SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-K

(Mark One)

(X)   ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934

For the fiscal year ended December 31, 2005

( )   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the transition period from __________ to ___________

                         Commission file number 0-21855

                        Stewardship Financial Corporation
- --------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

                 New Jersey                                 22-3351447
    -----------------------------------               ---------------------
        (State of other jurisdiction                    (I.R.S. Employer
     of incorporation or organization)                 Identification No.)

    630 Godwin Avenue, Midland Park, NJ                          07432
   --------------------------------------------              --------------
      (Address of principal executive offices)                 (Zip Code)

       Registrant's telephone number, including area code: (201) 444-7100

        Securities registered pursuant to Section 12(b) of the Act: None

              Securities registered under Section 12(g) of the Act:

                           Common Stock, no par value
- --------------------------------------------------------------------------------
                                (Title of class)

Indicate by check mark if the registrant is a well-known seasoned issuer, as
defined in Rule 405 of the Securities Act.

                                                                  Yes ( ) No (X)

Indicate by check mark if the registrant is not required to file reports
pursuant to Section 13 or Section 15(d) of the Act.

                                                                  Yes ( ) No (X)

Note - Checking the box above will not relieve any registrant required to file
reports pursuant to Section 13 or 15(d) of the Exchange Act from their
obligations under those Sections.

Indicate by check mark whether the Registrant: (1) has filed reports required to
be filed by Section 13 or 15(d) of the Securities and Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes (X)  No ( )



Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. ( )

Indicate by check mark whether the registrant is a large accelerated filer, an
accelerated filer, or a non-accelerated filer. See definition of "accelerated
filer and large accelerated filer" in Rule 12b-2 of the Exchange Act. (Check
one):

Large accelerated filer ( )   Accelerated filer ( )   Non-accelerated filer (X)

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Act). Yes ( ) No (X)

The aggregate market value of the voting and non-voting common equity held by
non-affiliates of the registrant, as of June 30, 2005 was $ 64,818,000.

As of March 13, 2006 4,759,527 shares of the registrant's common stock were
outstanding, net of treasury stock.



                       DOCUMENTS INCORPORATED BY REFERENCE


                                   
Item 6    Selected Financial Data        Registrant's Annual Report to Shareholders
                                         under the caption "Consolidated Financial
                                         Summary of Selected Financial Data."

Item 7    Management's Discussion        Registrant's Annual Report to Shareholders
          and Analysis of Financial      under the caption "Management's Discussion
          Condition and Results          and Analysis of Financial Condition and
          of Operations                  Results of Operations."

Item 7A   Quantitative and Qualitative   Registrant's Annual Report to Shareholders
          Disclosures About Market       under the caption "Management's Discussion
          Risk                           and Analysis of Financial Condition and
                                         Results of Operations - Market Risk".

Item 8    Financial Statements and       Registrant's Annual Report to  Shareholders
          Supplementary Data             under the caption "Consolidated Statements
                                         Financial  Condition."

Item 10   Directors and Executive        Proxy Statement for 2006 Annual Meeting
          Officers of the Company;       of Shareholders under the caption,
          Compliance with Section        "Proposal I - Election of Directors" and
          16(a) of the Exchange Act      "Compliance with Section 16(a) Beneficial
                                         Ownership Reporting," to be filed no
                                         later than April 30, 2006.

Item 11   Executive Compensation         Proxy Statement for 2006 Annual Meeting
                                         of  Shareholders under the captions,
                                         "Compensation of Executive Officers"
                                         and "Annual Management Compensation
                                         and All Other Compensation," to be filed
                                         no later than April 30, 2006.

Item 12   Security Ownership of          Proxy Statement for 2006 Annual Meeting
          Certain Beneficial Owners      of Shareholders under the caption, "Stock
          and Management                 Ownership of Management and Principal
                                         Shareholders," to be filed no later
                                         than April 30, 2006.

Item 13   Certain Relationships and      Proxy Statement for 2006 Annual Meeting
          Related Transactions           of Shareholders under the caption, "Certain
                                         Relationships and Related Transactions,"
                                         to be filed no later than April 30, 2006.

Item 14   Principal Accountant           Proxy Statement for 2006 Annual Meeting
          Fees and Services              of Shareholders under the Caption, "Fees
                                         Billed by KPMG During Fiscal 2005 and
                                         Fiscal 2004," to be filed no later than
                                         April 30, 2006.




                                     Part I

Item 1  -  Business

General

      Stewardship Financial Corporation (the "Corporation" or "Registrant") is a
one-bank holding company  incorporated under the laws of the State of New Jersey
in January 1995 to serve as a holding company for Atlantic Stewardship Bank (the
"Bank").  The  Corporation  was  organized  at the  direction  of the  Board  of
Directors of the Bank for the purpose of acquiring  all of the capital  stock of
the Bank (the "Acquisition"). Pursuant to the New Jersey Banking Act of 1948, as
amended  (the "New  Jersey  Banking  Act"),  and  pursuant  to  approval  of the
shareholders  of the Bank,  the  Corporation  acquired  the Bank and  became its
holding company on November 22, 1996. As part of the  Acquisition,  shareholders
of the Bank received one share of common stock, no par value ("Common Stock") of
the Corporation for each outstanding  share of the common stock of the Bank. The
only significant activity of the Corporation is ownership and supervision of the
Bank.

      The  Bank  is  a commercial bank formed under the laws of the State of New
Jersey  on  April 26, 1984. The Bank operates from its main office at 630 Godwin
Avenue, Midland Park, New Jersey, and its nine branches located at 386 Lafayette
Avenue,  Hawthorne,  New  Jersey,  1111  Goffle Road, Hawthorne, New Jersey, 190
Franklin  Avenue,  Ridgewood,  New  Jersey,  2 Changebridge Road, Montville, New
Jersey,  249  Newark  Pompton  Turnpike,  Pequannock,  New  Jersey,  64 Franklin
Turnpike, Waldwick, New Jersey, 87 Berdan Avenue, Wayne, New Jersey, 400 Hamburg
Turnpike,  Wayne,  New  Jersey  and 311 Valley Road, Wayne, New Jersey. The Bank
operates  ATM  machines  at  all  of  its  branches except its Lafayette Avenue,
Hawthorne  branch  and  operates  an  offsite  ATM  in the Christian Health Care
Center,  Wyckoff,  New  Jersey  and in our former branch location at 30 Franklin
Turnpike,  Waldwick,  New  Jersey.

