**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**WASHINGTON,
      D.C. 20549**


**__________________**





**FORM
      11-K**





(Mark
      One):





ý
            ANNUAL
                REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF
                1934





For
      the
      fiscal year ended December 31, 2006





**OR**





o
            TRANSITION
                REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF
                1934





For
      the
      transition period from ______________ to ___________





Commission
      file number: 0-23433








A.
            Full
                title of the plan and address of the plan, if different from that
                of the
                issuer named below:








**Wayne
      Savings 401(k) Retirement Plan**





B.
            Name
                of issuer of the securities held pursuant to the plan and the address
                of
                its principal executive office:





**Wayne
      Savings Bancshares, Inc.**


**151
      North Market Street**


**Wooster,
      Ohio 44691**











**REQUIRED
      INFORMATION**





*Financial
      Statements*.  The following financial statements and schedule are
      filed as part of this Annual Report for the Wayne Savings 401(k) Retirement
      Plan
      (the "Plan"):





Page
                No.Report
                of Independent Registered Public Accounting
                Firm
            3Financial
                StatementsStatements
                of Net Assets Available for
                Benefits
            4Statement
                of Changes in Net Assets Available for
                Benefits
            5Notes
                to Financial Statements
            6Supplemental
                ScheduleSchedule
                H, Line 4i - Schedule of Assets (Held at End of
                Year)
            10





2
 *Table
          of Contents*





**REPORT
      OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING
      FIRM**








Trustees


Wayne
      Savings 401(k) Retirement Plan





We
      have
      audited the accompanying statements of net assets available for benefits of
      Wayne Savings 401(k) Retirement Plan (the Plan) as of December 31, 2006 and
      2005, and the related statement of changes in net assets available for benefits
      for the year ended December 31, 2006.  These financial statements are
      the responsibility of the Plan’s management.  Our responsibility is to
      express an opinion on these financial statements based on our
      audits.





We
      conducted our audits in accordance with the standards of the Public Company
      Accounting Oversight Board (United States).  Those standards require
      that we plan and perform the audit to obtain reasonable assurance about whether
      the financial statements are free of material misstatement.  The Plan
      is not required to have, nor were we engaged to perform an audit of internal
      control over financial reporting.  Our audit included consideration of
      internal control over financial reporting as a basis for designing audit
      procedures that are appropriate in the circumstances, but not for the purpose
      of
      expressing an opinion on the effectiveness of the Plan’s internal control over
      financial reporting.  Accordingly, we express no such
      opinion.  An audit also includes examining, on a test basis, evidence
      supporting the amounts and disclosures in the financial statements, assessing
      the accounting principles used and significant estimates made by management,
      as
      well as evaluating the overall financial statement presentation.  We
      believe that our audits provide a reasonable basis for our opinion.





In
      our
      opinion, the financial statements referred to above present fairly, in all
      material respects, the net assets available for benefits of the Plan as of
      December 31, 2006 and 2005, and the changes in net assets available for benefits
      for the year ended December 31, 2006, in conformity with accounting principles
      generally accepted in the United States of America.





Our
      audits were conducted for the purpose of forming an opinion on the basic
      financial statements taken as a whole.  The supplemental schedule of
      assets (held at end of year) is presented for the purpose of additional analysis
      and is not a required part of the basic financial statements, but is
      supplementary information required by the Department of Labor’s Rules and
      Regulations for Reporting and Disclosure under the Employee Retirement Income
      Security Act of 1974.  This supplemental schedule has been subjected
      to the auditing procedures applied in the audit of the basic financial
      statements and, in our opinion, is fairly stated in all material respects in
      relation to the basic financial statements taken as a whole.








