The United Nation has designated 1999 as the year of older person. Human concern about the phenomenon ofaging is age old. Old age is a closing period in the life span. Old age is a part of lifespan, James (1959) defined old age as“regular changes that occur in the mature genetically representative organisms living under representative environmentalconditions as they advance in chronological age. Major concern in old age is health. Health problems such as disease anddisability not only directly erode mental wellbeing but also have indirect effects by priming people to have negativeperceptions of their health. Among the various disorders that affect the elderly mental health, deserves special attention.According to WHO, participation in light and moderate physical activates may delay the functional decline. Deterioratedphysical health exerts negative effects on the overall quality life and mental wellbeing among elderly. The present study wasconducted in Dharwad district of two villages namely Tirlapur and Bhyhatti. The study comprised of 80 sample. Thestatus of health of elderly was assessed by physiological health problem checklist.. (Prepared by researcher), Physiologicalheath problems check list consisted 76 problems. Mental Health Inventory developed by Jagdish and Srivastava (1983)was used to assess mental health status of elderly. The analysis was done by using frequency, percentage, and correlation.The results revealed that there was significant negative relationship between physiological health and mental health. About61 per cent of elderly had very poor mental health, 31 percent of elderly had 11-20 number of health problems. Rural femaleelderly were better in mental health compared to male elderly.