Tier 1 Risk-Based Capital 30,649 24.7 % N/A 7,433 6.0 % Total Risk-Based Capital 30,688 24.8 % N/A 9,910 8.0 % Tier 1 Leverage 30,649 6.3 % N/A 19,396 4.0 % Supplementary Leverage Ratio 30,649 6.2 % N/A 14,744 3.0 % CSB Common Equity Tier 1 Risk-Based Capital $ 17,526 19.2 % $ 5,919 6.5 % $ 4,098 4.5 % Tier 1 Risk-Based Capital 17,526 19.2 % 7,285 8.0 % 5,464 6.0 % Total Risk-Based Capital 17,558 19.3 % 9,106 10.0 % 7,285 8.0 % Tier 1 Leverage 17,526 5.5 % 15,979 5.0 % 12,783 4.0 % Supplementary Leverage Ratio 17,526 5.4 % N/A 9,763 3.0 % (1) Under the Basel III capital rule, CSC and CSB are also required to maintain a capital conservation buffer and a countercyclical capital buffer above the regulatory minimum risk-based capital ratios. The capital conservation buffer and countercyclical buffer were 2.5% and zero percent, respectively, for both periods presented. If either buffer falls below the minimum requirement, the Company would be subject to limits on capital distributions and discretionary bonus payments to executive officers. At December 31, 2021, the minimum capital requirement plus capital conservation buffer and countercyclical capital buffer for Common Equity Tier 1 Risk-Based Capital, Tier 1 Risk-Based Capital, and Total Risk-Based Capital ratios were 7.0%, 8.5%, and 10.5%, respectively. N/A Not applicable. |
Net Capital and Net Capital Requirements for CS&Co | Net capital and net capital requirements for CS&Co, TDAC, and TD Ameritrade, Inc., are as follows: December 31, 2021 2020 CS&Co Net capital $ 5,231 $ 3,117 Minimum dollar requirement (1) 0.250 1.000 2% of aggregate debit balances 941 616 Net capital in excess of required net capital $ 4,290 $ 2,501 TDAC Net capital $ 5,337 $ 4,040 Minimum dollar requirement 1.500 1.500 2% of aggregate debit balances 1,007 748 Net capital in excess of required net capital $ 4,330 $ 3,292 TD Ameritrade, Inc. Net capital $ 711 $ 350 Minimum dollar requirement 0.250 0.250 2% of aggregate debit balances — — Net capital in excess of required net capital $ 711 $ 350 (1) During 2021, CS&Co transferred its futures business to Charles Schwab Futures and Forex LLC, a wholly-owned subsidiary of CSC. This transfer was accounted for as a common control transaction and did not have an impact on the consolidated financial statements. CS&Co subsequently deregistered prior to December 31, 2021 as an FCM with the CFTC, and, therefore, is no longer subject to net capital requirements under CFTC Regulation 1.17 under the Commodity Exchange Act. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Financial Information for Reportable Segments | Financial information for the segments is presented in the following table: Investor Services Advisor Services Total Year Ended December 31, 2021 2020 2019 2021 2020 2019 2021 2020 2019 Net Revenues Net interest revenue $ 6,052 $ 4,391 $ 4,685 $ 1,978 $ 1,722 $ 1,831 $ 8,030 $ 6,113 $ 6,516 Asset management and administration fees 3,130 2,544 2,289 1,144 931 922 4,274 3,475 3,211 Trading revenue 3,753 1,156 503 399 260 249 4,152 1,416 752 Bank deposit account fees 964 255 — 351 100 — 1,315 355 — Other 562 262 146 187 70 96 749 332 242 Total net revenues 14,461 8,608 7,623 4,059 3,083 3,098 18,520 11,691 10,721 Expenses Excluding Interest 8,289 5,529 4,284 2,518 1,862 1,589 10,807 7,391 5,873 Income before taxes on income $ 6,172 $ 3,079 $ 3,339 $ 1,541 $ 1,221 $ 1,509 $ 7,713 $ 4,300 $ 4,848 Capital expenditures $ 771 $ 535 $ 507 $ 270 $ 206 $ 246 $ 1,041 $ 741 $ 753 Depreciation and amortization $ 399 $ 288 $ 216 $ 150 $ 126 $ 106 $ 549 $ 414 $ 322 Amortization of acquired intangible assets $ 499 $ 149 $ 26 $ 116 $ 41 $ 1 $ 615 $ 190 $ 27 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
EPS under Basic and Diluted Computations | EPS under the basic and diluted computations for both common stock and nonvoting common stock are as follows: Year Ended December 31, 2021 2020 2019 Common Stock Nonvoting Common Stock (1) Common Stock Nonvoting Common Stock (1) Common Stock Nonvoting Common Stock (1) Basic earnings per share: Numerator Net income $ 5,610 $ 245 $ 3,255 $ 44 $ 3,704 N/A Preferred stock dividends and other (2) (474) (21) (253) (3) (178) N/A Net income available to common stockholders $ 5,136 $ 224 $ 3,002 $ 41 $ 3,526 N/A Denominator Weighted-average common shares outstanding — 1,808 79 1,410 19 1,311 N/A Basic earnings per share $ 2.84 $ 2.84 $ 2.13 $ 2.13 $ 2.69 N/A Diluted earnings per share: Numerator Net income available to common stockholders $ 5,136 $ 224 $ 3,002 $ 41 $ 3,526 N/A Reallocation of net income available to 224 — 41 — N/A N/A Allocation of net income available to common $ 5,360 $ 224 $ 3,043 $ 41 $ 3,526 N/A Denominator Weighted-average common shares outstanding — 1,808 79 1,410 19 1,311 N/A Conversion of nonvoting shares to voting shares 79 — 19 — N/A N/A Common stock equivalent shares related to 10 — 6 — 9 N/A Weighted-average common shares outstanding — diluted (3) 1,897 79 1,435 19 1,320 N/A Diluted earnings per share $ 2.83 $ 2.83 $ 2.12 $ 2.12 $ 2.67 N/A (1) Nonvoting common stock was issued in conjunction with the October 6, 2020 acquisition of TD Ameritrade. As such, nonvoting common stock is not applicable for the basic and diluted EPS computations in 2019. (2) Includes preferred stock dividends and undistributed earnings and dividends allocated to non-vested restricted stock units. (3) Antidilutive stock options and restricted stock units excluded from the calculation of diluted EPS totaled 16 million, 22 million, and 21 million in 2021, 2020, and 2019 respectively. N/A Not applicable. |
The Charles Schwab Corporatio_2
The Charles Schwab Corporation - Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Statements of Income | Condensed Statements of Income Year Ended December 31, 2021 2020 2019 Interest revenue $ 11 $ 38 $ 119 Interest expense (355) (273) (248) Net interest expense (344) (235) (129) Trading revenue — 1 — Other revenue (2) (1) (1) Expenses Excluding Interest: Professional services (17) (68) (24) Other expenses excluding interest (125) (85) (83) Loss before income tax benefit and equity in net income of subsidiaries (488) (388) (237) Income tax benefit/(expense) 32 45 (9) Loss before equity in net income of subsidiaries (456) (343) (246) Equity in net income of subsidiaries: Equity in undistributed net income/(distributions in excess of net income) of subsidiaries 3,361 2,476 (1,198) Dividends from bank subsidiaries — — 4,915 Dividends from non-bank subsidiaries 2,950 1,166 233 Net Income 5,855 3,299 3,704 Preferred stock dividends and other (1) 495 256 178 Net Income Available to Common Stockholders $ 5,360 $ 3,043 $ 3,526 (1) Includes preferred stock dividends and undistributed earnings and dividends allocated to non-vested restricted stock units. |
Condensed Balance Sheets | Condensed Balance Sheets December 31, 2021 2020 Assets Cash and cash equivalents $ 6,839 $ 4,654 Receivables from subsidiaries 1,288 1,260 Available for sale securities 4,218 4,982 Investment in non-bank subsidiaries 34,377 29,550 Investment in bank subsidiaries 30,720 25,548 Other assets 357 371 Total assets $ 77,799 $ 66,365 Liabilities and Stockholders’ Equity Accrued expenses and other liabilities $ 618 $ 458 Payables to subsidiaries 80 34 Short-term borrowings 3,005 — Long-term debt 17,835 9,813 Total liabilities 21,538 10,305 Stockholders’ equity 56,261 56,060 Total liabilities and stockholders’ equity $ 77,799 $ 66,365 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows Year Ended December 31, 2021 2020 2019 Cash Flows from Operating Activities Net income $ 5,855 $ 3,299 $ 3,704 Adjustments to reconcile net income to net cash provided by (used for) operating activities: Dividends in excess of (equity in undistributed) earnings of subsidiaries (3,361) (2,476) 1,198 Other 21 41 9 Net change in: Other assets 76 (65) 57 Accrued expenses and other liabilities 112 34 34 Net cash provided by (used for) operating activities 2,703 833 5,002 Cash Flows from Investing Activities Due from (to) subsidiaries — net 211 46 (122) Increase in investments in subsidiaries (10,926) (2,172) (1,783) Repayments (advances) of subordinated loan to CS&Co — — 185 Purchases of available for sale securities (8,002) (5,397) (1,141) Proceeds from sales of available for sale securities 2 2 181 Principal payments on available for sale securities 8,754 2,395 994 Net cash provided by (used for) investing activities (9,961) (5,126) (1,686) Cash Flows from Financing Activities Issuance of long-term debt 7,036 3,070 593 Repayment of long-term debt (1,200) (700) — Issuance of commercial paper 8,253 1,234 1,400 Repayments of commercial paper (5,250) (1,234) (1,400) Repurchases of common stock — — (2,220) Net proceeds from preferred stock offerings 2,806 4,940 — Redemption of preferred stock (600) — — Dividends paid (1,822) (1,280) (1,060) Proceeds from stock options exercised and other 220 79 118 Other financing activities — (1) — Net cash provided by (used for) financing activities 9,443 6,108 (2,569) Increase (Decrease) in Cash and Cash Equivalents 2,185 1,815 747 Cash and Cash Equivalents at Beginning of Year 4,654 2,839 2,092 Cash and Cash Equivalents at End of Year $ 6,839 $ 4,654 $ 2,839 Supplemental Cash Flow Information Non-Cash Investing and Financing Activity Exchange of TDA Holding-issued senior notes for CSC-issued senior notes $ 1,987 $ — $ — |
Introduction and Basis of Pre_2
Introduction and Basis of Presentation (Details) | Dec. 31, 2021officeBranchstate |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of domestic branch offices | officeBranch | 400 |
States with domestic branch offices | state | 48 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) | Dec. 31, 2021receivableClasssegment |
Accounting Policies [Abstract] | |
Number of portfolio segments | segment | 3 |
Number of classes of financing receivables | receivableClass | 2 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Equipment, Office Facilities, and Property) (Details) | 12 Months Ended |
Dec. 31, 2021 | |
All equipment types and furniture [Member] | Minimum [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 3 years |
All equipment types and furniture [Member] | Maximum [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 10 years |
Buildings [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 40 years |
Building improvements and land improvements [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 20 years |
Software [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Contractual term of software | 3 years |
Software [Member] | Minimum [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 3 years |
Software [Member] | Maximum [Member] | |
Summary of Significant Accounting Policies [Line Items] | |
Estimated useful life of property, plant and equipment | 10 years |
Business Acquisitions (TD Ameri
Business Acquisitions (TD Ameritrade Narrative) (Details) shares in Millions, $ in Millions | Oct. 06, 2020USD ($)shares | Dec. 31, 2020USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2021USD ($)shares |
Business Acquisition [Line Items] | |||||
Goodwill | $ 11,952 | $ 11,952 | $ 1,227 | $ 11,952 | |
Investor Services [Member] | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 7,970 | 7,970 | 1,096 | 7,970 | |
Advisor Services [Member] | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 3,982 | 3,982 | 131 | $ 3,982 | |
TD Ameritrade Holding [Member] | |||||
Business Acquisition [Line Items] | |||||
Purchase price | $ 21,758 | ||||
Conversion ratio for shares in acquisition | 1.0837 | ||||
Number of shares issued in acquisition (in shares) | shares | 586 | ||||
Tangible assets acquired | $ 470 | ||||
Intangible assets acquired | 8,880 | ||||
Goodwill | 10,215 | ||||
Net revenue attributable to acquiree | 1,700 | ||||
Net income attributable to acquiree | $ 583 | ||||
Acquisition costs | $ 56 | $ 11 | |||
TD Ameritrade Holding [Member] | Investor Services [Member] | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 6,400 | ||||
TD Ameritrade Holding [Member] | Advisor Services [Member] | |||||
Business Acquisition [Line Items] | |||||
Goodwill | $ 3,800 | ||||
TD Ameritrade Holding [Member] | Common Stock [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of shares issued in acquisition (in shares) | shares | 509 | ||||
TD Ameritrade Holding [Member] | Common Stock [Member] | TD Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of shares issued in acquisition (in shares) | shares | 177 | ||||
TD Ameritrade Holding [Member] | Nonvoting Common Stock [Member] | TD Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of shares issued in acquisition (in shares) | shares | 77 | ||||
Number of shares held (in shares) | shares | 79 |
Business Acquisitions (Equity I
Business Acquisitions (Equity Interest Issued) (Details) - TD Ameritrade Holding [Member] $ in Millions | Oct. 06, 2020USD ($) |
Business Acquisition [Line Items] | |
Fair value of consideration for TD Ameritrade outstanding common stock | $ 21,664 |
Fair value of replaced TD Ameritrade equity awards attributable to pre-combination services | 94 |
Purchase price | $ 21,758 |
Conversion of shares (in shares) | 1.0837 |
Business Acquisitions (Purchase
Business Acquisitions (Purchase Price) (Details) - USD ($) $ in Millions | Oct. 06, 2020 | May 26, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Fair value of liabilities assumed: | |||||
Goodwill | $ 11,952 | $ 11,952 | $ 1,227 | ||
TD Ameritrade Holding [Member] | |||||
Business Acquisition [Line Items] | |||||
Purchase price | $ 21,758 | ||||
Fair value of assets acquired: | |||||
Cash and cash equivalents | 3,484 | ||||
Cash and investments segregated and on deposit for regulatory purposes | 14,236 | ||||
Receivables from brokerage clients | 28,009 | ||||
Available for sale securities | 1,779 | ||||
Acquired intangible assets | 8,880 | ||||
Equipment, office facilities, and property | 470 | ||||
Other assets | 3,088 | ||||
Total assets acquired | 59,946 | ||||
Fair value of liabilities assumed: | |||||
Payables to brokerage clients | 37,599 | ||||
Accrued expenses and other liabilities | 6,975 | ||||
Long-term debt | 3,829 | ||||
Total liabilities assumed | 48,403 | ||||
Fair value of net identifiable assets acquired | 11,543 | ||||
Goodwill | $ 10,215 | ||||
USAA-IMCO [Member] | |||||
Business Acquisition [Line Items] | |||||
Purchase price | $ 1,581 | ||||
Fair value of assets acquired: | |||||
Cash and investments segregated and on deposit for regulatory purposes | 4,392 | ||||
Receivables from brokerage clients | 80 | ||||
Acquired intangible assets | 1,109 | ||||
Total assets acquired | 5,581 | ||||
Fair value of liabilities assumed: | |||||
Payables to brokerage clients | 4,472 | ||||
Total liabilities assumed | 4,472 | ||||
Fair value of net identifiable assets acquired | 1,109 | ||||
Goodwill | $ 472 |
Business Acquisitions (Tangible
Business Acquisitions (Tangible and Intangible Assets Acquired) (Details) - USD ($) $ in Millions | Oct. 06, 2020 | May 26, 2020 |
TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Tangible assets acquired | $ 470 | |
Intangible assets acquired | 8,880 | |
USAA-IMCO [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 1,109 | |
Client relationships [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 8,700 | |
Weighted-average useful life of intangible assets | 20 years | |
Client relationships [Member] | USAA-IMCO [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 962 | |
Weighted-average useful life of intangible assets | 18 years | |
Technology [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 165 | |
Weighted-average useful life of intangible assets | 2 years | |
Trade name [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 15 | |
Weighted-average useful life of intangible assets | 2 years | |
Brokerage referral agreement [Member] | USAA-IMCO [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 142 | |
Weighted-average useful life of intangible assets | 20 years | |
Initial term | 5 years | |
Renewal period | 1 year | |
Royalty-free license [Member] | USAA-IMCO [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets acquired | $ 5 | |
Weighted-average useful life of intangible assets | 7 years | |
Real Property [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Tangible assets acquired | $ 226 | |
Weighted-average useful life of tangible assets | 37 years | |
Personal Property [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Tangible assets acquired | $ 162 | |
Weighted-average useful life of tangible assets | 2 years | |
