EMPLOYEE BENEFITS |
3 Months Ended | ||
|---|---|---|---|
Mar. 31, 2026 | |||
| EMPLOYEE BENEFITS | |||
| EMPLOYEE BENEFITS |
The Bank maintains an Internal Revenue Code Section 401(k) defined contribution plan. Employees that have completed consecutive months of service are eligible to participate in the plan and receive a non-discretionary employer contribution. Participants are also eligible for an employer discretionary profit-sharing contribution after one year of service. The Bank’s contributions are expensed as incurred. Total expense for the 401(k) defined contribution plan was $28,752 and $14,376 for the three months ended March 31, 2026 and 2025, respectively. The Bank entered into a supplemental executive retirement plan for certain key executives in 2020. Upon retirement or certain other qualifying events, such as a change in control or death, each participant will be entitled to receive a predetermined amount annually over a ten-year period. The supplemental executive retirement plan represents an unfunded defined benefit obligation. Participants vest in their accrued benefits over a period of time that approximates their respective remaining years of service until normal retirement. Benefits become payable upon reaching the age of 65 as defined in the plan agreements. The Bank accrues for the respective liabilities related to each of the executives. Such liabilities, which are included in accrued interest payable and other liabilities in the balance sheets, total $468,450 and $444,692 at March 31, 2026 and December 31, 2025, respectively, and accrue at an assumed interest rate of 5.45%. The liability is measured based on actuarial assumptions, including estimated benefit payments and an assumed interest rate used to accrete the obligation over the vesting period. |