The Company has a defined contribution retirement plan covering substantially all employees. Contributions to the plan are based on a percentage of wages and were approximately $506,000 and $438,000 in 2024 and 2023, respectively.

The Company also has an unfunded supplemental executive retirement plan on eight executive officers and two retired officers of the Company. This plan is accounted for as a defined benefit pension plan, and was amended effective January 1, 2007 to reflect a revised pension benefit formula for the participants. The liability related to this was approximately $3,153,000 and $3,058,000 at December 31, 2024 and 2023, respectively, and is included in other liabilities in the consolidated balance sheets. The Company has also invested in certain life insurance policies, wherein the Bank is designated as the beneficiary on these policies, with the intent to ultimately use the benefit from such policies to fund the liability to be paid under this plan.

During each of the years ended December 31, 2024 and 2023, the Company paid benefits totaling $278,523. The net periodic pension cost associated with the plan totaled $271,000 and $251,000 for the years ended December 31, 2024 and 2023, respectively, and is included in salaries and employee benefits in the consolidated statements of income. The weighted average discount rate in computing the future benefit was 5.50% at December 31, 2024 and 2023.

Expected future benefits to be paid out are as follows for the years ending December 31:



(in thousands)	Amount
2025	$	278
2026		278
2027		278
2028		278
2029		278
2030 - 2034		1,922

Total	$	3,312