
	Years Ended December 31
	2019		2020		2021
	NT$		NT$		NT$
	(In Millions)		(In Millions)		(In Millions)
a. Depreciation of property, plant and equipment and right-of-use assets

Recognized in cost of revenue	$	256,530.9	$	299,311.4	$	386,103.9
Recognized in operating expenses		24,856.7		25,191.3		27,936.2
Recognized in other operating income and expenses		24.2		35.7		147.6


	$	281,411.8	$	324,538.4	$	414,187.7

b. Amortization of intangible assets

Recognized in cost of revenue	$	3,069.9	$	4,837.7	$	5,574.3
Recognized in operating expenses		2,402.5		2,348.5		2,632.9


	$	5,472.4	$	7,186.2	$	8,207.2

c. Employee benefits expenses

Post-employment benefits
Defined contribution plans	$	2,609.7	$	2,809.5	$	3,711.0
Defined benefit plans		259.6		204.9		192.5

		2,869.3		3,014.4		3,903.5
Other employee benefits		107,115.3		137,803.0		161,043.6

	$	109,984.6	$	140,817.4	$	164,947.1


Employee benefits expense summarized by function
Recognized in cost of revenue	$	64,702.0	$	83,099.0	$	98,012.8
Recognized in operating expenses		45,282.6		57,718.4		66,934.3


	$	109,984.6	$	140,817.4	$	164,947.1

According to TSMC’s Articles of Incorporation, TSMC shall allocate compensation to directors and profit sharing bonus to employees of TSMC not more than 0.3% and not less than 1% of annual profits during the period, respectively.

TSMC accrued profit sharing bonus to employees based on a percentage of net income before income tax, profit sharing bonus to employees and compensation to directors during the period; compensation to directors was expensed based on estimated amount payable. If there is a change in the proposed amounts after the annual consolidated financial statements are authorized for issue, the differences are recorded as a change in accounting estimate. Accrued profit sharing bonus to employees is illustrated below:


	Years Ended December 31
	2019		2020		2021
	NT$		NT$		NT$
	(In Millions)		(In Millions)		(In Millions)
Profit sharing bonus to employees	$	23,165.7	$	34,753.2	$	35,601.5

TSMC’s profit sharing bonus to employees and compensation to directors for 2019, 2020 and 2021 had been approved by the Board of Directors of TSMC, as illustrated below:


	Years Ended December 31
	2019		2020		2021
	NT$		NT$		NT$
	(In Millions)		(In Millions)		(In Millions)
Resolution Date of TSMC’s Board of Directors in its meeting		February 11, 2020		February 9, 2021		February 15, 2022
Profit sharing bonus to employees	$	23,165.7	$	34,753.2	$	35,601.5

Compensation to directors	$	360.4	$	509.8	$	487.5

There is no significant difference between the aforementioned approved amounts and the amounts charged against earnings of 2019, 2020 and 2021, respectively