Construction in progress [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Tangible assets acquired | $ 49 | |
Land [Member] | TD Ameritrade Holding [Member] | ||
Business Acquisition [Line Items] | ||
Tangible assets acquired | $ 33 |
Business Acquisitions (Pro Form
Business Acquisitions (Pro Forma Information) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Business Combinations [Abstract] | ||
Total net revenues | $ 16,617 | $ 16,897 |
Net income available to common stockholders | $ 4,617 | $ 5,121 |
Business Acquisitions (USAA-IMC
Business Acquisitions (USAA-IMCO Narrative) (Details) account in Millions, $ in Millions | May 26, 2020USD ($)account | Sep. 30, 2020USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2021USD ($) |
Business Acquisition [Line Items] | ||||||
Goodwill | $ 11,952 | $ 11,952 | $ 1,227 | $ 11,952 | ||
USAA-IMCO [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Cash purchase price | $ 1,600 | |||||
Number of brokerage and managed portfolio accounts acquired | account | 1 | |||||
Client assets acquired | $ 80,000 | |||||
Adjustment to purchase price | $ 43 | |||||
Adjustment to intangible assets | 9 | |||||
Adjustment to goodwill | $ 34 | |||||
Estimated Fair Value | 1,109 | |||||
Goodwill | $ 472 | |||||
Net revenue attributable to acquiree | 235 | |||||
Net loss | $ 51 | |||||
Post-closing adjustment | 21 | |||||
Acquisition costs | $ 54 | $ 14 |
Business Acquisitions (Pro Fo_2
Business Acquisitions (Pro Forma Information Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Oct. 06, 2020 | Oct. 05, 2020 | |
Business Combination and Asset Acquisition [Abstract] | ||||
Service fee | 0.15% | 0.25% | ||
Pro forma, acquisitions costs | $ 156 | $ 40 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Disaggregation of Revenue [Line Items] | ||||
Cash and cash equivalents | $ 40 | $ 120 | $ 518 | |
Cash and investments segregated | 24 | 141 | 345 | |
Receivables from brokerage clients | 2,455 | 848 | 821 | |
Available for sale securities | 4,641 | 4,537 | 1,560 | |
Held to maturity securities | 0 | 0 | 3,591 | |
Bank loans | 620 | 545 | 584 | |
Securities lending revenue | 720 | 334 | 147 | |
Other interest revenue | 6 | 6 | 14 | |
Interest revenue | 8,506 | 6,531 | 7,580 | |
Bank deposits | (54) | (93) | (700) | |
Payables to brokerage clients | (9) | (12) | (79) | |
Short-term borrowings | (9) | 0 | 0 | |
Long-term debt | (384) | (289) | (258) | |
Securities lending expense | (24) | (33) | (38) | |
Other interest expense | 4 | 9 | 11 | |
Interest expense | (476) | (418) | (1,064) | |
Net interest revenue | 8,030 | 6,113 | 6,516 | |
Other | 749 | 332 | 242 | |
Total net revenues | 18,520 | 11,691 | 10,721 | |
Asset management and administration fees [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | [1] | 4,274 | 3,475 | 3,211 |
Asset Management and administration fees, Mutual funds, ETFs, and CTFs [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,961 | 1,770 | 1,747 | |
Asset Management and administration fees, Advice solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,993 | 1,443 | 1,198 | |
Asset Management and administration fees, Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 320 | 262 | 266 | |
Trading revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 4,152 | 1,416 | 752 | |
Trading revenue, Commissions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,050 | 739 | 549 | |
Trading revenue, Order Flow Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,053 | 621 | 135 | |
Trading revenue, Principal Transactions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 49 | 56 | 68 | |
Bank deposit account fees [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | $ 1,315 | $ 355 | $ 0 | |
[1] | Includes fee waivers of $326 million and $127 million for the years ended December 31, 2021 and 2020, respectively. |
Receivables from and Payables_3
Receivables from and Payables to Brokerage Clients (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Receivables | ||
Margin loans | $ 87,365 | $ 60,865 |
Other brokerage receivables | 3,200 | 3,575 |
Receivables from brokerage clients - net | 90,565 | 64,440 |
Payables | ||
Interest-bearing payables | 107,551 | 84,642 |
Non-interest-bearing payables | 18,120 | 19,559 |
Payables to brokerage clients | $ 125,671 | $ 104,201 |
California [Member] | Geographic Concentration Risk [Member] | Contract with Customer [Member] | TD Ameritrade [Member] | ||
Payables | ||
Percent of client accounts | 17.00% | 17.00% |
Investment Securities (Amortize
Investment Securities (Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Securities Available for Sale) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Available for sale securities | ||
Amortized Cost | $ 391,482 | $ 330,248 |
Gross Unrealized Gains | 3,481 | 7,799 |
Gross Unrealized Losses | 4,909 | 647 |
Fair Value | 390,054 | 337,400 |
U.S. agency mortgage-backed securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 335,803 | 283,911 |
Gross Unrealized Gains | 3,141 | 7,005 |
Gross Unrealized Losses | 4,589 | 563 |
Fair Value | 334,355 | 290,353 |
U.S. Treasury securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 21,394 | 10,631 |
Gross Unrealized Gains | 13 | 25 |
Gross Unrealized Losses | 125 | 0 |
Fair Value | 21,282 | 10,656 |
Asset-backed securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 17,547 | 18,808 |
Gross Unrealized Gains | 79 | 174 |
Gross Unrealized Losses | 80 | 84 |
Fair Value | 17,546 | 18,898 |
Corporate debt securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 12,310 | 12,408 |
Gross Unrealized Gains | 143 | 388 |
Gross Unrealized Losses | 109 | 0 |
Fair Value | 12,344 | 12,796 |
U.S. state and municipal securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 1,611 | 1,544 |
Gross Unrealized Gains | 81 | 153 |
Gross Unrealized Losses | 5 | 0 |
Fair Value | 1,687 | 1,697 |
Non-agency commercial mortgage-backed securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 1,170 | 1,213 |
Gross Unrealized Gains | 20 | 52 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 1,190 | 1,265 |
Certificates of deposit [Member] | ||
Available for sale securities | ||
Amortized Cost | 1,000 | 300 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 1 | 0 |
Fair Value | 999 | 300 |
Foreign government agency securities [Member] | ||
Available for sale securities | ||
Amortized Cost | 425 | 1,411 |
Gross Unrealized Gains | 0 | 2 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 425 | 1,413 |
Commercial paper [Member] | ||
Available for sale securities | ||
Amortized Cost | 200 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Fair Value | 200 | |
Other [Member] | ||
Available for sale securities | ||
Amortized Cost | 22 | 22 |
Gross Unrealized Gains | 4 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 26 | $ 22 |
Federal Family Education Loan Program Asset-Backed Securities [Member] | ||
Available for sale securities | ||
Asset-backed securities percent | 58.00% | 51.00% |
Collateralized credit card receivables [Member] | ||
Available for sale securities | ||
Asset-backed securities percent | 30.00% | 36.00% |
Corporate debt securities issued by financial services industry [Member] | ||
Available for sale securities | ||
AFS securities percentage | 31.00% | 46.00% |
Investment Securities (Narrativ
Investment Securities (Narrative) (Details) - USD ($) | Jan. 01, 2019 | Jan. 31, 2022 | Mar. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Other comprehensive income (loss), net of tax | $ (6,503,000,000) | $ 5,306,000,000 | $ 340,000,000 | ||||
Aggregate assets | 667,270,000,000 | 549,009,000,000 | 294,000,000,000 | ||||
Held to maturity securities | $ 134,700,000,000 | ||||||
Gross Unrealized Gains | $ 1,400,000,000 | ||||||
Available-for-sale, written down to fair value | 0 | 0 | |||||
Writedown to fair value | 0 | 0 | |||||
Available-for-sale, allowance for credit loss | 0 | 0 | |||||
OTTI recognized in earnings or other comprehensive income | 0 | ||||||
Accrued interest receivable | 683,000,000 | 634,000,000 | |||||
Accrued interest receivable for AFS | 0 | 0 | |||||
Trust Deposits [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Fair value of pledged securities | 1,300,000,000 | ||||||
U.S. agency mortgage-backed securities [Member] | Subsequent Event [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Fair value of securities transferred from held to maturity | $ 108,800,000,000 | ||||||
Unrealized loss from from transfers to held to maturity | $ 2,400,000,000 | ||||||
Federal Home Loan Bank Advances [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Fair value of pledged securities | 49,600,000,000 | ||||||
Federal Reserve Bank [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Fair value of pledged securities | $ 12,000,000,000 | ||||||
Net unrealized gain (loss) on securities transferred to available for sale from held to maturity [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Other comprehensive income (loss), net of tax | $ 19,000,000 | $ 1,057,000,000 | $ 19,000,000 | ||||
ASU 2017-12 [Member] | |||||||
Schedule of Held-to-maturity Securities [Line Items] | |||||||
Fair value of securities transferred from held to maturity | $ 8,800,000,000 |
Investment Securities (Availabl
Investment Securities (Available For Sale with Unrealized Losses, Aggregated by Category and Period of Continuous Unrealized Loss) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Available for sale securities | ||
Less than 12 months Fair Value | $ 215,409 | $ 63,104 |
Less than 12 months Unrealized Losses | 3,503 | 564 |
12 months or longer Fair Value | 40,938 | 10,596 |
12 months or longer Unrealized Losses | 1,406 | 83 |
Total Fair Value | 256,347 | 73,700 |
Total Unrealized Losses | 4,909 | 647 |
U.S. agency mortgage-backed securities [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 186,955 | 61,706 |
Less than 12 months Unrealized Losses | 3,216 | 551 |
12 months or longer Fair Value | 38,007 | 4,774 |
12 months or longer Unrealized Losses | 1,373 | 12 |
Total Fair Value | 224,962 | 66,480 |
Total Unrealized Losses | 4,589 | 563 |
U.S. Treasury securities [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 16,658 | |
Less than 12 months Unrealized Losses | 125 | |
12 months or longer Fair Value | 21 | |
12 months or longer Unrealized Losses | 0 | |
Total Fair Value | 16,679 | |
Total Unrealized Losses | 125 | |
Asset-backed securities [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 6,093 | 1,398 |
Less than 12 months Unrealized Losses | 58 | 13 |
12 months or longer Fair Value | 2,708 | 5,822 |
12 months or longer Unrealized Losses | 22 | 71 |
Total Fair Value | 8,801 | 7,220 |
Total Unrealized Losses | 80 | $ 84 |
Corporate debt securities [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 4,713 | |
Less than 12 months Unrealized Losses | 99 | |
12 months or longer Fair Value | 197 | |
12 months or longer Unrealized Losses | 10 | |
Total Fair Value | 4,910 | |
Total Unrealized Losses | 109 | |
Certificates of deposit [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 799 | |
Less than 12 months Unrealized Losses | 1 | |
12 months or longer Fair Value | 0 | |
12 months or longer Unrealized Losses | 0 | |
Total Fair Value | 799 | |
Total Unrealized Losses | 1 | |
U.S. state and municipal securities [Member] | ||
Available for sale securities | ||
Less than 12 months Fair Value | 191 | |
Less than 12 months Unrealized Losses | 4 | |
12 months or longer Fair Value | 5 | |
12 months or longer Unrealized Losses | 1 | |
Total Fair Value | 196 | |
Total Unrealized Losses | $ 5 |
Investment Securities (Maturiti
Investment Securities (Maturities of Securities Available for Sale) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Available for sale securities, fair value | ||
Within 1 year | $ 9,790 | |
After 1 year through 5 years | 48,023 | |
After 5 years through 10 years | 82,649 | |
After 10 years | 249,592 | |
Fair Value | 390,054 | $ 337,400 |
Available for sale securities, amortized cost | ||
Within 1 year | 9,761 | |
After 1 year through 5 years | 47,336 | |
After 5 years through 10 years | 82,556 | |
After 10 years | 251,829 | |
Amortized Cost | $ 391,482 | 330,248 |
Weighted-average yield | ||
Within 1 year | 1.28% | |
After 1 year through 5 years | 1.89% | |
After 1 year through 5 years | 1.78% | |
After 10 years | 1.11% | |
Total | 1.35% | |
U.S. agency mortgage-backed securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | $ 3,483 | |
After 1 year through 5 years | 20,916 | |
After 5 years through 10 years | 71,705 | |
After 10 years | 238,251 | |
Fair Value | 334,355 | 290,353 |
Available for sale securities, amortized cost | ||
Amortized Cost | 335,803 | 283,911 |
U.S. Treasury securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 4,049 | |
After 1 year through 5 years | 14,569 | |
After 5 years through 10 years | 2,664 | |
After 10 years | 0 | |
Fair Value | 21,282 | 10,656 |
Available for sale securities, amortized cost | ||
Amortized Cost | 21,394 | 10,631 |
Asset-backed securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 0 | |
After 1 year through 5 years | 4,922 | |
After 5 years through 10 years | 3,003 | |
After 10 years | 9,621 | |
Fair Value | 17,546 | 18,898 |
Available for sale securities, amortized cost | ||
Amortized Cost | 17,547 | 18,808 |
Corporate debt securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 1,634 | |
After 1 year through 5 years | 6,443 | |
After 5 years through 10 years | 4,267 | |
After 10 years | 0 | |
Fair Value | 12,344 | 12,796 |
Available for sale securities, amortized cost | ||
Amortized Cost | 12,310 | 12,408 |
U.S. state and municipal securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 23 | |
After 1 year through 5 years | 150 | |
After 5 years through 10 years | 1,010 | |
After 10 years | 504 | |
Fair Value | 1,687 | 1,697 |
Available for sale securities, amortized cost | ||
Amortized Cost | 1,611 | 1,544 |
Non-agency commercial mortgage-backed securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 0 | |
After 1 year through 5 years | 0 | |
After 5 years through 10 years | 0 | |
After 10 years | 1,190 | |
Fair Value | 1,190 | 1,265 |
Available for sale securities, amortized cost | ||
Amortized Cost | 1,170 | 1,213 |
Certificates of deposit [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 300 | |
After 1 year through 5 years | 699 | |
After 5 years through 10 years | 0 | |
After 10 years | 0 | |
Fair Value | 999 | 300 |
Available for sale securities, amortized cost | ||
Amortized Cost | 1,000 | 300 |
Foreign government agency securities [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 101 | |
After 1 year through 5 years | 324 | |
After 5 years through 10 years | 0 | |
After 10 years | 0 | |
Fair Value | 425 | 1,413 |
Available for sale securities, amortized cost | ||
Amortized Cost | 425 | 1,411 |
Commercial paper [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 200 | |
After 1 year through 5 years | 0 | |
After 5 years through 10 years | 0 | |
After 10 years | 0 | |
Fair Value | 200 | |
Available for sale securities, amortized cost | ||
Amortized Cost | 200 | |
Other [Member] | ||
Available for sale securities, fair value | ||
Within 1 year | 0 | |
After 1 year through 5 years | 0 | |
After 5 years through 10 years | 0 | |
After 10 years | 26 | |
Fair Value | 26 | 22 |
Available for sale securities, amortized cost | ||
Amortized Cost | $ 22 | $ 22 |
Investment Securities (Proceeds
Investment Securities (Proceeds and Gross Realized Gains And Losses from Sales of Securities Available for Sale) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds | $ 13,306 | $ 4,801 | $ 24,495 |
Gross realized gains | 40 | 5 | 16 |
Gross realized losses | $ 36 | $ 1 | $ 10 |
Bank Loans and Related Allowa_3
Bank Loans and Related Allowance for Credit Losses (Composition of Bank Loans and Delinquency Analysis by Loan Segment) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | $ 34,654,000,000 | $ 23,843,000,000 | ||
Allowance for credit losses | 18,000,000 | 30,000,000 | $ 18,000,000 | $ 21,000,000 |
Total bank loans – net | 34,636,000,000 | 23,813,000,000 | ||
Loans accruing interest contractually 90 days or more past due | 0 | 0 | ||
Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 34,564,000,000 | 23,709,000,000 | ||
Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 90,000,000 | 134,000,000 | ||
30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 46,000,000 | 38,000,000 | ||
60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 9,000,000 | 7,000,000 | ||
