Although, the effectiveness of contraception in reversing the high fertility rate that undergirds the high maternal mortality ratio in many developing countries of the world has been demonstrated in several studies, ironically, the contraceptive prevalence rate remains low in these countries. This study was conducted to assess modern contraceptives' knowledge and utilization among women in Sokoto State, Nigeria. A comparative cross sectional descriptive study among 401 women (rural 202, urban 199) selected by multistage sampling technique was conducted in the months of January and February 2010. Informed consent was obtained and information was collected using a pretested semi-structured questionnaire, data analysis was done using computer software, SPSS version 20. Although awareness of family planning services was high (rural 88.1%, urban 94.5%), knowledge of modern contraceptives was poor (rural 12.9%, urban 28.6%). Respondents with formal education were four times more likely to have good knowledge of modern contraceptive methods as compared to those with no formal education (aOR = 4.119, p < 0.001, 95% CI = 2.333 -7.274). Current use of modern contraceptives was correspondingly low (rural 5.0%, urban 22.6%). Respondents resident in urban communities were twice likely to use modern contraceptives as compared to those in rural communities (aOR= 2.116, p = 0.029, 95%CI = 1.080 -4.148). This study demonstrated poor knowledge and utilization of modern contraceptives among women in Sokoto State, Nigeria. These findings suggest the need for intensification of health education on family planning across the populations, girl child education and women empowerment to enable them make informed choices in issues regarding family planning, and equitable provision of family planning services in both urban and rural communities of the State.