Regulatory Capital

12 Months Ended

Dec. 31, 2016

Regulatory Capital [Abstract]

Regulatory Capital

Note 19:Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Furthermore, the Bank’s regulators could require adjustments to regulatory capital not reflected in these financial statements.

Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum amounts and ratios (set forth in the table below) of total,  Tier I and Common Equity Tier I capital (as defined in the regulations) to risk-weighted assets (as defined) and of Tier I capital to average assets (as defined). As of December 31, 2016 and 2015, the Company and Bank meet all capital adequacy requirements to which it is subject.

In July 2013, the three federal bank regulatory agencies jointly published final rules (the Basel III Capital Rules) establishing a new comprehensive capital framework for U.S. banking organizations.  The rules implement the Basel Committee’s December 2010 framework known as “Basel III” for strengthening international capital standards as well as certain provisions of the Dodd-Frank Act.  These rules substantially revise the risk-based capital requirements applicable to bank holding companies and depository institutions, compared to the current U.S. risk-based capital rules.  The Basel III Capital Rules define the components of capital and address other issues affecting the numerator in banking institutions’ regulatory capital ratios.  These rules also address risk weights and other issues affecting the denominator in banking institutions’ regulatory capital ratios and replace the existing risk-weighting approach with a more risk-sensitive approach.  The Basel III Capital Rules were effective for the Company and Bank on January 1, 2015 (subject to a four-year phase-in period).

The Company’s and Bank’s actual capital amounts and ratios are presented in the table below.

	December 31, 2016
		Actual Capital Levels			Minimum Regulatory Capital Levels				Minimum Required To be Considered Well-Capitalized
		Amount	Ratio			Amount	Ratio		Amount		Ratio
Leverage Capital Level (1) :
MutualFirst Consolidated	$	138,971	9.0	%	$	61,914	4.0	%		N/A	N/A
MutualBank		136,301	8.8			61,832	4.0		$	77,290	5.0	%
Common Equity Tier 1 Capital Level (2) :
MutualFirst Consolidated	$	136,606	11.9	%	$	51,729	4.5	%		N/A	N/A
MutualBank		136,301	11.9			51,696	4.5		$	74,672	6.5	%
Tier 1 Risk-Based Capital Level (3)  :
MutualFirst Consolidated	$	138,971	12.1	%	$	68,973	6.0	%		N/A	N/A
MutualBank		136,301	11.9			68,928	6.0		$	91,904	8.0	%
Total Risk-Based Capital Level (4)  :
MutualFirst Consolidated	$	151,353	13.2	%	$	91,963	8.0	%		N/A	N/A
MutualBank		148,683	12.9			91,904	8.0		$	114,880	10.0	%
(1)Tier 1 Capital to Average Total Assets of $1.5 billion for the Bank and Company at December 31, 2016.
(2)Common Equity Tier 1 Capital to Risk-Weighted Assets of $1.1 billion for the Bank and Company at December 31, 2016.
(3)Tier 1 Capital to Risk-Weighted Assets.
(4)Total Capital to Risk-Weighted Assets.

	December 31, 2015
		Actual Capital Levels			Minimum Regulatory Capital Levels				Minimum Required To be Considered Well-Capitalized
		Amount	Ratio			Amount	Ratio		Amount		Ratio
Leverage Capital Level (1) :
MutualFirst Consolidated	$	132,727	9.1	%	$	58,608	4.0	%		N/A	N/A
MutualBank		134,754	9.2			58,509	4.0		$	73,136	5.0	%
Common Equity Tier 1 Capital Level (2) :
MutualFirst Consolidated	$	131,520	12.5	%	$	47,331	4.5	%		N/A	N/A
MutualBank		134,754	12.8			47,309	4.5		$	68,336	6.5	%
Tier 1 Risk-Based Capital Level (2)  :
MutualFirst Consolidated	$	132,727	12.6	%	$	63,108	6.0	%		N/A	N/A
MutualBank		134,754	12.8			63,079	6.0		$	84,106	8.0	%
Total Risk-Based Capital Level (3)  :
MutualFirst Consolidated	$	145,368	13.8	%	$	84,144	8.0	%		N/A	N/A
MutualBank		147,395	14.0			84,106	8.0		$	105,132	10.0	%
(1) Tier 1 Capital to Average Total Assets of $1.5 billion for the Bank and Company at December 31, 2015.
(2)Common Equity Tier 1 Capital to Risk-Weighted Assets of $1.1 billion for the Bank and Company at December 31, 2015.
(3) Tier 1 Capital to Risk-Weighted Assets.
(4) Total Capital to Risk-Weighted Assets.