More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 35,000,000 | 89,000,000 | ||
Residential Real Estate [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 21,738,000,000 | 15,746,000,000 | ||
Allowance for credit losses | 15,000,000 | 27,000,000 | 15,000,000 | 19,000,000 |
Total bank loans – net | 21,723,000,000 | 15,719,000,000 | ||
Residential Real Estate [Member] | Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 21,659,000,000 | 15,627,000,000 | ||
Residential Real Estate [Member] | Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 79,000,000 | 119,000,000 | ||
Residential Real Estate [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 43,000,000 | 28,000,000 | ||
Residential Real Estate [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 1,000,000 | 2,000,000 | ||
Residential Real Estate [Member] | More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 35,000,000 | 89,000,000 | ||
First Mortgage [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 21,090,000,000 | 14,904,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 21,090,000,000 | 14,904,000,000 | ||
Allowance for credit losses | 13,000,000 | 22,000,000 | 11,000,000 | 14,000,000 |
Total bank loans – net | 21,077,000,000 | 14,882,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 21,022,000,000 | 14,804,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 68,000,000 | 100,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 41,000,000 | 27,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 1,000,000 | 1,000,000 | ||
First Mortgage [Member] | Residential Real Estate [Member] | More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 26,000,000 | 72,000,000 | ||
HELOCs [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 648,000,000 | 842,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 648,000,000 | 842,000,000 | ||
Allowance for credit losses | 2,000,000 | 5,000,000 | 4,000,000 | 5,000,000 |
Total bank loans – net | 646,000,000 | 837,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 637,000,000 | 823,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 11,000,000 | 19,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 2,000,000 | 1,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 1,000,000 | ||
HELOCs [Member] | Residential Real Estate [Member] | More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 9,000,000 | 17,000,000 | ||
Pledged asset lines [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 12,709,000,000 | 7,916,000,000 | ||
Allowance for credit losses | 0 | 0 | ||
Total bank loans – net | 12,709,000,000 | 7,916,000,000 | ||
Pledged asset lines [Member] | Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 12,698,000,000 | 7,901,000,000 | ||
Pledged asset lines [Member] | Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 11,000,000 | 15,000,000 | ||
Pledged asset lines [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 3,000,000 | 10,000,000 | ||
Pledged asset lines [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 8,000,000 | 5,000,000 | ||
Pledged asset lines [Member] | More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 0 | ||
Other [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 207,000,000 | 181,000,000 | ||
Allowance for credit losses | 3,000,000 | 3,000,000 | $ 3,000,000 | $ 2,000,000 |
Total bank loans – net | 204,000,000 | 178,000,000 | ||
Other [Member] | Current [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 207,000,000 | 181,000,000 | ||
Other [Member] | Total Past Due And Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 0 | ||
Other [Member] | 30-59 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 0 | ||
Other [Member] | 60-89 Days Past Due [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 0 | ||
Other [Member] | More Than 90 Days Past Due and Other Nonaccrual Loans [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Total nonperforming assets | 0 | 0 | ||
First Mortgage And Home Equity [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Unamortized premiums and discounts and direct origination costs | $ 91,000,000 | $ 72,000,000 | ||
First Mortgage And Home Equity [Member] | Loans Geographic Area [Member] | California [Member] | Geographic Concentration Risk [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Concentration risk percentage | 46.00% | 45.00% |
Bank Loans and Related Allowa_4
Bank Loans and Related Allowance for Credit Losses (Changes in Allowance for Credit Losses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | $ 30 | $ 18 | $ 21 |
Charge-offs | (1) | 0 | 0 |
Recoveries | 1 | 1 | 2 |
Provision for loan losses | (12) | 10 | (5) |
Balance at end of period | 18 | 30 | 18 |
Adoption of ASU 2016-13 [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 0 | 1 | 0 |
Balance at end of period | 0 | 1 | |
Residential Real Estate [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 27 | 15 | 19 |
Charge-offs | 0 | 0 | 0 |
Recoveries | 1 | 1 | 2 |
Provision for loan losses | (13) | 10 | (6) |
Balance at end of period | 15 | 27 | 15 |
Residential Real Estate [Member] | Adoption of ASU 2016-13 [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 0 | 1 | 0 |
Balance at end of period | 0 | 1 | |
First Mortgage [Member] | Residential Real Estate [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 22 | 11 | 14 |
Charge-offs | 0 | 0 | 0 |
Recoveries | 0 | 1 | 1 |
Provision for loan losses | (9) | 9 | (4) |
Balance at end of period | 13 | 22 | 11 |
First Mortgage [Member] | Residential Real Estate [Member] | Adoption of ASU 2016-13 [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 0 | 1 | 0 |
Balance at end of period | 0 | 1 | |
HELOCs [Member] | Residential Real Estate [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 5 | 4 | 5 |
Charge-offs | 0 | 0 | 0 |
Recoveries | 1 | 0 | 1 |
Provision for loan losses | (4) | 1 | (2) |
Balance at end of period | 2 | 5 | 4 |
HELOCs [Member] | Residential Real Estate [Member] | Adoption of ASU 2016-13 [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 0 | 0 | 0 |
Balance at end of period | 0 | 0 | |
Other [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | 3 | 3 | 2 |
Charge-offs | (1) | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provision for loan losses | 1 | 0 | 1 |
Balance at end of period | 3 | 3 | 3 |
Other [Member] | Adoption of ASU 2016-13 [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of period | $ 0 | 0 | 0 |
Balance at end of period | $ 0 | $ 0 |
Bank Loans and Related Allowa_5
Bank Loans and Related Allowance for Credit Losses (Nonperforming Assets and Troubled Debt Restructuring) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonperforming assets | $ 34,654 | $ 23,843 |
Troubled debt restructurings | 0 | 1 |
Total nonperforming assets and troubled debt restructurings | 36 | 91 |
Nonperforming Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonperforming assets | 36 | 90 |
Nonperforming Financial Instruments [Member] | Nonaccrual Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual loans | 35 | 89 |
Nonperforming Financial Instruments [Member] | Other Real Estate Owned [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonperforming assets | $ 1 | $ 1 |
Bank Loans and Related Allowa_6
Bank Loans and Related Allowance for Credit Losses (Credit Quality Indicators of Bank Loan Portfolio) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total loans | $ 34,654 | $ 23,843 |
First Mortgage [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 12,990 | |
2020 | 5,004 | 7,974 |
2019 | 1,200 | 2,820 |
2018 | 207 | 557 |
2017 | 458 | 1,047 |
pre-2017 | 1,231 | 2,506 |
Total loans | $ 21,090 | $ 14,904 |
Percent of Loans on Nonaccrual Status | ||
2021 | 0.03% | |
2020 | 0.10% | 0.09% |
2019 | 0.03% | 0.38% |
2018 | 0.03% | 1.02% |
2017 | 0.03% | 0.87% |
pre-2017 | 1.40% | 1.57% |
Total loans | 0.12% | 0.48% |
First Mortgage [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | $ 12,990 | |
2020 | 5,004 | $ 7,974 |
2019 | 1,200 | 2,820 |
2018 | 207 | 557 |
2017 | 458 | 1,047 |
pre-2017 | 1,231 | 2,506 |
Total loans | 21,090 | 14,904 |
First Mortgage [Member] | Origination Loan To Value Ratio 70% And Below [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 11,234 | |
2020 | 4,159 | 6,653 |
2019 | 948 | 2,211 |
2018 | 160 | 396 |
2017 | 351 | 793 |
pre-2017 | 909 | 1,935 |
Total loans | 17,761 | 11,988 |
First Mortgage [Member] | Origination Loan to Value Ratio Greater Than 70% Through 90% [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,756 | |
2020 | 845 | 1,321 |
2019 | 252 | 609 |
2018 | 47 | 161 |
2017 | 107 | 254 |
pre-2017 | 319 | 568 |
Total loans | 3,326 | 2,913 |
First Mortgage [Member] | Origination Loan to Value Ratio Greater Than 90% Through 100% [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 0 | |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
2017 | 0 | 0 |
pre-2017 | 3 | 3 |
Total loans | 3 | 3 |
First Mortgage [Member] | Estimated Current LTV 70% And Below [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 11,707 | |
2020 | 4,961 | 6,999 |
2019 | 1,196 | 2,582 |
2018 | 206 | 533 |
2017 | 455 | 1,034 |
pre-2017 | 1,229 | 2,490 |
Total loans | 19,754 | 13,638 |
First Mortgage [Member] | Estimated Current LTV Greater Than 70% through 90% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,283 | |
2020 | 43 | 975 |
2019 | 4 | 238 |
2018 | 1 | 24 |
2017 | 3 | 13 |
pre-2017 | 2 | 16 |
Total loans | 1,336 | 1,266 |
First Mortgage [Member] | Estimated Current LTV Greater Than 90% through 100% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 0 | |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
2017 | 0 | 0 |
pre-2017 | 0 | 0 |
Total loans | 0 | 0 |
First Mortgage [Member] | Estimated Current LTV Greater Than 100% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 0 | |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
2017 | 0 | 0 |
pre-2017 | 0 | 0 |
Total loans | 0 | 0 |
First Mortgage [Member] | Origination FICO Score Below 620 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1 | |
2020 | 1 | 1 |
2019 | 0 | 0 |
2018 | 0 | 0 |
2017 | 0 | 0 |
pre-2017 | 1 | 2 |
Total loans | 3 | 3 |
First Mortgage [Member] | Origination FICO Score 620 Through 679 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 34 | |
2020 | 25 | 29 |
2019 | 5 | 13 |
2018 | 1 | 3 |
2017 | 6 | 8 |
pre-2017 | 19 | 31 |
Total loans | 90 | 84 |
First Mortgage [Member] | Origination FICO Score 680 Through 739 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,306 | |
2020 | 524 | 794 |
2019 | 146 | 355 |
2018 | 41 | 105 |
2017 | 98 | 181 |
pre-2017 | 215 | 419 |
Total loans | 2,330 | 1,854 |
First Mortgage [Member] | Origination FICO Score 740 And Above [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 11,649 | |
2020 | 4,454 | 7,150 |
2019 | 1,049 | 2,452 |
2018 | 165 | 449 |
2017 | 354 | 858 |
pre-2017 | 996 | 2,054 |
Total loans | 18,667 | 12,963 |
First Mortgage [Member] | Weighted Average Updated FICO Score Below 620 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 5 | |
2020 | 2 | 5 |
2019 | 1 | 2 |
2018 | 0 | 1 |
2017 | 2 | 4 |
pre-2017 | 12 | 19 |
Total loans | 22 | 31 |
First Mortgage [Member] | Wighted Average Updated FICO Score 620 Through 679 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 96 | |
2020 | 69 | 67 |
2019 | 19 | 34 |
2018 | 7 | 16 |
2017 | 8 | 21 |
pre-2017 | 30 | 60 |
Total loans | 229 | 198 |
First Mortgage [Member] | Weighted Average Updated FICO Score 680 Through 739 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,265 | |
2020 | 421 | 784 |
2019 | 115 | 252 |
2018 | 24 | 66 |
2017 | 53 | 121 |
pre-2017 | 149 | 281 |
Total loans | 2,027 | 1,504 |
First Mortgage [Member] | Weighted Average Updated FICO Score 740 and Above [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 11,624 | |
2020 | 4,512 | 7,118 |
2019 | 1,065 | 2,532 |
2018 | 176 | 474 |
2017 | 395 | 901 |
pre-2017 | 1,040 | 2,146 |
Total loans | 18,812 | 13,171 |
HELOCs [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 369 | 463 |
HELOCs converted to term loans | 279 | 379 |
Total loans | $ 648 | $ 842 |
Percent of Loans on Nonaccrual Status | ||
Revolving HELOCs amortized cost basis | 0.64% | 1.37% |
HELOCs converted to term loans | 2.33% | 2.80% |
Total loans | 1.39% | 2.02% |
HELOCs [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | $ 369 | $ 463 |
HELOCs converted to term loans | 279 | 379 |
Total loans | 648 | 842 |
HELOCs [Member] | Origination Loan To Value Ratio 70% And Below [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 305 | 351 |
HELOCs converted to term loans | 199 | 269 |
Total loans | 504 | 620 |
HELOCs [Member] | Origination Loan to Value Ratio Greater Than 70% Through 90% [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 64 | 112 |
HELOCs converted to term loans | 78 | 107 |
Total loans | 142 | 219 |
HELOCs [Member] | Origination Loan to Value Ratio Greater Than 90% Through 100% [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 0 | 0 |
HELOCs converted to term loans | 2 | 3 |
Total loans | 2 | 3 |
HELOCs [Member] | Estimated Current LTV 70% And Below [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 368 | 452 |
HELOCs converted to term loans | 277 | 368 |
Total loans | 645 | 820 |
HELOCs [Member] | Estimated Current LTV Greater Than 70% through 90% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 1 | 11 |
HELOCs converted to term loans | 2 | 9 |
Total loans | 3 | 20 |
HELOCs [Member] | Estimated Current LTV Greater Than 90% through 100% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 0 | 0 |
HELOCs converted to term loans | 0 | 1 |
Total loans | 0 | 1 |
HELOCs [Member] | Estimated Current LTV Greater Than 100% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 0 | 0 |
HELOCs converted to term loans | 0 | 1 |
Total loans | 0 | 1 |
HELOCs [Member] | Origination FICO Score Below 620 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 0 | 0 |
HELOCs converted to term loans | 0 | 0 |
Total loans | 0 | 0 |
HELOCs [Member] | Origination FICO Score 620 Through 679 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 0 | 1 |
HELOCs converted to term loans | 2 | 3 |
Total loans | 2 | 4 |
HELOCs [Member] | Origination FICO Score 680 Through 739 [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 61 | 82 |
HELOCs converted to term loans | 60 | 80 |
Total loans | 121 | 162 |
HELOCs [Member] | Origination FICO Score 740 And Above [Member] | Financial Asset Originated [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 308 | 380 |
HELOCs converted to term loans | 217 | 296 |
Total loans | 525 | 676 |
HELOCs [Member] | Weighted Average Updated FICO Score Below 620 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 2 | 3 |
HELOCs converted to term loans | 6 | 9 |
Total loans | 8 | 12 |
HELOCs [Member] | Wighted Average Updated FICO Score 620 Through 679 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 6 | 12 |
HELOCs converted to term loans | 14 | 20 |
Total loans | 20 | 32 |
HELOCs [Member] | Weighted Average Updated FICO Score 680 Through 739 [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 51 | 58 |
HELOCs converted to term loans | 39 | 55 |
Total loans | 90 | 113 |
HELOCs [Member] | Weighted Average Updated FICO Score 740 and Above [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Revolving HELOCs amortized cost basis | 310 | 390 |
HELOCs converted to term loans | 220 | 295 |
Total loans | $ 530 | $ 685 |
Bank Loans and Related Allowa_7
Bank Loans and Related Allowance for Credit Losses (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accrued interest | $ 57 | $ 43 |
Total bank loans | 34,654 | 23,843 |
Adjustable Rate First Mortgage [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Bank loans | $ 17,000 | |
Percent of loans with interest-only payments | 28.00% | |
Percent of interest only adjustable rate | 89.00% | |
Adjustable Rate First Mortgage [Member] | Minimum [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Fixed rate interest rate period | 3 years | |
Interest-only reset period | 3 years | |
Adjustable Rate First Mortgage [Member] | Maximum [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Fixed rate interest rate period | 10 years | |
HELOCs [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan term | 30 years | |
Initial draw period | 10 years | |
Converting to amortizing loan period | 20 years | |
Total bank loans | $ 648 | $ 842 |
Percent of loan balance outstanding, borrowers paid only minimum due | 53.00% | |
Home Equity Secured By Second Liens [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total bank loans | $ 495 |
Bank Loans and Related Allowa_8
