Document:

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                                                                   EXHIBIT 10.24

                             EMPLOYMENT AGREEMENT
                             --------------------

     THIS EMPLOYMENT AGREEMENT (this "Agreement") is entered into on
______________, 2000, by and between Waypoint Financial Corp., a Pennsylvania
corporation (the "Company"), with its principal office located in Harrisburg,
Pennsylvania, and Robert W.  Pullo, a resident of York, Pennsylvania
("Executive").  Any reference herein to the "Bank" shall refer to Waypoint Bank,
a wholly-owned subsidiary of the Company.

     WHEREAS, the Company and Executive wish to enter into an employment
agreement to evidence the terms and conditions of Executive's appointment as Co-
Chairman of the Board of Directors of the Company and to provide for Executive's
employment by the Company, upon the terms and conditions set forth herein:

     NOW, THEREFORE, the parties hereto, intending to be legally bound, hereby
agree as follows:

     1.    Employment.  The Company hereby agrees to employ Executive, and
           ----------
Executive hereby accepts such employment and agrees to perform his duties and
responsibilities, in accordance with the terms, conditions and provisions
hereinafter set forth.

     1. 1. Employment Term.  The term of Executive's employment under this
           ---------------
Agreement shall commence on ______________, 2000 (the "Effective Date") and
shall continue for thirty-six (36) consecutive months, or until ____________,
2003; provided, however, that the Agreement may be renewed annually for an
additional twelve months, in the mutual agreement of the Executive and the Board
of Directors, provided, further, that the Agreement shall not extend beyond
_____________, 2005 (the "Employment Term").  At the expiration of the
Employment Term, the Company and the Executive shall enter into a Consulting
Agreement with a term of two years, or until ____________, 2005, provided,
however, that any extension of the term of this Agreement shall cause a
corresponding reduction in the term of the Consulting Agreement.   The
Consulting Agreement shall be substantially in the form attached hereto as
Exhibit A.

     1.2.  Duties and Responsibilities.  The Company hereby appoints Executive
           ---------------------------
as Co-Chairman of its Board of Directors (the "Board") and Executive shall serve
as Co-Chairman until ____________, 2002, and thereafter, shall serve as Vice
Chairman of the Board of Directors and Vice Chairman of the Executive Committee.
Executive shall be a member of the Board at all times during the Employment
Term. During the Employment Term, Executive shall perform all duties and accept
all responsibilities incident to the position of Co-Chairman of the Board (or,
as applicable, as Vice Chairman of the Board and Vice Chairman of the Executive
Committee) as may be assigned to him by the Board.

     1.3.  Extent of Service.  During the Employment Term, Executive agrees to
           -----------------
use his best efforts to carry out his duties and responsibilities under Section
1.2 hereof, consistent with the other provisions of this Agreement. The
foregoing shall not be construed as preventing Executive from continuing in any
director capacities in which he is currently involved or from making investments
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in other businesses or enterprises, provided that Executive agrees not to engage
in any other business activity which, in the reasonable judgment of the Board,
is likely to interfere with his ability to discharge his duties and
responsibilities to the Company. Executive further agrees not to accept any new
positions on either a part time or independent contracting basis for any other
business or enterprise during the Employment Term without the prior written
consent of the Board.

     1.4. Base Salary.  For all the services rendered by Executive hereunder,
          -----------
the Company shall pay Executive a base salary ("Base Salary"), commencing on the
Effective Date, at the annual rate of $375,000 (or such higher amount as
Executive is earning as base salary from York Financial Corp. on the day prior
to the Effective Date as the result of any increase made by York Financial Corp.
during its normal compensation review), adjusted each year in an amount which is
no less than the rate of increase  in the Consumer Price Index ("CPI") and
payable in installments at such times as the Company customarily pays its other
senior level executives (but in any event no less often than monthly).
Executive's Base Salary shall be reviewed annually for appropriate adjustment in
cash compensation (but shall not be reduced below the then current level) by the
Board pursuant to its normal performance review policies for senior level
executives.

     1.5. Retirement and Benefit Coverages and Perquisite.  During the
          -----------------------------------------------
Employment Term, Executive shall be entitled to participate in all (a) employee
pension and retirement plans and programs ("Retirement Plans") and (b) welfare
benefit plans and programs ("Benefit Coverages"), in each case made available to
the Company's or Bank's senior level executives as a group or to the Company's
or Bank's employees generally, as such Retirement Plans or Benefit Coverages may
be in effect from time to time.  Notwithstanding the terms of any Retirement
Plans, Executive shall at all times after the Effective Date have a fully vested
right to all benefits earned under such Retirement Plans payable under such
Retirement Plans or by the Company whereby the effect of granting such full
vesting would present a qualification issue for any such Retirement Plan under
the applicable tax laws.  Executive shall also be entitled to an automobile,
country club initiation fees, dues and assessments and any other executive
perquisites all in accordance with the Company's policy for senior executives.

     1.6. Reimbursement of Expenses and Vacation.  Executive shall be provided
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with reimbursement of expenses related to his employment by the Company on a
basis no less favorable than that which may be authorized from time to time for
senior level executives as a group, and entitled to vacation (six (6) weeks
beginning in calendar year 2001) and holidays in accordance with the Company's
normal personnel policies for senior level executives.

     1.7. Short-Term Incentive Compensation.  Executive shall be entitled to
          ---------------------------------
participate in any short-term incentive compensation programs established by the
Company for its senior level executives generally.  Bonuses under such programs
shall be based upon achievement of certain annual individual or business
performance objectives specified and approved by the Board (or a Committee
thereof) in its sole discretion, provided, however, that Executive shall be paid
a guaranteed bonus of no less than the greater of One Hundred Twenty-Five
Thousand Dollars ($125,000) or 33% of Base Salary, as adjusted.

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     1.8  Long-Term Incentive Compensation; Stock Options.  Executive shall also
          -----------------------------------------------
be entitled to participate on a basis consistent with other comparably situated
executives in all incentive compensation programs including but not limited to
stock options and recognition plans, established by the Company for its senior
level executives. Bonuses under such programs shall be based upon achievement of
certain individual or business performance objectives specified and approved by
the Board (or a Committee thereof) in its sole discretion.

     2.   Confidential Information.  Executive recognizes and acknowledges that
          ------------------------
by reason of his employment by and service to the Company during and, if
applicable, after the Employment Term, he will have access to certain
confidential and proprietary information relating to the Company's business,
which may include, but is not limited to, trade secrets, trade "know-how",
customer information, supplier information, cost and pricing information,
marketing and sales techniques, strategies and programs, computer programs and
software and financial information (collectively referred to as "Confidential
Information"). Executive acknowledges that such Confidential Information is a
valuable and unique asset of the Company and Executive covenants that he will
not, unless expressly authorized in writing by the Board, at any time during the
course of his employment use any Confidential Information or divulge or disclose
any Confidential Information to any person, firm or corporation except in
connection with the performance of his duties for the Company and in a manner
consistent with the Company's policies regarding Confidential Information.
Executive also covenants that at any time after the termination of such
employment, he will not, directly or indirectly, use any Confidential
Information or divulge or disclose any Confidential Information to any person,
firm or corporation, unless such information is in the public domain through no
fault of Executive or except when required to do so by a court of law, by any
governmental agency having supervisory authority over the business of the
Company or by any administrative or legislative body (including a committee
thereof) with apparent jurisdiction to order him to divulge, disclose or make
accessible such information in which case Executive will inform the Company in
writing promptly of such required disclosure, but in any event at least two
business days prior to disclosure, provided, however, if prior notice is not
possible, then as soon thereafter as reasonably practicable. All written
Confidential Information (including, without limitation, in any computer or
other electronic format) which comes into Executive's possession during the
course of his employment shall remain the property of the Company. Except as
required in the performance of Executive's duties for the Company, or unless
expressly authorized in writing by the Board, Executive shall not remove any
written Confidential Information from the Company's premises, except in
connection with the performance of his duties for the Company and in a manner
consistent with the Company's policies regarding Confidential Information. Upon
termination of Executive's employment, Executive agrees immediately to return to
the Company all written Confidential Information in his possession.

     3.   Non-Compete Obligation.  Executive agrees that during the term of this
          ----------------------
Agreement and for a period of two years after the end of the initial Employment
Term (i.e., through _________, 2005) Executive shall not, directly or
indirectly, engage (as principal, partner, director, officer, agent, employee,
or owner, with or without compensation) in any line of business that the Company
or the Bank is involved (including, but not limited to, the providing of
wholesale banking services, consumer financial services,  retail banking, trust
and investment management services, secured and unsecured loan and financing
services, real estate financing services, asset and investment management and

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fiduciary services, cash management services, and consumer and commercial credit
card services), within sixty miles of Harrisburg, Pennsylvania.

     Executive shall not entice or solicit, directly or indirectly, any other
executives or key management personnel of the Company (or any subsidiary) to
work with Executive or any entity with which Executive has affiliated for a
period of two years after the end of the Employment Term or for any period that
Executive provides consulting services to the Company or is a director of the
Company, whichever is longer. Executive shall also not entice or solicit,
directly or indirectly, any client or customer of the Company (or any
subsidiary) for any competitor or in any competitive activity for a period of
two years after the end of the Employment Term or for any period that Executive
provides consulting services to the Company or is a director of the Company,
whichever is longer.

     The foregoing restriction shall not be construed to prohibit Executive from
owning less than five percent (5%) of any class of securities of any corporation
located in Maryland, Pennsylvania or New Jersey which is engaged in any of the
foregoing businesses having a class of securities registered pursuant to the
Securities Exchange Act of 1934, provided that such ownership represents a
passive investment and that neither Executive nor any group of persons including
Executive in any way, either directly or indirectly, manages or exercises
control of any such corporation, guarantees any of its financial obligations,
otherwise takes part in its business, other than exercising his rights as a
shareholder, or seeks to do any of the foregoing.

     4.   Enforcement of Obligations.  Executive acknowledges that the
          --------------------------
restrictions contained in Sections 2 and 3 are reasonable and necessary to
protect the legitimate interests of the Company, that the Company would not have
entered into this Agreement in the absence of such restrictions, and that any
violation of any provision of those Sections will result in irreparable injury
to the Company.  Executive further represents and acknowledges that: (i) he has
been advised by the Company to consult his own legal counsel with respect to
this Agreement; and (ii) that he has, prior to execution of this Agreement,
reviewed thoroughly this Agreement with his counsel.  Executive agrees that the
Company shall be entitled to preliminary and permanent injunctive relief,
without the necessity of proving actual damages, as well as to an equitable
accounting of all earnings, profits and other benefits arising from any
violations of Sections 2 and 3, which rights shall be cumulative and in addition
to any other rights or remedies to which the Company may be entitled.  In the
event that any of the provisions of Sections 2 and 3 should ever be adjudicated
to exceed the time, geographic, product or service, or other limitations
permitted by applicable law in any jurisdiction, then such provisions shall be
deemed reformed in such jurisdiction to the maximum time, geographic, product or
service, or other limitations permitted by applicable law. Executive irrevocably
and unconditionally (i) agrees that any suit, action or other legal proceeding
arising out of this Agreement in which any party is seeking in whole or in part
any form of equitable relief, including without limitation, any action commenced
by the Company for preliminary and permanent injunctive relief and other
equitable relief, may be brought in any court of competent jurisdiction in
Dauphin County; (ii) consents to the non-exclusive jurisdiction of any court in
any such suit, action or proceeding; and (iii) waives any objection which
Executive may have to the laying of venue of any such suit, action or proceeding
in any such court.  Executive also irrevocably and unconditionally consents to
the service

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of any process, pleadings, notices or other papers in a manner permitted by the
notice provisions of Section 10.

     5    Termination.  The Employment Term shall terminate upon the occurrence
          -----------
of any one of the following events:

     5.1. Disability. The Company may terminate the Employment Term if Executive
          ----------
is unable substantially to perform his duties and responsibilities hereunder to
the full extent required by the Board by reason of illness, injury or incapacity
for six consecutive months, or for more than six months in the aggregate during
any period of twelve calendar months provided that the Company shall continue to
pay the Executive his Base Salary for one year, and provided further, that any
amounts actually paid to Executive pursuant to any disability insurance or other
similar program which the Company has provided or may provide on behalf of its
employees shall reduce the compensation to be paid to Executive pursuant to this
paragraph.  In addition, Executive shall be entitled to receive (i) any other
amounts earned, accrued or owing but not yet paid under Section 1 above and (ii)
any other benefits, in accordance with the terms of any applicable plans and
programs of the Company including the health coverage described in Section 5.4.
Otherwise, the Company shall have no further liability or obligation to
Executive for compensation under this Agreement. Executive agrees, in the event
of a dispute under this Section 5. 1, to submit to a physical examination by a
licensed physician selected by the Board.

