Objective: Cognitive impairments in serious mental illness are associated with poorer community outcomes; yet the mechanisms through which cognition limits functioning are unknown. This study examined knowledge of grocery shopping skills as a mediator of cognition and performance of grocery shopping skills. Methods: Fifty-one individuals with serious mental illness were administered measures of cognition, as well as measures of knowledge and performance of grocery shopping skills. Results: When knowledge of grocery shopping skills was introduced as a mechanism through which cognition influences performance, almost perfect mediation was achieved (slope of the regression dropped from B=.32 to B=.03). Conclusions: The search for mediators can improve our understanding of how cognition influences community functioning. (Psychiatric Services 57:573-575, 2006)Abstract Teaser