A survey and descriptive correlational study was undertaken to find out the current health status and psychosocial problems among HIV positive and HIV negative children of HIV positive mothers in Salem District. 300 samples were selected between the age group of 8–12 years. An observational check list was used to assess health status  and PedQL interview schedule questioner was used to assess psychosocial problems. HIV positive children 107(71.3%) had moderate health problems, 43(28.7%) had intense health problems among HIV negative children 106 (70.7%) had normal health 44 (29.3%) had moderate health problems and HIV positive children had more psychosocial problems than HIV negative children. Conclusion of the study shows HIV positive and HIV negative children had health and psychosocial problems at different level, whereas, HIV positive children had more problems compared to HIV negative children.