Much research has been conducted examining the memory skills of older adults. Until recently, a substantial portion of this work has utilized traditional laboratory memory tasks in the assessment of memory functioning. Although this work has been useful in the conclusions derived from this research with respect to understanding everyday memory functioning has been questioned. Specifically, the tasks used (e.g., learning lists of unrelated words) appear to have relevance to the type of memory processing that occurs normally in an individual's life. If an understanding is to be achieved of how aging affects an individual's ability to function and adapt to his or her environment, research must focus on processes considered context-relevant. In line with this reasoning, the proposed research is concerned with examining the efficiency of processes that are closely tied to everyday memory functioning. Specifically, adult age differences in the influence of everyday knowledge structures, schemas, on memory performance will be examined. This knowledge structures are assumed to provide a framework for guiding everyday activities, such as grocery shopping and doing the laundry. Schemas are beneficial to retention because it is assumed that they facilities comprehension of common events and provide an organizational structure for remembering things occurring within those events. With respect to aging, it is assumed that schematic processing is especially beneficial because it reduces the effort required to process information. To the extent the performance in memory situations depends on such processing, age differences in retention should be minimal. Conversely, when memory processing requires the use of more effortful context-free processes, such as rehearsal, older adults should be at a disadvantage. Six experiments are proposed to examine memory performance. These studies will vary the demands placed on young and older adults in memory situations in an attempt to discover conditions under which age differences in performance are greatest. It is hypothesized that age differences will be smallest in situations most closely approximating those occurring in everyday situations (e.g., meaningful stimuli, active comprehension of the memory event) and will increase as they become more artificial (e.g., meaningless stimuli, memory is intention). It is hoped that these studies will provide a clearer understanding of the older adult's to function in everyday situations.