      The  Corporation is subject to the supervision and regulation of the Board
of Governors of the Federal Reserve System (the "FRB").  The Bank's deposits are
insured by the Bank  Insurance  Fund  ("BIF") of the Federal  Deposit  Insurance
Corporation  ("FDIC") up to applicable limits. The operations of the Corporation
and the Bank are subject to the  supervision and regulation of the FRB, FDIC and
the New Jersey  Department  of Banking and  Insurance  (the  "Department").  The
principal executive offices of the Corporation are located at 630 Godwin Avenue,
Midland Park,  New Jersey 07432,  and the  telephone  number is (201)  444-7100.
Stewardship  Investment Corp. is a wholly-owned non-bank subsidiary of the Bank,
whose  primary  business is to own and manage the Bank's  investment  portfolio.
Stewardship  Realty, LLC, formed in September 2005, is a subsidiary of the Bank,
whose  primary  business is to own and manage a newly  acquired  property at 612
Godwin Avenue,  Midland Park, New Jersey.  In addition to the Bank, in 2003, the
Corporation  formed a second subsidiary,  Stewardship  Statutory Trust I for the
purpose of issuing trust preferred securities.

Business of the Corporation

      The Corporation's primary business is the ownership and supervision of the
Bank.  The  Corporation,  through the Bank,  conducts a  traditional  commercial
banking business,  and offers services  including personal and business checking
accounts and time deposits,  money market accounts and regular savings accounts.
The  Corporation  structures  its  specific  services  and  charges  in a manner
designed to attract  the  business of the small and medium  sized  business  and
professional  community  as well as that of  individuals  residing,  working and
shopping in Bergen,  Morris and Passaic  County,  New  Jersey.  The  Corporation
engages in a wide range of lending activities and offers  commercial,  consumer,
mortgage, home equity and personal loans.

      In  addition,  in forming the Bank,  the members of the Board of Directors
envisioned a community-based institution which would serve the local communities
surrounding  its branches,  while also  providing a return to its  shareholders.
This vision has been  reflected in the Bank's  tithing  policy,  under which the
Bank tithes 10% of its pre-tax  profits to worthy  Christian  organizations  and
civic organizations in the communities where the Bank maintains branches.

Service Area

      The  Corporation's  service area primarily consists of the Bergen, Passaic
and  Morris  County,  New  Jersey  market,  although the Corporation makes loans
throughout New Jersey. The Corporation operates its main office in Midland Park,
New  Jersey and nine existing branch offices in Hawthorne, Montville, Ridgewood,
Waldwick,  Wayne  and  Pequannock,  New  Jersey.



Competition

      The  Corporation  competes for deposits and loans with  commercial  banks,
thrifts and other financial  institutions,  many of which have greater financial
resources than the  Corporation.  Many large financial  institutions in New York
City and other  parts of New  Jersey  compete  for the  business  of New  Jersey
residents and companies  located in the Corporation's  service area.  Certain of
these institutions have significantly higher lending limits than the Corporation
and provide services to their customers that the Corporation does not offer.

      Management  believes the Corporation is able to compete on a substantially
equal basis with its  competitors  because it provides  responsive  personalized
services  through  management's  knowledge  and  awareness of the  Corporation's
service area, customers and business.

Employees

      At December 31, 2005, the Corporation employed 100 full-time employees and
34  part-time  employees.  None of these  employees  is covered by a  collective
bargaining  agreement and the Corporation  believes that its employee  relations
are good.

                           Supervision and Regulation

      Bank holding  companies  and banks are  extensively  regulated  under both
federal  and state  law.  These laws and  regulations  are  intended  to protect
depositors,  not  stockholders.  To the extent  that the  following  information
describes statutory and regulatory  provisions,  it is qualified in its entirety
by reference to the particular  statutory and  regulatory  provisions and is not
intended  to be  an  exhaustive  description  of  the  statutes  or  regulations
applicable to the  Corporation's  business.  Any change in the applicable law or
regulation  may have a material  effect on the  business  and  prospects  of the
Corporation and the Bank.

Regulation of the Corporation

      BANK HOLDING COMPANY ACT. As a bank holding company  registered  under the
Bank Holding  Company Act of 1956, as amended (the "BHCA"),  the  Corporation is
subject  to the  regulation  and  supervision  of the FRB.  The  Corporation  is
required to file with the FRB annual reports and other information  showing that
its business  operations and those of its  subsidiaries  are limited to banking,
managing or controlling banks, furnishing services to or performing services for
its  subsidiaries  or engaging in any other activity which the FRB determines to
be so  closely  related to banking or  managing  or  controlling  banks as to be
properly incident thereto.

      The BHCA  requires,  among other things,  the prior approval of the FRB in
any  case  where  a  bank  holding  company  proposes  to  (i)  acquire  all  or
substantially  all of the  assets  of any other  bank,  (ii)  acquire  direct or
indirect ownership or control of more than 5% of the outstanding voting stock of
any bank  (unless it owns a majority of such  bank's  voting  shares),  or (iii)
merge or  consolidate  with any other  bank  holding  company.  The FRB will not
approve  any  merger,   acquisition,   or   consolidation   that  would  have  a
substantially anti-competitive effect, unless the anti-competitive impact of the
proposed  transaction  is clearly  outweighed  by a greater  public  interest in
meeting the  convenience  and needs of the community to be served.  The FRB also
considers  capital  adequacy and other  financial and  managerial  resources and
future  prospects of the  companies and the banks  concerned,  together with the
convenience and needs of the community to be served.

      Additionally,  the BHCA  prohibits a bank  holding  company,  with certain
limited exceptions, from (i) acquiring or retaining direct or indirect ownership
or control of more than 5% of the outstanding  voting stock of any company which
is not a bank or bank holding company,  or (ii) engaging  directly or indirectly
in activities  other than those of banking,  managing or controlling  banks,  or
performing  services for its subsidiaries;  unless such non-banking  business is
determined  by the FRB to be so  closely  related  to  banking  or  managing  or
controlling  banks  as  to  be  properly   incident  thereto.   In  making  such
determinations,  the FRB is  required  to weigh  the  expected  benefits  to the
public,  such  as  greater  convenience,   increased  competition  or  gains  in
efficiency, against the possible adverse effects, such as undue concentration of
resources,  decreased or unfair competition,  conflicts of interest,  or unsound
banking practices.

      There are a number of obligations and restrictions imposed on bank holding
companies and their  depository  institution  subsidiaries by law and regulatory
policy that are designed to minimize  potential  loss to the  depositors of such
depository institutions and the FDIC insurance funds in the event the depository
institution becomes in danger of default. Under a policy of the FRB with respect
to bank holding company operations, a bank holding company is required to commit



resources to support such institutions in circumstances where it might not do so
absent such policy.  The FRB also has the authority  under the BHCA to require a
bank holding  company to terminate  any activity or to  relinquish  control of a
non-bank  subsidiary upon the FRB's  determination that such activity or control
constitutes a serious risk to the financial  soundness and stability of any bank
subsidiary of the bank holding company.

