R ice (Oryza sativa L.) is cultivated and utilized as staple food in a large number of countries over the world. Traditionally, rice is planted by transplanting nursery manually in the puddled soil that is quite strenuous and time consuming (Thomas, 2002;Farooq et al., 2007). In recent years, a marked increase in labor Abstract | Seedling age and soil condition after puddling affects stand establishment, growth and productivity of mechanically transplanted rice (MTR). Study was performed to evaluate different puddled soil settling periods (24, 48 and 72 hours) and seedling age (20, 25 and 30 days) for decreasing the missing hills while improving plant and root growth, and consequently grain yield of MTR. Experiment was conducted using randomized complete block design (RCBD) with split-plot arrangement and three replications during 2020 and 2021. Shoot and root length as well as dry mass of rice seedlings sown in trays were significantly increased with increase in seedling age. Increase in puddled soil settling period and seedling age significantly interacted in increasing filled hills and decreasing missing hills after transplanting the nursery. Root length, plant height and root/shoot ratio was significantly higher at 72 hours puddled soil setting period; however, seedling age didn't affect plant growth. The productive tillers, total dry matter (TDM) and grain yield of MTR was improved interactively by 72 hours puddled soil settling period and 25 days old nursery. The 1000-grain weight was increased by increase in puddled soil setting period while didn't affect significantly by seedling age. Benefit cost ratio (BCR) and net returns were substantially improved by 72 hours puddled soil settling period and 25 days seedling age. In conclusion, 72 hours puddled soil settling period and 25 days seedling age improved the yield and economic returns by decreasing missing hills; hence could be employed to enhance yield and economic benefits of MTR.