8-K

                      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):  JUNE 20, 2003



                              PSB HOLDINGS, INC.

            (Exact name of registrant as specified in its charter)



              WISCONSIN             0-26480                 39-1804877
           (State or other     (Commission File            (IRS Employer
           jurisdiction of          Number)               Identification
           incorporation)                                     Number)


                            1905 W. STEWART AVENUE
                               WAUSAU, WI 54401

         (Address of principal executive offices, including Zip Code)

                                (715) 842-2191
              Registrant's telephone number, including area code


                   INFORMATION TO BE INCLUDED IN THE REPORT



ITEM 7.     FINANCIAL STATEMENTS AND EXHIBITS.

      (C)   EXHIBITS.

            99.1  Press release dated June 20, 2003

ITEM 9.     REGULATION FD DISCLOSURE

      On June 20, 2003, PSB Holdings, Inc. issued a press release announcing a
change in its dividend policy.  A copy of the press release is attached hereto
as Exhibit 99.1 and incorporated in this Item 9 by reference.



                                  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.


                                    PSB HOLDINGS, INC.



Date:  June 20, 2003          By:   SCOTT M. CATTANACH
                                    Scott M. Cattanach
                                    Treasurer









                                 EXHIBIT INDEX
                                      TO
                                   FORM 8-K
                                      OF
                              PSB HOLDINGS, INC.
                              DATED JUNE 20, 2003
                 Pursuant to Section 102(d) of Regulation S-T
                        (17 C.F.R. {section}232.102(d))




99.1  PRESS RELEASE DATED JUNE 20, 2003

EX-99.1

                                                  Exhibit 99.1

                   PSB Holdings, Inc. Declares Cash Dividend


Wausau, Wisconsin - PSB Holdings, Inc. (PSB), parent company of Peoples State
Bank (Peoples), announced that its board of directors on June 17, 2003 declared
a cash dividend of $.30 per share, payable July 29, 2003 to shareholders of
record as of July 8, 2003.

PSB has historically paid cash dividends twice yearly during January and July.
Although total annual cash dividends have increased each year since formation
of the Company in 1995, the increase had typically been reflected in the
January (4th quarter) dividend while the July (2nd quarter) dividend had
largely remained the same year to year.  Effective with the current dividend
declaration, PSB now intends to equalize the amounts of the semi-annual cash
dividends.  Accordingly, under PSB's new dividend policy, PSB intends that the
dividend to be paid in January, 2004 will be reduced from the January, 2003
dividend, but that the total dividends to be paid in July, 2003 and January,
2004 will equal or exceed the $.565 per share total dividends paid in July,
2002 and January, 2003.  PSB also reaffirmed its goal of increasing its
shareholder dividend on an annual basis.  Payment of any future dividends will
depend upon operating results and the financial condition of the company.

Peoples is a community bank founded in 1962 holding over $370 million in total
assets.  The bank has a network of 7 offices throughout Central and Northern
Wisconsin providing financial services to thousands of individuals and business
owners.  PSB Holdings, Inc. is publicly owned and traded under stock symbol
PSBQ.OB.