     5.2. Death.  The Employment Term shall terminate in the event of
          -----
Executive's death. In such event, the Company shall pay to Executive's executors
legal representatives or administrators, as applicable, an amount equal to
Executive's Base Salary, on a monthly basis, at the rate in effect at the time
of Executive's death for a period of one (1) year from the date of Executive's
death.  In addition, (i) Executive's estate shall be entitled to receive any
other amounts earned, accrued or owing but not yet paid under Section 1 above
and (ii) any other benefits, in accordance with the terms of any applicable
plans and programs of the Company, and Executive's spouse shall be entitled to
the health coverage described in Section 5.4 until she attains age 65 or
eligibility for Medicare, if later.  Otherwise, the Company shall have no
further liability or obligation under this Agreement to his executors, legal
representatives, administrators, heirs or assigns or any other person claiming
under or through him.

     5.3. Cause.  The Company may terminate the Employment Term, at any time,
          -----
for "cause" upon 30 days' written notice, in which event all payments under this
Agreement shall cease, except for Base Salary to the extent already accrued, and
any other vested benefits to which Executive is entitled by applicable law, in
accordance with the terms of any applicable plans and programs of the Company.
For purposes of this Agreement, termination for cause shall include termination
because of Executive's personal dishonesty, incompetence, willful misconduct,
breach of fiduciary duty involving personal profit, intentional failure to
perform stated duties, willful violation of any law, rule, or regulation (other
than traffic violations or similar offenses) or final cease-and-desist order or
material breach of any provision of this Agreement.  For purposes of this
Agreement, an act or omission on the part of Executive shall be deemed "willful"
only if it was not due primarily to an error

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in judgment or negligence and was done by Executive not in good faith and
without reasonable belief that the act or omission was in the best interest of
the Company.

     5.4. Termination Without Cause.  The Company may remove Executive at any
          -------------------------
time without cause from the position in which he is employed hereunder;
provided, however, that, in the event that such notice is given, Executive shall
be under no obligation to render any additional services to the Company and
subject to the provisions of Sections 2 and 3, shall be allowed to seek other
employment.  Upon any such removal, Executive shall be entitled to receive a
single lump sum payment within 30 days equal to the remaining Base Salary and
bonus due under this Agreement, as if the Employment Term ended on __________,
2005.  No other payments or benefits shall be due under this Agreement to
Executive, but Executive shall be entitled to any other vested benefits in
accordance with the terms of any applicable plans and programs of the Company.
In addition, Executive and his spouse and dependents shall be eligible, at the
Company's expense for health coverage under the Company's medical plan, as in
effect from time to time, until Executive and his spouse, as applicable, attain
age 65 or eligibility for Medicare, if later; provided, however, that in the
event continued coverage for Executive and his spouse and dependents under the
health plan would result in an adverse tax consequence to the Company or other
executives of the Company, the Company shall permit Executive to purchase
comparable coverage under such plan.  In that event, the Company shall annually
also provide Executive (or his spouse in the event surviving at the Executive's
death), until the health coverage ceases, with an annual bonus (payable on or
before January 31 of each year during which health coverage is provided) equal
to the amount of premium that would be required under such plan for Executive to
purchase such coverage for himself, his spouse and dependents, if any, and a tax
equivalency payment (assuming Executive is in the maximum Federal, state and
local income tax brackets) such that Executive receives enough funds on an after
tax basis to be able to pay such premiums.

     5.5  Required Provisions.  If Executive is suspended from office and/or
          -------------------
temporarily prohibited from participating in the conduct of the Bank's affairs
by a notice served under section 8(e)(3) or (g)(1) of the Federal Deposit
Insurance Act (12 U.S.C. 1818(e)(3) and (g)(1)), as amended by the Financial
Institutions Reform, Recovery and Enforcement Act of 1989, the Bank's
obligations under this Agreement shall be suspended as of the date of service
unless stayed by appropriate proceedings.  If the charges in the notice are
dismissed, the Bank may in its discretion (i) pay Executive all or part of the
compensation withheld while its contract obligations were suspended and (ii)
reinstate (in whole or in part) any of its obligations which were suspended.

     If Executive is removed and/or permanently prohibited from participating in
the conduct of the Bank's affairs by an order issued under section 8(e)(4) or
(g)(1) of the Federal Deposit Insurance Act (12 U.S.C. 1818(e)(4) and (g)(1)),
as amended by the Financial Institutions Reform, Recovery and Enforcement Act of
1989, all obligations of the Bank under this Agreement shall terminate as of the
effective date of the order, but vested rights of the contracting parties shall
not be affected. In the case of termination or removal of the Executive by an
order issued under section 8(e)(4) of the Federal Deposit Insurance Act (12
U.S.C. 1818(e)(4)), as amended by the Financial Institutions Reform, Recovery
and Enforcement Act of 1989, the Company shall, if it deems the reinstatement of
the Executive to his former position to be in the best interest of the Company,
use its best efforts

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to appeal and overturn such order.

     If the Bank is in default (as defined in section 3(x)(1) of the Federal
Deposit Insurance Act as amended by the Financial Institutions Reform, Recovery
and Enforcement Act of 1989), all obligations under this Agreement shall
terminated as of the date of default, but this paragraph shall not affect any
vested rights of the contracting parties.

     All obligations under this Agreement shall be terminated, except to the
extent determined that continuation of this Agreement is necessary for the
continued operation of the Bank:

     (i)  by the Office of Thrift Supervision ("OTS"), at the time the Federal
          Deposit Insurance Corporation enters into an agreement to provide
          assistance to or on behalf of the Bank under the authority contained
          in section 13(c) (12 U.S.C. (S)1823(c)) of the Federal Deposit
          Insurance Act; or

     (ii) by the OTS, at the time the OTS approves a supervisory merger to
          resolve problems related to operation of the Bank or when the Bank is
          determined by the OTS to be in an unsafe or unsound condition.

     Any payments made to Executive pursuant to this Agreement, or otherwise,
are subject to and conditioned upon their compliance with 12 U.S.C. 1828(k) and
any regulations promulgated thereunder.

     5.6. Voluntary Termination.  Executive may voluntarily terminate the
          ---------------------
Employment Term upon 60 days' prior written notice for any reason.  In such
event, no further payments shall be due under this Agreement except that
Executive shall be entitled to any vested benefits due in accordance with the
terms of any applicable plan and programs of the Company.  A Voluntary
Termination under this Section 5.6 shall not be deemed a breach of this
Agreement.

     6.   Payments Upon a Change in Control.
          ---------------------------------

     6.1. Definitions.  For all purposes of this Section 6, the following terms
          -----------
shall have the meanings specified in this Section 6.1 unless the context
otherwise clearly requires:

     (a)  "Affiliate" and "Associate" shall have the respective meanings
ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under
the Securities Exchange Act of 1934, as amended (the "Exchange Act").

     (b)  "Base Compensation" shall mean the total cash remuneration received by
Executive in all capacities with the Company, and its Affiliates, including
current annualized base salary, bonuses and all short-term annual incentives at
the target level, and reported (or as would be reported) for Federal income tax
purposes on Form W-2, together with any and all salary deferrals under any of
the Company's benefit plans or programs, for the most recent full calendar year
immediately preceding the calendar year in which occurs a Change of Control, or
the calendar year in which occurs a Change of Control, whichever is higher.

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     (c) "Beneficial Owner" shall have the meaning ascribed to such term in
Section 13(d)(3) of the Exchange Act.

     (d) "Change of Control" shall mean an event of a nature that: (i) would be
required to be reported in response to Item 1 of the current report on Form 8-K,
as in effect on the Effective Date, pursuant to Section 13 or 15(d) of the
Exchange Act; or (ii) results in a change in control of the Bank or the Company
within the meaning of the Change in Bank Control Act and the Rules and
Regulations promulgated by the Federal Deposit Insurance Corporation ("FDIC") at
12 C.F.R. (S)303.4(a) with respect to the Bank and the Board of Governors of the
Federal Reserve System ("FRB") at 12 C.F.R. (S)225.41(b) with respect to the
Company, as in effect on the Effective Date; or (iii) without limitation such a
Change of Control shall be deemed to have occurred at such time as (a) any
Person is or becomes the Beneficial Owner, directly or indirectly, of securities
of the Bank or the Company representing 25% or more of the Bank's or the
Company's outstanding securities except for any securities of the Bank purchased
by the Company in connection with the conversion of the Company to the stock
form and any securities purchased by the Bank's employee stock ownership plan
and trust; or (b) individuals who constitute the Board on the Effective Date
(the "Incumbent Board") cease for any reason to constitute at least a majority
thereof, provided that any person becoming a director subsequent to the
Effective Date whose election was approved by a vote of at least three-quarters
of the directors comprising the Incumbent Board, or whose nomination for
election by the Company's stockholders was approved by the same Nominating
Committee serving under the Incumbent Board; or (c) a plan of reorganization,
merger, consolidation, sale of all or substantially all of the assets of the
Bank or the Company or similar transaction occurs in which the Bank or the
Company is not the resulting entity; or (d) a proxy statement shall be
distributed soliciting proxies from stockholders of the Company, by someone
other than the current management of the Company, seeking stockholder approval
of a plan of reorganization, merger or consolidation of the Company or Bank or
similar transaction with one or more corporations as a result of which the
outstanding shares of the class of securities then subject to such plan or
transaction are exchanged for or converted into cash or property or securities
not issued by the Bank or the Company; or (e) a tender offer is made and
completed for 20% or more of the voting securities of the Bank or Company then
outstanding.  Notwithstanding anything herein to the contrary, a Change of
Control shall not be deemed to occur upon the conversion of the Company's mutual
holding company to stock form.

     (e) "Person" shall have the meaning ascribed to such term in Section 13(d)
and 14(d) of the Exchange Act.

     (f) "Termination Date" shall mean the date of receipt of the Notice of
Termination described in Section 6.2 or any later date specified therein, as the
case may be.

     (g) "Termination of Employment" shall mean the termination of Executive's
actual employment relationship with the Company.

     (h) "Termination following a Change of Control" shall mean a Termination of
Employment within two years after a Change of Control either:

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     (A)  initiated by the Company for any reason other than (a) Executive's
continuous illness, injury or incapacity for a period of twelve consecutive
months or (b) for cause, as defined in Section 5.3 hereof; or

     (B)  initiated by Executive upon one or more of the following occurrences:

          (1)  any failure of the Company to comply with and satisfy any of the
               material terms of this Agreement;

          (2)  any change resulting in a reduction by the Company of the
               authority, duties or responsibilities of Executive under this
               Agreement;

          (3)  any reduction by the Company of Executive's compensation level or
               removal from the position of Co-Chairman, except in connection
               with promotions to higher office;

          (4)  the requirement that Executive undertake business travel (or
               commuting in excess of fifty miles each way) to an extent
               substantially greater than is reasonable and customary for the
               position Executive holds; or

          (5)  after six months following a Change in Control, if Executive
               determines, in his sole discretion, that circumstances have so
               changed with respect to the Company that he no longer wishes to
               continue his employment.

     6.2. Notice of Termination. Any Termination following a Change of Control
          ---------------------
shall be communicated by a Notice of Termination to the other party hereto given
in accordance with Section 10 hereof. For purposes of this Agreement, a "Notice
of Termination" means a written notice which (i) indicates the specific
termination provision in this Agreement relied upon, and (ii) if the Termination
Date is other than the date of receipt of such notice, specifies the Termination
Date (which date shall not be more than 15 days after the giving of such
notice).

