Goodwill and Intangibles

12 Months Ended

Dec. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangibles

Note 7. Goodwill and Intangibles

The balance in goodwill is the result of a branch acquisition in Charlottesville in 2011, the acquisition of River Bancorp, Inc. in 2016, the acquisition of a mortgage line of business in 2018, the 35% acquisition of Hammond Insurance Agency, Incorporated in 2019, and the acquisition of Virginia Community Bankshares, Inc. in 2019.  The purpose of these acquisitions was to expand the geographic service area by targeting attractive markets with potential to provide continued balance sheet growth and new opportunities for the Company.  Bank management will evaluate at least annually the recorded value of the goodwill.  In accordance with GAAP, the Company is not amortizing goodwill.  In the event the asset suffers a decline in value based on criteria established in governing accounting standards, an impairment will be recorded.

Goodwill		2019		2018
Charlottesville Branch Acquisition	$	366,300	$	366,300
River Bancorp, Inc. Acquisition		1,727,864		1,727,864
Mortgage Business Acquisition		600,000		600,000
Hammond Insurance Acquisition		612,500		—
Virginia Community Bankshares, Inc. Acquisition		16,608,278		—
	$	19,914,942	$	2,694,164

Information concerning amortizable intangibles included in other assets on the balance sheet is as follows:

Amortizable Intangibles		2019		2018
Customer-Based Intangible – MoneyWise Payroll	$	541,272	$	738,098
Customer Based Intangible – Hammond Insurance		374,986		—
Customer Based Intangible – LenderSelect		720,489		—
Core Deposit Intangible – River Community Bank		211,036		437,954
Core Deposit Intangible – Virginia Community Bank		1,690,000		—
Other		180,536		136,863
	$	3,718,319	$	1,312,915

The estimated amortization expense for the next five years and thereafter is as follows:

(Dollars in thousands)
2020	$	869,635
2021		716,913
2022		564,949
2023		379,624
2024		341,916
Thereafter		845,282
Total	$	3,718,319