      CAPITAL  ADEQUACY  GUIDELINES  FOR  BANK  HOLDING  COMPANIES.  The FRB has
adopted risk-based capital guidelines for bank holding companies. The risk-based
capital  guidelines are designed to make regulatory  capital  requirements  more
sensitive  to  differences  in  risk  profiles  among  banks  and  bank  holding
companies,   to  account  for  off-balance  sheet  exposure,   and  to  minimize
disincentives  for holding liquid  assets.  Under these  guidelines,  assets and
off-balance  sheet  items  are  assigned  to broad  risk  categories  each  with
appropriate  weights.  The  resulting  capital  ratios  represent  capital  as a
percentage of total risk-weighted assets and off-balance sheet items.

      The risk-based  guidelines  apply on a consolidated  basis to bank holding
companies with consolidated assets of $150 million or more. The minimum ratio of
total capital to  risk-weighted  assets  (including  certain  off-balance  sheet
activities,  such as standby  letters of credit) is 8%. At least 4% of the total
capital is required to be "Tier I" capital,  consisting of common  stockholders'
equity and  certain  preferred  stock,  less  certain  goodwill  items and other
intangible  assets.  The  remainder,  "Tier II Capital,"  may consist of (a) the
allowance for loan losses of up to 1.25% of risk-weighted  assets, (b) excess of
qualifying  preferred  stock,  (c) hybrid  capital  instruments,  (d) debt,  (e)
mandatory convertible  securities,  and (f) qualifying  subordinated debt. Total
capital is the sum of Tier I and Tier II capital  less  reciprocal  holdings  of
other banking organizations' capital instruments,  investments in unconsolidated
subsidiaries  and any other deductions as determined by the FRB (determined on a
case-by-case basis or as a matter of policy after formal rule-making).

      Bank holding  company assets are given  risk-weights  of 0%, 20%, 50%, and
100%. In addition,  certain  off-balance  sheet items are given  similar  credit
conversion  factors  to  convert  them to asset  equivalent  amounts to which an
appropriate  risk-weight  will  apply.  These  computations  result in the total
risk-weighted assets. Most loans are assigned to the 100% risk category,  except
for performing first mortgage loans fully secured by residential  property which
carry a 50% risk-weighting.  Most investment securities  (including,  primarily,
general  obligation  claims  of states or other  political  subdivisions  of the
United  States) are assigned to the 20% category,  except for municipal or state
revenue bonds, which have a 50% risk-weight,  and direct obligations of the U.S.
treasury  or  obligations  backed  by the  full  faith  and  credit  of the U.S.
Government,  which have a 0% risk-weight. In converting off-balance sheet items,
direct credit  substitutes  including general  guarantees and standby letters of
credit backing  nonfinancial  obligations,  and undrawn  commitments  (including
commercial  credit lines with an initial  maturity of more than one year) have a
50%  risk-weighting.  Short  term  commercial  letters  of  credit  have  a  20%
risk-weighting and certain  short-term  unconditionally  cancelable  commitments
have a 0% risk-weighting.

      In addition to the risk-based  capital  guidelines,  the FRB has adopted a
minimum Tier I capital (leverage) ratio, under which a bank holding company must
maintain a minimum level of Tier I capital to average total consolidated  assets
of at least  3% in the  case of a bank  holding  company  that  has the  highest
regulatory  examination  rating and is not contemplating  significant  growth or
expansion.  All other bank holding companies are expected to maintain a leverage
ratio of at least 100 to 200 basis points above the stated minimum.

FINANCIAL SERVICES  MODERNIZATION  LEGISLATION.  On November 12, 1999, President
Clinton signed into law the Gramm-Leach-Bliley  Financial Services Modernization
Act of  1999  ("FSMA").  The  passage  of  the  FSMA  removes  the  barriers  to
affiliations among financial service companies by repealing restrictions imposed
under the  Glass-Steagall Act of 1933 on banks affiliating with securities firms
and by  creating a new  financial  holding  company  ("FHC")  under the BHCA.  A
company  may  form  an  FHC  if  all  of  its  insured  depository   institution
subsidiaries  are  considered  well-capitalized  and  well-managed,  and  hold a
satisfactory  rating under the  Community  Reinvestment  Act of 1977, as amended
("CRA"). An FHC can engage in a prescribed list of financial services, including
insurance and securities  underwriting and agency activities,  merchant banking,
insurance company portfolio investment activities and "complementary"  financial
activities.

      To insure  consistency  in the  treatment  of banks  and  other  financial
institutions,  FSMA  reorganizes  regulatory  authority of federal agencies over
securities and investment activities.

      In the area of insurance,  FSMA  designates  the  insurance  products that
banks and subsidiaries may provide,  prohibits  national banks from underwriting
or selling title  insurance if they did not actively  conduct  those  activities
before FSMA and permits  national banks to sell title  insurance in states where
state banks are specifically  authorized to do so. FSMA requires Federal banking
agencies to prescribe  consumer  protection  regulations  for insurance sales by
banks. FSMA preempts state laws that interfere with  affiliations  between banks
and insurance  companies.  It also initiates a process for creating a uniformity
in licensing of insurance agents on a national level.



      FSMA also reinforces the barrier  separating banking from general commerce
by preventing organizations from applying to the Office of Thrift Supervision to
form a unitary  holding  company after May 4, 1999.  All existing  unitaries can
continue to operate,  regardless of current  ownership  but these  unitaries can
only be sold to financial companies.

      In addition to enabling  banks and their  holding  companies  to conduct a
wide range of financial activities,  the FSMA also contained a number of privacy
requirements  with which banks and other  financial  institutions  must  comply.
Under the FSMA, all financial  institutions must adopt a privacy policy and make
its policy known to those who became new customers and provide annual disclosure
of its policy to all of its customers.  The Bank had to provide  initial privacy
notices  to all  existing  customers  by July 1,  2001.  Prior to  disclosing  a
consumers'  nonpublic  personal  information  (not covered by an exception) with
nonaffiliated  third parties,  financial  institutions must provide a reasonable
means and opportunity to opt out of having  information  shared.  The exceptions
include  disclosures of nonpublic personal  information:  (i) made in connection
with certain processing and servicing transactions; (ii) with the consent, or at
the direction,  of a customer or consumer;  (iii) to protect  against  potential
fraud or unauthorized transactions; (iv) to respond to judicial process; and (v)
to provide the information to an employee of the institution who happens also to
be an employee of a nonaffiliated third party.