     6.3. Severance Compensation With Termination. Subject to the provisions of
          ---------------------------------------
Section 6.6, in the event of Executive's Termination following a Change of
Control or in the event that Executive is terminated under Section 5.4 within
the six-month period immediately preceding a Change of Control (in which case
any payments made pursuant to Section 5.4 shall reduce the amount due under this
Section), the Company shall pay to Executive, within 15 days after the
Termination Date (or as soon as possible thereafter in the event that the
procedures set forth in Section 6.6 hereof cannot be completed within 15 days),
an amount in cash equal to 2.99 times Executive's Base Compensation.

     6.4. Other Payments: Stock Options and Stock. The payment due under Section
          ---------------------------------------
6.3 hereof shall be in addition to and not in lieu of any payments or benefits
due to Executive under any other plan, policy or program of the Company, all of
which shall be paid within 15 days after the Change of Control (or as soon as
possible thereafter in the event that the procedures set forth in Section 6.6
cannot be completed within 15 days), except that no payments shall be due to
Executive under the Company's then severance pay plan for employees, if any, and
all options to purchase shares of stock of the Company and all restrictions on
shares of stock of the Company previously granted

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to Executive shall become fully vested and not subject to any further conditions
and such options shall be exercisable as provided in Section 1.8, provided,
however, that vesting and exercisability shall be subject to applicable
regulatory requirements.

     6.5. Enforcement.
          -----------

     (a)  In the event that the Company shall fail or refuse to make payment of
any amounts due Executive under Sections 6.3 and 6.4 within the respective time
periods provided therein, the Company shall pay to Executive, in addition to the
payment of any other sums provided in this Agreement, interest, compounded
monthly, on any amount remaining unpaid from the date payment is required under
Section 6.3 and 6.4, as appropriate, until paid to Executive, at the rate from
time to time specified in The Wall Street Journal as the "prime rate" plus 2%,
each change in such rate to take effect on the effective date of the change in
such prime rate.

     (b)  It is the intent of the parties that Executive not be required to
incur any expenses associated with the enforcement of his rights under this
Section 6 by arbitration, litigation or other legal action because the cost and
expense thereof would substantially detract from the benefits intended to be
extended to Executive hereunder. Accordingly, the Company shall pay Executive on
demand the amount necessary to reimburse Executive in full for all expenses
(including all attorneys' fees and legal expenses) incurred by Executive in
enforcing any of the obligations of the Company under this Agreement.

     6.6. Certain Reductions in Payments.
          ------------------------------

     (a)  If the aggregate payments or benefits to be made or afforded to
Executive pursuant to this Agreement (and any other plans, programs and
arrangements maintained by the Company) (the "Termination Benefits") would
constitute "excess parachute payments" within the meaning of Section 280G of the
Internal Revenue Code of 1986, as amended (the "Code") or any successor thereto,
and if such Termination Benefits were reduced to an amount (the "NonTriggering
Amount"), the value of which is one dollar ($1.00) less than an amount equal to
three times Executive's "base amount," (determined in accordance with Code
Section 280G), then the Termination Benefits shall be reduced to the Non-
Triggering Amount.  The allocation of the reduction required hereby among the
Termination Benefits shall be determined by Executive.  Notwithstanding the
foregoing, if after application of the preceding sentences of this subsection
6.6(a), it is determined that the Executive received an excess parachute payment
despite the reduction in the Executive's Termination Benefits, the excess of
such Termination Benefits paid to the Executive over 2.99 times the Executive's
"base amount", as defined in Section 280G of the Code, shall be treated as a
loan to the Executive, and the Executive shall be required to repay such amount
to the Bank or the Company, or the successor of the Bank or the Company, within
ten years of the date of such determination, with interest at the prime rate
plus two-percent as set forth from time to time in The Wall Street Journal.

     (b)  All determinations to be made under this Section 6 shall be made by
the Company's independent public accountant immediately prior to the Change of
Control (the "Accounting Firm"), which firm shall provide its determinations and
any supporting calculations both to the Company and Executive within 10 days of
the Termination Date. Any such determination by the Accounting Firm shall be
binding upon the Company and Executive. Within five days after the Accounting
Firm's

                                       10
<PAGE>

determination, the Company shall pay (or cause to be paid) or distribute (or
cause to be distributed) to or for the benefit of Executive such amounts as are
then due to Executive under this Agreement.

     (c)  In the event that upon any audit by the Internal Revenue Service, or
by a state or local taxing authority, of the Termination Payment, a change is
finally determined to be required in the amount of taxes paid by Executive,
appropriate adjustments shall be made under this Agreement such that the net
amount which is payable to Executive after taking into account the provisions of
Section 4999 of the Code shall reflect the intent of the parties as expressed in
subsection (a) above, in the manner determined by the Accounting Firm.

     (d)  All of the fees and expenses of the Accounting Firm in performing the
determinations referred to in subsections (b) and (c) above shall be borne
solely by the Company.

     7.   Survivorship.  The respective rights and obligations of the parties
          ------------
hereunder shall survive any termination of Executive's employment to the extent
necessary to the intended preservation of such rights and obligations and shall
be binding on all successors and assigns to the Company which shall obtain the
affirmation of any successor or assign prior to the assignment.

     8.   Mitigation.  Executive shall not be required to mitigate the amount of
          ----------
any payment or benefit provided for in this Agreement by seeking other
employment or otherwise and there shall be no offset against amounts due
Executive under this Agreement on account of any remuneration attributable to
any subsequent employment that he may obtain.

     9.   Arbitration; Expenses.  In the event of any dispute under the
          ---------------------
provisions of this Agreement other than a dispute in which the primary relief
sought is an equitable remedy such as an injunction, the parties shall be
required to have the dispute, controversy or claim settled by arbitration in
Harrisburg, Pennsylvania in accordance with the National Rules for the
Resolution of Employment Disputes then in effect of the American Arbitration
Association, before a panel of three arbitrators, two of whom shall be selected
by the Company and Executive, respectively, and the third of whom shall be
selected by the other two arbitrators.  Any award entered by the arbitrators
shall be final, binding and nonappealable and judgment may be entered thereon by
either party in accordance with applicable law in any court of competent
jurisdiction.  This arbitration provision shall be specifically enforceable.
The arbitrators shall have no authority to modify any provision of this
Agreement or to award a remedy for a dispute involving this Agreement other than
a benefit specifically provided under or by virtue of the Agreement.  If
Executive prevails on any material issue which is the subject of such
arbitration or lawsuit, the Company shall be responsible for all of the fees of
the American Arbitration Association and the arbitrators and any expenses
relating to the conduct of the arbitration (including reasonable attorneys' fees
and expenses).  Otherwise, each party shall be responsible for his or its own
expenses relating to the conduct of the arbitration (including reasonable
attorneys' fees and expenses) and shall share the fees of the American
Arbitration Association.

     10.  Notices.  All notices and other communications required or permitted
          -------
hereunder or necessary or convenient in connection herewith shall be in writing
and shall be deemed to have been given when mailed by registered or certified
mail, as follows (provided that notice of change of address shall be deemed
given only when received):

                                       11
<PAGE>

     If to the Company, to:

               Waypoint Financial Corp.
               235 N. Second Street
               Harrisburg, PA 17101
               Attention: Chairman, Compensation Committee
               Fax: (717) 231-2950

     With a required copy to:

               Luse Lehman Gorman Pomerenk & Schick
               5225 Wisconsin Avenue, NW, Ste 400
               Washington, DC 20015
               Attention: Eric Luse, Esq.
               Fax: (202) 362-2902

     If to Executive, to:

               Robert W. Pullo
               York Financial Corp.
               101 South George St.
               York, PA 17401
               Fax: (717) 699-2929

     With a required copy to:

               John F. Breyer, Jr.
               Breyer & Associates PC
               1100 New York Ave., N.W.
               Suite 700 East
               Washington, D.C. 20005
               Fax: (202) 737-7979

or to such other names or addresses as the Company or Executive, as the case may
be, shall designate by notice to each other person entitled to receive notices
in the manner specified in this Section.

     11.  Contents of Agreements Amendment and Assignment.
          -----------------------------------------------

     (a)  This Agreement sets forth the entire understanding between the parties
hereto with respect to the subject matter hereof and cannot be changed,
modified, extended or terminated except upon written amendment approved by the
Board and executed on its behalf by a duly authorized officer and by Executive.

                                       12
<PAGE>

     (b)  All of the terms and provisions of this Agreement shall be binding
upon and inure to the benefit of and be enforceable by the respective heirs,
executors, administrators, legal representatives, successors and assigns of the
parties hereto, except that the duties and responsibilities of Executive
hereunder are of a personal nature and shall not be assignable or delegatable in
whole or in part by Executive. The Company shall require any successor (whether
direct or indirect, by purchase, merger, consolidation, reorganization or
otherwise) to all or substantially all of the business or assets of the Company,
by agreement in form and substance satisfactory to Executive, expressly to
assume and agree to perform this Agreement in the same manner and to the extent
the Company would be required to perform if no such succession had taken place.

     12.  Severability.  If any provision of this Agreement or application
          ------------
thereof to anyone or under any circumstances is adjudicated to be invalid or
unenforceable in any jurisdiction, such invalidity or unenforceability shall not
affect any other provision or application of this Agreement which can be given
effect without the invalid or unenforceable provision or application and shall
not invalidate or render unenforceable such provision or application in any
other jurisdiction.  If any provision is held void, invalid or unenforceable
with respect to particular circumstances, it shall nevertheless remain in full
force and effect in all other circumstances.

     13.  Remedies Cumulative; No Waiver.  No remedy conferred upon a party by
          ------------------------------
this Agreement is intended to be exclusive of any other remedy, and each and
every such remedy shall be cumulative and shall be in addition to any other
remedy given hereunder or now or hereafter existing at law or in equity.  No
delay or omission by a party in exercising any right, remedy or power hereunder
or existing at law or in equity shall be construed as a waiver thereof, and any
such right, remedy or power may be exercised by such party from time to time and
as often as may be deemed expedient or necessary by such party in its sole
discretion.

     14.  Beneficiaries/References.  Executive shall be entitled, to the extent
          ------------------------
permitted under any applicable law, to select and change a beneficiary or
beneficiaries to receive any compensation or benefit payable hereunder following
Executive's death by giving the Company written notice thereof.  In the event of
Executive's death or a judicial determination of his incompetence, reference in
this Agreement to Executive shall be deemed, where appropriate, to refer to his
beneficiary, estate or other legal representative.

     15.  Miscellaneous.  All section headings used in this Agreement are for
          -------------
convenience only.  This Agreement may be executed in counterparts, each of which
is an original.  It shall not be necessary in making proof of this Agreement or
any counterpart hereof to produce or account for any of the other counterparts.

     16.  Withholding.  The Company may withhold from any payments under this
          -----------
Agreement all federal, state and local taxes as the Company is required to
withhold pursuant to any law or governmental rule or regulation.  Executive
shall bear all expense of, and be solely responsible for, all federal, state and
local taxes due with respect to any payment received hereunder.

     17.  Governing Law.  This Agreement shall be governed by and interpreted
          -------------
under the laws of the Commonwealth of Pennsylvania without giving effect to any
conflict of laws provisions.

                                       13
<PAGE>

     18.   Corporate Authority.  The Company hereby represents that it has taken
           -------------------
all required corporate action in accordance with the provisions of its bylaw and
certificate of incorporation to enter into and to carry out the terms of this
Agreement.

                    [Remainder of Page Intentionally Blank]

                                       14
<PAGE>

     IN WITNESS WHEREOF, the undersigned, intending to be legally bound, have
executed this Agreement effective as of _________________, 2000.

                                    WAYPOINT FINANCIAL CORP.

______________________________      By:_____________________________________
Robert W. Pullo                     Name:___________________________________
                                    Title:__________________________________

                                       15
<PAGE>

                                   EXHIBIT A

                              CONSULTING AGREEMENT

     THIS AGREEMENT (this "Agreement") is entered into effective as of
___________, 200__ (the "Effective Date") by and between Waypoint Financial
Corp., with its principal office located in Harrisburg, Pennsylvania (the
"Company") and Robert W. Pullo ("Consultant").

     WHEREAS, the management of the Company desires that they be able to call
upon the experience and knowledge of Consultant for consultation services and
advice; and

     WHEREAS, Consultant is willing to render such services and advice as a
consultant to the Company on the terms and subject to the conditions hereinafter
set forth in this Agreement.

