-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 DwzeRt03/7MUtvOXwRrxL8bjJB1IVNxM0EecD7kEesMBoT5NtNp7d/EgpgZZEGaa
 23wMQVllFWxPG3Wo3syfdA==

<SEC-DOCUMENT>0000914317-04-002016.txt : 20040513
<SEC-HEADER>0000914317-04-002016.hdr.sgml : 20040513
<ACCEPTANCE-DATETIME>20040513144606
ACCESSION NUMBER:		0000914317-04-002016
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20040511
FILED AS OF DATE:		20040513

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			CARVALHO AMADEU L
		CENTRAL INDEX KEY:			0001201454

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-24040
		FILM NUMBER:		04802508

	MAIL ADDRESS:	
		STREET 1:		C/O PENNFED FINANCIAL SERVICES INC
		STREET 2:		622 EAGLE ROCK AVENUE
		CITY:			WEST ORANGE
		STATE:			NJ
		ZIP:			07052

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PENNFED FINANCIAL SERVICES INC
		CENTRAL INDEX KEY:			0000920945
		STANDARD INDUSTRIAL CLASSIFICATION:	SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035]
		IRS NUMBER:				223297339
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0630

	BUSINESS ADDRESS:	
		STREET 1:		622 EAGLE ROCK AVE
		CITY:			WEST ORANGE
		STATE:			NJ
		ZIP:			07052
		BUSINESS PHONE:		2016697366

	MAIL ADDRESS:	
		STREET 1:		622 EAGLE ROCK AVE
		CITY:			WEST ORANGE
		STATE:			NJ
		ZIP:			07052
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>form4-60445_acex.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2004-05-11</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000920945</issuerCik>
        <issuerName>PENNFED FINANCIAL SERVICES INC</issuerName>
        <issuerTradingSymbol>PFSB</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001201454</rptOwnerCik>
            <rptOwnerName>CARVALHO AMADEU L</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O PENNFED FINANCIAL SERVICES, INC.</rptOwnerStreet1>
            <rptOwnerStreet2>622 EAGLE ROCK AVENUE</rptOwnerStreet2>
            <rptOwnerCity>WEST ORANGE</rptOwnerCity>
            <rptOwnerState>NJ</rptOwnerState>
            <rptOwnerZipCode>07052</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>43637</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>4338</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>By Children, Jointly with Spouse</value>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
    </nonDerivativeTable>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Option to Purchase</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>5.25</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2004-05-11</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>G</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
                <footnoteId id="F1"/>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>30000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>5.25</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>D</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F2"/>
            </exerciseDate>
            <expirationDate>
                <value>2004-10-28</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>30000</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>17600</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
        <derivativeHolding>
            <securityTitle>
                <value>Option to Purchase</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>17.1875</value>
            </conversionOrExercisePrice>
            <exerciseDate>
                <footnoteId id="F3"/>
            </exerciseDate>
            <expirationDate>
                <value>2007-07-22</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>20000</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>20000</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeHolding>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">Transaction represents the transfer by bona fide gift of options to purchase 15,000 shares to each of reporting person's two
 children.</footnote>
        <footnote id="F2">The option became exercisable in 20% increments on April 28, 1995, 1996, 1997, 1998 and 1999, respectively.</footnote>
        <footnote id="F3">Sixty percent of the option vested immediately upon grant and the remaining forty percent in equal increments on April 28,
 1998 and 1999, respectively.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ Amadeu L. Carvalho</signatureName>
        <signatureDate>2004-05-13</signatureDate>
    </ownerSignature>
</ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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