      The FSMA also required the issuance of regulations  establishing standards
governing  the  administrative,  technical  and physical  safeguards of customer
information.  By  July  1,  2001,  all  financial  institutions  had to  have an
information  security program.  Institutions are required to identify and assess
the risks  that may  threaten  customer  information,  develop  a  written  plan
containing policies and procedures to manage and control these risks,  implement
and test the plan,  and adjust  the plan on a  continuing  basis to account  for
changes in  technology,  sensitivity  of customer  information,  and internal or
external threats to information security.

      Additional  proposals to change the  regulations  and laws  governing  the
banking and financial  services industry are frequently  introduced in the state
legislatures,  before various banking regulatory agencies,  and in Congress. The
likelihood  and timing of any such changes and the impact of such changes  might
have on the Corporation cannot be determined at this time.

Regulation of the Bank

      As a New  Jersey-chartered  commercial  bank,  the Bank is  subject to the
regulation,  supervision,  and  control  of the  Department.  As a  FDIC-insured
institution,  the Bank is subject to regulation,  supervision and control by the
FDIC, an agency of the federal  government.  The regulations of the FDIC and the
Department  impact  virtually all activities of the Bank,  including the minimum
level  of  capital  the  Bank  must  maintain,  the  ability  of the Bank to pay
dividends,   the  ability  of  the  Bank  to  expand  through  new  branches  or
acquisitions, and various other matters.

      INSURANCE OF DEPOSITS.  The Bank's deposits are insured up to a maximum of
$100,000  per  depositor  under the BIF. The FDIC has  established  a risk-based
assessment system for all insured  depository  institutions.  Under this system,
the FDIC has established an insurance premium  assessment system based upon: (i)
the  probability  that the insurance  fund will incur a loss with respect to the
institution;  (ii) the likely amount of the loss; and (iii) the revenue needs of
the insurance fund. In compliance with this mandate, FDIC has developed a matrix
that sets the assessment premium for a particular institution in accordance with
its capital level and overall rating by the primary regulatory. Under the matrix
as currently in effect,  the assessment rate ranges from 0 to 27 basis points of
assessed deposits.

      DIVIDEND RIGHTS.  Under the New Jersey Banking Act, a Bank may declare and
pay dividends  only if, after payment of the dividend,  the capital stock of the
Bank will be unimpaired and either the Bank will have a surplus of not less than
50% of its  capital  stock or the  payment of the  dividend  will not reduce the
Bank's surplus.

      BIF PREMIUMS AND THE RECAPITALIZATION OF SAIF. The Bank is a member of the
Bank  Insurance  Fund  ("BIF")  of the  FDIC.  The FDIC also  maintains  another
insurance fund, the Savings Association Insurance Fund ("SAIF"), which primarily
covers savings and loan  association  deposits but also covers deposits that are
acquired  by a  BIF-insured  institution  from a  savings  and loan  association
("OAKAR").  On September 30, 1996, the Deposit  Insurance Funds Act of 1996 (the
"Deposit  Act")  became  law.  The  primary  purpose of the  Deposit  Act was to
recapitalize  the SAIF by  charging  all SAIF  member  institutions  a  one-time
special  assessment.  The Deposit Act was designed to lead to an equalization of
the deposit insurance assessments between BIF and SAIF insured institutions, and
to separate out from insurance  assessments  payments  required for debt service
and  principal  repayment  on bonds  issued by the Federal  Finance  Corporation
("FICO") in the  mid-1980s  to fund a portion of the thrift  bailout.  Under the
Deposit Act, the FDIC charged  assessments for SAIF and BIF deposits in a 5 to 1
ratio to pay FICO bonds  until  January 1,  2000,  at which time the  assessment
became  equal.  During 2002 a FICO rate of  approximately  1.75 basis points was
charged on BIF and SAIF deposits.



      INTERSTATE  BANKING.  On September 29, 1994,  the  Riegle-Neal  Interstate
Banking and Branching  Efficiency Act (the  "Interstate  Act") was enacted.  The
Interstate  Act  generally  enhances  the ability of bank  holding  companies to
conduct their banking business across state borders.  The Interstate Act has two
main  provisions.  The first  provision  generally  provides that  commencing on
September  29, 1995,  bank holding  companies  may acquire  banks located in any
state regardless of the provisions of state law. These  acquisitions are subject
to certain restrictions, including caps on the total percentage of deposits that
a bank holding company may control both nationally and in any single state.  New
Jersey law currently allows  interstate  acquisitions by bank holding  companies
whose home state has "reciprocal"  legislation which would allow acquisitions by
New Jersey based holding companies. The second major provision of the Interstate
Act permitted,  beginning on June 1, 1997,  banks located in different states to
merge and  continue to operate as a single  institution  in more than one state.
States could have, by legislation  passed before June 1, 1997,  opted out of the
interstate  bank merger  provisions of the Interstate  Act. In addition,  states
could have elected to opt in and allow  interstate bank mergers prior to June 1,
1997. A final provision of the Interstate Act permits banks located in one state
to establish  new branches in another  state  without  obtaining a separate bank
charter in that state,  but only if the state in which the branch is located has
adopted legislation specifically allowing interstate de novo branching. In April
1996,  the  New  Jersey   legislature  passed  legislation  which  would  permit
interstate  bank mergers prior to June 1, 1997,  provided that the home state of
the institution  acquiring the New Jersey institution permits interstate mergers
prior to June 1, 1997.  In addition,  the  legislation  permits an  out-of-state
institution to acquire an existing branch of a New Jersey-based institution, and
thereby  conduct  business in New Jersey.  The  legislation is likely to enhance
competition  in the New Jersey  marketplace  as bank holding  companies  located
outside of New Jersey become increasingly able to acquire  institutions  located
within the State of New Jersey.

      CHECK  CLEARING  FOR THE 21ST  CENTURY  ACT.  ("Check  21 Act")  Effective
October 28, 2004, the Federal Reserve adopted final  amendments to Regulation CC
and its  commentary  to implement the Check 21 Act. The Check 21 Act was enacted
on October 28, 2003, and became effective on October 28, 2005.