     NOW THEREFORE, in consideration of the premises and mutual covenants herein
and for other good and valuable consideration, the parties agree as follows:

                                   ARTICLE I
                             CONSULTING ARRANGEMENT

     1. Term of Consulting Arrangement.  Commencing on the Effective Date,
        -------------------------------
Consultant shall be retained by the Company to provide advice and consulting
services until __________, 2005 (the "Consulting Term").  At the expiration of
the Consulting Term, the provisions of this Article I shall cease to be of
further force and effect and the parties hereto shall have no further
obligations under Article I hereof.  Notwithstanding

     2. Position and Responsibilities During the Consulting Term.  During the
        ---------------------------------------------------------
Consulting Term, Consultant agrees to serve as a consultant the Company and to
render such advice and services to the Company and at such times as are mutually
acceptable to Consultant and the Company.   During this period, Consultant
agrees to serve as Vice Chairman of the Board of Directors of the Company.
Consultant's obligation to render such advice and services to the Company shall
be subject to his reasonable availability with due allowance for any other
commitments that he may have.

     3. Compensation During the Consulting Term.  The Company shall pay
        ---------------------------------------
Consultant compensation for his consulting services during the Consulting Term.
Such amount shall be determined by averaging the five consecutive years of
compensation (for purposes of this calculation "compensation" includes salary
and bonus payments) containing the highest three (3) years of compensation
during the last six years that the Consultant was employed by the Company, and
prior thereto, by York Financial Corp.  Such amount shall be payable in equal
installments of $___________ per month for thirty-six (36) months.

     4. Expenses and Other Facilities During the Consulting Term.  Consultant
        ---------------------------------------------------------
shall be reimbursed in accordance with the policies of the Company for necessary
and reasonable business expenses incurred by Consultant in connection with the
rendering of his advice and services to the Company during the Consulting Term.
<PAGE>

     5. Status: Taxes
        -------------

         (a) Status of Consultant.  During the Consulting Term, Consultant shall
             --------------------
not be an employee of the Company.  Consultant shall have no authority to act as
an agent of the Company, except on authority specifically so delegated, and he
shall not represent to the contrary to any person. Consultant shall only
consult, render advice and perform such tasks as Consultant determines in good
faith are necessary to achieve the results specified by the Company.  He shall
not direct the work of any employee of the Company, or make any management
decisions, or undertake to commit the Company to any course of action in
relation to third persons.  Although the Company may specify the results to be
achieved by Consultant and may control and direct him in that regard, the
Company shall not control or direct Consultant as to the details or means by
which such results are accomplished.

         (b) Taxes.  It is understood that the consulting fees paid to
             -----
Consultant hereunder in respect of services rendered during the Consulting Term
shall constitute revenue to Consultant. To the extent consistent with applicable
law, the Company will not withhold any amounts therefrom as federal income tax
withholding from wages or as employee contributions under the Federal Insurance
Contributions Act or any other state or federal laws. Consultant shall be solely
responsible for the withholding and/or payment of any federal, state or local
income or payroll taxes.

                                  ARTICLE II
                                   BENEFITS

     1.  Payments Under Other Agreements.  Consultant's status as consultant to
         --------------------------------
the Company shall not entitle him to participate in any benefit plans or
programs maintained by the Company, nor shall it preclude Consultant from
receiving any benefits or payments to which he is entitled under any employee
plan, program, or agreement maintained or entered into by the Company as a
result of his employment by the Company prior to the execution of this
Agreement.

     2.  Continuation of Benefits.  Notwithstanding any provision of Article II,
         ------------------------
paragraph 1 to the contrary, the Company shall provide Consultant with continued
medical coverage substantially identical to the coverage maintained by the
Company for Consultant prior to the Effective Date. Such coverage and payments
made pursuant thereto shall continue for a period of thirty-six (36) months
immediately following the Effective Date.

                                  ARTICLE III
                              GENERAL PROVISIONS

     1.  Other Employment.  The Company acknowledges that this Agreement shall
         ----------------
not restrict Consultant in any manner from securing employment or otherwise
owning or managing a business of his choosing on a part-time basis, subject to
the requirements of Article III, paragraph 3 below.

     2.  Confidentiality.  Consultant recognizes and acknowledges that by reason
         ---------------
of his relationship as consultant to the Company during and, if applicable,
after the expiration of the Consulting Agreement, he will have access to certain
confidential and proprietary information relating to the Company business, which
may include, but is not limited to, trade secrets, trade "know-how",

                                      A-2
<PAGE>

customer information, supplier information, cost and pricing information,
marketing and sales techniques, strategies and programs, computer programs and
software and financial information (collectively referred to as "Confidential
Information"). Consultant acknowledges that such Confidential Information is a
valuable and unique asset of the Company and Consultant covenants that he will
not, unless expressly authorized in writing by the Board, at any time during the
course of this Agreement use any Confidential Information or divulge or disclose
any Confidential Information to any person, firm or corporation except in
connection with the performance of his duties for the Company and in a manner
consistent with the Company' policies regarding Confidential Information.
Consultant also covenants that at any time after the termination of this
Agreement, he will not, directly or indirectly, use any Confidential Information
or divulge or disclose any Confidential Information to any person, firm or
corporation, unless such information is in the public domain through no fault of
Individual or except when required to do so by a court of law, by any
governmental agency having supervisory authority over the business of the
Company or by any administrative or legislative body (including a committee
thereof) with apparent jurisdiction to order him to divulge, disclose or make
accessible such information in which case Consultant will inform the Company in
writing promptly of such required disclosure, but in any event at least two
business days prior to disclosure. All written Confidential Information
(including, without limitation, in any computer or other electronic format)
which comes into Consultant's possession during the course of this Agreement
shall remain the property of the Company. Except as required in the performance
of Consultant's duties for the Company, or unless expressly authorized in
writing by the Board, Consultant shall not remove any written Confidential
Information from the Company premises, except in connection with the performance
of his duties for the Company and in a manner consistent with the Company'
policies regarding Confidential Information. Upon termination of this Agreement,
Consultant agrees immediately to return to the Company all written Confidential
Information in his possession.

     3.  Non-Compete Obligation.  Consultant agrees that during the term of this
         ----------------------
Agreement, Consultant shall not, directly or indirectly, engage (as principal,
partner, director, officer, agent, employee, or owner, with or without
compensation) in any line of business that the Company or the Bank is involved
(including, but not limited to, the providing of wholesale banking services,
consumer financial services,  retail banking, trust and investment management
services, secured and unsecured loan and financing services, real estate
financing services, asset and investment management and fiduciary services, cash
management services, and consumer and commercial credit card services), within
sixty miles of Harrisburg, Pennsylvania.

     Consultant shall not entice or solicit, directly or indirectly, any
executives or key management personnel of the Company (or any subsidiary) to
work with Consultant or any entity with which Consultant has affiliated for any
period that Consultant provides consulting services to the Company. Consultant
shall also not entice or solicit, directly or indirectly, any client or customer
of the Company (or any subsidiary) for any competitor or in any competitive
activity for a period that Consultant provides consulting services to the
Company.

     The foregoing restriction shall not be construed to prohibit Consultant
from owning less than five percent (5%) of any class of securities of any
corporation in Maryland, Pennsylvania, or New Jersey which is engaged in any of
the foregoing businesses having a class of securities registered pursuant to the
Securities Exchange Act of 1934, provided that such ownership represents a
passive

                                      A-3
<PAGE>

investment and that neither Consultant nor any group of persons including
Consultant in any way, either directly or indirectly, manages or exercises
control of any such corporation, guarantees any of its financial obligations,
otherwise takes part in its business, other than exercising his rights as a
shareholder, or seeks to do any of the foregoing.

     4. Miscellaneous.
        -------------

         (a) Governing Law.  This Agreement shall be governed by and construed
             -------------
in accordance with the laws of the Commonwealth of Pennsylvania.

         (b) Entire Agreement/Amendments.  This Agreement contains the entire
             ---------------------------
understanding of the parties with respect to the retention of the Individual as
a consultant during the Consulting Term.  There are no restrictions, agreements,
promises, warranties, covenants or undertakings between the parties with respect
to the subject matter herein other than those expressly set forth herein.  This
Agreement may not be altered, modified, or amended except by written instrument
signed by the parties hereto.

         (c) No Waiver.  The failure of a party to insist upon strict adherence
             ---------
to any term of this Agreement on any occasion shall not be considered a waiver
of such party's rights or deprive such party of the right thereafter to insist
upon strict adherence to that term or any other term of this Agreement.

         (d) Severability.  In the event that any one or more of the provisions
             ------------
of this Agreement shall be or become invalid, illegal or unenforceable in any
respect, the validity, legality or enforceability of the remaining provisions of
this Agreement shall not be affected thereby.

         (e) Assignment.  This Agreement shall not be assignable by the
             -----------
Consultant.

         (f) Binding Agreement.  This Agreement shall inure to the benefit of
             -----------------
and be binding upon the parties.

         (g) Notice.  For the purpose of this Agreement, notices and all other
             ------
communications shall be in writing and shall be deemed to have been duly given
when delivered or mailed by United States registered mail, return receipt
requested, postage prepaid, addressed to the respective addresses set forth on
the execution page of this Agreement, or to such other address as either party
may have furnished to the other in writing in accordance herewith, except that
notice of change of address shall be effective only upon receipt.

         (h) Counterparts.  This Agreement may be signed in counterparts, each
             ------------
of which shall be an original, with the same effect as if the signatures thereto
and hereto were upon the same instrument.

                                      A-3
<PAGE>

     IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement
effective as of the day and year first above written.

                              WAYPOINT FINANCIAL CORP.

                              By: _____________________________
                              Title:
                              Address:

                              ROBERT W. PULLO

                              _________________________________

                              Address: ___________________

                                      A-4<PAGE>

                                                                   EXHIBIT 10.25

                             EMPLOYMENT AGREEMENT
                             --------------------

     THIS EMPLOYMENT AGREEMENT (this "Agreement") is entered into on
______________, 2000, by and between Waypoint Financial Corp., a Pennsylvania
corporation (the "Company"), with its principal office located in Harrisburg,
Pennsylvania, and Robert A. Angelo, a resident of York, Pennsylvania
("Executive").  Any reference herein to the "Bank" shall refer to Waypoint Bank,
a wholly-owned subsidiary of the Company.

     WHEREAS, the Company and Executive wish to enter into an Employment
Agreement to evidence the terms and conditions of Executive's appointment as the
Chief Administrative Officer and to provide for Executive's employment by the
Company, upon the terms and conditions set forth herein:

     NOW, THEREFORE, the parties hereto, intending to be legally bound, hereby
agree as follows:

     1.    Employment.  The Company hereby agrees to employ Executive, and
           ----------
Executive hereby accepts such employment and agrees to perform his duties and
responsibilities, in accordance with the terms, conditions and provisions
hereinafter set forth.

     1. 1. Employment Term.  The term of Executive's employment under this
           ---------------
Agreement shall commence on ______________, 2000 (the "Effective Date") and
shall continue for thirty-six (36) consecutive months, or until ____________,
2003, (the "Employment Term").  At the expiration of the Employment Term, the
Company (or the Bank) and the Executive shall enter into a change in control
agreement substantially in the form attached hereto as Exhibit A.

     1.2.  Duties and Responsibilities. The Company hereby appoints Executive as
           ---------------------------
the Chief Administrative Officer of Company. During the Employment Term,
Executive shall perform all duties and accept all responsibilities incident to
the position of a senior executive officer of Company as may be assigned to him
by the Board.

     1.3.  Extent of Service.  During the Employment Term, Executive agrees to
           -----------------
use his best efforts to carry out his duties and responsibilities under Section
1.2 hereof and, consistent with the other provisions of this Agreement, to
devote substantially all his business time, attention and energy thereto. The
foregoing shall not be construed as preventing Executive from continuing in any
director capacities in which he is currently involved or from making investments
in other businesses or enterprises provided that Executive agrees not to engage
in any other business activity which, in the reasonable judgment of the Board,
is likely to interfere with his ability to discharge his duties and
responsibilities to the Company. Executive further agrees not to accept any new
positions on either a part time or independent contracting basis for any other
business or enterprise during the Employment Term without the prior written
consent of the Board.
<PAGE>

     1.4. Base Salary.  For all the services rendered by Executive hereunder,
          -----------
the Company shall pay Executive a base salary ("Base Salary") in cash
compensation, commencing on the Effective Date, at the annual rate of
$____________, payable in installments at such times as the Company customarily
pays its other senior level executives (but in any event no less often than
monthly). Executive's Base Salary shall be reviewed annually for appropriate
adjustment (but shall not be reduced below the then current level) by the Board
pursuant to its normal performance review policies for senior level executives.

