This article addresses the "lab-life gap" in cognitive aging research as an important issue of ecological validity in developmental research. Older adults often function competently in complex everyday situations despite age-related deficits on laboratory-based cognitive tasks. Therefore, to what extent do lab-based cognitive tasks predict real-life outcomes in older adults? Our review shows that although they are similar, measures of everyday cognitive competence predict relevant outcomes beyond basic measures. We provide our perspective on critical questions concerning the relevance of everyday cognitive tests in our ever-changing world, new methods of everyday cognitive assessment, and whether everyday cognition can be improved.