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        EXHIBIT 10.4: FORM OF NON-STATUTORY STOCK OPTION AWARD AGREEMENT





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                                     FORM OF
                   NON-STATUTORY STOCK OPTION AWARD AGREEMENT
        FOR THE KENTCUKY FIRST FEDERAL BANCORP 2005 EQUITY INCENTIVE PLAN

This Award Agreement is provided to _______________ (the "Participant") by
Kentucky First Federal Bancorp (the "Company") as of _________, the date the [
______ COMMITTEE] (the "Committee") granted the Participant the right and option
to purchase Shares pursuant to the Kentucky First Federal Bancorp 2005 Equity
Incentive Plan (the "2005 Plan"), subject to the terms and conditions of the
2005 Plan and this Award Agreement:
         <S>      <C>                                <C>
         1.       OPTION GRANT:                      You have been granted a NON-STATUTORY STOCK OPTION
                                                     (referred to in this Agreement as your "Option"). Your
                                                     Option is NOT intended to qualify as an "incentive stock
                                                     option" under Section 422 of the Internal Revenue Code
                                                     of 1986, as amended.

         2.       NUMBER OF SHARES
                  SUBJECT TO YOUR OPTION:            ________  shares  of  Common  Stock  ("Shares"),   subject
                                                     to adjustment  as may be necessary  pursuant to Article 11
                                                     of the 2005 Plan.

         3.       GRANT DATE:                        ________

         4.       EXERCISE PRICE:                    You may purchase  Shares  covered by your Option at a
                                                     price of $______ per share.
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         Unless sooner vested in accordance with Section 2 of the Terms and
         Conditions (attached hereto) or otherwise in the discretion of the
         Committee, the Options shall vest (become exercisable) in accordance
         with the following schedule:

             Continuous Status
             as a Participant               Percentage of            Number of Shares
             after Grant Date               Option Vested         Available for Exercise    Vesting Date
             ----------------               -------------         ----------------------    ------------
             <S>                                <C>                      <C>                  <C>
             Less than 1 year                   _____                    _____                _____
                  1 year                        _____                    _____                _____
                  2 years                       _____                    _____                _____
                  3 years                       _____                    _____                _____
                  4 years                       _____                    _____                _____
                  5 years                       _____                    _____                _____

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         IN WITNESS WHEREOF, Kentucky First Federal Bancorp acting by and
         through the [_______COMMITTEE] of the Board of Directors of the
         Company, has caused this Award Agreement to be executed as of the Grant
         Date, set forth above.

                                      KENTUCKY FIRST FEDERAL BANCORP

ACCEPTED BY PARTICIPANT:              By:
                                         ---------------------------------------
                                         On behalf of the Compensation Committee

-----------------------------
[Name]


-----------------------------
Date


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TERMS AND CONDITIONS

1.       GRANT OF OPTION. The Grant Date, Exercise Price and number of Shares
         subject to your Option are stated on page 1 of this Award Agreement.
         Capitalized terms used herein and not otherwise defined shall have the
         meanings assigned to such terms in the 2005 Plan.

2.       VESTING OF OPTIONS. The Option shall vest (become exercisable) in
         accordance with the vesting schedule shown on page 1 of this Award
         Agreement. Notwithstanding the vesting schedule on page 1, the Option
         will also vest and become exercisable:

         (a) Upon your death or Disability during your Continuous Status as a
             Participant; or

         (b) Upon a Change in Control.

3.       TERM OF OPTIONS AND LIMITATIONS ON RIGHT TO EXERCISE. The term of the
         Option will be for a period of ten (10) years, expiring at 5:00 p.m.,
         Eastern Time, on the tenth anniversary of the Grant Date (the
         "Expiration Date"). To the extent not previously exercised, the vested
         portion of your Option will lapse prior to the Expiration Date upon the
         earliest to occur of the following circumstances:

         (a)      Three (3) months after the termination of your Continuous
                  Status as a Participant for any reason other than by reason of
                  your death or Disability.

         (b)      Twelve (12) months after termination of your Continuous Status
                  as a Participant by reason of Disability.

         (c)      Twelve (12) months after the date of your death, if you die
                  while employed, or during the three-month period described in
                  subsection (a) above or during the twelve-month period
                  described in subsection (b) above and before the Option would
                  otherwise lapse. Upon your death, your beneficiary (designated
                  pursuant to the terms of the 2005 Plan) may exercise your
                  Option.

         (d)      At the end of the remaining original term of the Option if
                  your employment is involuntarily or constructively terminated
                  within twelve (12) months of a Change in Control.

