The use of psychotropic drugs has been widely studied; however, few studies have focused on factors associated with psychotropic drug use among the elderly. The aim of this study was to analyze the relationship between sociodemographic variables, socioeconomic status, social network, health, and physician visits and the use of psychotropic drugs among the elderly living at home. The study area was a municipality in mideastern Sweden with a population of about 21,000 inhabitants. Data from interviews with and health assessments of noninstitutionalized people age 75 and older (N = 421) were linked to an individual-based research register of prescription drug purchases. There were no differences in psychotropic drug use between men and women or between different age groups. The multivariate analyses (LISREL) showed that mental health and physician visits were associated with psychotropic drug use. An indirect relationship was also found between psychotropic drugs and loneliness and chronic morbidity, respectively.