Bank Loans and Related Allowance for Credit Losses (Convert to Amortizing Loans) (Details) - HELOCs [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
HELOCs converted to amortizing loans | $ 19 | $ 26 |
Converted to an amortizing loan by period end | 279 | |
Within 1 year | 16 | |
> 1 year – 3 years | 72 | |
> 3 years – 5 years | 65 | |
> 5 years | 216 | |
Total | $ 648 |
Equipment, Office Facilities,_3
Equipment, Office Facilities, and Property (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | $ 6,330 | $ 5,550 |
Accumulated depreciation and amortization | (2,888) | (2,667) |
Total equipment, office facilities, and property — net | 3,442 | 2,883 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 2,524 | 2,314 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 1,640 | 1,444 |
Information technology equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 679 | 509 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 462 | 455 |
Construction in progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 429 | 325 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | 208 | 208 |
Property, Plant and Equipment, Other Types [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total equipment, office facilities, and property | $ 388 | $ 295 |
Goodwill and Acquired Intangi_3
Goodwill and Acquired Intangible Assets (Acquired Intangible Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | $ 10,510 | $ 10,507 |
Accumulated Amortization | (1,131) | (516) |
Net Carrying Value | 9,379 | 9,991 |
Client relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 10,089 | 10,089 |
Accumulated Amortization | (908) | (386) |
Net Carrying Value | 9,181 | 9,703 |
Technology [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 305 | 305 |
Accumulated Amortization | (197) | (112) |
Net Carrying Value | 108 | 193 |
Trade name [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 116 | 113 |
Accumulated Amortization | (26) | (18) |
Net Carrying Value | $ 90 | $ 95 |
Goodwill and Acquired Intangi_4
Goodwill and Acquired Intangible Assets (Future Amortization Expense) (Details) $ in Millions | Dec. 31, 2021USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2022 | $ 596 |
2023 | 534 |
2024 | 518 |
2025 | 512 |
2026 | 508 |
Thereafter | 6,630 |
Total | 9,298 |
Indefinite-lived intangible assets | $ 81 |
Goodwill and Acquired Intangi_5
Goodwill and Acquired Intangible Assets (Changes in Carrying Amount of Goodwill as Allocated to Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | ||
Beginning balance | $ 11,952 | $ 1,227 |
Goodwill acquired and other changes during the period | 0 | |
Ending balance | 11,952 | 11,952 |
TD Ameritrade Holding [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | 10,215 | |
Other Acquisitions [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | 510 | |
Investor Services [Member] | ||
Goodwill [Roll Forward] | ||
Beginning balance | 7,970 | 1,096 |
Goodwill acquired and other changes during the period | 0 | |
Ending balance | 7,970 | 7,970 |
Investor Services [Member] | TD Ameritrade Holding [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | 6,380 | |
Investor Services [Member] | Other Acquisitions [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | 494 | |
Advisor Services [Member] | ||
Goodwill [Roll Forward] | ||
Beginning balance | 3,982 | 131 |
Goodwill acquired and other changes during the period | 0 | |
Ending balance | $ 3,982 | 3,982 |
Advisor Services [Member] | TD Ameritrade Holding [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | 3,835 | |
Advisor Services [Member] | Other Acquisitions [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill acquired | $ 16 |
Goodwill and Acquired Intangi_6
Goodwill and Acquired Intangible Assets (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Goodwill impairment | $ 0 | $ 0 | $ 0 |
Other Assets (Components of Oth
Other Assets (Components of Other Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Other receivables from brokers, dealers, and clearing organizations | $ 2,475 | $ 1,748 |
Receivables — interest, dividends, and other | 1,615 | 1,180 |
Other securities owned at fair value | 1,584 | 687 |
Other investments | 1,526 | 1,019 |
Operating lease ROU assets | 842 | 937 |
Customer contract receivables | 637 | 579 |
Securities borrowed | 582 | 873 |
Capitalized contract costs | 344 | 303 |
Other | 713 | 457 |
Total other assets | 10,318 | 7,783 |
FRB stock | 436 | 191 |
Federal Home Loan Bank Advances [Member] | ||
Debt Instrument [Line Items] | ||
FHLB stock | $ 29 | $ 29 |
Other Assets (Narrative) (Detai
Other Assets (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Amortization expense related to capitalized contract costs | $ 69 | $ 63 | $ 55 |
Variable Interest Entities (Nar
Variable Interest Entities (Narrative) (Details) - Variable Interest Entity, Not Primary Beneficiary [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Variable Interest Entity [Line Items] | |||
Amortization | $ 71 | $ 56 | $ 39 |
Tax credits and other tax benefits | $ 90 | $ 69 | $ 47 |
Variable Interest Entities (Agg
Variable Interest Entities (Aggregate Assets, Liabilities and Maximum Exposure to Loss) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Variable Interest Entity [Line Items] | |||
Aggregate assets | $ 667,270 | $ 549,009 | $ 294,000 |
Aggregate liabilities | 611,009 | 492,949 | |
Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Variable Interest Entity [Line Items] | |||
Aggregate assets | 1,076 | 767 | |
Aggregate liabilities | 530 | 344 | |
Maximum exposure to loss | 1,126 | 801 | |
LIHTC investments [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Variable Interest Entity [Line Items] | |||
Aggregate assets | 915 | 649 | |
Aggregate liabilities | 530 | 344 | |
Maximum exposure to loss | 915 | 649 | |
Other CRA investments [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Variable Interest Entity [Line Items] | |||
Aggregate assets | 161 | 118 | |
Aggregate liabilities | 0 | 0 | |
Maximum exposure to loss | $ 211 | $ 152 |
Bank Deposits (Details)
Bank Deposits (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Interest-bearing deposits: | ||
Deposits swept from brokerage accounts | $ 412,287 | $ 332,513 |
Checking | 22,786 | 17,785 |
Savings and other | 7,234 | 6,739 |
Total interest-bearing deposits | 442,307 | 357,037 |
Non-interest-bearing deposits | 1,471 | 985 |
Total bank deposits | $ 443,778 | $ 358,022 |
Borrowings (Long-term Debt Incl
Borrowings (Long-term Debt Including Unamortized Debt Discounts and Premiums) (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2021USD ($)debt_instrument | Dec. 31, 2020USD ($) | |
Debt Instrument [Line Items] | ||
Finance lease liabilities | $ 94 | $ 6 |
Unamortized premium — net | 180 | 249 |
Debt issuance costs | (91) | (54) |
Total long-term debt | 18,914 | 13,632 |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | 17,768 | 9,881 |
Senior Notes [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 213 | |
Aggregate principal amount of debt | $ 2,200 | |
Number of senior notes | debt_instrument | 4 | |
Senior Notes [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 963 | 3,550 |
Aggregate principal amount of debt | $ 2,000 | |
Percentage of debt principal exchanged | 90.00% | |
Senior Notes [Member] | Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.25% | |
Senior notes | $ 0 | 600 |
Senior Notes [Member] | Senior Notes Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.225% | |
Senior notes | $ 256 | 256 |
Senior Notes [Member] | Senior Notes Due 2022 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.95% | |
Senior notes | $ 750 | 750 |
Senior Notes [Member] | Senior Notes Due 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.65% | |
Senior notes | $ 800 | 800 |
Senior Notes [Member] | Senior Notes Due February 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.55% | |
Senior notes | $ 500 | 500 |
Senior Notes [Member] | Senior Notes Due March 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 0.75% | |
Senior notes | $ 1,500 | 0 |
Senior Notes [Member] | Senior Notes Due April 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.75% | |
Senior notes | $ 350 | 0 |
Senior Notes [Member] | Senior Notes Due April 2024 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.75% | |
Senior notes | $ 50 | 400 |
Senior Notes [Member] | Senior Notes Due March 10, 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.00% | |
Senior notes | $ 375 | 375 |
Senior Notes [Member] | Senior Notes Due March 24, 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 4.20% | |
Senior notes | $ 600 | 600 |
Senior Notes [Member] | Senior Notes Due April 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.625% | |
Senior notes | $ 418 | 0 |
Senior Notes [Member] | Senior Notes Due April 2025 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.625% | |
Senior notes | $ 82 | 500 |
Senior Notes [Member] | Senior Notes Due May 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.85% | |
Senior notes | $ 750 | 750 |
Senior Notes [Member] | Senior Notes Due February 2026 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.45% | |
Senior notes | $ 350 | 350 |
Senior Notes [Member] | Senior Notes Due March 2026 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 0.90% | |
Senior notes | $ 1,250 | 1,250 |
Senior Notes [Member] | Senior Notes Due May 2026 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 1.15% | |
Senior notes | $ 1,000 | 0 |
Senior Notes [Member] | Senior Notes Due March 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.20% | |
Senior notes | $ 650 | 650 |
Senior Notes [Member] | Senior Notes Due April 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.30% | |
Senior notes | $ 744 | 0 |
Senior Notes [Member] | Senior Notes Due April 2027 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.30% | |
Senior notes | $ 56 | 800 |
Senior Notes [Member] | Senior Notes Due January 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.20% | |
Senior notes | $ 700 | 700 |
Senior Notes [Member] | Senior Notes Due March 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.00% | |
Senior notes | $ 1,250 | 0 |
Senior Notes [Member] | Senior Notes Due February 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 4.00% | |
Senior notes | $ 600 | 600 |
Senior Notes [Member] | Senior Notes Due May 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 3.25% | |
Senior notes | $ 600 | 600 |
Senior Notes [Member] | Senior Notes Due October 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.75% | |
Senior notes | $ 475 | 0 |
Senior Notes [Member] | Senior Notes Due October 2029 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.75% | |
Senior notes | $ 25 | 500 |
Senior Notes [Member] | Senior Notes Due 2030 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 4.625% | |
Senior notes | $ 500 | 500 |
Senior Notes [Member] | Senior Notes Due March 2031 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 1.65% | |
Senior notes | $ 750 | 750 |
Senior Notes [Member] | Senior Notes Due May 2031 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 2.30% | |
Senior notes | $ 750 | 0 |
Senior Notes [Member] | Senior Notes Due December 2031 [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 1.95% | |
Senior notes | $ 850 | 0 |
Senior Notes [Member] | Floating Rate Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 0 | 600 |
Senior Notes [Member] | Floating Rate Senior Notes Due 2021 [Member] | LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread rate | 0.32% | |
Senior Notes [Member] | Floating Rate Senior Notes Due 2021 [Member] | LIBOR [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread rate | 0.43% | |
Senior Notes [Member] | Floating Rate Senior Notes Due 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 1,250 | 0 |
Senior Notes [Member] | Floating Rate Senior Notes Due 2024 [Member] | SOFR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread rate | 0.50% | |
Senior Notes [Member] | Floating Rate Senior Notes Due 2026 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 500 | 0 |
Senior Notes [Member] | Floating Rate Senior Notes Due 2026 [Member] | SOFR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread rate | 0.52% | |
Senior Notes [Member] | Various Rates Debt Due 2021 [Member] | TD Ameritrade Holding [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 0 | $ 600 |
Borrowings (Annual Maturities o
Borrowings (Annual Maturities on Long-term Debt Outstanding) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | ||
2022 | $ 1,036 | |
2023 | 829 | |
2024 | 3,673 | |
2025 | 2,237 | |
2026 | 3,100 | |
Thereafter | 7,950 | |
Total maturities | 18,825 | |
Unamortized premium — net | 180 | |
Debt issuance costs | (91) | $ (54) |
Total long-term debt | $ 18,914 | $ 13,632 |
Borrowings (Narrative) (Details
Borrowings (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Line of Credit Facility [Line Items] | ||
Capacity of allowable commercial paper note issuance | $ 5,000,000,000 | $ 1,500,000,000 |
Commercial paper | 3,000,000,000 | 0 |
TDAC [Member] | ||
Line of Credit Facility [Line Items] | ||
Borrowings outstanding | 1,900,000,000 | 0 |
Line of credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Total borrowing capacity | 1,500,000,000 | |
Amounts outstanding | 0 | 0 |
Unsecured Credit Facility [Member] | TDAC [Member] | ||
Line of Credit Facility [Line Items] | ||
Total borrowing capacity | 600,000,000 | |
Amounts outstanding | 0 | 0 |
Unsecured Credit Facility [Member] | TDAC [Member] | Debt Due 2021 [Member] | ||
Line of Credit Facility [Line Items] | ||
Total borrowing capacity | 850,000,000 | |
Federal Home Loan Bank Advances [Member] | ||
Line of Credit Facility [Line Items] | ||
Total borrowing capacity | 12,000,000,000 | 7,900,000,000 |
Amounts outstanding | 0 | 0 |
Federal Home Loan Bank Advances [Member] | Secured Credit Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Amounts outstanding | 0 | 0 |
Line of credit facility, current borrowing capacity | 63,500,000,000 | 55,100,000,000 |
Repurchase Agreements [Member] | ||
Line of Credit Facility [Line Items] | ||
Amounts outstanding | $ 0 | $ 0 |
Commercial paper [Member] | ||
Line of Credit Facility [Line Items] | ||
Maturity term | 270 days |
Leases (Lease Assets and Liabil
Leases (Lease Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Operating lease ROU assets | $ 842 | $ 937 |
Operating lease liabilities | $ 932 | $ 1,033 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Accrued expenses and other liabilities | Accrued expenses and other liabilities |
Leases (Lease Cost, Term and Di
Leases (Lease Cost, Term and Discount Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Operating lease cost | $ 220 | $ 166 | $ 137 |
Variable lease cost | $ 48 | $ 34 | $ 34 |
Weighted-average remaining lease term (years) | 6 years 7 months 17 days | 7 years 7 days | |
Weighted-average discount rate | 2.48% | 2.86% |
Leases (Maturity of Lease Liabi
Leases (Maturity of Lease Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Lessor, Lease, Description [Line Items] | ||
2022 | $ 191 | |
2023 | 185 | |
2024 | 149 | |
2025 | 128 | |
2026 | 103 | |
Thereafter | 257 | |
Total lease payments | 1,013 | |
Less: Interest | 81 | |
Present value of lease liabilities | 932 | $ 1,033 |
Lease not yet commenced | $ 40 | |
Minimum [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Lease not yet commenced, term | 5 years | |
Maximum [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Lease not yet commenced, term | 15 years |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Finance lease right-of-use assets | $ 93 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Equipment, office facilities, and property — net | Equipment, office facilities, and property — net |
Finance lease liabilities | $ 94 | $ 6 |
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Long-term debt | Long-term debt |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) - USD ($) | 2 Months Ended | 12 Months Ended | |||
Feb. 24, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Jul. 01, 2021 | Oct. 06, 2020 | |
Loss Contingencies [Line Items] | |||||
Aggregate face amount of letter of credit agreements | $ 15,000,000 | ||||
Reduction in deposit balance over 12 month period | $ 10,000,000,000 | ||||
Floor amount | $ 50,000,000,000 | ||||
Percentage of fixed rate investments | 80.00% | ||||
Additions (reductions) in depots balance | 10,100,000,000 | ||||
SEC investigation liability and non-deductible charge | 200,000,000 | ||||
Subsequent Event [Member] | |||||