/s/GRANT
      THORNTON LLP








Cincinnati,
      Ohio


June
      27,
      2007


3
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**





**STATEMENTS
      OF NET ASSETS AVAILABLE FOR BENEFITS**





December
      31, 2006 and 2005








**ASSETS**
            
            **2006**
            
            
            **2005**Investments
                - at fair value (Note C)
            
            $
            2,250,944
            
            
            $
            1,993,127Participant
                loans
            
            
            1,377
            
            
            
            7,5212,252,321
            
            
            
            2,000,648Accrued
                income receivable
            
            
            118
            
            
            
            389Net
                assets available for benefits
            
            **$**
            **2,252,439**
            
            
            **$**
            **2,001,037**





The
            accompanying notes are an integral part of these
            statements.
 4
 *Table
          of Contents*


**WAYNE
      SAVINGS401(k) RETIREMENT PLAN**





**STATEMENT
      OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS**





For
      the
      year ended December 31, 2006








Additions
                to net assets attributed to:Participant
                contributions
            
            $
            262,219Rollover
                contributions
            
            
            223,264Employer
                contributions
            
            
            132,684Interest
                and dividends on investments
            
            
            101,982Net
                appreciation on investment securities (Note C)
            
            
            24,691Total
                additions
            
            
            744,840Deductions
                from net assets attributed to:Benefits
                paid to participants
            
            
            491,455Administrative
                fees
            
            
            1,983Total
                deductions
            
            
            493,438Increase
                in net assets available for benefits
            
            
            251,402Net
                assets available for benefits:Beginning
                of year
            
            
            2,001,037End
                of year
            
            **$**
            **2,252,439**





The
            accompanying notes are an integral part of these
            statements.
 5
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**





**NOTES
      TO FINANCIAL STATEMENTS**





December
      31, 2006 and 2005








**NOTE
      A - DESCRIPTION OF PLAN**





The
      following description of the Wayne Savings 401(k) Retirement Plan (“Plan”)
      provides only general information.  Participants should refer to the
      Plan agreement for a more complete description of the Plan’s
      provisions.





1.  General





The
      Plan
      is a defined contribution plan covering all employees of Wayne Savings Community
      Bank (the “Company”) who have one year of service with a minimum of 1,000 hours
      worked and have attained age 21.  It was established for the purpose
      of providing retirement and profit sharing benefits to all eligible employees
      of
      the Company.  The Plan is a “safe harbor” plan with recordkeeping and
      trustee responsibilities performed by the Huntington National
      Bank.  It is subject to the provisions of the Employee Retirement
      Income Security Act of 1974 (ERISA).





2.  Contributions





Each
      year, participants may contribute up to 50% of pretax annual compensation,
      as
      defined in the Plan, subject to an overall $15,000 limitation for
      2006.  Participants may also contribute amounts representing
      distributions from other qualified defined benefit or defined contribution
      plans.  Participants direct the investment of their contributions into
      various investment options offered by the Plan.  The Plan currently
      offers mutual funds and stock of Wayne Savings Bancshares, Inc. as investment
      options for participants.  The 401(k) matching Company contribution is
      invested as directed by the participants.  Additional profit sharing
      amounts may be contributed at the option of the Company’s management and are
      invested in a portfolio of investments as directed by the
      participants.  Contributions are subject to certain
      limitations.





The
      Company contributes on behalf of the participants a matching contribution of
      100% of the first 4% of base compensation that a participant contributes to
      the
      Plan and 50% of the next 2%, thereby providing for a match of 5% on the first
      6%
      of an employee’s contribution.





3.  Participant
      Accounts





Each
      participant’s account is credited with the participant’s contribution and
      allocations of (a) the Company’s contribution, (b) Plan earnings and (c)
      nonvested forfeitures.  Allocations are based on each participant’s
      account at the end of the year.  The benefit to which a participant is
      entitled is the benefit that can be provided from the participant’s vested
      account.





4.  Payment
      of Benefits





Upon
      termination of service due to death, disability or retirement, a participant
      may
      elect to receive a lump-sum amount equal to the value of the participant’s
      vested interest in his or her account.  Any nonvested amounts are
      forfeited to the Plan and used to offset any future employer matching
      contributions.





6
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**





**NOTES
      TO FINANCIAL STATEMENTS (CONTINUED)**





December
      31, 2006 and 2005








**NOTE
      A - DESCRIPTION OF PLAN** (continued)





5.  Vesting





Participants
      are immediately vested in their own contributions and the Company’s
      contributions plus actual earnings thereon.





