Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Schedule of Provision for Income Taxes

The components of the provision for income taxes for the past three years are as follows: 

	For the years ended December 31,
(In thousands)	2019			2018			2017
Federal - current provision	$	5,478		$	5,507		$	7,003
Federal - deferred (benefit) provision	(285		)	(799		)	1,702
Total federal provision	5,193			4,708			8,705
State - current provision	1,483			1,143			991
State - deferred (benefit)	(14		)	(463		)	(156		)
Total state provision	1,469			680			835
Total provision for income taxes	$	6,662		$	5,388		$	9,540

Schedule of Effective Income Tax Rate Reconciliation

Reconciliation between the reported income tax provision and the amount computed by multiplying income before taxes by the statutory Federal income tax rate for the past three years is as follows:

	For the years ended December 31,
(In thousands, except percentages)	2019			2018			2017
Federal income tax provision at statutory rate	$	6,366		$	5,734		$	7,852
Increases (Decreases) resulting from:
Stock option and restricted stock	(185		)	(434		)	(428		)
Bank owned life insurance	(123		)	(205		)	(164		)
Tax-exempt interest	(22		)	(25		)	(56		)
Meals and entertainment	19			19			22
Captive insurance premium	(209		)	(200		)	(295		)
State income taxes, net of federal income tax effect	1,161			538			543
Impact of rate change on deferred tax assets	—			—			1,733
Other, net	(345		)	(39		)	333
Provision for income taxes	$	6,662		$	5,388		$	9,540
Effective tax rate	22.0		%	19.7		%	42.5		%

Schedule of Deferred Tax Assets and Liabilities

The components of the net deferred tax asset at December 31, 2019 and 2018 are as follows: 

(In thousands)	December 31, 2019			December 31, 2018
Deferred tax assets:
Allowance for loan losses	$	4,605		$	4,476
SERP	1,006			790
Stock-based compensation	719			561
Deferred compensation	533			385
Net unrealized security losses	—			292
Depreciation	159			231
State net operating loss	140			214
EVP retirement plan	133			130
Commitment reserve	77			84
Other	212			238
Gross deferred tax assets	7,584			7,401
Valuation allowance	(140		)	(214		)
Total deferred tax assets	7,444			7,187
Deferred tax liabilities:
Deferred loan costs	451			414
Goodwill	400			382
Prepaid insurance	354			324
Deferred servicing fees	311			243
Net unrealized security gains	111			—
Bond accretion	73			72
Interest rate swaps	69			402
Other	116			—
Total deferred tax liabilities	1,885			1,837
Net deferred tax asset	$	5,559		$	5,350