Introduction: Neonatal Jaundice (NNJ) is an important contributor to the high neonatal morbidity and mortality in Nepal. Objectives: To assess the knowledge among mothers about NNJ. Method: A descriptive cross-sectional study was carried out among 177 mothers in Sunakothi, Lalitpur, a village in Kathmandu valley, with an interview schedule and convenient sampling technique. Results: Of the 177 mothers, 57.1% were in the 26-30 year age group, 98.7% had at least four antenatal visits, 81.6% were Hindus, 50.6% were educated up to class eleven and 42.9% were housewives. Around 50% of mothers had a low level of knowledge (score <50%), 28.6% had moderate level of knowledge (score 50-75%) and 22% had adequate level of knowledge (score >75%) regarding NNJ. Whilst 84% of mothers believed that the danger sign of NNJ was inability to feed the baby, 11% of mothers believed that mental retardation and death were complications of NNJ. A few mothers (12%) were aware about the cause of NNJ. Around 74% mothers believed that exposing the baby to sunlight is the home management of NNJ but only 2% had heard about phototherapy. Whilst knowledge about NNJ had a statistically significant relationship with maternal education, there was no statistically significant relationship with age, occupation or parity.