6.  Participant
      Loans





Participants
      may borrow up to 50% of their 401(k) contributions.  The minimum loan
      amount is $1,000 and the maximum loan amount is $50,000.  Participants
      may have only two outstanding loans at any time.  The interest rate is
      the prime rate plus 1% and is determined when the participant applies for the
      loan.  Principal and interest are repaid directly to the participant’s
      account through payroll deduction.





7.  Forfeitures





For
      the
      year ended December 31, 2006, there were no unallocated forfeitures arising
      from
      prior vesting schedules.  Forfeitures may be used by the Plan to
      reduce future employer matching contributions.








**NOTE
      B - SUMMARY OF ACCOUNTING POLICIES**





1.  Basis
      of Accounting





The
      financial statements of the Plan are prepared under the accrual method of
      accounting.





2.  Use
      of Estimates





The
      preparation of financial statements in conformity with accounting principles
      generally accepted in the United States of America requires management to make
      estimates and assumptions that affect the reported amounts of net assets
      available for benefits as of the date of the financial statement and the
      reported amounts of changes in net assets available for benefits during the
      reporting period.  Actual results could differ from those
      estimates.





3.  Investment
      Valuation and Income Recognition





The
      Plan’s investments are stated at fair value based on quoted market
      prices.  Shares of mutual funds are valued at the net asset value of
      shares held by the Plan at year-end.  Participant loans are valued at
      their outstanding balances, which approximate fair value.





Purchases
      and sales of securities are recorded on the settlement date.





4.  Payment
      of Benefits





Benefits
      are recorded when paid.


7
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**





**NOTES
      TO FINANCIAL STATEMENTS (CONTINUED)**





December
      31, 2006 and 2005








**NOTE
      C - INVESTMENTS**





The
      following categories of investments constitute 5 percent or more of the Plan’s
      net assets at December 31:





**2006**
            
            
            **2005**Wayne
                Savings Bancshares, Inc. common stock *
            
            $
            536,109
            
            
            $
            654,801Federated
                Capital Preservation Fund – Institutional Shares
            
            
            225,678
            
            
            
            105,257T.
                Rowe Price High Yield – Advisor
            
            
            146,422
            
            
            
            103,557Dreyfus
                S&P 500 Index Fund
            
            
            230,320
            
            
            
            244,004Federated
                Capital Appreciation Fund – Class A
            
            
            124,381
            
            
            
            143,512Fidelity
                Advisor Equity Growth Fund – Class T
            
            
            322,073
            
            
            
            313,980Fidelity
                Advisor Mid-Cap - Class T
            
            
            178,332
            
            
            
            115,910Franklin
                Templeton Growth Fund
            
            
            130,814
            
            
            
            **





*
            Denotes
                a party-in-interest


**
            Investment
                represents less than 5% of the Plan’s net assets at the specified
                date





During
      2006, the Plan’s mutual fund investments appreciated in value by $59,683, while
      the Plan’s investment in Wayne Savings Bancshares, Inc. common shares
      depreciated in value by $34,992.








**NOTE
      D - PARTY-IN-INTEREST TRANSACTIONS**





Participants
      may invest in stock of Wayne Savings Bancshares, Inc., the Plan sponsor, and
      mutual funds of The Huntington National Bank.  The Plan sponsor paid
      administrative expenses on behalf of the Plan during 2006 totaling
      $7,309.  These transactions qualify as party-in-interest
      transactions.








**NOTE
      E - PLAN TERMINATION**





Although
      it has not expressed any intent to do so, the Company has the right under the
      Plan to discontinue its contributions at any time and to terminate the Plan
      subject to the provisions of ERISA.








**NOTE
      F - TAX STATUS**





The
      Internal Revenue Service has determined and informed the Company by an opinion
      letter dated November 19, 2001, that the prototype plan and related trust are
      designed in accordance with applicable sections of the Internal Revenue Code
      (IRC).  Although the prototype plan has been amended since receiving
      the opinion letter, the Plan administrator believes the Plan is designed and
      is
      currently being operated in compliance with the applicable requirements of
      the
      IRC.