     1.5. Retirement and Benefit Coverages and Perquisite.  During the
          -----------------------------------------------
Employment Term, Executive shall be entitled to participate in all (a) employee
pension and retirement plans and programs ("Retirement Plans") and (b) welfare
benefit plans and programs ("Benefit Coverages"), in each case made available to
the Company's or the Bank's employees generally, as such Retirement Plans or
Benefit Coverages may be in effect from time to time.  Executive shall also be
entitled to an automobile, country club initiation fees, dues and assessments
and any other executive perquisites, all in accordance with the Company's policy
for senior executives.

     1.6. Reimbursement of Expenses and Vacation.  Executive shall be provided
          --------------------------------------
with reimbursement of expenses related to his employment by the Company on a
basis no less favorable than that which may be authorized from time to time for
senior level executives as a group, and entitled to vacation (five (5) weeks
beginning in calendar year 2001) and holidays in accordance with the Company's
normal personnel policies for senior level executives.

     1.7. Short-Term Incentive Compensation.  Executive shall be entitled to
          ---------------------------------
participate in any short-term incentive compensation programs established by the
Company for its senior level executives generally.  Bonuses under any short-term
incentive compensation programs shall be based upon achievement of certain
annual individual or business performance objectives specified and approved by
the Board (or a Committee thereof) in its sole discretion.

     1.8  Long-Term Incentive Compensation; Stock Options.  Executive shall also
          -----------------------------------------------
be entitled to participate on a basis consistent with other comparably situated
executives in all incentive compensation programs including but not limited to
stock options and recognition plans, established by the Company for its senior
level executives. Bonuses under such programs shall be based upon achievement of
certain individual or business performance objectives specified and approved by
the Board (or a Committee thereof) in its sole discretion.

     2.   Confidential Information.  Executive recognizes and acknowledges that
          ------------------------
by reason of his employment by and service to the Company during and, if
applicable, after the Employment Term, he will have access to certain
confidential and proprietary information relating to the Company's business,
which may include, but is not limited to, trade secrets, trade "know-how",
customer information, supplier information, cost and pricing information,
marketing and sales techniques, strategies and programs, computer programs and
software and financial information (collectively referred to as "Confidential
Information"). Executive acknowledges that such Confidential Information is a
valuable and unique asset of the Company and Executive covenants that he will
not, unless expressly authorized in writing by the Board, at any time during the
course of his employment

                                       2
<PAGE>

 use any Confidential Information or divulge or disclose any Confidential
Information to any person, firm or corporation except in connection with the
performance of his duties for the Company and in a manner consistent with the
Company's policies regarding Confidential Information. Executive also covenants
that at any time after the termination of such employment, he will not, directly
or indirectly, use any Confidential Information or divulge or disclose any
Confidential Information to any person, firm or corporation, unless such
information is in the public domain through no fault of Executive or except when
required to do so by a court of law, by any governmental agency having
supervisory authority over the business of the Company or by any administrative
or legislative body (including a committee thereof) with apparent jurisdiction
to order him to divulge, disclose or make accessible such information in which
case Executive will inform the Company in writing promptly of such required
disclosure, but in any event at least two business days prior to disclosure. All
written Confidential Information (including, without limitation, in any computer
or other electronic format) which comes into Executive's possession during the
course of his employment shall remain the property of the Company. Except as
required in the performance of Executive's duties for the Company, or unless
expressly authorized in writing by the Board, Executive shall not remove any
written Confidential Information from the Company's premises, except in
connection with the performance of his duties for the Company and in a manner
consistent with the Company's policies regarding Confidential Information. Upon
termination of Executive's employment, Executive agrees immediately to return to
the Company all written Confidential Information in his possession.

     3.   Non-Compete Obligation. Executive agrees that during the term of this
          ----------------------
Agreement and for a period of two years after the end of the initial Employment
Term (i.e., through _________, 2005) Executive shall not, directly or
indirectly, engage (as principal, partner, director, officer, agent, employee,
or owner, with or without compensation) in any line of business that the Company
or the Bank is involved (including, but not limited to, the providing of
wholesale banking services, consumer financial services,  retail banking, trust
and investment management services, secured and unsecured loan and financing
services, real estate financing services, asset and investment management and
fiduciary services, cash management services, and consumer and commercial credit
card services), within sixty miles of Harrisburg, Pennsylvania.

     Executive shall not entice or solicit, directly or indirectly, any other
executives or key management personnel of the Company (or any subsidiary) to
work with Executive or any entity with which Executive has affiliated for a
period of two years after the end of the Employment Term or for any period that
Executive provides consulting services to the Company, whichever is longer.
Executive shall also not entice or solicit, directly or indirectly, any client
or customer of the Company (or any subsidiary) for any competitor or in any
competitive activity for a period of two years after the end of the Employment
Term or for any period that Executive provides consulting services to the
Company, whichever is longer.

     The foregoing restriction shall not be construed to prohibit Executive from
owning less than five percent (5%) of any class of securities of any corporation
located in Maryland, Pennsylvania or New Jersey which is engaged in any of the
foregoing businesses having a class of securities registered pursuant to the
Securities Exchange Act of 1934, provided that such ownership represents a
passive

                                       3
<PAGE>

investment and that neither Executive nor any group of persons including
Executive in any way, either directly or indirectly, manages or exercises
control of any such corporation, guarantees any of its financial obligations,
otherwise takes part in its business, other than exercising his rights as a
shareholder, or seeks to do any of the foregoing.

     4.   Enforcement of Obligations.  Executive acknowledges that the
          --------------------------
restrictions contained in Sections 2 and 3 are reasonable and necessary to
protect the legitimate interests of the Company, that the Company would not have
entered into this Agreement in the absence of such restrictions, and that any
violation of any provision of those Sections will result in irreparable injury
to the Company.  Executive further represents and acknowledges that (i) he has
been advised by the Company to consult his own legal counsel with respect to
this Agreement; and (ii) that he has, prior to execution of this Agreement,
reviewed thoroughly this Agreement with his counsel.  Executive agrees that the
Company shall be entitled to preliminary and permanent injunctive relief,
without the necessity of proving actual damages, as well as to an equitable
accounting of all earnings, profits and other benefits arising from any
violations of Sections 2 and 3, which rights shall be cumulative and in addition
to any other rights or remedies to which the Company may be entitled.  In the
event that any of the provisions of Sections 2 and 3 should ever be adjudicated
to exceed the time, geographic, product or service, or other limitations
permitted by applicable law in any jurisdiction, then such provisions shall be
deemed reformed in such jurisdiction to the maximum time, geographic, product or
service, or other limitations permitted by applicable law. Executive irrevocably
and unconditionally (i) agrees that any suit, action or other legal proceeding
arising out of this Agreement in which any party is seeking in whole or in part
any form of equitable relief, including without limitation, any action commenced
by the Company for preliminary and permanent injunctive relief and other
equitable relief, may be brought in any court of competent jurisdiction in
Dauphin County, Pennsylvania; (ii) consents to the non-exclusive jurisdiction of
any court in any such suit, action or proceeding; and (iii) waives any objection
which Executive may have to the laying of venue of any such suit, action or
proceeding in any such court.  Executive also irrevocably and unconditionally
consents to the service of any process, pleadings, notices or other papers in a
manner permitted by the notice provisions of Section 10.

     5    Termination.  The Employment Term shall terminate upon the occurrence
          -----------
of any one of the following events:

     5.1. Disability.  The Company may terminate the Employment Term if
          ----------
Executive is unable substantially to perform his duties and responsibilities
hereunder to the full extent required by the Board by reason of illness, injury
or incapacity for six consecutive months, or for more than six months in the
aggregate during any period of twelve calendar months which shall not be deemed
to prejudice Executive's rights to receive long-term disability benefit under
any Company plan; provided, however, that the Company shall continue to pay
Executive his Base Salary until the Company acts to terminate the Employment
Term.  In addition, Executive shall be entitled to receive (i) any other amounts
earned, accrued or owing but not yet paid under Section 1 above and (ii) any
other benefits, in accordance with the terms of any applicable plans and
programs of the Company including the health coverage described in Section 5.4.
Otherwise, the Company shall have no further liability or obligation to
Executive for compensation under this Agreement. Executive agrees, in the event
of a

                                       4
<PAGE>

dispute under this Section 5. 1, to submit to a physical examination by a
licensed physician selected by the Board.

     5.2. Death.  The Employment Term shall terminate in the event of
          -----
Executive's death.  In such event, the Company shall pay to Executive's
executors, legal representatives or administrators, as applicable, an amount
equal to the installment of his Base Salary set forth in Section 1.4 hereof for
the month in which he dies.  In addition, (i) Executive's estate shall be
entitled to receive any other amounts earned, accrued or owing but not yet paid
under Section 1 above and (ii) any other benefits, in accordance with the terms
of any applicable plans and programs of the Company and Executive's spouse shall
be entitled to the health coverage described in Section 5.4 until she attains
age 65 or eligibility for Medicare, if later.  Otherwise, the Company shall have
no further liability or obligation under this Agreement to his executors, legal
representatives, administrators, heirs or assigns or any other person claiming
under or through him.

     5.3. Cause.  The Company may terminate the Employment Term, at any time,
          -----
for "cause" upon 30 days' written notice, in which event all payments under this
Agreement shall cease, except for Base Salary to the extent already accrued, and
any other vested benefits to which Executive is entitled by applicable law, in
accordance with the terms of any applicable plans and programs of the Company.
For purposes of this Agreement, termination for cause shall include termination
because of Executive's personal dishonesty, incompetence, willful misconduct,
breach of fiduciary duty involving personal profit, intentional failure to
perform stated duties, willful violation of any law, rule, or regulation (other
than traffic violations or similar offenses) or final cease-and-desist order or
material breach of any provision of this Agreement.  For purposes of this
Agreement, an act or omission on the part of Executive shall be deemed "willful"
only if it was not due primarily to an error in judgment or negligence and was
done by Executive not in good faith and without reasonable belief that the act
or omission was in the best interest of the Company.

     5.4. Termination Without Cause.  The Company may remove Executive, at any
          -------------------------
time without cause from the position in which he is employed hereunder,
including a change in the duties specified in Section 1.2; provided, however,
that, in the event that such notice is given, Executive shall be under no
obligation to render any additional services to the Company and subject to the
provisions of Sections 2 and 3, shall be allowed to seek other employment.  Upon
any such removal, Executive shall be entitled to receive a single lump sum
payment within 30 days equal to 2.99 times his Base Salary reduced by the
aggregate Base Salary that has been paid to Executive under this Agreement up to
the time of his termination without cause.  No other payments or benefits shall
be due under this Agreement to Executive, but Executive shall be entitled to any
other vested benefits in accordance with the terms of any applicable plans and
programs of the Company.

     5.5  Required Provisions.  If Executive is suspended from office and/or
          -------------------
temporarily prohibited from participating in the conduct of the Bank's affairs
by a notice served under section 8(e)(3) or (g)(1) of the Federal Deposit
Insurance Act (12 U.S.C. 1818(e)(3) and (g)(1)), as amended by the Financial
Institutions Reform, Recovery and Enforcement Act of 1989, the Bank's
obligations under this Agreement shall be suspended as of the date of service
unless stayed by appropriate proceedings.  If the charges in the notice are
dismissed, the Bank may in its discretion (i) pay

                                       5
<PAGE>

Executive all or part of the compensation withheld while its contract
obligations were suspended and (ii) reinstate (in whole or in part) any of its
obligations which were suspended.

     If Executive is removed and/or permanently prohibited from participating in
the conduct of the Bank's affairs by an order issued under section 8(e)(4) or
(g)(1) of the Federal Deposit Insurance Act (12 U.S.C. 1818(e)(4) and (g)(1)),
as amended by the Financial Institutions Reform, Recovery and Enforcement Act of
1989, all obligations of the Bank under this Agreement shall terminate as of the
effective date of the order, but vested rights of the contracting parties shall
not be affected.