         The Committee may, prior to the lapse of your Option under the
         circumstances described in paragraphs (a), (b), (c) or (d) above,
         extend the time to exercise your Option as determined by the Committee
         in writing and subject to federal regulations. If you return to
         employment with the Company during the designated post-termination
         exercise period, then you will be restored to the status as a
         Participant you held prior to such termination, but no vesting credit
         will be

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         earned for any period you were not in Continuous Status as a
         Participant. If you or your beneficiary exercises an Option after your
         termination of service, the Option may be exercised only with respect
         to the Shares that were otherwise vested on the date of your
         termination of service.

4.       EXERCISE OF OPTION. You may exercise your Option by providing:

         (a)      a written notice of intent to exercise to [NAME] at the
                  address and in the form specified by the [ _______ COMMITTEE]
                  of the Board of Directors of the Company from time to time;
                  and

         (b)      payment to the Company in full for the Shares subject to such
                  exercise (unless the exercise is a cash-less exercise).
                  Payment for such Shares can be made in cash, Company common
                  stock ("stock swap"), a combination of cash and Company common
                  stock or a "cash-less exercise" (if permitted by the
                  Committee).

5.       BENEFICIARY DESIGNATION. You may, in a manner determined by the
         Committee, designate a beneficiary to exercise your rights hereunder
         and to receive any distribution with respect to this Option upon your
         death. A beneficiary, legal guardian, legal representative, or other
         person claiming any rights hereunder is subject to all terms and
         conditions of this Award Agreement and the 2005 Plan, and to any
         additional restrictions deemed necessary or appropriate by the
         Committee. If you have not designated a beneficiary or none survives
         you, the Option may be exercised by the legal representative of your
         estate, and payment shall be made to your estate. Subject to the
         foregoing, you may change or revoke a beneficiary designation at any
         time provided the change or revocation is filed with the Company.

6.       WITHHOLDING. The Company or any employer Affiliate has the authority
         and the right to deduct or withhold, or require you to remit to the
         Company, an amount sufficient to satisfy federal, state, and local (if
         any) withholding taxes and employment taxes (I.E., FICA and FUTA).
         OUTSIDE DIRECTORS OF THE COMPANY ARE SELF-EMPLOYED AND ARE NOT SUBJECT
         TO TAX WITHHOLDING.

7.       LIMITATION OF RIGHTS. This Option does not confer on you or your
         beneficiary designated pursuant to Paragraph 5 any rights of a
         shareholder of the Company unless and until Shares are in fact issued
         in connection with the exercise of the Option. Nothing in this Award
         Agreement shall interfere with or limit in any way the right of the
         Company or any Affiliate to terminate your employment at any time, nor
         confer upon you any right to continue in the service of the Company or
         any Affiliate.

8.       RESTRICTIONS ON TRANSFER AND PLEDGE. You may not pledge, encumber,
         or hypothecate your right or interest in this Option to or in favor of
         any party other than the Company or an Affiliate, and this Option shall
         not be subject to any lien,


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         obligation, or liability of the Participant to any other party other
         than the Company or an Affiliate. You may not assign or transfer this
         Option other than by will or the laws of descent and distribution or
         pursuant to a domestic relations order that would satisfy Section
         414(p)(1)(A) of the Code if such Section applied to an Option under the
         2005 Plan; provided, however, that the Committee may (but need not)
         permit other requested transfers. Only you or any permitted transferee
         may exercise this Option during your lifetime.

9.       PLAN CONTROLS. The terms contained in the 2005 Plan are incorporated
         into and made a part of this Award Agreement and this Award Agreement
         shall be governed by and construed in accordance with the 2005 Plan. In
         the event of any actual or alleged conflict between the provisions of
         the 2005 Plan and the provisions of this Award Agreement, the
         provisions of the 2005 Plan shall be controlling and determinative.

10.      SUCCESSORS. This Award Agreement shall be binding upon any successor of
         the Company, in accordance with the terms of this Award Agreement and
         the 2005 Plan.

11.      SEVERABILITY. If any one or more of the provisions contained in this
         Award Agreement is invalid, illegal or unenforceable, the other
         provisions of this Award Agreement will be construed and enforced as if
         the invalid, illegal or unenforceable provision had never been
         included.

12.      NOTICE. Notices and communications under this Award Agreement must be
         in writing and either personally delivered or sent by registered or
         certified United States mail, return receipt requested, postage
         prepaid. Notices to the Company must be addressed to:

                           Kentucky First Federal Bancorp
                           479 Main Street
                             Hazard, Kentucky 41702
                            Attn: [ _____ COMMITTEE]

         or any other address designated by the Company in a written notice to
         the Participant. Notices to you will be directed to your address, as
         then currently on file with the Company, or at any other address that
         you provide in a written notice to the Company.

13.      STOCK RESERVE. The Company shall at all times during the term of this
         Agreement reserve and keep available a sufficient number of Shares to
         satisfy the requirements of this Agreement.