8
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**





**NOTES
      TO FINANCIAL STATEMENTS (CONTINUED)**





December
      31, 2006 and 2005








**NOTE
      G - CONCENTRATIONS, RISKS AND UNCERTAINTIES**





The
      Plan
      has a significant concentration of investment in Wayne Savings Bancshares,
      Inc.
      common stock.  A change in value of this stock could cause the value
      of the Plan’s net assets to change significantly due to this
      concentration.





The
      Plan
      invests in various investment securities.  Investment securities are
      exposed to various risks such as interest rate, market, and credit
      risks.  Due to the level of risk associated with investment
      securities, it is at least reasonably possible that changes in the values of
      investment securities will occur in the near term and that such changes could
      materially affect participants’ account balances and the amounts reported in the
      statement of net assets available for benefits.





9
 *Table
          of Contents*


**WAYNE
      SAVINGS 401(k) RETIREMENT PLAN**


**Form
      5500 E.I.N. 34-0606020 Plan No. 003**





**Schedule
      H, Line 4i - SCHEDULE OF ASSETS (HELD AT END OF
      YEAR)**





December
      31, 2006








**(a)**
            
            **(b)**
            
            **(c)**
            
            **(e)****Description
                of investment****including
                maturity date, rate****Identity
                of issue, borrower,**
            
            **of
                interest, collateral, par**
            
            **Current****lessor
                or similar party**
            
            **or
                maturity value**
            
            **value***
            
            **Stock**
            
            **Shares**Wayne
                Savings Bancshares, Inc.
            
            
            37,101
            
            
            $
            536,109**Mutual
                Funds***
            
            Huntington
                Money Market Fund IV
            
            
            8,099
            
            
            
            8,099*
            
            Huntington
                Dividend Capture Fund IV
            
            
            5,745
            
            
            
            66,876*
            
            Huntington
                Income Equity Fund IV
            
            
            223
            
            
            
            6,931*
            
            Huntington
                Short & Intermediate Fixed Income Fund IV
            
            1,648
            
            
            
            31,729Federated
                Capital Preservation Fund – Institutional Shares
            
            22,568
            
            
            
            225,678T.
                Rowe Price High Yield – Advisor
            
            
            20,858
            
            
            
            146,422American
                Balanced Fund – Class R-4
            
            
            5,699
            
            
            
            108,284Columbia
                Small Cap Fund – Class A
            
            
            5,621
            
            
            
            106,752Dreyfus
                S&P 500 Index Fund
            
            
            5,758
            
            
            
            230,320Federated
                Capital Appreciation Fund – Class A
            
            
            5,079
            
            
            
            124,381Fidelity
                Advisor Equity Growth Fund – Class T
            
            
            6,299
            
            
            
            322,073Fidelity
                Advisor Mid-Cap Fund – Class T
            
            
            7,156
            
            
            
            178,332Managers
                Special Equity Fund
            
            
            339
            
            
            
            28,144Franklin
                Templeton Growth Fund
            
            
            5,098
            
            
            
            130,814Total
                Mutual Funds
            
            
            
            
            
            
            1,714,835*
            
            Participant
                Loans
            
            At
                an interest rate of 5.25%
            
            
            
            1,377Total
                Investments
            
            
            
            
            
            **$**
            **2,252,321**











*  Denotes
      a party-in-interest





10
 *Table
          of Contents*


**SIGNATURES**








*The
      Plan*.  Pursuant
      to the requirements of the Securities Exchange Act of 1934, the trustees for
      the
      Plan have duly caused this Annual Report to be signed by the undersigned
      hereunto duly authorized.





**WAYNE
                SAVINGS 401(k) RETIREMENT PLAN**June
                21, 2007
            By:
            /s/H.
                Stewart Fitz Gibbon IIIH.
                Stewart Fitz Gibbon III, on behalf of Wayne Savings Community Bank
                as the
                Plan Administrator


*Table
          of Contents*


**INDEX
      TO EXHIBITS**








Number
            
            Description23
            
            Consent
                of Independent Registered Public Accounting
                Firm