      To facilitate check truncation and electronic check exchange, the Check 21
Act  authorizes a new  negotiable  instrument  called a  "substitute  check" and
provides that a properly  prepared  substitute  check is the legal equivalent of
the original check for all purposes.  A substitute check is a paper reproduction
of the original  check that can be processed  just like the original check . The
Check 21 Act does not require any bank to create  substitute checks or to accept
checks  electronically.  The  Federal  Reserve's  amendments:  (i) set forth the
requirements  of the Check 21 Act that apply to all banks,  including those that
choose not to create  substitute  checks;  (ii) provide a model  disclosure  and
model  notices  relating  to  substitute   checks;  and  (iii)  set  forth  bank
endorsement  and   identification   requirements  for  substitute   checks.  The
amendments to  Regulation  CC also clarify some existing  provisions of the rule
and commentary.

      USA  PATRIOT  ACT OF 2001.  ("Patriot  Act") - On October  26,  2001,  the
Patriot Act was signed into law. Enacted in response to the terrorist attacks in
New York,  Pennsylvania,  and Washington D.C. on September 11, 2001, the Patriot
Act is  intended  to  strengthen  the ability of U.S.  law  enforcement  and the
intelligence  community to work  cohesively to combat  terrorism on a variety of
fronts. The potential impact of the Patriot Act on financial institutions of all
kinds is  significant  and  wide-ranging.  The  Patriot  Act  contains  sweeping
anti-money  laundering  and  financial  transparency  laws and requires  various
regulations,  including,  but not limited to: (a) due diligence requirements for
financial  institutions  that  administer,  maintain,  or  manage  private  bank
accounts or  correspondent  accounts for non-U.S.  persons;  (b)  standards  for
verifying  customer  identification  at  account  opening;  (c) rules to promote
cooperation  among  financial  institutions,   regulators  and  law  enforcement
entities in  identifying  parties  that may be involved  in  terrorism  or money
laundering;  (d)  reports of  nonfinancial  trades and  business  filed with the
Treasury  Department's  Financial  Crimes  Enforcement  Network for transactions
exceeding  $10,000;  and (e) filing of suspicious  activities reports by brokers
and  dealers  if  they  believe  a  customer  may be  violating  U.S.  laws  and
regulations.



Item 1A. Risk Factors

Investments in the common stock of  Stewardship  Financial  Corporation  involve
risk.  The following  discussion  highlights the risks  management  believes are
material for our Corporation, but does not necessarily include all risks that we
may face.

Our  operations  are subject to interest rate risk and changes in interest rates
may negatively affect financial performance.

Our earnings and cash flows are largely  dependent upon our net interest income.
Net  interest  income  is the  difference  between  interest  income  earned  on
interest-earning  assets such as loans and securities and interest  expense paid
on interest-bearing  liabilities such as deposits and borrowed money. Changes in
the general level of interest  rates may have an adverse affect on our business,
financial  condition  and  results  of  operations.  Interest  rates are  highly
sensitive  to many  factors  that are  beyond  our  control,  including  general
economic  conditions and the policies of  governmental  and regulatory  agencies
such as the Federal Reserve Bank.  Changes in monetary policy and interest rates
can also  adversely  affect our ability to originate  loans and  deposits,  fair
value of  financial  assets and  liabilities,  and the  average  duration of our
assets and liabilities.

Our allowance for loan losses may be insufficient.

There are inherent risks associated with our lending activities. There are risks
inherent  in making  any loan,  including  dealing  with  individual  borrowers,
nonpayment,  uncertainties  as to the future value of collateral  and changes in
economic and industry conditions.  We attempt to mitigate and manage credit risk
through prudent loan  underwriting and approval  procedures,  monitoring of loan
concentrations  and periodic  independent review of outstanding loans. We cannot
be assured  that these  procedures  will  reduce  credit  risk  inherent  in the
business.

We make various  assumptions and judgments about the  collectibility of our loan
portfolio,  including the creditworthiness of our borrowers and the value of the
real estate and assets serving as collateral for loan repayments. In determining
the size of our  allowance  for loan  loss,  we rely on our  experience  and our
evaluation of economic conditions. If our assumptions prove to be incorrect, our
current  allowance  may not be  sufficient  to  cover  future  loan  losses  and
adjustments  may be  necessary to allow for  different  economic  conditions  or
adverse  developments in our portfolio.  Significant  additions to our allowance
for loan losses would materially decrease our net income.

Our profitability depends  significantly on economic conditions.  Our geographic
concentration  in  northern  New Jersey  could be  impacted  by changes in local
economic conditions.

Our success depends on the general economic  conditions of the nation, the state
of New Jersey,  and the Northern New Jersey area.  Unlike  larger banks that are
more  geographically  diversified,  we provide  financial  services to customers
primarily in the market areas in which we operate. The local economic conditions
of these  areas have a  significant  impact on our  commercial,  real estate and
construction  loans,  the ability of our  borrowers to repay these loans and the
value of the collateral securing these loans.

Competition  within the financial  services  industry could adversely affect our
profitability.

We face strong competition from banks and other financial institutions and money
market mutual funds and brokerage firms within the New York metropolitan area. A
number of these  entities  have  substantially  greater  resources  and  lending
limits,  larger branch systems and a wider array of banking services.  If we are
unsuccessful in competing effectively,  we will lose market share and may suffer
a reduction  in our margins and suffer  adverse  consequences  to the results of
operations and financial condition.

Federal and State  Regulations  could  restrict our business and  non-compliance
would result in penalties, litigation and damage to our reputation

We operate  in a highly  regulated  environment  and are  subject  to  extensive
regulation,  supervision,  and  examination  by the  Federal  Deposit  Insurance
Corporation ("FDIC"),  the Board of Governors of the Federal Reserve System (the
"Federal Reserve") and the State of New Jersey.  Such regulation and supervision
of the activities in which an institution  may engage is primarily  intended for
the protection of the depositors and the federal deposit insurance funds.  These
regulations  affect  our  lending  practices,   capital  structure,   investment
practices,  dividend  policy  and  overall  operations.   Changes  to  statutes,
regulations,   regulatory   policies,   and   interpretations  of  policies  and
regulations could subject the Corporation to additional  costs,  limit the types
of financial  services and products we may offer and/or  increase the ability of
non-banks to offer



competing financial services and products, among other things. Failure to comply
with law,  regulations  or policies  could  result in  sanctions  by  regulatory
agencies,  civil money penalties and/or  reputation  damage,  which could have a
material  adverse  effect on our  business,  financial  condition and results of
operations.  While we have polices and  procedures  designed to prevent any such
violations, there can be no assurances that such violations will not occur.

A breach of  information  security  or  compliance  breach by one of our vendors
could negatively affect our reputation and business.

