SECURITIES AND EXCHANGE COMMISSION
                    Washington, D.C.  20549
                                
                                
                            FORM 8-K
                                
                         CURRENT REPORT
                                
              Pursuant to Section 13 or 15 (d) of
              The Securities Exchange Act of 1934
                                
Date of Report (Date of earliest event reported)  March 7, 1996   
                                           
                                
                                
                 FRANKLIN FINANCIAL SERVICES CORPORATION          
     (Exact name of registrant as specified in its charter)
                                
 Pennsylvania                  0-12126               23-144083 
(State or other jurisdiction  (Commission            (IRS Employer
 of incorporation)             File Number)          Ident. No.)
                                
                                
20 South Main Street, Chambersburg,PA                17201        
(Address of principal executive office)           (Zip Code)
                                
                                
Registrant's telephone number, including area code    (717) 264-6116    
                
                               N/A                                
 (Former name or former address, if changes since last report)
                                
                                
                                
                                
Item 5.      Other Events.

     The press release of Franklin Financial Services Corporation
dated March 7, 1996 relating to the authorization of an open
market stock repurchase program and attached hereto as Exhibit 99
is incorporated by reference herein.

Item 7.      Financial Statements and Exhibits.

            (c)    Exhibits

     The following exhibits are filed herewith:

     Number              Description              Page Number

       99           Press Release, dated March 7,      3
                    1996, of Franklin Financial
                    Services Corporation


                         Signatures

     Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned hereunto duly authorized.

                         FRANKLIN FINANCIAL SERVICES CORPORATION


                         By:                                     
                              William E. Snell, Jr., President




Dated: March 7, 1996














                         PRESS RELEASE

For Immediate Release    Contact:
                         William E. Snell, Jr., President
                         Franklin Financial Services Corporation
                         (717) 264-6116


     CHAMBERSBURG, PENNSYLVANIA, March 7, 1996 -- Franklin
Financial Services Corporation, the parent bank holding company
of Farmers and Merchants Trust Company of Chambersburg, today
announced that its Board of Directors has authorized the
repurchase of up to 50,000 shares of its $1.00 par value common
stock, or approximately 2.6% of such shares issued and
outstanding.

     The repurchases are authorized to be made from time to time
in open market or privately negotiated transactions during the
next year.  According to President William E. Snell, Jr., the
repurchased shares will be held as treasury shares available for
issuance in connection with future stock dividends and stock
splits, employee benefits plans, executive compensation plans and
for issuance under the Dividend Reinvestment Plan and other
corporate purposes.

     Franklin Financial Services Corporation is a Franklin County
based bank holding company with assets of approximately $313
million.  Its wholly-owned subsidiary, Farmers and Merchants
Trust Company of Chambersburg, operates eight banking offices in
Franklin County, Pennsylvania.

                            - End -