This study explored the impact of pain and functional impairment on the quality of life experienced by persons with arthritis. Using a cognitive framework, a causal model was developed in which the disease-related variables interacting with demographic and social factors were hypothesized to indirectly affect quality of life through psychological mediators. Ninety-four adults—74 women and 20 men—with various forms of arthritis were interviewed in their homes. Overall, the model explained 46% of the variance in quality of life. Path analysis showed that the psychological mediators—positive self-esteem, internal control over health, perceived support, and low negative attitude toward the illness—contributed directly to a higher quality of life. Severity of arthritis-related impairment indirectly affected quality of life through the mediating variables.