In the case of termination or removal of the Executive by an order issued under
section 8(e)(4) of the Federal Deposit Insurance Act (12 U.S.C. 1818(e)(4)), as
amended by the Financial Institutions Reform, Recovery and Enforcement Act of
1989, the Company shall, if it deems the reinstatement of the Executive to his
former position to be in the best interest of the Company, use its best efforts
to appeal and overturn such order.

     If the Bank is in default (as defined in section 3(x)(1) of the Federal
Deposit Insurance Act as amended by the Financial Institutions Reform, Recovery
and Enforcement Act of 1989), all obligations under this Agreement shall
terminated as of the date of default, but this paragraph shall not affect any
vested rights of the contracting parties.

     All obligations under this Agreement shall be terminated, except to the
extent determined that continuation of this Agreement is necessary for the
continued operation of the Bank:

     (i)  by the Office of Thrift Supervision ("OTS"), at the time the Federal
          Deposit Insurance Corporation enters into an agreement to provide
          assistance to or on behalf of the Bank under the authority contained
          in section 13(c) (12 U.S.C. (S)1823(c)) of the Federal Deposit
          Insurance Act; or

     (ii) by the OTS, at the time the OTS approves a supervisory merger to
          resolve problems related to operation of the Bank or when the Bank is
          determined by the OTS to be in an unsafe or unsound condition.

     Any payments made to Executive pursuant to this Agreement, or otherwise,
are subject to and conditioned upon their compliance with 12 U.S.C. 1828(k) and
any regulations promulgated thereunder.

     5.6. Voluntary Termination.  Executive may voluntarily terminate the
          ---------------------
Employment Term upon 60 days' prior written notice for any reason. If such
voluntary termination occurs within three years of the Effective Date, Executive
shall be entitled to receive a single lump sum payment within 30 days of such
voluntary resignation equal to 2.99 times his Base Salary, reduced by the
aggregate Base Salary that has been paid to Executive under this Agreement up to
the time of his voluntary resignation.  In addition, Executive shall be entitled
to any vested benefits due in accordance with the terms of any applicable plan
and programs of the Company.  A Voluntary Termination under this Section 5.6
shall not be deemed a breach of this Agreement.

                                       6
<PAGE>

     6.   Payments Upon a Change in Control.
          ---------------------------------

     6.1. Definitions.  For all purposes of this Section 6, the following terms
          -----------
shall have the meanings specified in this Section 6.1 unless the context
otherwise clearly requires:

     (a)  "Affiliate" and "Associate" shall have the respective meanings
ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under
the Securities Exchange Act of 1934, as amended (the "Exchange Act").

     (b)  "Base Compensation" shall mean the total cash remuneration received by
Executive in all capacities with the Company, and its Affiliates, including
current annualized base salary and all short-term annual incentives at the
target level, and reported (or as would be reported) for Federal income tax
purposes on Form W-2, together with any and all salary deferrals under any of
the Company's benefit plans or programs, for the most recent full calendar year
immediately preceding the calendar year in which occurs a Change of Control, or
the calendar year in which occurs a Change of Control, whichever is higher.

     (c)  "Beneficial Owner" shall have the meaning ascribed to such term in
Section 13(d)(3) of the Exchange Act.

     (d)  "Change of Control" shall mean an event of a nature that: (i) would be
required to be reported in response to Item 1 of the current report on Form 8-K,
as in effect on the Effective Date, pursuant to Section 13 or 15(d) of the
Exchange Act; or (ii) results in a change in control of the Bank or the Company
within the meaning of the Change in Bank Control Act and the Rules and
Regulations promulgated by the Federal Deposit Insurance Corporation ("FDIC") at
12 C.F.R. (S)303.4(a) with respect to the Bank and the Board of Governors of the
Federal Reserve System ("FRB") at 12 C.F.R. (S)225.41(b) with respect to the
Company, as in effect on the Effective Date; or (iii) without limitation such a
Change of Control shall be deemed to have occurred at such time as (a) any
Person is or becomes the Beneficial Owner, directly or indirectly, of securities
of the Bank or the Company representing 25% or more of the Bank's or the
Company's outstanding securities except for any securities of the Bank purchased
by the Company in connection with the conversion of the Company to the stock
form and any securities purchased by the Bank's employee stock ownership plan
and trust; or (b) individuals who constitute the Board on the Effective Date
(the "Incumbent Board") cease for any reason to constitute at least a majority
thereof, provided that any person becoming a director subsequent to the
Effective Date whose election was approved by a vote of at least three-quarters
of the directors comprising the Incumbent Board, or whose nomination for
election by the Company's stockholders was approved by the same Nominating
Committee serving under the Incumbent Board; or (c) a plan of reorganization,
merger, consolidation, sale of all or substantially all of the assets of the
Bank or the Company or similar transaction occurs in which the Bank or the
Company is not the resulting entity; or (d) a proxy statement shall be
distributed soliciting proxies from stockholders of the Company, by someone
other than the current management of the Company, seeking stockholder approval
of a plan of reorganization, merger or consolidation of the Company or Bank or
similar transaction with one or more corporations as a result of which the
outstanding shares of the class of securities then subject to such plan or
transaction are exchanged

                                       7
<PAGE>

for or converted into cash or property or securities not issued by the Bank or
the Company; or (e) a tender offer is made and completed for 20% or more of the
voting securities of the Bank or Company then outstanding. Notwithstanding
anything herein to the contrary, a Change of Control shall not be deemed to
occur upon the conversion of the Company's mutual holding company to stock form.

     (e)  "Person" shall have the meaning ascribed to such term in Section 13(d)
and 14(d) of the Exchange Act.

     (f)  "Termination Date" shall mean the date of receipt of the Notice of
Termination described in Section 6.2 or any later date specified therein, as the
case may be.

     (g)  "Termination of Employment" shall mean the termination of Executive's
actual employment relationship with the Company.

     (h)  "Termination following a Change of Control" shall mean a Termination
of Employment within two years after a Change of Control either:

          (A) initiated by the Company for any reason other than (a) Executive's
continuous illness, injury or incapacity for a period of twelve consecutive
months or (b) for cause, as defined in Section 5.3 hereof; or

          (B) initiated by Executive upon one or more of the following
occurrences:

               (1)  any failure of the Company to comply with and satisfy any of
                    the material terms of this Agreement;

               (2)  any change resulting in a reduction by the Company of the
                    authority, duties or responsibilities of Executive under
                    this Agreement; or

               (3)  any reduction by the Company of Executive's compensation
                    level.

     6.2. Notice of Termination.  Any Termination following a Change of Control
          ---------------------
shall be communicated by a Notice of Termination to the other party hereto given
in accordance with Section 10 hereof. For purposes of this Agreement, a "Notice
of Termination" means a written notice which (i) indicates the specific
termination provision in this Agreement relied upon and (ii) if the Termination
Date is other than the date of receipt of such notice, specifies the Termination
Date (which date shall not be more than 15 days after the giving of such
notice).

     6.3. Severance Compensation With Termination.  Subject to the provisions of
          ---------------------------------------
Section 6.6, in the event of Executive's Termination following a Change of
Control or in the event that Executive is terminated under Section 5.4 within
the six-month period immediately preceding a Change of Control (in which case
any payments made pursuant to Section 5.4 shall reduce the amount due under

                                       8
<PAGE>

this Section), the Company shall pay to Executive, within 15 days after the
Termination Date (or as soon as possible thereafter in the event that the
procedures set forth in Section 6.6 hereof cannot be completed within 15 days),
an amount in cash equal to 2.99 times Executive's Base Compensation.

     6.4. Other Payments.  The payment due under Section 6.3 hereof shall be in
          --------------
addition to and not in lieu of any payments or benefits due to Executive under
any other plan, policy or program of the Company, all of which shall be paid
within 15 days after the Change of Control (or as soon as possible thereafter in
the event that the procedures set forth in Section 6.6 cannot be completed
within 15 days), except that no payments shall be due to Executive under the
Company's then severance pay plan for employees, if any, and all options to
purchase shares of stock of the Company and all restrictions on shares of stock
of the Company previously granted to Executive shall become fully vested and not
subject to any further conditions and such options shall be exercisable as
provided in Section 1.8, provided, however, that vesting and exercisability
shall be subject to applicable regulatory requirements.

     6.5. Enforcement.
          -----------

     (a)  In the event that the Company shall fail or refuse to make payment of
any amounts due Executive under Sections 6.3 and 6.4 within the respective time
periods provided therein, the Company shall pay to Executive, in addition to the
payment of any other sums provided in this Agreement, interest, compounded
monthly, on any amount remaining unpaid from the date payment is required under
Section 6.3 and 6.4, as appropriate, until paid to Executive, at the rate from
time to time specified in The Wall Street Journal as the "prime rate" plus 2 %,
each change in such rate to take effect on the effective date of the change in
such prime rate.

     (b)  It is the intent of the parties that Executive not be required to
incur any expenses associated with the enforcement of his rights under this
Section 6 by arbitration, litigation or other legal action because the cost and
expense thereof would substantially detract from the benefits intended to be
extended to Executive hereunder. Accordingly, the Company shall pay Executive on
demand the amount necessary to reimburse Executive in full for all expenses
(including all attorneys' fees and legal expenses) incurred by Executive in
enforcing any of the obligations of the Company under this Agreement.

     6.6. Certain Reductions in Payments.
          ------------------------------

     (a)  If the aggregate payments or benefits to be made or afforded to
Executive pursuant to this Agreement (and any other plans, programs and
arrangements maintained by the Company) (the "Termination Benefits") would
constitute "excess parachute payments" within the meaning of Section 280G of the
Internal Revenue Code of 1986, as amended (the "Code") or any successor thereto,
and if such Termination Benefits were reduced to an amount (the "Non-Triggering
Amount"), the value of which is one dollar ($1.00) less than an amount equal to
three times Executive's "base amount," (determined in accordance with Code
Section 280G), then the Termination Benefits shall be reduced to the Non-
Triggering Amount. The allocation of the reduction required hereby among the
Termination Benefits shall be determined by Executive. Notwithstanding the
foregoing, if after

                                       9
<PAGE>

application of the preceding sentences of this subsection 6.6(a), it is
determined that the Executive received an excess parachute payment despite the
reduction in the Executive's Termination Benefits, the excess of such
Termination Benefits paid to the Executive over 2.99 times the Executive's "base
amount," as defined in Section 280G of the Code, shall be treated as a loan to
the Executive, and the Executive shall be required to repay such amount to the
Bank or the Company, or the successor of the Bank or the Company, in consecutive
annual installments over a period not to exceed ten years of the date of such
determination, with interest at the prime rate plus 2% as set forth from time to
time in The Wall Street Journal.

     (b)  All determinations to be made under this Section 6 shall be made by
the Company's independent public accountant immediately prior to the Change of
Control (the "Accounting Firm"), which firm shall provide its determinations and
any supporting calculations both to the Company and Executive within 10 days of
the Termination Date. Any such determination by the Accounting Firm shall be
binding upon the Company and Executive. Within five days after the Accounting
Firm's determination, the Company shall pay (or cause to be paid) or distribute
(or cause to be distributed) to or for the benefit of Executive such amounts as
are then due to Executive under this Agreement.

     (c)  In the event that upon any audit by the Internal Revenue Service, or
by a state or local taxing authority, of the Termination Payment, a change is
finally determined to be required in the amount of taxes paid by Executive,
appropriate adjustments shall be made under this Agreement such that the net
amount which is payable to Executive after taking into account the provisions of
Section 4999 of the Code shall reflect the intent of the parties as expressed in
subsection (a) above, in the manner determined by the Accounting Firm.

     (d)  All of the fees and expenses of the Accounting Firm in performing the
determinations referred to in subsections (b) and (c) above shall be borne
solely by the Company.

     7.   Survivorship.  The respective rights and obligations of the parties
          ------------
hereunder shall survive any termination of Executive's employment to the extent
necessary to the intended preservation of such rights and obligations and shall
be binding on all successors and assigns to the Company which shall obtain the
affirmation of any successor or assign prior to the assignment.

     8.   Mitigation.  Executive shall not be required to mitigate the amount of
          ----------
any payment or benefit provided for in this Agreement by seeking other
employment or otherwise and there shall be no offset against amounts due
Executive under this Agreement on account of any remuneration attributable to
any subsequent employment that he may obtain.