Loss Contingencies [Line Items] | |||||
Additions (reductions) in depots balance | $ 10,000,000,000 | ||||
Performance Guarantee [Member] | |||||
Loss Contingencies [Line Items] | |||||
Liability for guarantees | 0 | ||||
Ending IDA balance | 147,200,000,000 | $ 154,100,000,000 | |||
Margin Requirements [Member] | |||||
Loss Contingencies [Line Items] | |||||
Funds drawn under LOC's | 0 | ||||
First Mortgage [Member] | |||||
Loss Contingencies [Line Items] | |||||
Purchases during period | 14,000,000,000 | 8,700,000,000 | |||
HELOCs [Member] | |||||
Loss Contingencies [Line Items] | |||||
Purchases during period | $ 418,000,000 | $ 458,000,000 |
Commitments and Contingencies_3
Commitments and Contingencies (Commitments to Extend/Purchase) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commitments to purchase | $ 8,017 | $ 10,058 |
Home Equity Loans and Lines of Credit, Pledged Asset Lines and Other Lines of Credit [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commitments to extend credit related to unused HELOCs, PALs, and other lines of credit | 6,193 | 8,141 |
First Mortgage [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commitments to purchase | $ 1,824 | $ 1,917 |
Exit and Other Related Liabil_3
Exit and Other Related Liabilities (Narrative) (Details) - USD ($) $ in Millions | Oct. 06, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2021 |
Restructuring Cost and Reserve [Line Items] | ||||
Acquisition-related exit costs incurred | $ 108 | $ 186 | $ 294 | |
Acquisition-related Costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Acquisition-related exit costs incurred | 108 | $ 186 | ||
Minimum [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Client conversion period | 30 months | |||
Expected integration exit and other related costs | $ 650 | 650 | ||
Expected period of remaining costs to be incurred | 21 months | |||
Maximum [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Client conversion period | 36 months | |||
Expected integration exit and other related costs | $ 1,000 | $ 1,000 | ||
Expected period of remaining costs to be incurred | 33 months |
Exit and Other Related Liabil_4
Exit and Other Related Liabilities (Summary of the Activity in Exit Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | 15 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2021 | |
Restructuring Reserve | |||
Balance at beginning of period | $ 110 | $ 0 | |
Amounts recognized in expense | 83 | 176 | |
Costs paid or otherwise settled | (158) | (89) | |
Balance at end of period | 35 | 110 | $ 35 |
Acquisition-related exit costs incurred | 108 | 186 | 294 |
Exit and other related liabilities assumed in business acquisition | 23 | ||
Occupancy and equipment [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 22 | 7 | 29 |
Depreciation and amortization [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 3 | 3 | |
Investor Services [Member] | |||
Restructuring Reserve | |||
Balance at beginning of period | 86 | 0 | |
Amounts recognized in expense | 66 | 138 | |
Costs paid or otherwise settled | (124) | (70) | |
Balance at end of period | 28 | 86 | 28 |
Reduction in estimate of restructuring reserve | 9 | ||
Acquisition-related exit costs incurred | 87 | 146 | 233 |
Investor Services [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 66 | 138 | 204 |
Exit and other related liabilities assumed in business acquisition | 18 | ||
Investor Services [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 21 | 8 | 29 |
Investor Services [Member] | Occupancy and equipment [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 18 | 6 | 24 |
Investor Services [Member] | Occupancy and equipment [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 0 | 0 | 0 |
Investor Services [Member] | Occupancy and equipment [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 18 | 6 | 24 |
Investor Services [Member] | Depreciation and amortization [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 2 | 2 | |
Investor Services [Member] | Depreciation and amortization [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 0 | 0 | |
Investor Services [Member] | Depreciation and amortization [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 2 | 2 | |
Advisor Services [Member] | |||
Restructuring Reserve | |||
Balance at beginning of period | 24 | 0 | |
Amounts recognized in expense | 17 | 38 | |
Costs paid or otherwise settled | (34) | (19) | |
Balance at end of period | 7 | 24 | 7 |
Reduction in estimate of restructuring reserve | 2 | ||
Acquisition-related exit costs incurred | 21 | 40 | 61 |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 17 | 38 | 55 |
Exit and other related liabilities assumed in business acquisition | 5 | ||
Advisor Services [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 4 | 2 | 6 |
Advisor Services [Member] | Occupancy and equipment [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 4 | 1 | 5 |
Advisor Services [Member] | Occupancy and equipment [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 0 | 0 | 0 |
Advisor Services [Member] | Occupancy and equipment [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | $ 4 | 1 | 5 |
Advisor Services [Member] | Depreciation and amortization [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 1 | 1 | |
Advisor Services [Member] | Depreciation and amortization [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | 0 | 0 | |
Advisor Services [Member] | Depreciation and amortization [Member] | Facility Exit Costs [Member] | |||
Restructuring Reserve | |||
Acquisition-related exit costs incurred | $ 1 | $ 1 |
Exit and Other Related Liabil_5
Exit and Other Related Liabilities (Summary of the Cumulative Acquisition-Related Exit Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | 15 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | $ 108 | $ 186 | $ 294 |
Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 83 | 176 | 259 |
Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 22 | 7 | 29 |
Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 3 | 3 | |
Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 1 | 1 | |
Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 2 | 2 | |
Investor Services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 87 | 146 | 233 |
Investor Services [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 66 | 138 | 204 |
Investor Services [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 18 | 6 | 24 |
Investor Services [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 2 | 2 | |
Investor Services [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 1 | 1 | |
Investor Services [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 2 | 2 | |
Investor Services [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 66 | 138 | 204 |
Investor Services [Member] | Employee Compensation and Benefits [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 66 | 138 | 204 |
Investor Services [Member] | Employee Compensation and Benefits [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | 0 |
Investor Services [Member] | Employee Compensation and Benefits [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Investor Services [Member] | Employee Compensation and Benefits [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Investor Services [Member] | Employee Compensation and Benefits [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Investor Services [Member] | Facility Exit Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 21 | 8 | 29 |
Investor Services [Member] | Facility Exit Costs [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | 0 |
Investor Services [Member] | Facility Exit Costs [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 18 | 6 | 24 |
Investor Services [Member] | Facility Exit Costs [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 2 | 2 | |
Investor Services [Member] | Facility Exit Costs [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 1 | 1 | |
Investor Services [Member] | Facility Exit Costs [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 2 | 2 | |
Advisor Services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 21 | 40 | 61 |
Advisor Services [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 17 | 38 | 55 |
Advisor Services [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 4 | 1 | 5 |
Advisor Services [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 1 | 1 | |
Advisor Services [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 17 | 38 | 55 |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 17 | 38 | 55 |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | 0 |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Employee Compensation and Benefits [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Facility Exit Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 4 | 2 | 6 |
Advisor Services [Member] | Facility Exit Costs [Member] | Compensation and benefits [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | 0 |
Advisor Services [Member] | Facility Exit Costs [Member] | Occupancy and equipment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 4 | 1 | 5 |
Advisor Services [Member] | Facility Exit Costs [Member] | Depreciation and amortization [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | $ 1 | 1 | |
Advisor Services [Member] | Facility Exit Costs [Member] | Professional services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | 0 | 0 | |
Advisor Services [Member] | Facility Exit Costs [Member] | Other [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Exit and other related costs incurred in period | $ 0 | $ 0 |
Financial Instruments Subject_3
Financial Instruments Subject to Off-Balance Sheet Credit Risk (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Securities Financing Transaction, Fair Value [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fair value of borrowed securities from other broker-dealers to fulfill short sales by clients | $ 566 | $ 852 |
Financial Instruments Subject_4
Financial Instruments Subject to Off-Balance Sheet Credit Risk (Offsetting Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Resale agreements | ||
Gross Assets | $ 13,096 | $ 14,904 |
Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Condensed Consolidated Balance Sheets | 13,096 | 14,904 |
Counterparty Offsetting | 0 | 0 |
Collateral | (13,096) | (14,904) |
Net Amount | 0 | 0 |
Securities borrowed | ||
Gross Assets | 582 | 873 |
Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Condensed Consolidated Balance Sheets | 582 | 873 |
Counterparty Offsetting | (383) | (673) |
Collateral | (195) | (195) |
Net Amount | 4 | 5 |
Total Gross Assets | 13,678 | 15,777 |
Total Assets, Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Total Assets, Net Amounts Presented in the Condensed Consolidated Balance Sheets | 13,678 | 15,777 |
Total Assets, Gross Amounts Not Offset in the Consolidated Balance Sheet, Counterparty Offsetting | (383) | (673) |
Total Assets, Gross Amounts Not Offset in the Consolidated Balance Sheet, Collateral | (13,291) | (15,099) |
Total Assets, Net Amount | 4 | 5 |
Securities loaned | ||
Gross Liabilities | 7,158 | 7,549 |
Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Condensed Consolidated Balance Sheets | 7,158 | 7,549 |
Counterparty Offsetting | (383) | (673) |
Collateral | (6,015) | (6,049) |
Net Amount | 760 | 827 |
Secured short-term borrowings | ||
Gross Liabilities | 1,850 | |
Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | |
Net Amounts Presented in the Condensed Consolidated Balance Sheets | 1,850 | |
Counterparty Offsetting | 0 | |
Collateral | (1,850) | |
Net Amount | 0 | |
Total Gross Liabilities | 9,008 | 7,549 |
Gross Amounts Offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Total Liabilities, Net Amounts Presented in the Consolidated Balance Sheet | 9,008 | 7,549 |
Total Liabilities, Gross Amounts Not Offset in the Consolidated Balance Sheet, Counterparty Offsetting | (383) | (673) |
Total Liabilities, Gross Amounts Not Offset in the Consolidated Balance Sheet, Collateral | (7,865) | (6,049) |
Total Liabilities, Net Amount | 760 | 827 |
Offsetting Assets [Line Items] | ||
Fair value of client securities available to be pledged | 120,306 | 84,006 |
Resale And Repurchase Agreements [Member] | ||
Offsetting Assets [Line Items] | ||
Fair value of client securities available to be pledged | $ 13,400 | $ 15,200 |
Financial Instruments Subject_5
Financial Instruments Subject to Off-Balance Sheet Credit Risk (Summary of the Fair Value of Client Securities Available to Utilize as Collateral and Amounts Pledged) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Securities Financing Transaction [Line Items] | ||
Fair value of client securities available to be pledged | $ 120,306 | $ 84,006 |
Total collateral pledged to third parties | 31,422 | 23,018 |
Fulfillment of Requirements with the Options Clearing Corporation [Member] | ||
Securities Financing Transaction [Line Items] | ||
Total collateral pledged to third parties | 16,829 | 10,222 |
Fulfillment of Client Short Sales [Member] | ||
Securities Financing Transaction [Line Items] | ||
Total collateral pledged to third parties | 5,934 | 6,274 |
Securities Lending to Other Broker-Dealers [Member] | ||
Securities Financing Transaction [Line Items] | ||
Total collateral pledged to third parties | 6,269 | 6,522 |
Collateral For Short-Term Borrowings [Member] | ||
Securities Financing Transaction [Line Items] | ||
Total collateral pledged to third parties | 2,390 | 0 |
Fully-Paid Client Securities [Member] | ||
Securities Financing Transaction [Line Items] | ||
Total collateral pledged to third parties | $ 118 | $ 183 |
Fair Values of Assets and Lia_3
Fair Values of Assets and Liabilities (Fair Value Hierarchy for Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 390,054 | $ 337,400 |
Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 999 | 300 |
U.S. agency mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 334,355 | 290,353 |
Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 17,546 | 18,898 |
Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 12,344 | 12,796 |
U.S. Treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 21,282 | 10,656 |
U.S. state and municipal securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,687 | 1,697 |
Non-agency commercial mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,190 | 1,265 |
Foreign government agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 425 | 1,413 |
Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 200 | |
Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 26 | 22 |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 11,719 | 11,159 |
Investments segregated and on deposit for regulatory purposes: | 36,699 | 31,248 |
Fair Value | 390,054 | 337,400 |
Other assets: | 1,584 | 687 |
Total assets | 440,056 | 380,494 |
Accrued expenses and other liabilities | 1,399 | |
Total liabilities | 1,399 | |
Fair Value, Recurring [Member] | Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 11,719 | 11,159 |
Fair Value, Recurring [Member] | Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 350 | 550 |
Fair Value | 999 | 300 |
Fair Value, Recurring [Member] | US Government securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 36,349 | 30,698 |
Other assets: | 3 | 253 |
Fair Value, Recurring [Member] | U.S. agency mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 334,355 | 290,353 |
Fair Value, Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 17,546 | 18,898 |
Fair Value, Recurring [Member] | Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 12,344 | 12,796 |
Fair Value, Recurring [Member] | U.S. Treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 21,282 | 10,656 |
Fair Value, Recurring [Member] | U.S. state and municipal securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,687 | 1,697 |
Fair Value, Recurring [Member] | Non-agency commercial mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,190 | 1,265 |
Fair Value, Recurring [Member] | Foreign government agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 425 | 1,413 |
Fair Value, Recurring [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 200 | |
Fair Value, Recurring [Member] | Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 26 | 22 |
Fair Value, Recurring [Member] | Equity, corporate debt, and other securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 913 | 36 |
Fair Value, Recurring [Member] | Equity and bond mutual funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 636 | 361 |
