Fair Value (Tables)

6 Months Ended

Jun. 30, 2018

Summary of Assets Measured at Fair Value on a Recurring Basis

The following tables summarize financial assets measured at fair value on a recurring basis as of June 30, 2018 and December 31, 2017, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value. The Company has no liabilities measured at fair value in the consolidated balance sheets.



	June 30, 2018
	Level 1 inputs		Level 2 inputs		Level 3 inputs		Total fair value
U.S. agency securities	$	—	$	1,193,141	$	—	$	1,193,141
Mortgage-backed securities*	—		28,653,867		—		28,653,867
Municipal bonds	—		14,294,519		—		14,294,519
Total	$	—	$	44,141,527	$	—	$	44,141,527



	December 31, 2017
	Level 1 inputs		Level 2 inputs		Level 3 inputs		Total fair value
U.S. agency securities	$	—	$	1,233,795	$	—	$	1,233,795
Mortgage-backed securities*	—		26,784,589		—		26,784,589
Municipal bonds	—		15,111,097		—		15,111,097
Total	$	—	$	43,129,481	$	—	$	43,129,481



*All mortgage-backed securities are issued by FNMA, FHLMC, or GNMA and are backed by residential mortgage loans.

Summary of Estimated Fair Values of Company's Financial Instruments

The estimated fair values of Company’s financial instruments (as described in note 1) at June 30, 2018 and December 31, 2017 were as follows:



		June 30, 2018				December 31, 2017
	Fair value	Carrying		Approximate		Carrying		Approximate
	hierarchy	amount		fair value		amount		fair value
Financial assets:
Cash and due from banks	Level 1	$	2,538,248	$	2,538,248	$	3,310,400	$	3,310,400
Federal funds sold	Level 1	914,000		914,000		2,672,000		2,672,000
Time deposits in other	Level 1
financial institutions		3,316,282		3,316,282		4,545,878		4,545,878
Securities available-for-sale	See previous table	44,141,527		44,141,527		43,129,481		43,129,481
Loans receivable, net	Level 2 (1)	65,588,876		66,104,876		68,411,395		69,008,986
FHLB stock	Level 1	710,000		710,000		703,400		703,400
Bankers’ Bank stock	Level 1	147,500		147,500		147,500		147,500
Accrued interest receivable	Level 1	418,494		418,494		439,855		439,855
Bank owned life insurance	Level 1	3,185,043		3,185,043		3,138,112		3,138,112
Financial liabilities:
Deposits	Level 2	82,184,677		74,264,677		87,740,194		87,828,194
FHLB advances	Level 2	14,000,000		14,054,000		14,000,000		14,052,000
Accrued interest payable	Level 1	29,436		29,436		13,982		13,982



(1) Impaired loans would have a fair value hierarchy of a Level 3. See previous disclosures.