     9.   Arbitration; Expenses.  In the event of any dispute under the
          ---------------------
provisions of this Agreement other than a dispute in which the primary relief
sought is an equitable remedy such as an injunction, the parties shall be
required to have the dispute, controversy or claim settled by arbitration in
Harrisburg, Pennsylvania in accordance with the National Rules for the
Resolution of Employment Disputes then in effect of the American Arbitration
Association, before a panel of three arbitrators, two of whom shall be selected
by the Company and Executive, respectively, and the third of whom shall be
selected by the other two arbitrators.  Any award entered by the arbitrators
shall be final, binding and nonappealable and judgment may be entered thereon by
either party in accordance with applicable law in any court of competent
jurisdiction.  This arbitration provision shall be specifically

                                       10
<PAGE>

enforceable. The arbitrators shall have no authority to modify any provision of
this Agreement or to award a remedy for a dispute involving this Agreement other
than a benefit specifically provided under or by virtue of the Agreement. If
Executive prevails on any material issue which is the subject of such
arbitration or lawsuit, the Company shall be responsible for all of the fees of
the American Arbitration Association and the arbitrators and any expenses
relating to the conduct of the arbitration (including reasonable attorneys' fees
and expenses). Otherwise, each party shall be responsible for his or its own
expenses relating to the conduct of the arbitration (including reasonable
attorneys' fees and expenses) and shall share the fees of the American
Arbitration Association.

     10.  Notices.  All notices and other communications required or permitted
          -------
hereunder or necessary or convenient in connection herewith shall be in writing
and shall be deemed to have been given when hand delivered or mailed by
registered or certified mail, as follows (provided that notice of change of
address shall be deemed given only when received):

     If to the Company, to:

               Waypoint Financial Corp.
               235 N. Second Street
               Harrisburg, PA 17101
               Attention: Chairman, Compensation Committee
               Fax: (717) 231-2950

     With a required copy to:

               Luse Lehman Gorman Pomerenk & Schick
               5225 Wisconsin Avenue, NW, Ste 400
               Washington, DC 20015
               Attention: Eric Luse, Esq.
               Fax: (202) 362-2902

     If to Executive, to:

               Robert A. Angelo
               York Financial Corp.
               101 South George St.
               York, PA 17401
               Fax: (717) 699-2929

     With a required copy to:

               John F. Breyer, Jr.
               Breyer & Associates PC
               1100 New York Ave., N.W.
               Suite 700 East
               Washington, D.C. 20005
               Fax: (202) 737-7979

                                       11
<PAGE>

or to such other names or addresses as the Company or Executive, as the case may
be, shall designate by notice to each other person entitled to receive notices
in the manner specified in this Section.

     11.  Contents of Agreements Amendment and Assignment.
          -----------------------------------------------

     (a)  This Agreement sets forth the entire understanding between the parties
hereto with respect to the subject matter hereof and cannot be changed,
modified, extended or terminated except upon written amendment approved by the
Board and executed on its behalf by a duly authorized officer and by Executive.

     (b)  All of the terms and provisions of this Agreement shall be binding
upon and inure to the benefit of and be enforceable by the respective heirs,
executors, administrators, legal representatives, successors and assigns of the
parties hereto, except that the duties and responsibilities of Executive
hereunder are of a personal nature and shall not be assignable or delegatable in
whole or in part by Executive. The Company shall require any successor (whether
direct or indirect, by purchase, merger, consolidation, reorganization or
otherwise) to all or substantially all of the business or assets of the Company,
by agreement in form and substance satisfactory to Executive, expressly to
assume and agree to perform this Agreement in the same manner and to the extent
the Company would be required to perform if no such succession had taken place.

     12.  Severability.  If any provision of this Agreement or application
          ------------
thereof to anyone or under any circumstances is adjudicated to be invalid or
unenforceable in any jurisdiction, such invalidity or unenforceability shall not
affect any other provision or application of this Agreement which can be given
effect without the invalid or unenforceable provision or application and shall
not invalidate or render unenforceable such provision or application in any
other jurisdiction.  If any provision is held void, invalid or unenforceable
with respect to particular circumstances, it shall nevertheless remain in full
force and effect in all other circumstances.

     13.  Remedies Cumulative; No Waiver.  No remedy conferred upon a party by
          ------------------------------
this Agreement is intended to be exclusive of any other remedy, and each and
every such remedy shall be cumulative and shall be in addition to any other
remedy given hereunder or now or hereafter existing at law or in equity.  No
delay or omission by a party in exercising any right, remedy or power hereunder
or existing at law or in equity shall be construed as a waiver thereof, and any
such right, remedy or power may be exercised by such party from time to time and
as often as may be deemed expedient or necessary by such party in its sole
discretion.

     14.  Beneficiaries/References.  Executive shall be entitled, to the extent
          ------------------------
permitted under any applicable law, to select and change a beneficiary or
beneficiaries to receive any compensation or benefit payable hereunder following
Executive's death by giving the Company written notice thereof.  In the event of
Executive's death or a judicial determination of his incompetence, reference in
this Agreement to Executive shall be deemed, where appropriate, to refer to his
beneficiary, estate or other legal representative.

                                       12
<PAGE>

     15.  Miscellaneous.  All section headings used in this Agreement are for
          -------------
convenience only.  This Agreement may be executed in counterparts, each of which
is an original.  It shall not be necessary in making proof of this Agreement or
any counterpart hereof to produce or account for any of the other counterparts.

     16.  Withholding.  The Company may withhold from any payments under this
          -----------
Agreement all federal, state and local taxes as the Company is required to
withhold pursuant to any law or governmental rule or regulation.  Executive
shall bear all expense of, and be solely responsible for, all federal, state and
local taxes due with respect to any payment received hereunder.

     17.  Governing Law.  This Agreement shall be governed by and interpreted
          -------------
under the laws of the Commonwealth of Pennsylvania without giving effect to any
conflict of laws provisions.

     18.  Corporate Authority.  The Company hereby represents that it has taken
          -------------------
all required corporate action in accordance with the provisions of its bylaw and
certificate of incorporation to enter into and to carry out the terms of this
Agreement.

                 [Remainder of Page Intentionally Left Blank]

                                       13
<PAGE>

     IN WITNESS WHEREOF, the undersigned, intending to be legally bound, have
executed this Agreement effective as of _________________, 2000.

                                    WAYPOINT FINANCIAL CORP.

______________________________      By:_____________________________________
Robert A. Angelo                    Name:___________________________________
                                    Title: _________________________________
<PAGE>

                          CHANGE-IN-CONTROL AGREEMENT

     This AGREEMENT is made effective as of _______________, 2000, by and among
Waypoint Bank (the "Bank") a federally-chartered savings bank, with its
principal administrative office at 235 North Second Street, Harrisburg,
Pennsylvania, 17101, Waypoint Financial Corp. (the "Holding Company"), a
corporation organized under the laws of the State of Pennsylvania which is the
holding company for the Bank,  and ____________________ (the Executive").

     WHEREAS, the Bank recognizes the substantial contribution Executive has
made to the Bank and wishes to protect Executive's position therewith for the
period provided in this Agreement; and

     WHEREAS, Executive has been appointed to, and has agreed to serve in the
position of __________________________ for the Bank, a position of substantial
responsibility.

     NOW, THEREFORE, in consideration of the contribution and responsibilities
of Executive, and upon the other terms and conditions hereinafter provided, the
parties hereto agree as follows:

1.   TERM OF AGREEMENT.

     (a) The term of this agreement shall be deemed to have commenced as of the
date first above written and shall continue for a period of thirty-six (36) full
calendar months thereafter.  The Agreement will be up for consideration for
renewal each ____________, after the Board of Directors completes a formal
performance evaluation of the Executive.  The purpose of this evaluation will be
to determine whether or not to extend the Agreement.  The results of this
evaluation will be included in the Minutes of the next Board Meeting.  The
Agreement will renew for an additional year so that the remaining term shall be
three (3) years unless written notice is provided to the Executive at least ten
(10) days, but not more than twenty (20) days prior to the anniversary date,
that this Agreement shall cease at the end of the twenty-four (24) months
following such anniversary date.

2.  PAYMENTS TO THE EXECUTIVE UPON CHANGE IN CONTROL.

     (a)  Upon the occurrence of a Change in Control of the Bank or the Holding
Company (as herein defined) followed at any time during the term of this
Agreement by the voluntary  (for any of the bases set below) or involuntary
termination of Executive's employment, other than for Cause, as defined in
Section 2(c) hereof, the provisions of Section 3 shall apply.  Upon the
occurrence of a Change in Control, Executive shall have the right to elect to
voluntarily terminate his employment at any time during the term of this
Agreement following any demotion, loss of title, office or significant
authority, reduction in his annual compensation, relocation of his principal
place of employment by more than 30 miles from its location immediately prior to
the Change in Control or the failure to continue in effect any substantially
similar vacation benefits, pension plan, dental plan, life insurance plan,
health, accident or disability plan in which Executive is participating
immediately prior to Change in Control.
<PAGE>

     (b)  Change in Control" of the Bank or the Holding Company shall mean (i) a
plan of reorganization, merger, merger conversion, consolidation or sale of all
or substantially all of the assets of the Bank or the Holding Company or a
similar transaction occurs in which the Bank or the Holding Company is not the
resulting entity; (ii) individuals who constitute the Board of the Bank or of
the Holding Company on the date hereof cease for any reason to constitute a
majority thereof; or (iii) a change in control within the meaning of 12 C.F.R.
(S) 303.4(a) or 12 C.F.R. (S)225.41(b) occurs, as determined by the Board of
Directors of the Bank or the Board of Trustees of the Holding Company.  In the
event the Holding Company converts from the mutual form of organization to the
stock form of organization at any time subsequent to the effective date of this
Agreement ("Stock Holding Company"), a "change in control" of the Bank or the
Stock Holding Company for purposes of this Agreement shall mean an event of a
nature that: (I) would be required to be reported in response to Item 1 of the
current report on Form 8-K, as in effect on the date hereof, pursuant to Section
13 or 15(d) of the Securities Exchange Act of 1934 (the "Exchange Act"); or (II)
results in a Change in Control of the Bank  or the Stock Holding Company within
the meaning of the Change in Bank Control Act and the Rules and Regulations
promulgated by the Federal Deposit Insurance Corporation ("FDIC") at 12 C.F.R.
(S) 303.4 (a) with respect to the Bank and the Board of Governors of the Federal
Reserve System ("FRB") at 12 C.F.R. (S)  225.41(b) with respect to the Stock
Holding Company, as in effect on the date hereof; (III) results in a transaction
requiring prior FRB approval under the Bank Holding Company  Act of 1956 and the
regulations promulgated thereunder by the FRB at 12 C.F.R. (S)225.11, as in
effect on the date hereof; or (IV) without limitation such a Change in Control
shall be deemed to have occurred at such time as (a) any "person" (as the term
is used in Sections 13(d) and 14(d) of the Exchange Act) is or becomes the
"beneficial owner" (as defined in Rule 13d-3 under the Exchange Act), directly
or indirectly, of Securities of the Bank or the Stock Holding Company
representing 20% or more of the Bank's or the Stock Holding Company's
outstanding securities except for any securities of the Bank purchased by the
Stock Holding Company in connection with the conversion of the Company to the
stock form and any securities purchased by the Bank's employee stock ownership
plan and trust; or (b) individuals who constitute the Board on the date hereof
(the "Incumbent Board") cease for any reason to constitute at least a majority
thereof, provided that any person becoming a director subsequent to the date
hereof whose election was approved by a vote of at least three- quarters of the
directors comprising the Incumbent Board, or whose nomination for election by
the Stock Holding Company's stockholders was approved by the same Nominating
Committee serving under an Incumbent Board, shall be, for purposes of this
clause (b), considered as though he were a member of the Incumbent Board; or (c)
a plan of reorganization, merger, consolidation, sale of all or substantially
all the assets of the Bank or Stock Holding Company or similar transaction
occurs in which the Bank or Stock Holding Company is not the resulting entity;
or (d) a proxy statement shall be distributed soliciting proxies from
stockholders of the Stock Holding Company, by someone other than the current
management of the Stock Holding Company, seeking stockholder approval of a plan
of reorganization, merger, or consolidation of the Stock Holding Company or Bank
or similar transaction with one or more corporations as a result of which the
outstanding shares of the class of securities then subject to such plan or
transaction are exchanged for or converted into cash or property or securities
not issued by the Bank or the Stock Holding Company; or (e) a tender offer is
made and accepted for 20% or more of the voting securities of the Bank or Stock
Holding Company then outstanding.