Fair Value, Recurring [Member] | State and municipal debt obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 32 | 37 |
Level 1 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 11,719 | 11,159 |
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Fair Value | 0 | 0 |
Other assets: | 1,490 | 368 |
Total assets | 13,209 | 11,527 |
Accrued expenses and other liabilities | 1,354 | |
Total liabilities | 1,354 | |
Level 1 [Member] | Fair Value, Recurring [Member] | Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 11,719 | 11,159 |
Level 1 [Member] | Fair Value, Recurring [Member] | Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | US Government securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Other assets: | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | U.S. agency mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | U.S. Treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | U.S. state and municipal securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Non-agency commercial mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Foreign government agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Level 1 [Member] | Fair Value, Recurring [Member] | Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 1 [Member] | Fair Value, Recurring [Member] | Equity, corporate debt, and other securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 854 | 7 |
Level 1 [Member] | Fair Value, Recurring [Member] | Equity and bond mutual funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 636 | 361 |
Level 1 [Member] | Fair Value, Recurring [Member] | State and municipal debt obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 0 | 0 |
Level 2 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Investments segregated and on deposit for regulatory purposes: | 36,699 | 31,248 |
Fair Value | 390,054 | 337,400 |
Other assets: | 94 | 319 |
Total assets | 426,847 | 368,967 |
Accrued expenses and other liabilities | 45 | |
Total liabilities | 45 | |
Level 2 [Member] | Fair Value, Recurring [Member] | Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Level 2 [Member] | Fair Value, Recurring [Member] | Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 350 | 550 |
Fair Value | 999 | 300 |
Level 2 [Member] | Fair Value, Recurring [Member] | US Government securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 36,349 | 30,698 |
Other assets: | 3 | 253 |
Level 2 [Member] | Fair Value, Recurring [Member] | U.S. agency mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 334,355 | 290,353 |
Level 2 [Member] | Fair Value, Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 17,546 | 18,898 |
Level 2 [Member] | Fair Value, Recurring [Member] | Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 12,344 | 12,796 |
Level 2 [Member] | Fair Value, Recurring [Member] | U.S. Treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 21,282 | 10,656 |
Level 2 [Member] | Fair Value, Recurring [Member] | U.S. state and municipal securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,687 | 1,697 |
Level 2 [Member] | Fair Value, Recurring [Member] | Non-agency commercial mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,190 | 1,265 |
Level 2 [Member] | Fair Value, Recurring [Member] | Foreign government agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 425 | 1,413 |
Level 2 [Member] | Fair Value, Recurring [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 200 | |
Level 2 [Member] | Fair Value, Recurring [Member] | Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 26 | 22 |
Level 2 [Member] | Fair Value, Recurring [Member] | Equity, corporate debt, and other securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 59 | 29 |
Level 2 [Member] | Fair Value, Recurring [Member] | Equity and bond mutual funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 0 | 0 |
Level 2 [Member] | Fair Value, Recurring [Member] | State and municipal debt obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 32 | 37 |
Level 3 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Fair Value | 0 | 0 |
Other assets: | 0 | 0 |
Total assets | 0 | 0 |
Accrued expenses and other liabilities | 0 | |
Total liabilities | 0 | |
Level 3 [Member] | Fair Value, Recurring [Member] | Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | US Government securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments segregated and on deposit for regulatory purposes: | 0 | 0 |
Other assets: | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | U.S. agency mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | U.S. Treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | U.S. state and municipal securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Non-agency commercial mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Foreign government agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Level 3 [Member] | Fair Value, Recurring [Member] | Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Equity, corporate debt, and other securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | Equity and bond mutual funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | 0 | 0 |
Level 3 [Member] | Fair Value, Recurring [Member] | State and municipal debt obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets: | $ 0 | $ 0 |
Fair Values of Assets and Lia_4
Fair Values of Assets and Liabilities (Fair Value of Other Financial Instruments) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Carrying Amount [Member] | ||
Assets | ||
Cash and cash equivalents | $ 51,256 | $ 29,189 |
Cash and investments segregated and on deposit for regulatory purposes | 17,246 | 19,143 |
Receivables from brokerage clients — net | 90,560 | 64,436 |
Bank loans — net: | 34,636 | 23,813 |
Other assets: | 3,561 | 2,883 |
Liabilities | ||
Bank deposits | 443,778 | 358,022 |
Payables to brokerage clients | 125,671 | 104,201 |
Accrued expenses and other liabilities | 8,327 | 8,263 |
Short-term borrowings | 4,855 | |
Long-term debt | 18,820 | 13,626 |
Carrying Amount [Member] | First Mortgage [Member] | ||
Assets | ||
Bank loans — net: | 21,077 | 14,882 |
Carrying Amount [Member] | HELOCs [Member] | ||
Assets | ||
Bank loans — net: | 646 | 837 |
Carrying Amount [Member] | Pledged asset lines [Member] | ||
Assets | ||
Bank loans — net: | 12,709 | 7,916 |
Carrying Amount [Member] | Other [Member] | ||
Assets | ||
Bank loans — net: | 204 | 178 |
Fair Value [Member] | ||
Assets | ||
Cash and cash equivalents | 51,256 | 29,189 |
Cash and investments segregated and on deposit for regulatory purposes | 17,246 | 19,143 |
Receivables from brokerage clients — net | 90,560 | 64,436 |
Bank loans — net: | 34,608 | 24,237 |
Other assets: | 3,561 | 2,883 |
Liabilities | ||
Bank deposits | 443,778 | 358,022 |
Payables to brokerage clients | 125,671 | 104,201 |
Accrued expenses and other liabilities | 8,327 | 8,263 |
Short-term borrowings | 4,855 | |
Long-term debt | 19,383 | 14,829 |
Fair Value [Member] | First Mortgage [Member] | ||
Assets | ||
Bank loans — net: | 21,027 | 15,305 |
Fair Value [Member] | HELOCs [Member] | ||
Assets | ||
Bank loans — net: | 668 | 838 |
Fair Value [Member] | Pledged asset lines [Member] | ||
Assets | ||
Bank loans — net: | 12,709 | 7,916 |
Fair Value [Member] | Other [Member] | ||
Assets | ||
Bank loans — net: | 204 | 178 |
Fair Value [Member] | Level 1 [Member] | ||
Assets | ||
Cash and cash equivalents | 51,256 | 29,189 |
Cash and investments segregated and on deposit for regulatory purposes | 4,151 | 4,212 |
Receivables from brokerage clients — net | 0 | 0 |
Bank loans — net: | 0 | 0 |
Other assets: | 0 | 0 |
Liabilities | ||
Bank deposits | 0 | 0 |
Payables to brokerage clients | 0 | 0 |
Accrued expenses and other liabilities | 0 | 0 |
Short-term borrowings | 0 | |
Long-term debt | 0 | 0 |
Fair Value [Member] | Level 1 [Member] | First Mortgage [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 1 [Member] | HELOCs [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 1 [Member] | Pledged asset lines [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 1 [Member] | Other [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 2 [Member] | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Cash and investments segregated and on deposit for regulatory purposes | 13,095 | 14,931 |
Receivables from brokerage clients — net | 90,560 | 64,436 |
Bank loans — net: | 34,608 | 24,237 |
Other assets: | 3,561 | 2,883 |
Liabilities | ||
Bank deposits | 443,778 | 358,022 |
Payables to brokerage clients | 125,671 | 104,201 |
Accrued expenses and other liabilities | 8,327 | 8,263 |
Short-term borrowings | 4,855 | |
Long-term debt | 19,383 | 14,829 |
Fair Value [Member] | Level 2 [Member] | First Mortgage [Member] | ||
Assets | ||
Bank loans — net: | 21,027 | 15,305 |
Fair Value [Member] | Level 2 [Member] | HELOCs [Member] | ||
Assets | ||
Bank loans — net: | 668 | 838 |
Fair Value [Member] | Level 2 [Member] | Pledged asset lines [Member] | ||
Assets | ||
Bank loans — net: | 12,709 | 7,916 |
Fair Value [Member] | Level 2 [Member] | Other [Member] | ||
Assets | ||
Bank loans — net: | 204 | 178 |
Fair Value [Member] | Level 3 [Member] | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Cash and investments segregated and on deposit for regulatory purposes | 0 | 0 |
Receivables from brokerage clients — net | 0 | 0 |
Bank loans — net: | 0 | 0 |
Other assets: | 0 | 0 |
Liabilities | ||
Bank deposits | 0 | 0 |
Payables to brokerage clients | 0 | 0 |
Accrued expenses and other liabilities | 0 | 0 |
Short-term borrowings | 0 | |
Long-term debt | 0 | 0 |
Fair Value [Member] | Level 3 [Member] | First Mortgage [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 3 [Member] | HELOCs [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 3 [Member] | Pledged asset lines [Member] | ||
Assets | ||
Bank loans — net: | 0 | 0 |
Fair Value [Member] | Level 3 [Member] | Other [Member] | ||
Assets | ||
Bank loans — net: | $ 0 | $ 0 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jun. 01, 2021 | Mar. 30, 2021 | Mar. 18, 2021 | Dec. 11, 2020 | Oct. 06, 2020 | Apr. 30, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 30, 2019 |
Class of Stock [Line Items] | ||||||||||
Common stock, shares authorized (shares) | 3,000,000,000 | 3,000,000,000 | ||||||||
Preferred stock, aggregate liquidation preference | $ 10,100 | $ 7,850 | ||||||||
Preferred stock, par value (USD per share) | $ 0.01 | $ 0.01 | ||||||||
Shares repurchased (in shares) | 0 | 0 | 55,000,000 | |||||||
Shares repurchased | $ 2,200 | |||||||||
Preferred stock, shares authorized (in shares) | 9,940,000 | 9,940,000 | ||||||||
TD Ameritrade Holding [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares issued in acquisition (in shares) | 586,000,000 | |||||||||
Common Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares issued (in shares) | 0 | 0 | 0 | |||||||
Share repurchase, authorized amount | $ 4,000 | |||||||||
Common Stock [Member] | TD Ameritrade Holding [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares issued in acquisition (in shares) | 509,000,000 | |||||||||
Common Stock [Member] | TD Ameritrade Holding [Member] | TD Bank [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares issued in acquisition (in shares) | 177,000,000 | |||||||||
Maximum percentage of voting interest | 9.90% | |||||||||
Nonvoting Common Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Common stock, shares authorized (shares) | 300,000,000 | 300,000,000 | 300,000,000 | |||||||
Nonvoting Common Stock [Member] | TD Ameritrade Holding [Member] | TD Bank [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares issued in acquisition (in shares) | 77,000,000 | |||||||||
Shares converted (in shares) | 2,000,000 | |||||||||
Number of shares held (in shares) | 79,000,000 | |||||||||
Series C Preferred Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares redeemed (in shares) | 600,000 | |||||||||
Fixed rate | 0.00% | |||||||||
Liquidation preference per share (USD per share) | $ 1,000 | |||||||||
Depositary Shares [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Liquidation preference per share (USD per share) | $ 25 | $ 25 | $ 1,000 | $ 1,000 | $ 1,000 | |||||
Preferred stock, aggregate liquidation preference | $ 600 | |||||||||
Number of shares sold (in shares) | 2,500,000 | 2,500,000 | ||||||||
Ownership interest | 0.25% | 0.25% | 1.00% | 1.00% | 1.00% | |||||
Series J Preferred Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Fixed rate | 4.45% | |||||||||
Liquidation preference per share (USD per share) | $ 1,000 | $ 1,000 | ||||||||
Preferred stock, par value (USD per share) | $ 0.01 | |||||||||
Proceeds from offering | $ 584 | |||||||||
Series I Preferred Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Fixed rate | 4.00% | |||||||||
Liquidation preference per share (USD per share) | $ 100,000 | $ 100,000 | ||||||||
Preferred stock, par value (USD per share) | $ 0.01 | |||||||||
Proceeds from offering | $ 2,200 | |||||||||
Series H Preferred Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Fixed rate | 4.00% | 4.00% | ||||||||
Liquidation preference per share (USD per share) | $ 100,000 | $ 100,000 | ||||||||
Preferred stock, par value (USD per share) | $ 0.01 | |||||||||
Proceeds from offering | $ 2,470 | |||||||||
Series G Preferred Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Fixed rate | 5.375% | 5.375% | ||||||||
Liquidation preference per share (USD per share) | $ 100,000 | $ 100,000 | ||||||||
Preferred stock, par value (USD per share) | $ 0.01 | |||||||||
Proceeds from offering | $ 2,470 |
Stockholders' Equity (Preferred
Stockholders' Equity (Preferred Stock Issued and Outstanding) (Details) - USD ($) $ / shares in Thousands, $ in Millions | Dec. 11, 2020 | Apr. 30, 2020 | Dec. 31, 2021 | Mar. 30, 2021 | Mar. 18, 2021 | Dec. 31, 2020 |
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 1,834,000 | 1,811,000 | ||||
Shares outstanding (in shares) | 1,834,000 | 1,811,000 | ||||
Carrying value | $ 9,954 | $ 7,733 | ||||
Series C Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 0 | 600,000 | ||||
Shares outstanding (in shares) | 0 | 600,000 | ||||
Liquidation preference (USD per share) | $ 1 | |||||
Carrying value | $ 0 | $ 585 | ||||
Dividend rate in effect | 0.00% | |||||
Series D Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 750,000 | 750,000 | ||||
Shares outstanding (in shares) | 750,000 | 750,000 | ||||
Liquidation preference (USD per share) | $ 1 | |||||
Carrying value | $ 728 | $ 728 | ||||
Dividend rate in effect | 5.95% | |||||
Series J Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 600,000 | 0 | ||||
Shares outstanding (in shares) | 600,000 | 0 | ||||
Liquidation preference (USD per share) | $ 1 | $ 1 | ||||
Carrying value | $ 584 | $ 0 | ||||
Dividend rate in effect | 4.45% | |||||
Series A Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 400,000 | 400,000 | ||||
Shares outstanding (in shares) | 400,000 | 400,000 | ||||
Liquidation preference (USD per share) | $ 1 | |||||
Carrying value | $ 397 | $ 397 | ||||
Dividend rate in effect | 7.00% | |||||
Series A Preferred Stock [Member] | LIBOR [Member] | ||||||
Class of Stock [Line Items] | ||||||
Floating annual rate | 4.82% | |||||
Series E Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 6,000 | 6,000 | ||||
Shares outstanding (in shares) | 6,000 | 6,000 | ||||
Liquidation preference (USD per share) | $ 100 | |||||
Carrying value | $ 591 | $ 591 | ||||
Dividend rate in effect | 4.625% | |||||
Series E Preferred Stock [Member] | LIBOR [Member] | ||||||
Class of Stock [Line Items] | ||||||
Floating annual rate | 3.315% | |||||
Series F Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 5,000 | 5,000 | ||||
Shares outstanding (in shares) | 5,000 | 5,000 | ||||
Liquidation preference (USD per share) | $ 100 | |||||
Carrying value | $ 492 | $ 492 | ||||
Dividend rate in effect | 5.00% | |||||
Series F Preferred Stock [Member] | LIBOR [Member] | ||||||
Class of Stock [Line Items] | ||||||
Floating annual rate | 2.575% | |||||
Series G Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 25,000 | 25,000 | ||||
Shares outstanding (in shares) | 25,000 | 25,000 | ||||
Liquidation preference (USD per share) | $ 100 | $ 100 | ||||
Carrying value | $ 2,470 | $ 2,470 | ||||
Dividend rate in effect | 5.375% | 5.375% | ||||
Dividend term | 5 years | |||||
Series G Preferred Stock [Member] | US Treasury (UST) Interest Rate [Member] | ||||||
Class of Stock [Line Items] | ||||||
Dividend term | 5 years | |||||
Floating annual rate | 4.971% | |||||
