5. Employee Benefit Plan

6 Months Ended

Jun. 30, 2017

Employee Benefit Plan

5. Employee Benefit Plan

The Bank has a qualified noncontributory defined benefit pension plan which covers substantially all of its full-time employees hired before April 1, 2012.  The benefits are primarily based on years of service and earnings.  The Company uses December 31^st as the measurement date for the defined benefit pension plan.  The Bank does not expect to contribute to the pension plan in 2017.

The following is a summary of net periodic pension costs for the three and six month periods ended June 30, 2017 and 2016:

	Six Months Ended						Three Months Ended
	June 30, 2017			June 30, 2016			June 30, 2017			June 30, 2016
Service cost	$	347,922		$	315,936		$	173,961		$	157,968
Interest cost		243,604			226,448			121,802			113,224
Expected return on plan assets		(425,548	)		(427,208	)		(212,774	)		(213,604	)
Amortization of prior service cost		(7,618	)		(7,618	)		(3,809	)		(3,809	)
Amortization of net (gain) or loss		142,048			111,572			71,024			55,786
Net periodic pension cost	$	300,408		$	219,130		$	150,204		$	109,565