     (c)  Executive shall not have the right to receive termination benefits
pursuant to Section 3 hereof upon Termination for Cause.  The term "Termination
for Cause" shall mean termination

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because of the Executive's personal dishonesty, willful misconduct, any breach
of fiduciary duty involving personal profit, intentional failure to perform
stated duties, willful violation of any law, rule, or regulation (other than
traffic violations or similar offenses) or final cease-and-desist order, or
material breach of any material provision of this Agreement. For purposes of
this Section, no act, or the failure to act on Executive's part shall be
"willful" unless done or omitted to be done, not in good faith and without
reasonable belief that the action or omission was in the best interests of the
Holding Company or the Bank. Notwithstanding the foregoing, Executive shall not
be deemed to have been Terminated for Cause unless and until there shall have
been delivered to him a Notice of Termination which shall include a copy of a
resolution duly adopted by the affirmative vote of not less than two-thirds of
the members of the Board at a meeting of the Board called and held for that
purpose (after reasonable notice to the Executive and an opportunity for him,
together with counsel, to be heard before the Board), finding that in good faith
opinion of the Board, the Executive was guilty of conduct justifying Termination
for Cause and specifying the particulars thereof in detail. The Executive shall
not have the right to receive compensation or other benefits for any period
after Termination for Cause. Any stock options or limited rights granted to
Executive under any stock option plan or any unvested awards granted to
Executive under a Recognition and Retention Plan of the Bank, the Company or any
subsidiary or affiliate thereof, shall become null and void effective upon
Executive's receipt of Notice of Termination for Cause and shall not be
exercisable by Executive at any time subsequent to such Termination for Cause.

3. TERMINATION BENEFITS.

     (a) Upon the occurrence of a Change in Control, followed at any time during
the term of this Agreement by the voluntary or involuntary termination of the
Executive's employment, other than for Termination for Cause, the Bank and the
Company shall pay the Executive, or in the event of his subsequent death, his
beneficiary or beneficiaries, or his estate, as the case may be, as severance
pay or liquidated damages, or both, a sum equal to 2.99 times the Executive's
annual base salary and bonus.  In addition, Executive shall be entitled to any
other cash or deferred compensation paid, or to be paid, to the Executive for
such years and such benefits as are otherwise payable to Executive under the
Company's and/or the Bank's plans upon a Change in Control.  At the election of
the Executive such payment may be made in a lump sum or paid in equal monthly
installments during the twelve (12) months following the Executive's
termination.  In the event that no election is made, payment to the Executive
will be made on a monthly basis during the remaining term of this Agreement.

     (b) Upon the occurrence of a Change in Control of the Bank or the Holding
Company followed at any time during the term of this Agreement by the
Executive's voluntary or involuntary termination of employment, other than for
Termination for Cause, the Bank shall cause to be continued life, medical,
dental and disability coverage substantially identical to the coverage
maintained by the Bank for the Executive prior to his severance.  Such coverage
and payments shall cease upon the expiration of thirty-six (36) months.

     (c) Upon the occurrence of a Change in Control, the Executive shall be
entitled to receive benefits due him under, or contributed by the Bank on his
behalf pursuant to any retirement, incentive, profit sharing, bonus,
performance, disability or other employee benefit plan maintained by the Bank

                                      A-3
<PAGE>

on the Executive's behalf to the extent that such benefits are not otherwise
paid to the Executive under a separate provision of this Agreement.

(d) Notwithstanding the preceding paragraphs of this Section 3, in the event
that:

          (i)  the aggregate payments or benefits to be made or afforded to the
               Executive under said paragraphs (the "Termination Benefits")
               would be deemed to include an "excess parachute payment" under
               Section 280G of the Internal Revenue Code of 1986 (the Code) or
               any successor thereto, and

          (ii) if such Termination Benefits were reduced to an amount (the "Non-
               Triggering Amount"), the value of which is one dollar ($1.00)
               less than an amount equal to three (3) times Executive's "base
               amount" as determined in accordance with said Section 280G, then
               the Termination Benefits shall be reduced to the Non-Triggering
               Amount. The allocation of the reduction required hereby among the
               Termination Benefits provided by the preceding paragraphs of this
               Section 3 shall be determined by the Executive.

4.    NOTICE OF TERMINATION.

      (a) Any purported termination by the Bank, the Holding Company or by
Executive shall be communicated by Notice of Termination to the other party
hereto.  For purposes of this Agreement, a "Notice of Termination" shall mean a
written notice which shall indicate the specific termination provision in this
Agreement  relied upon and shall set forth in reasonable detail the facts and
circumstances claimed to provide a basis for termination of executive's
employment under the provision so indicated.

      (b) "Date of Termination" shall mean the date specified in the Notice of
Termination
which, in the instance of Termination for Cause, shall be immediate.

5.    SOURCE OF PAYMENTS.

      (a) It is intended by the parties hereto that all payments provided in
this Agreement shall be paid in cash or check from the general funds of the
Bank.  The Holding Company, however, guarantees payment and provision of all
amounts and benefits due hereunder to the Executive and, if such amounts and
benefits due from the Bank are not timely paid or provided by the Bank, such
amounts and benefits shall be paid or provided by the Holding Company.

6.    EFFECT ON PRIOR AGREEMENTS AND EXISTING BENEFIT PLANS.

      (a) This Agreement contains the entire understanding between the parties
hereto and supersedes any prior agreement between the Bank and the Executive,
except that this Agreement shall not affect or operate to reduce any benefit or
compensation inuring to the Executive of a kind elsewhere provided.  No
provision of this Agreement shall be interpreted to mean that the Executive is
subject to receiving fewer benefits than those available to him without
reference to this Agreement.

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<PAGE>

     (b)  Nothing in this Agreement shall confer upon the Executive the right to
continue in the employ of Bank or shall impose on the Bank any obligation to
employ or retain the Executive in its employ for any period.

7.   NO ATTACHMENT.

     (a)  Except as required by law, no right to receive payments under this
Agreement shall be subject to anticipation, commutation, alienation, sale,
assignment, encumbrance, charge, pledge, or hypothecation, or to execution,
attachment, levy, or similar process or assignment by operation of law, and any
attempt, voluntary or involuntary, to affect any such action shall be null,
void, and of no effect.

     (b)  This Agreement shall be binding upon,  and inure to the benefit of,
the Executive, the Bank and their respective successors and assigns.

8.   MODIFICATION AND WAIVER.

     (a) This Agreement may not be modified or amended except by an instrument
in writing signed by the parties hereto.

     (b)  No term or condition of this Agreement shall be deemed to have been
waived, nor shall there be any estoppel against the enforcement of any provision
of this Agreement, except by written instrument of the party charged with such
waiver or estoppel.  No such written waiver shall be deemed a continuing waiver
unless specifically stated therein, and each such waiver shall operate only as
to the specific term or condition waived and shall not constitute a waiver of
such term or condition for the future or as to any act other than that
specifically waived.

9.   REQUIRED REGULATORY PROVISIONS.

     (a)  The Board may terminate the Executive's employment at any time, but
any termination by the Board, other than Termination for Cause, shall not
prejudice the Executive's right to compensation or other benefits under the
Agreement.  The Executive shall not have the right to receive compensation or
other benefits for any period after Termination for Cause as defined in Section
2 herein above.

10.  SEVERABILITY.

     (a)  If, for any reason, any provision of this Agreement, or any part of
any provision, is held invalid, such invalidity shall not affect any other
provision of this Agreement or any part of such provision not held so invalid,
and each such other provision and part thereof shall to the full extent
consistent with law continue in full force and effect.

                                      A-5
<PAGE>

11. HEADINGS FOR REFERENCE ONLY.

     (a)  The headings of sections and paragraphs herein are included solely for
the convenience of reference and shall not control the meaning or interpretation
of any of the provisions of this Agreement.

12. GOVERNING LAW.

     (a)  The validity, interpretation, performance, and enforcement of this
Agreement shall be governed by Pennsylvania law.

13. ARBITRATION.

     (a)  Any dispute or controversy arising under or in connection with this
Agreement shall be settled exclusively by arbitration in accordance with the
rules of the American Arbitration Association then in effect. Judgment may be
entered on the arbitrator's award in any court having jurisdiction provided,
however, that the Executive shall be entitled to seek specific performance of
his right to be paid until the Date of Termination during the pendency of an
dispute or controversy arising under or in connection with this Agreement.

     (b)  In the event any dispute or controversy arising under or in connection
with Executive's termination is resolved in favor of the Executive, whether by
judgment, arbitration or settlement, Executive shall be entitled to the payment
of all back-pay, including salary, bonuses and any other cash compensation,
fringe benefits and any compensation and benefits due Executive under this
Agreement.

14. PAYMENT OF COSTS AND LEGAL FEES.

     (a)  All reasonable costs and legal fees paid or incurred by the Executive
pursuant to any dispute or question of interpretation relating to this Agreement
shall be paid or reimbursed by the Bank (which payments are guaranteed by the
Holding Company pursuant to Section 5 hereof)  if Executive is successful
pursuant to legal judgment, arbitration or settlement.

15. INDEMNIFICATION.

     (a)  The Bank shall provide Executive (including his or her legal
representatives, successors, and assigns) with coverage under a standard
directors' and officers' liability insurance policy at its expense, or in lieu
thereof, shall indemnify Executive (including his or her legal representatives,
successors, and assigns)  to the fullest extent permitted under Pennsylvania law
against all expenses and liabilities reasonably incurred by Executive in
connection with or arising out of any action, suit or proceeding in which he may
be involved by reason of his having been a trustee or officer of the Bank
(whether or not he continues to be a trustee or officer  at the time of
incurring such expenses or liabilities).  Such expenses or liabilities may
include, but not be limited to, judgments, court costs and attorneys' fees and
the cost of reasonable settlements for reasonable costs and expenses incurred by
Executive in defending or settling any judicial or administrative proceeding, or
threatened proceeding, whether civil, criminal, or otherwise, including any
appeal or other proceeding for review.

                                      A-6
<PAGE>

     (b)  Indemnification by the Bank shall be made only upon the final judgment
on the merits in favor of the Executive, in case of settlement, in case of final
judgment against Executive or in the case of final judgment in favor of
Executive other than on the merits, if a majority of the disinterested directors
of the Bank determine Executive was acting in good faith within the scope of
Executive's employment or authority.

     (c)  Any such indemnification of Executive for such expenses and
liabilities are to include, but not be limited to, judgments, court costs and
attorneys' fees and the cost of reasonable settlements, such settlements to be
approved by the Board of Directors of the Bank, if such action is brought
against the Executive in his or her capacity as an officer or trustee of the
Bank, provided however, such indemnity shall not extend to matters as to which
the Executive is finally adjudged to be liable for willful misconduct in the
performance of his or her duties.

16. SUCCESSOR TO THE BANK.

     (a)  The Bank shall require any successor or assignee, whether direct or
indirect, by purchase, merger, consolidation or otherwise, to all or
substantially all the business or assets of the Bank or the Holding Company,
expressly and unconditionally to assume and agree to perform the Bank's
obligations under this Agreement, in the same manner and to the same extent that
the Bank would be required to perform if no such succession or assignment had
taken place.

                 [Remainder of Page Intentionally Left Blank]

                                      A-7
<PAGE>

17. SIGNATURES.

      IN WITNESS WHEREOF, Waypoint Bank and Waypoint Financial Corp. have caused
this Agreement to be executed by their duly authorized officers, and Executives
have signed this Agreement, on the ___  day of ________________, 200__.

SEAL

ATTEST:

                                    WAYPOINT BANK

____________________________        BY:________________________________
Corporate Secretary                 President / Chief Executive Officer

SEAL

ATTEST:                             WAYPOINT FINANCIAL CORP.
                                     (Guarantor)

____________________________        BY:________________________________
Corporate Secretary                 President / Chief Executive Officer

SEAL

WITNESS:

____________________________        BY:________________________________
                                    (EXECUTIVE)

                                      A-8

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