UNITED STATESSECURITIES AND ~~STATES~~EXCHANGE COMMISSIONWashington, D.C. 20549FORM 8-KCURRENT REPORTPursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

~~SECURITIES~~ Date ~~AND~~of Report ~~EXCHANGE~~(Date ~~COMMISSION~~of earliest event reported) March 27, 2012

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 28, 2012

SOUND FINANCIAL, INC.

(Exact name of Registrant as specified in its Charter)

United States		000-52889		26-0776123
(State or other jurisdiction of incorporation)		(Commission File No.)		(IRS Employer ~~Identification Number~~IdentificationNumber)

2005 5th Avenue, Second Floor, Seattle, Washington		98121
(Address of principal executive offices)		(Zip Code)

Registrant's telephone number, including area code: (206) 448-0884 Not Applicable (Former name or former address, if changed since last report)

Not Applicable (Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

□ ⃞ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) □ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) □ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) □ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

~~Item~~ ⃞ Soliciting material ~~5.02.~~pursuant ~~Departure~~to ofRule ~~Directors~~14a-12 orunder ~~Certain~~the ~~Officers,~~Exchange ~~Election~~Act of(17 ~~Directors: Appointment of Certain Officers; Compensatory Arrangements of Certain Officers~~CFR 240.14a-12)

On ⃞ Pre-commencement communications February 28, 2012, the Compensation Committee of the Board of Directors of Sound Financial, Inc. (the “Company”) awarded shares of restricted stock and stock options to executive officers and employees of the Company, and its wholly owned subsidiary, Sound Community Bank, pursuant to ~~the~~Rule ~~Sound Financial, Inc. 2008 Equity Incentive Plan~~ 14d-2(~~the “Plan”~~b). ~~The~~under ~~Plan was approved by shareholders at~~ the ~~special~~Exchange ~~meeting~~Act of(17 ~~shareholders held on November 19, 2008~~CFR 240. ~~The grants to and executive officers and officers were as follows:~~14d-2(b))

	Shares of Restricted Stock	Number of Shares Subject to Stock Options
Laura Lee Stewart, Director, President and CEO	1,860	5,117(1)
Matthew P. Deines, EVP and CFO	1,860	5,000(1)
Matthew F. Moran, EVP and CCO	1,865	5,000(1)
David Sharon, VP Commercial Lending	1,805	5,050(1)
Heidi J. Sexton, VP Operations	1,805	5,050(1)
David Haines, VP Information Technology	1,805	5,000(1)

⃞ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

~~______________________________~~ Item 2.02 Results of Operations and Financial Condition

On March 27, 2012, Sound Financial, Inc.(1the “Company”) issued a press release revising its previously reported ~~Incentive~~financial ~~stock~~results ~~options~~for the year ending December 31, 2011. The Company also announced that the Office of the Comptroller of the Currency terminated its Memorandum of Understanding with its wholly-owned subsidiary, Sound Community Bank. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein.

All of the awards will vest in 20 percent annual increments over the next five years. The options are exercisable for a period of 10 years from the date of grant, subject to vesting. The stock options granted to each of the individuals indicated above were at an exercise price of $7.42, which was the fair market value of the Company’s common stock on the grant date. The vesting date for options and restricted stock is accelerated in the event of the grantee’s death, disability or a change in control of the Company or Sound Community Bank. Copies of the form of agreements pursuant to which grants were made under the Plan are filed as exhibits to this report.

Item 9.01 Financial Statements and Exhibits

~~Exhibit~~ (c) The ~~Number~~following ~~Description~~exhibit is filed as part of this report.

Exhibit 1099.1 Press ~~Form~~Release offrom ~~Incentive Stock Option Agreement under the~~ Sound Financial, Inc. ~~2008~~dated ~~Equity~~March ~~Incentive Plan~~27, 2012.

Exhibit 10.2 Form of Restricted Stock Agreement under the Sound Financial, Inc. 2008 Equity Incentive Plan.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

	~~SOUND FINANCIAL, INC.~~	SOUND FINANCIAL, INC.
Date: March 5, 2012	By:	/s/ Laura Lee Stewart
Date:	March 27, 2012	By:	/s/	Laura Lee Stewart
		Laura Lee Stewart President and Chief Executive Officer
				Laura Lee Stewart
				President and Chief Executive Officer

EXHIBIT INDEX

Exhibit Number		Description

99.1		Press Release, dated March 27, 2012

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