"We began working on this project at the end of last year."
Jock was Rangers' manager twice and led the club to win two League, Scottish Cup and League Cup Trebles in the space of three seasons.
Jock had been a goalkeeper with Airdrie, West Bromwich Albion, Berwick Rangers, Hereford and Bedford. While player-manager at Berwick Wallace was in goal the day they inflicted the famous 1-0 defeat on Rangers in the first round of the Scottish Cup in 1967.
The £260 plaque is being created by Alexander Pollock Ltd in Haddington and is expected to be ready this week.
The finished article, shaped to represent a football, will pay tribute to Wallace by describing him as "one of Rangers greatest managers" who "stood supreme as a leader and motivator of men."
The unveiling, on a date yet to be confirmed, will take place at the local community centre later this year, Jock's sisters Ruby and Eleanor still live in Wallyford and they will be joined by Rangers' representatives at the ceremony.