We rely upon a variety of computing platforms and networks over the internet for
the purpose of data processing,  communication and information exchange. Despite
the  safeguards  instituted by  management,  such systems are  susceptible  to a
breach  of  security.  In  addition,  we rely on the  service  of a  variety  of
third-party vendors to meet our processing needs. If confidential information is
compromised,  financial losses, costs and damages could occur. Such costs and or
losses could materially affect our earnings.  In addition the negative affect on
our  reputation  could  affect  our  ability to deliver  products  and  services
successfully to new and existing customers.

The trading volume of our stock remains low which could impact stock prices.

The trading history of our common stock has been characterized by relatively low
trading  volume.  The value of a  shareholder's  investment  may be  subject  to
decreases  due to the  volatility  of the price of our common stock which trades
over the counter on the NASDAQ Bulletin Board.

The market price of our common stock may be volatile and subject to fluctuations
in  response  to numerous  factors,  including,  but not limited to, the factors
discussed in the other risk factors and the  following:

      o     actual or anticipated fluctuation in operating results;

      o     changes in interest rates;

      o     changes in legal or regulatory environment;

      o     press releases, publicity, or announcements;

      o     changes in expectation of our future financial performance;

      o     future sales of our common stock;

      o     changes in economic conditions; and

      o     other developments affecting our corporation or our competitors

These  factors  may  adversely  affect the  trading  price of our common  stock,
regardless of our actual operating performance,  and could prevent a shareholder
from selling common stock at or above the current market price.

We may not be able to pay  dividends  in the  future  in  accordance  with  past
practice.

The Corporation has traditionally paid a quarterly dividend to stockholders. The
payment  of  dividends  is  subject to legal and  regulatory  restrictions.  Any
payment  of  dividends  in  the  future  will  depend,  in  large  part,  on the
Corporation's  earnings,  capital  requirements,  financial  condition and other
factors considered relevant by the Corporation's Board of Directors.



Item 2.  Properties

      The Corporation  conducts its business  through its main office located at
630 Godwin  Avenue,  Midland Park, New Jersey and its nine branch  offices.  The
property  located in  Wyckoff,  New Jersey has been  leased for a future  branch
location,   pending  regulatory  and  local  zoning  approval.  The  Corporation
purchased  property  located  at  612  Godwin  Avenue  to  be  used  for  future
administrative offices, pending the obtainment of all appropriate approvals. The
following  table sets forth  certain  information  regarding  the  Corporation's
properties as of December 31, 2005.

                                     Leased                  Date of Lease
Location                            or Owned                  Expiration
- --------                            --------                  ----------

612 Godwin Avenue                     Owned                       ---
Midland Park, NJ

630 Godwin Avenue                     Owned                       ---
Midland Park, NJ

386 Lafayette Avenue                  Owned                       ---
Hawthorne, NJ

1111 Goffle Road                      Leased                    05/31/06
Hawthorne, NJ

2 Changebridge Road                   Leased                    03/31/15
Montville, NJ

249 Newark Pompton Turnpike           Owned                        ---
Pequannock, NJ

190 Franklin Avenue                   Leased                    09/30/07
Ridgewood, NJ

30 Franklin Turnpike                  Leased                    02/28/07
Waldwick, NJ

64 Franklin Turnpike                  Owned                        ---
Waldwick, NJ

87 Berdan Avenue                      Leased                    06/30/09
Wayne, NJ

311 Valley Road                       Leased                    11/30/08
Wayne, NJ

400 Hamburg Turnpike                  Leased                    04/30/14
Wayne, New Jersey

378 Madison Avenue                    Leased                    04/25/25
Wyckoff, New Jersey

Item 3  -  Legal Proceedings

      The  Corporation  and the Bank are  periodically  parties to or  otherwise
involved in legal proceedings arising in the normal course of business,  such as
claims to enforce  liens,  claims  involving  the making and  servicing  of real
property  loans,  and other issues incident to the Bank's  business.  Management
does not believe that there is any pending or threatened  proceeding against the
Corporation or the Bank which,  if determined  adversely,  would have a material
effect on the business or financial position of the Corporation or the Bank.


Item 4 - Submission of Matters to a Vote of Security Holders

      No matters  were  submitted  for a vote of the  Registrant's  shareholders
during the fourth quarter of fiscal 2005.

                                     Part II

Item 5 - Market  for the  Registrant's  Common  Equity and  Related  Stockholder
Matters

      The  Company's  Common Stock  trades on the OTC  Bulletin  Board under the
symbol "SSFN". As of December 31, 2005, there were 955 shareholders of record of
the Common Stock.

      The following  table sets forth the  quarterly  high and low bid prices of
the Common Stock as reported on the OTC Bulletin Board for the quarterly periods
presented.  The prices below reflect inter-dealer prices, without retail markup,
markdown or commissions,  and may not represent actual  transactions.  The stock
prices and cash dividends set forth below also reflect adjustments related to 5%
stock  dividends paid in November,  2004 and 2003,  respectively,  and a 3 for 2
stock split that occurred in July 2003.

                                              Bid
                                     ----------------------
                                                                        Cash
                                      High             Low            Dividend
                                      ----             ---            --------

Year Ended December 31, 2005
Fourth quarter                       $15.50           $13.75            $0.07
Third quarter                         17.14            15.00             0.07
Second quarter                        17.07            13.50             0.06
First quarter                         15.00            12.57             0.06

Year Ended December 31, 2004
Fourth quarter                       $16.49           $14.53            $0.06
Third quarter                         16.36            15.78             0.06
Second quarter                        16.53            15.14             0.05
First quarter                         17.01            14.65             0.05

      The  Corporation  may pay  dividends as declared  from time to time by the
Corporation's  Board of  Directors  out of funds  legally  available  therefore,
subject  to  certain  restrictions.  Since  dividends  from the Bank will be the
Corporation's  main source of income,  any  restriction on the Bank's ability to
pay dividends  will act as a  restriction  on the  Corporation's  ability to pay
dividends.  Under  the New  Jersey  Banking  Act,  the  Bank  may not pay a cash
dividend  unless,  following the payment of such dividend,  the capital stock of
the Bank will be unimpaired and (i) the Bank will have a surplus of no less than
50% of its capital  stock or (ii) the payment of such  dividend  will not reduce
the surplus of the Bank. In addition,  the Bank cannot pay dividends if doing so
would reduce its capital below the regulatory imposed minimums.

      During fiscal 2005, the Corporation paid quarterly cash dividends totaling
$0.26 per share for an annual  dividend  payout  ratio of 27.8%.  During  fiscal
2004, the Corporation paid quarterly cash dividends totaling $0.22 per share for
an annual dividend payout ratio of 26.5%.



