Note E - Benefit Plans

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Pension and Other Postretirement Benefits Disclosure [Text Block]

NOTE E - BENEFIT PLANS

Defined Contribution Plan

The Company sponsors a

401

(k) defined contribution plan ("DC Plan") that provides for a dollar-for-dollar employer matching contribution of the

first

4%

of each employee's pay. Employees become fully vested in employer matching contributions after

one

year of employment. Company

401

(k) matching contributions were approximately

$88,000

and

$90,000

for the years ended

December 31, 2019

and

2018,

respectively.

The Company also makes discretionary contributions to each employee's account based on a "pay-to-pay" safe-harbor formula that qualifies the

401

(k) Plan under current IRS regulations. For the years ended

December 31, 2019

and

2018,

the Company’s Board of Directors authorized discretionary contributions in the amount of

$

145,000

per year to be allocated among all eligible employees. Employees become vested in the discretionary contributions as follows:

20%

after

two

years of employment, and

20%

for each year of employment thereafter until the employee becomes fully vested after

six

years of employment.