Series H Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 25,000 | 25,000 | ||||
Shares outstanding (in shares) | 25,000 | 25,000 | ||||
Liquidation preference (USD per share) | $ 100 | $ 100 | ||||
Carrying value | $ 2,470 | $ 2,470 | ||||
Dividend rate in effect | 4.00% | 4.00% | ||||
Dividend term | 10 years | |||||
Series H Preferred Stock [Member] | US Treasury (UST) Interest Rate [Member] | ||||||
Class of Stock [Line Items] | ||||||
Dividend term | 10 years | |||||
Floating annual rate | 3.079% | |||||
Series I Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares issued (in shares) | 23,000 | 0 | ||||
Shares outstanding (in shares) | 23,000 | 0 | ||||
Liquidation preference (USD per share) | $ 100 | $ 100 | ||||
Carrying value | $ 2,222 | $ 0 | ||||
Dividend rate in effect | 4.00% | |||||
Dividend term | 5 years | |||||
Series I Preferred Stock [Member] | US Treasury (UST) Interest Rate [Member] | ||||||
Class of Stock [Line Items] | ||||||
Dividend term | 5 years | |||||
Floating annual rate | 3.168% | |||||
Maturity period | 5 years |
Stockholders' Equity (Dividends
Stockholders' Equity (Dividends Declared) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Class of Stock [Line Items] | |||
Dividends declared | $ 456.1 | $ 240.2 | $ 161.4 |
Series A Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 28 | $ 28 | $ 28 |
Dividends declared, per share amount (USD per share) | $ 70 | $ 70 | $ 70 |
Series C Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 18 | $ 36 | $ 36 |
Dividends declared, per share amount (USD per share) | $ 30 | $ 60 | $ 60 |
Series D Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 44.6 | $ 44.6 | $ 44.6 |
Dividends declared, per share amount (USD per share) | $ 59.52 | $ 59.52 | $ 59.52 |
Series E Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 27.8 | $ 27.8 | $ 27.8 |
Dividends declared, per share amount (USD per share) | $ 4,625 | $ 4,625 | $ 4,625 |
Series F Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 25 | $ 25 | $ 25 |
Dividends declared, per share amount (USD per share) | $ 5,000 | $ 5,000 | $ 5,000 |
Series G Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 134.4 | $ 78.8 | |
Dividends declared, per share amount (USD per share) | $ 5,375 | $ 3,150.35 | |
Series H Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 97.2 | ||
Dividends declared, per share amount (USD per share) | $ 3,888.89 | ||
Series I Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 63.2 | ||
Dividends declared, per share amount (USD per share) | $ 2,811.11 | ||
Series J Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividends declared | $ 17.9 | ||
Dividends declared, per share amount (USD per share) | $ 29.80 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Accumulated Other Comprehensive Income Balances) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accumulated Other Comprehensive Income | ||||
Beginning Balance | $ 20,670 | $ 56,060 | $ 21,745 | $ 20,670 |
Other net changes | (6,503) | 5,306 | 340 | |
Ending Balance | 56,261 | 56,060 | 21,745 | |
Accumulated other comprehensive income, tax expense (benefit) | (2,033) | 1,659 | 106 | |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Beginning Balance | (252) | 5,394 | 88 | (252) |
Other net changes | (6,503) | 5,306 | 340 | |
Ending Balance | (1,109) | 5,394 | 88 | |
Net unrealized gain (loss), excluding transfers to available for sale from held to maturity [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Other net changes | (6,492) | 4,246 | 309 | |
Accumulated other comprehensive income, tax expense (benefit) | (2,029) | 1,322 | 96 | |
Net unrealized gain (loss) on securities transferred to available for sale from held to maturity [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Other net changes | $ 19 | 1,057 | 19 | |
Accumulated other comprehensive income, tax expense (benefit) | 336 | 6 | ||
Other reclassifications included in other revenue [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Other net changes | (3) | (3) | (5) | |
Accumulated other comprehensive income, tax expense (benefit) | (1) | (1) | (1) | |
Amortization of amounts previously recorded upon transfer to held to maturity from available for sale [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Other net changes | 27 | |||
Accumulated other comprehensive income, tax expense (benefit) | 9 | |||
Other [Member] | ||||
Accumulated Other Comprehensive Income | ||||
Other net changes | (8) | 6 | (10) | |
Accumulated other comprehensive income, tax expense (benefit) | $ (3) | $ 2 | $ (4) |
Employee Incentive, Retiremen_3
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Stock-Based Compensation Expense and Related Income Tax Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 254 | $ 204 | $ 183 |
Income tax benefit on share-based compensation expense | (60) | (49) | (44) |
Stock option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 36 | 36 | 51 |
Restricted stock unit [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 200 | 156 | 120 |
Employee stock purchase plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 18 | 12 | 12 |
Share-based Payment Arrangement, Option Exercised and Restricted Stock units (RSUs) Vested [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Income tax benefit on share-based compensation expense | $ (93) | $ (14) | $ (23) |
Employee Incentive, Retiremen_4
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Employee Incentive Narrative) (Details) - USD ($) $ in Millions | Oct. 06, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common shares authorized to be granted (in shares) | 58,000,000 | |||
Total unrecognized compensation costs | $ 297 | |||
TD Ameritrade [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining weighted-average period for unrecognized compensation cost | 1 year 10 months 24 days | |||
Employee stock purchase plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares reserved for future issuance (in shares) | 30,000,000 | |||
Stock option plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Period from the date of grant in which stock options expire | 10 years | |||
Stock option plan [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 1 year | |||
Stock option plan [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 4 years | |||
Stock option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining weighted-average period for unrecognized compensation cost | 8 months 12 days | |||
Restricted stock unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining weighted-average period for unrecognized compensation cost | 1 year 10 months 24 days | |||
Total fair value of restricted stock awards vested | $ 317 | $ 175 | $ 123 | |
Restricted stock unit [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 1 year | |||
Restricted stock unit [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 4 years | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining weighted-average period for unrecognized compensation cost | 6 months |
Employee Incentive, Retiremen_5
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Acquisition of TD Ameritrade Narrative) (Details) - TD Ameritrade [Member] $ in Millions | Oct. 06, 2020USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Conversion of shares (in shares) | 1.0837 |
Fair value of replaced TD Ameritrade equity awards attributable to pre-combination services | $ 94 |
Remaining portion of value | $ 73 |
Remaining weighted-average period for unrecognized compensation cost | 1 year 10 months 24 days |
Employee Incentive, Retiremen_6
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Stock Option Activity) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Options (In millions) | ||
Beginning balance (in shares) | 24,000 | |
Granted (in shares) | 2,000 | |
Exercised (in shares) | (9,000) | |
Forfeited (in shares) | 0 | |
Expired (in shares) | 0 | |
Ending balance (in shares) | 17,000 | 24,000 |
Vested and expected to vest (in shares) | 17,000 | |
Vested and exercisable (in shares) | 13,000 | |
Forfeited and expired (in shares) | 500 | |
Weighted- Average Exercise Price per Share | ||
Beginning balance (USD per share) | $ 33.67 | |
Granted (USD per share) | 64.49 | |
Exercised (USD per share) | 27.80 | |
Forfeited (USD per share) | 45.99 | |
Expired (USD per share) | 35 | |
Ending balance (USD per share) | 39.11 | $ 33.67 |
Vested and expected to vest (USD per share) | 39.09 | |
Vested and exercisable (USD per share) | $ 34.93 | |
Weighted- Average Remaining Contractual Life (in years) | ||
Outstanding | 5 years 4 months 17 days | 5 years 4 months 9 days |
Vested and expected to vest | 5 years 4 months 17 days | |
Vested and exercisable | 4 years 6 months 14 days | |
Aggregate Intrinsic Value | ||
Beginning balance | $ 452 | |
Vested and expected to vest | 782 | |
Vested and exercisable | 650 | |
Ending balance | $ 782 | $ 452 |
Employee Incentive, Retiremen_7
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Information on Stock Options Granted and Exercised) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |||
Weighted-average fair value of options granted per share (USD per share) | $ 19.51 | $ 11.56 | $ 11.97 |
Cash received from options exercised | $ 221 | $ 79 | $ 118 |
Tax benefit realized on options exercised | 61 | 11 | 17 |
Aggregate intrinsic value of options exercised | $ 322 | $ 71 | $ 108 |
Employee Incentive, Retiremen_8
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Assumptions Used to Value Options Granted and Their Expected Lives) (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average expected dividend yield | 1.36% | 2.08% | 1.85% |
Weighted-average expected volatility | 37.00% | 36.00% | 30.00% |
Weighted-average risk-free interest rate | 0.80% | 1.00% | 2.50% |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life (in years) | 4 years 2 months 12 days | 4 years 3 months 18 days | 4 years 2 months 12 days |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life (in years) | 5 years 4 months 24 days | 5 years 10 months 24 days | 5 years 10 months 24 days |
Employee Incentive, Retiremen_9
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Restricted Stock Units Activity) (Details) - Restricted stock unit [Member] shares in Millions | 12 Months Ended |
Dec. 31, 2021$ / sharesshares | |
Number of Units (In millions) | |
Outstanding Beginning Balance (in shares) | shares | 10 |
Granted (in shares) | shares | 4 |
Vested (in shares) | shares | (4) |
Forfeited (in shares) | shares | (1) |
Outstanding Ending Balance (in shares) | shares | 9 |
Weighted- Average Grant Date Fair Value per Unit | |
Outstanding Beginning Balance (USD per share) | $ / shares | $ 40.85 |
Granted (USD per share) | $ / shares | 64.18 |
Vested (USD per share) | $ / shares | 41.25 |
Forfeited (USD per share) | $ / shares | 45.63 |
Outstanding Ending Balance (USD per share) | $ / shares | $ 49.69 |
Employee Incentive, Retireme_10
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Retirement and Deferred Compensation Plans Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |||
Company's total contribution expense | $ 187 | $ 136 | $ 118 |
Deferred compensation liability | $ 194 | $ 176 |
Employee Incentive, Retireme_11
Employee Incentive, Retirement, Deferred Compensation, and Career Achievement Plans (Schedule of Changes in Projected Benefit Obligations) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Defined Benefit Plan, Change in Benefit Obligation | ||
Projected benefit obligation at beginning of year | $ 92 | $ 83 |
Benefit cost | 16 | 17 |
Actuarial loss/(gain) | 11 | (8) |
Projected benefit obligation at the end of year | $ 119 | $ 92 |
Taxes on Income (Income Tax Exp
Taxes on Income (Income Tax Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current: | |||
Federal | $ 1,507 | $ 967 | $ 958 |
State | 298 | 172 | 184 |
Total current | 1,805 | 1,139 | 1,142 |
Deferred: | |||
Federal | 38 | (113) | 3 |
State | 15 | (25) | (1) |
Total deferred | 53 | (138) | 2 |
Taxes on income | $ 1,858 | $ 1,001 | $ 1,144 |
Taxes on Income (Temporary Diff
Taxes on Income (Temporary Differences That Created Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets: | ||
Net unrealized loss on available for sale securities | $ 347 | $ 0 |
Employee compensation, severance, and benefits | 237 | 271 |
Operating lease liabilities | 225 | 249 |
Reserves and allowances | 74 | 70 |
Debt fair value remeasurement | 47 | 67 |
State and local taxes | 40 | 37 |
Net operating loss carryforwards | 8 | 8 |
Total deferred tax assets | 978 | 702 |
Valuation allowance | (8) | (8) |
Deferred tax assets — net of valuation allowance | 970 | 694 |
Deferred tax liabilities: | ||
Amortization of acquired intangible assets | (1,888) | (1,954) |
Net unrealized gain on available for sale securities | 0 | (1,686) |
Operating lease ROU assets | (210) | (233) |
Capitalized internal-use software development costs | (142) | (101) |
Other | (212) | (182) |
Total deferred tax liabilities | (2,452) | (4,156) |
Deferred tax asset/(liability) — net | $ (1,482) | $ (3,462) |
Taxes on Income (Reconciliation
Taxes on Income (Reconciliation of Federal Statutory Income Tax Rate to Effective Income Tax Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory income tax rate | 21.00% | 21.00% | 21.00% |
State income taxes, net of federal tax benefit | 3.40% | 3.20% | 3.20% |
Equity compensation benefit | (1.20%) | (0.30%) | (0.50%) |
Other | 0.90% | (0.60%) | (0.10%) |
Effective income tax rate | 24.10% | 23.30% | 23.60% |
Taxes on Income (Reconciliati_2
Taxes on Income (Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Balance at beginning of year | $ 248 | $ 101 |
Additions for tax positions related to the current year | 34 | 15 |
Additions for tax positions related to prior years | 15 | 3 |
Additions for current year acquisitions | 0 | 200 |
Reductions for tax positions related to prior years | (15) | (7) |
Reductions due to lapse of statute of limitations | (8) | (24) |
Reductions for settlements with tax authorities | (3) | (40) |
Balance at end of year | $ 271 | $ 248 |
Taxes on Income (Narrative) (De
Taxes on Income (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits | $ 271 | $ 248 | $ 101 |
Unrecognized tax benefits that, if recognized, would affect the annual effective tax rate | 221 | 202 | |
Unrecognized tax benefits, interest and penalties accrued | $ 68 | $ 58 |
Regulatory Requirements (Regula
Regulatory Requirements (Regulatory Capital and Ratios) (Details) $ in Millions | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
CSC [Member] | ||
Common Equity Tier 1 Risk-Based Capital | ||
Actual Amount | $ 27,967 | $ 22,916 |
Actual Ratio | 0.197 | 0.185 |
Minimum Capital Requirement Amount | $ 6,389 | $ 5,575 |
Minimum Capital Requirement Ratio | 4.50% | 4.50% |
Tier 1 Risk-Based Capital | ||
Actual Amount | $ 37,921 | $ 30,649 |
Actual Ratio | 0.267 | 0.247 |
Minimum Capital Requirement Amount | $ 8,518 | $ 7,433 |
Minimum Capital Requirement Ratio | 0.060 | 0.060 |
Total Risk-Based Capital | ||
Actual Amount | $ 37,950 | $ 30,688 |
Actual Ratio | 0.267 | 0.248 |
Minimum Capital Requirement Amount | $ 11,358 | $ 9,910 |
Minimum Capital Requirement Ratio | 0.080 | 0.080 |
Tier 1 Leverage | ||
Actual Amount | $ 37,921 | $ 30,649 |
Actual Ratio | 0.062 | 0.063 |
Minimum Capital Requirement Amount | $ 24,346 | $ 19,396 |
Minimum Capital Requirement Ratio | 0.040 | 0.040 |
Supplemental Leverage Ratio | ||
Actual Amount | $ 37,921 | $ 30,649 |
Actual Ratio | 0.062 | 0.062 |
Minimum Capital Requirement Amount | $ 18,434 | $ 14,744 |
Minimum Capital Requirement Ratio | 3.00% | 3.00% |
CSB [Member] | ||
Common Equity Tier 1 Risk-Based Capital | ||
Actual Amount | $ 28,014 | $ 17,526 |
Actual Ratio | 0.268 | 0.192 |
Minimum to be Well Capitalized Amount | $ 6,787 | $ 5,919 |
Minimum to be Well Capitalized Ratio | 6.50% | 6.50% |
Minimum Capital Requirement Amount | $ 4,698 | $ 4,098 |
Minimum Capital Requirement Ratio | 4.50% | 4.50% |
Tier 1 Risk-Based Capital | ||
Actual Amount | $ 28,014 | $ 17,526 |
Actual Ratio | 0.268 | 0.192 |
Minimum to be Well Capitalized Amount | $ 8,353 | $ 7,285 |
Minimum to be Well Capitalized Ratio | 0.080 | 0.080 |
Minimum Capital Requirement Amount | $ 6,265 | $ 5,464 |
Minimum Capital Requirement Ratio | 0.060 | 0.060 |
Total Risk-Based Capital | ||
Actual Amount | $ 28,033 | $ 17,558 |
Actual Ratio | 0.268 | 0.193 |
Minimum to be Well Capitalized Amount | $ 10,441 | $ 9,106 |
Minimum to be Well Capitalized Ratio | 0.100 | 0.100 |
Minimum Capital Requirement Amount | $ 8,353 | $ 7,285 |