Issuer Purchases of Equity Securities

The stock repurchase activity for the fourth quarter of 2005 is as follows:

                           Total                       Total Number of       Approximate Dollar Value
                         Number of      Average      Shares Purchased as    of Shares that May Yet Be
                          Shares       Price Paid     Part of Publicly         Purchased Under the
                         Purchased     per Share       Announced Plans          Plans or Programs
Period                      (1)           (2)            or Programs                  ($000)
- -----------------------------------------------------------------------------------------------------
                                                                      
12/1/05 -
12/31/05                  39,960        $14.04               ---                        ---
- -----------------------------------------------------------------------------------------------------


(1) Such shares were purchased in three separate transactions as follows: 16,000
shares under a private repurchase, 20,500 shares under a private repurchase, and
3,460  in an open  market  purchase.  All of such  shares  were  converted  into
treasury shares.

(2) Average price does not include transaction costs.

Item 6 - Selected Financial Data

      The  information  required by this item is  incorporated by reference from
page A-1 of the  Registrant's  Annual Report to  Shareholders  under the caption
"Consolidated Financial Summary of Selected Financial Data."

Item 7 - Management's Discussion and Analysis of Financial Condition and Results
of Operations

      The  information  required by this item is  incorporated by reference from
page A-2 of the  Registrant's  Annual Report to  Shareholders  under the caption
"Management's  Discussion  and  Analysis of Financial  Condition  and Results of
Operations."


Item 7A - Quantitative and Qualitative Disclosures About Market Risk

      The  information  required by this item is  incorporated by reference from
page A-15 of the  Registrant's  Annual Report to Shareholders  under the caption
"Management's  Discussion  and  Analysis of Financial  Condition  and Results of
Operations - Market Risk."

Item 8 - Financial Statements and Supplementary Data

      The  information  required by this item is  incorporated by reference from
page A-20 of the  Registrant's  Annual Report to Shareholders  under the caption
"Consolidated Statements of Financial Condition"

Item 9 -  Changes  in and  Disagreements  with  Accountants  on  Accounting  and
            Financial Disclosure

      None.

Item 9A - Controls and Procedures

      (a) Evaluation of disclosure controls and procedures.

      Based on their  evaluation  as of the end of the  period  covered  by this
Annual  Report on Form 10-K,  our  principal  executive  officer  and  principal
financial officer have concluded that our disclosure controls and procedures (as
defined in Rules  13a-14(c) and 15d-14(c)  under the Securities  Exchange Act of
1934 (the "Exchange Act")) are effective to ensure that information  required to
be  disclosed  by us in reports that we file or submit under the Exchange Act is
recorded,  processed,  summarized and reported within the time periods specified
in the Securities and Exchange Commission's rules and forms.

      (b) Changes in internal controls.

      There were no  significant  changes in our  internal  controls or in other
factors that could significantly affect these controls subsequent to the date of
their  evaluation,  including any corrective  actions with regard to significant
deficiencies and material weaknesses.

                                    Part III

Item 10 - Directors and Executive Officers of the Registrant

      Information  concerning  directors and executive officers will be included
in the definitive Proxy Statement for the  Corporation's  2006 Annual Meeting of
Shareholders   under  the  caption  "Proposal  I-  Election  of  Directors"  and
information concerning compliance with Section 16(a) of the Exchange Act will be
included under the caption  "Compliance with Section 16(a) Beneficial  Ownership
Reporting,"  each of which is incorporated  herein by reference.  It is expected
that  such  Proxy  Statement  will be filed  with the  Securities  and  Exchange
Commission no later than April 30, 2006.

Code of Ethics

      The Corporation has adopted a Code of Ethical Conduct for Senior Financial
Managers that applies to its principal  executive officer,  principal  financial
officer,   principal  accounting  officer,   controller  and  any  other  person
performing  similar  functions.  The  Corporation's  Code of Ethical Conduct for
Senior  Financial  Managers  is  posted  on  its  website,  www.asbnow.com.  The
Corporation intends to satisfy the disclosure  requirement under Item 10 of Form
8-K  regarding  an  amendment  to, or waiver  from,  a provision  of its Code of
Ethical  Conduct for Senior  Financial  Managers by filing an 8-K and by posting
such information on its website.



Audit Committee and Audit Committee Financial Expert

      The members of our audit  committee  as of  December  31, 2005 were Harold
Dyer  (Chairman),  John L. Steen,  Michael Westra and Howard  Yeaton.  The Audit
Committee determined that Michael Westra and Howard Yeaton were "audit committee
financial  experts" as defined by the  Securities and Exchange  Commission.  All
members  of  our  audit  committee  are   "independent"  for  purposes  of  Rule
42000(a)(15) of NASD's listing standards.

Item 11 - Executive Compensation

      Information  concerning  executive  compensation  will be  included in the
definitive  Proxy  Statement  for  the  Corporation's  2006  Annual  Meeting  of
Shareholders   under  the  captions   "Executive   Compensation  and  All  Other
Compensation,"  which is incorporated  herein by reference.  It is expected that
such Proxy  Statement will be filed with the Securities and Exchange  Commission
no later than April 30, 2006.

Item 12 - Security Ownership of Certain Beneficial Owners and Management

      The  following  table  provides  information  with  respect  to the equity
securities that are authorized for issuance under our  compensation  plans as of
December 31, 2005:

                      Equity Compensation Plan Information



                                                                                                       Number of
                                                                                                      securities
                                                                                                       remaining
                                                                                                     available for
                                             Number of securities                                   future issuance
                                              to be issued upon                                      under equity
                                                 exercise of          Weighted-average exercise    compensation plans
                                             outstanding options,   price of outstanding options,      (excluding
                                             warrants and rights       warrants and rights (b)     securities reflected
                                             -------------------       -----------------------      in column (a)) (c)
                                                     (a)                                            ------------------
                                                     ---
                                                                                               
Equity compensation plans approved
by security holders                                115,769                      6.76                      322,342

Equity compensation plans not
approved by security holders                             0                      0.00                      556,789

Total                                              115,769                      6.76                      879,131


      The equity  compensation  plans not  approved by security  holders are the
Stock Bonus Plan and the Directors  Stock Plan. The Stock Bonus Plan is intended
to  provide  incentives  which  will  retain  highly  competent  key  management
employees  of the  Corporation  by  providing  them  with a bonus in the form of
shares of the common stock of the  Corporation.  The Corporation has not granted
shares under this plan since 1998.  The Director  Stock Plan permits  members of
the Board of Directors to receive any monthly Board of Directors' fees in shares
of the Corporation's  common stock,  rather than in cash. The Corporation issued
2,189 shares during 2005.

