Factors that explain the variance in quality of life among older adults with osteoarthritis were investigated. Individuals with osteoarthritis (n = 168) had more pain, functional limitations, and lower quality of life (physical component) than those without osteoarthritis (n = 246). No significant differences between the groups were found related to depressed mood and mental components of quality of life. Quality of life was associated with pain, functional limitations, and depressed mood in both groups. It is important to identify these problems when caring for older adults, and special attention should be given to individuals with osteoarthritis because of their higher degree of pain and functional limitations.