Minimum Capital Requirement Ratio | 0.080 | 0.080 |
Tier 1 Leverage | ||
Actual Amount | $ 28,014 | $ 17,526 |
Actual Ratio | 0.071 | 0.055 |
Minimum to be Well Capitalized Amount | $ 19,790 | $ 15,979 |
Minimum to be Well Capitalized Ratio | 0.050 | 0.050 |
Minimum Capital Requirement Amount | $ 15,832 | $ 12,783 |
Minimum Capital Requirement Ratio | 0.040 | 0.040 |
Supplemental Leverage Ratio | ||
Actual Amount | $ 28,014 | $ 17,526 |
Actual Ratio | 0.070 | 0.054 |
Minimum Capital Requirement Amount | $ 12,016 | $ 9,763 |
Minimum Capital Requirement Ratio | 3.00% | 3.00% |
Regulatory Requirements (Narrat
Regulatory Requirements (Narrative) (Details) - USD ($) $ in Millions | Jan. 04, 2022 | Jan. 03, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Total assets | $ 667,270 | $ 549,009 | $ 294,000 | ||
Charles Schwab Premier Bank [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Total assets | 39,200 | 31,600 | |||
Trust Bank [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Total assets | 15,900 | 12,500 | |||
CS&Co [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Cash and investments required to be segregated and on deposit for regulatory purposes | 38,400 | 39,200 | |||
CS&Co [Member] | Reserve Deposit [Member] | Subsequent Event [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Net amount of segregated cash deposited into segregated reserve bank accounts | $ 1,500 | ||||
TDAC [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Cash and investments required to be segregated and on deposit for regulatory purposes | $ 15,900 | $ 14,500 | |||
TDAC [Member] | Reserve Deposit [Member] | Subsequent Event [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Net amount of segregated cash deposited into segregated reserve bank accounts | $ 406 |
Regulatory Requirements (Net Ca
Regulatory Requirements (Net Capital and Net Capital Requirements for CS&Co) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
CS&Co [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Net capital | $ 5,231,000 | $ 3,117,000 |
Minimum dollar requirement | 250 | 1,000 |
2% of aggregate debit balances | 941,000 | 616,000 |
Net capital in excess of required net capital | 4,290,000 | 2,501,000 |
TDAC [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Net capital | 5,337,000 | 4,040,000 |
Minimum dollar requirement | 1,500 | 1,500 |
2% of aggregate debit balances | 1,007,000 | 748,000 |
Net capital in excess of required net capital | 4,330,000 | 3,292,000 |
TD Ameritrade Holding [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Net capital | 711,000 | 350,000 |
Minimum dollar requirement | 250 | 250 |
2% of aggregate debit balances | 0 | 0 |
Net capital in excess of required net capital | $ 711,000 | $ 350,000 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)segment | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Total net revenues | $ 18,520 | $ 11,691 | $ 10,721 |
Intersegment, Nonoperating [Member] | |||
Segment Reporting Information [Line Items] | |||
Total net revenues | $ 0 | $ 0 | $ 0 |
Segment Information (Financial
Segment Information (Financial Information for Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Net Revenues | ||||
Net interest revenue | $ 8,030 | $ 6,113 | $ 6,516 | |
Other | 749 | 332 | 242 | |
Total net revenues | 18,520 | 11,691 | 10,721 | |
Total expenses excluding interest | 10,807 | 7,391 | 5,873 | |
Income before taxes on income | 7,713 | 4,300 | 4,848 | |
Capital expenditures | 1,041 | 741 | 753 | |
Depreciation and amortization | 549 | 414 | 322 | |
Amortization of acquired intangible assets | 615 | 190 | 27 | |
Asset management and administration fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | [1] | 4,274 | 3,475 | 3,211 |
Trading revenue [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 4,152 | 1,416 | 752 | |
Bank deposit account fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 1,315 | 355 | 0 | |
Investor Services [Member] | ||||
Net Revenues | ||||
Net interest revenue | 6,052 | 4,391 | 4,685 | |
Other | 562 | 262 | 146 | |
Total net revenues | 14,461 | 8,608 | 7,623 | |
Total expenses excluding interest | 8,289 | 5,529 | 4,284 | |
Income before taxes on income | 6,172 | 3,079 | 3,339 | |
Capital expenditures | 771 | 535 | 507 | |
Depreciation and amortization | 399 | 288 | 216 | |
Amortization of acquired intangible assets | 499 | 149 | 26 | |
Investor Services [Member] | Asset management and administration fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 3,130 | 2,544 | 2,289 | |
Investor Services [Member] | Trading revenue [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 3,753 | 1,156 | 503 | |
Investor Services [Member] | Bank deposit account fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 964 | 255 | 0 | |
Advisor Services [Member] | ||||
Net Revenues | ||||
Net interest revenue | 1,978 | 1,722 | 1,831 | |
Other | 187 | 70 | 96 | |
Total net revenues | 4,059 | 3,083 | 3,098 | |
Total expenses excluding interest | 2,518 | 1,862 | 1,589 | |
Income before taxes on income | 1,541 | 1,221 | 1,509 | |
Capital expenditures | 270 | 206 | 246 | |
Depreciation and amortization | 150 | 126 | 106 | |
Amortization of acquired intangible assets | 116 | 41 | 1 | |
Advisor Services [Member] | Asset management and administration fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 1,144 | 931 | 922 | |
Advisor Services [Member] | Trading revenue [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | 399 | 260 | 249 | |
Advisor Services [Member] | Bank deposit account fees [Member] | ||||
Net Revenues | ||||
Revenues from contracts with customers | $ 351 | $ 100 | $ 0 | |
[1] | Includes fee waivers of $326 million and $127 million for the years ended December 31, 2021 and 2020, respectively. |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net income | $ 5,855 | $ 3,299 | $ 3,704 | |
Preferred stock dividends and other | (495) | (256) | (178) | |
Net Income Available to Common Stockholders | $ 5,360 | $ 3,043 | $ 3,526 | |
Weighted-average common shares outstanding - basic (in shares) | 1,887 | 1,429 | 1,311 | |
Basic earnings per share (USD per share) | [1] | $ 2.84 | $ 2.13 | $ 2.69 |
Weighted-average common shares outstanding - diluted (in shares) | 1,897 | 1,435 | 1,320 | |
Diluted earnings per share (USD per share) | [1] | $ 2.83 | $ 2.12 | $ 2.67 |
Antidilutive stock options and restricted stock units excluded from the calculation of diluted EPS (in shares) | 16 | 22 | 21 | |
Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net income | $ 5,610 | $ 3,255 | $ 3,704 | |
Preferred stock dividends and other | (474) | (253) | (178) | |
Net Income Available to Common Stockholders | $ 5,136 | $ 3,002 | $ 3,526 | |
Weighted-average common shares outstanding - basic (in shares) | 1,808 | 1,410 | 1,311 | |
Basic earnings per share (USD per share) | $ 2.84 | $ 2.13 | $ 2.69 | |
Reallocation of net income available to common stockholders as a result of conversion of nonvoting to voting shares | $ 224 | $ 41 | ||
Allocation of net income available to common stockholders: | $ 5,360 | $ 3,043 | $ 3,526 | |
Conversion of nonvoting shares to voting shares (in shares) | 79 | 19 | ||
Common stock equivalent shares related to stock incentive plans (in shares) | 10 | 6 | 9 | |
Weighted-average common shares outstanding - diluted (in shares) | 1,897 | 1,435 | 1,320 | |
Diluted earnings per share (USD per share) | $ 2.83 | $ 2.12 | $ 2.67 | |
Nonvoting Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net income | $ 245 | $ 44 | ||
Preferred stock dividends and other | (21) | (3) | ||
Net Income Available to Common Stockholders | $ 224 | $ 41 | ||
Weighted-average common shares outstanding - basic (in shares) | 79 | 19 | ||
Basic earnings per share (USD per share) | $ 2.84 | $ 2.13 | ||
Reallocation of net income available to common stockholders as a result of conversion of nonvoting to voting shares | $ 0 | $ 0 | ||
Allocation of net income available to common stockholders: | $ 224 | $ 41 | ||
Conversion of nonvoting shares to voting shares (in shares) | 0 | 0 | ||
Common stock equivalent shares related to stock incentive plans (in shares) | 0 | 0 | ||
Weighted-average common shares outstanding - diluted (in shares) | 79 | 19 | ||
Diluted earnings per share (USD per share) | $ 2.83 | $ 2.12 | ||
[1] | For the years ended December 31, 2021 and 2020, the Company had voting and nonvoting common stock outstanding. As the participation rights, including dividend and liquidation rights, are identical between the voting and nonvoting stock classes, basic and diluted earnings per share are the same for each class. See Notes 19 and 25 for additional information. |
The Charles Schwab Corporatio_3
The Charles Schwab Corporation – Parent Company Only Financial Statements (Condensed Statements of Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Condensed Income Statements, Captions [Line Items] | |||
Interest revenue | $ 8,506 | $ 6,531 | $ 7,580 |
Interest expense | (476) | (418) | (1,064) |
Net interest revenue | 8,030 | 6,113 | 6,516 |
Other revenue | 749 | 332 | 242 |
Professional services | (994) | (843) | (702) |
Income tax benefit/(expense) | (1,858) | (1,001) | (1,144) |
Equity in net income of subsidiaries: | |||
Net Income | 5,855 | 3,299 | 3,704 |
Preferred stock dividends and other | 495 | 256 | 178 |
Net Income Available to Common Stockholders | 5,360 | 3,043 | 3,526 |
Trading revenue [Member] | |||
Condensed Income Statements, Captions [Line Items] | |||
Revenues from contracts with customers | 4,152 | 1,416 | 752 |
Parent Company [Member] | |||
Condensed Income Statements, Captions [Line Items] | |||
Interest revenue | 11 | 38 | 119 |
Interest expense | (355) | (273) | (248) |
Net interest revenue | (344) | (235) | (129) |
Other revenue | (2) | (1) | (1) |
Professional services | (17) | (68) | (24) |
Other expenses excluding interest | (125) | (85) | (83) |
Loss before income tax benefit and equity in net income of subsidiaries | (488) | (388) | (237) |
Income tax benefit/(expense) | 32 | 45 | (9) |
Loss before equity in net income of subsidiaries | (456) | (343) | (246) |
Equity in net income of subsidiaries: | |||
Equity in undistributed net income/(distributions in excess of net income) of subsidiaries | 3,361 | 2,476 | (1,198) |
Dividends from bank subsidiaries | 0 | 0 | 4,915 |
Dividends from non-bank subsidiaries | 2,950 | 1,166 | 233 |
Net Income | 5,855 | 3,299 | 3,704 |
Preferred stock dividends and other | 495 | 256 | 178 |
Net Income Available to Common Stockholders | 5,360 | 3,043 | 3,526 |
Parent Company [Member] | Trading revenue [Member] | |||
Condensed Income Statements, Captions [Line Items] | |||
Revenues from contracts with customers | $ 0 | $ 1 | $ 0 |
The Charles Schwab Corporatio_4
The Charles Schwab Corporation – Parent Company Only Financial Statements (Condensed Balance Sheets) (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Assets | |||||
Cash and cash equivalents | [1] | $ 62,975 | $ 40,348 | $ 29,345 | |
Other assets | 10,318 | 7,783 | |||
Total assets | 667,270 | 549,009 | 294,000 | ||
Liabilities and Stockholders’ Equity | |||||
Accrued expenses and other liabilities | 17,791 | 17,094 | |||
Short-term borrowings | 4,855 | 0 | |||
Long-term debt | 18,914 | 13,632 | |||
Total liabilities | 611,009 | 492,949 | |||
Stockholders’ equity | 56,261 | 56,060 | $ 21,745 | $ 20,670 | |
Total liabilities and stockholders’ equity | 667,270 | 549,009 | |||
Parent Company [Member] | |||||
Assets | |||||
Cash and cash equivalents | 6,839 | 4,654 | |||
Receivables from subsidiaries | 1,288 | 1,260 | |||
Available for sale securities | 4,218 | 4,982 | |||
Investment in non-bank subsidiaries | 34,377 | 29,550 | |||
Investment in bank subsidiaries | 30,720 | 25,548 | |||
Other assets | 357 | 371 | |||
Total assets | 77,799 | 66,365 | |||
Liabilities and Stockholders’ Equity | |||||
Accrued expenses and other liabilities | 618 | 458 | |||
Payables to subsidiaries | 80 | 34 | |||
Short-term borrowings | 3,005 | 0 | |||
Long-term debt | 17,835 | 9,813 | |||
Total liabilities | 21,538 | 10,305 | |||
Stockholders’ equity | 56,261 | 56,060 | |||
Total liabilities and stockholders’ equity | $ 77,799 | $ 66,365 | |||
[1] | For more information on the nature of restrictions on restricted cash and cash equivalents, see Note 23. |
The Charles Schwab Corporatio_5
The Charles Schwab Corporation – Parent Company Only Financial Statements (Condensed Statements of Cash Flows) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||||
Cash Flows from Operating Activities | ||||||
Net income | $ 5,855 | $ 3,299 | $ 3,704 | |||
Adjustments to reconcile net income to net cash provided by (used for) operating activities: | ||||||
Other | 372 | 349 | 199 | |||
Net change in: | ||||||
Other assets | (1,152) | 4 | (709) | |||
Accrued expenses and other liabilities | 1,322 | 2,852 | (241) | |||
Net cash provided by (used for) operating activities | 2,118 | 6,852 | 9,325 | |||
Cash Flows from Investing Activities | ||||||
Purchases of available for sale securities | (171,732) | (202,171) | (31,815) | |||
Proceeds from sales of available for sale securities | 13,306 | 4,801 | 24,495 | |||
Principal payments on available for sale securities | 94,912 | 63,247 | 21,616 | |||
Net cash provided by (used for) investing activities | (75,663) | (125,851) | 11,964 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 7,036 | 3,070 | 593 | |||
Repayment of long-term debt | (1,822) | (700) | 0 | |||
Repurchases of common stock | 0 | 0 | (2,220) | |||
Net proceeds from preferred stock offerings | 2,806 | 4,940 | 0 | |||
Redemption of preferred stock | (600) | 0 | 0 | |||
Dividends paid | (1,822) | (1,280) | (1,060) | |||
Proceeds from stock options exercised | 221 | 79 | 118 | |||
Other financing activities | (104) | (55) | (41) | |||
Net cash provided by (used for) financing activities | 96,323 | 143,982 | (13,939) | |||
Increase (Decrease) in Cash and Cash Equivalents | 22,778 | 24,983 | 7,350 | |||
Cash and Cash Equivalents, including Amounts Restricted at Beginning of Year | 70,560 | [1] | 45,577 | [1] | 38,227 | |
Cash and Cash Equivalents, including Amounts Restricted at End of Year | [1] | 93,338 | 70,560 | 45,577 | ||
Parent Company [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income | 5,855 | 3,299 | 3,704 | |||
Adjustments to reconcile net income to net cash provided by (used for) operating activities: | ||||||
Dividends in excess of (equity in undistributed) earnings of subsidiaries | (3,361) | (2,476) | 1,198 | |||
Other | 21 | 41 | 9 | |||
Net change in: | ||||||
Other assets | 76 | (65) | 57 | |||
Accrued expenses and other liabilities | 112 | 34 | 34 | |||
Net cash provided by (used for) operating activities | 2,703 | 833 | 5,002 | |||
Cash Flows from Investing Activities | ||||||
Due from (to) subsidiaries — net | 211 | 46 | (122) | |||
Increase in investments in subsidiaries | (10,926) | (2,172) | (1,783) | |||
Repayments (advances) of subordinated loan to CS&Co | 0 | 0 | 185 | |||
Purchases of available for sale securities | (8,002) | (5,397) | (1,141) | |||
Proceeds from sales of available for sale securities | 2 | 2 | 181 | |||
Principal payments on available for sale securities | 8,754 | 2,395 | 994 | |||
Net cash provided by (used for) investing activities | (9,961) | (5,126) | (1,686) | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 7,036 | 3,070 | 593 | |||
Repayment of long-term debt | (1,200) | (700) | 0 | |||
Issuance of commercial paper | 8,253 | 1,234 | 1,400 | |||
Repayments of commercial paper | (5,250) | (1,234) | (1,400) | |||
Repurchases of common stock | 0 | 0 | (2,220) | |||
Net proceeds from preferred stock offerings | 2,806 | 4,940 | 0 | |||
Redemption of preferred stock | (600) | 0 | 0 | |||
Dividends paid | (1,822) | (1,280) | (1,060) | |||
Proceeds from stock options exercised | 220 | 79 | 118 | |||
Other financing activities | 0 | (1) | 0 | |||
Net cash provided by (used for) financing activities | 9,443 | 6,108 | (2,569) | |||
Increase (Decrease) in Cash and Cash Equivalents | 2,185 | 1,815 | 747 | |||
Cash and Cash Equivalents, including Amounts Restricted at Beginning of Year | 4,654 | 2,839 | 2,092 | |||
Cash and Cash Equivalents, including Amounts Restricted at End of Year | 6,839 | 4,654 | 2,839 | |||
Non-Cash Investing and Financing Activity | ||||||
Exchange of TDA Holding-issued senior notes for CSC-issued senior notes | $ 1,987 | $ 0 | $ 0 | |||
[1] | For more information on the nature of restrictions on restricted cash and cash equivalents, see Note 23. |