      Information concerning security ownership of certain beneficial owners and
management  will  be  included  in  the  definitive   Proxy  Statement  for  the
Corporation's  2006 Annual  Meeting of  Shareholders  under the  caption  "Stock
Ownership of  Management  and  Principal  Shareholders,"  which is  incorporated
herein by reference. It is expected that such Proxy Statement will be filed with
the Securities and Exchange Commission no later than April 30, 2006.

Item 13 - Certain Relationships and Related Transactions

      Information concerning certain relationships and related transactions will
be included in the definitive Proxy Statement for the Corporation's  2006 Annual
Meeting of Shareholders  under the caption  "Certain  Relationships  and Related
Transactions,"  which is incorporated  herein by reference.  It is expected that
such Proxy  Statement will be filed with the Securities and Exchange  Commission
no later than April 30, 2006.



Item 14  -  Principal Accountant Fees and Services

      Information  concerning  principal  accountant  fees and services  will be
included in the definitive  Proxy  Statement for the  Corporation's  2006 Annual
Meeting of  Shareholders  under the caption  "Fees Billed by KPMG During  Fiscal
2005 and Fiscal 2004," which is incorporated herein by reference. It is expected
that  such  Proxy  Statement  will be filed  with the  Securities  and  Exchange
Commission no later than April 30, 2006.



Part IV

Item 15  -  Exhibits, Financial Statement Schedules

      (a) Exhibits

Exhibit
Number             Description of Exhibits
- ------             -----------------------

3(i)                      Certificate of Incorporation of the Corporation (1)
3(ii)                     Bylaws of the Corporation (1)
10(i)                     1995 Incentive Stock Option Plan (1)
10(ii)                    1995 Stock Option Plan for Non-Employee Directors (1)
10(iii)                   1995 Employee Stock Purchase Plan (2)
10(iv)                    Stock Bonus Plan (2)
10(v)                     Stewardship Financial Corporation Dividend
                          Reinvestment Plan (3)
10(vi)                    Stewardship Financial Corporation Director Stock Plan
                          (4)
10(vii)                   Amended and Restated 1995 Stock Option Plan (5)
10(viii)                  Amended and Restated Director Stock Plan (5)
10(ix)                    Dividend Reinvestment Plan (6)
10(x)                     2001 Stock Option Plan for Non-Employee Directors (7)
13                        Annual Report to Shareholders for the year ended
                          December 31, 2005
21                        Subsidiaries of the Registrant
23                        Consent of KPMG LLP
31.1                      Certification of Chief Executive Officer pursuant to
                          Section 302 of the Sarbanes-Oxley Act of 2002.
31.2                      Certification of Vice President, Accounting pursuant
                          to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1                      Certification of Chief Executive Officer and Vice
                          President, Accounting pursuant to Section 906 of the
                          Sarbanes-Oxley Act of 2002.

- --------------------------------
(1)   Incorporated   by  reference   from  Exhibits   5(B)(3)(i),   5(B)(3)(ii),
      5(B)(3)(iii),  5(B)(10)(a),  5(B)(10)(b),  5(B)(21) from the Corporation's
      Registration  Statement  on Form  8-B,  Registration  No.  0-21855,  filed
      December 10, 1996.

(2)   Incorporated   by  reference   from   Exhibits  4(c)  to  23(d)  from  the
      Corporation's   Registration  Statement  on  Form  S-8,  Registration  No.
      333-20793, filed January 31, 1997.

(3)   Incorporated  by  reference  from  Exhibit  4(a)  from  the  Corporation's
      Registration  Statement on Form S-3,  Registration  No.  333-20699,  filed
      January 30, 1997.

(4)   Incorporated  by  reference  from  Exhibit  4(a)  from  the  Corporation's
      Registration Statement on Form S-8, Registration No. 333-31245, filed July
      11, 1997.

(5)   Incorporated  by reference  from  Exhibits  10(vii) and 10(viii)  from the
      Corporation's Annual Report on Form 10-KSB, filed March 31, 1999.

(6)   Incorporated  by  reference  from  Exhibit  4(a)  from  the  Corporation's
      Registration  Statement on Form S-3,  Registration  No.  333-54738,  filed
      January 31, 2001.

(7)   Incorporated  by  reference  from  Exhibit  4(b)  from  the  Corporation's
      Registration  Statement on Form S-8, Registration No. 333-87842, filed May
      8,  2002.



                                   SIGNATURES

      Pursuant  to the  requirements  of Section  13 or 15(d) of the  Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

                              STEWARDSHIP FINANCIAL CORPORATION


                              By:     /s/  Paul Van Ostenbridge
                                 -----------------------------------------
                                                Paul Van Ostenbridge
                                                Chief Executive Officer
                                                Dated:  March 31, 2006

      Pursuant to the requirements of the Securities  Exchange Act of 1934, this
report  has  been  signed  below  by the  following  persons  on  behalf  of the
registrant and in the capacities and on the dates indicated.



               Name                                         Title                                   Date
               ----                                         -----                                   ----
                                                                                       
         /s/  Paul Van Ostenbridge                Chief Executive Officer                     March 31, 2006
      -----------------------------------         (Principal Executive Officer)
      Paul Van Ostenbridge

         /s/  Julie E. Holland                    Senior Vice President, Accounting           March 31, 2006
      -----------------------------------         (Principal Financial
      Julie E. Holland                            Officer and Principal
                                                  Accounting Officer)


         /s/  Harold Dyer                         Director                                    March 31, 2006
      -----------------------------------
      Harold Dyer

         /s/  William Hanse                       Director                                    March 31, 2006
      -----------------------------------
      William Hanse

         /s/  Margo Lane                          Director                                    March 31, 2006
      -----------------------------------
      Margo Lane

         /s/  Arie Leegwater                      Chairman of the Board                       March 31, 2006
      -----------------------------------
      Arie Leegwater

         /s/  John L. Steen                       Director                                    March 31, 2006
      -----------------------------------
      John L. Steen

         /s/  Robert Turner                       Secretary and Director                      March 31, 2006
      -----------------------------------
      Robert Turner

         /s/  William J. VanderEems               Director                                    March 31, 2006
      -----------------------------------
      William J. VanderEems

         /s/   Abe Van Wingerden                  Vice Chairman of the Board                  March 31, 2006
      ----------------------------------
      Abe Van Wingerden

        /s/  Michael Westra                       Director                                    March 31, 2006
      -----------------------------------
      Michael Westra

         /s/  Howard Yeaton                       Director                                    March 31, 2006
      -----------------------------------
      Howard Yeaton