The production of zinc nanomaterial has increased significantly over the past several years and, as a result, nanoparticles have navigated their way into wastewater streams. The transportation and toxicity of zinc nanomaterial within the wastewater treatment processes is not well known. In this study, the zinc nanomaterial and its fate were characterized in an activated sludge treatment process. The tests performed included batch studies to evaluate abiotic and biotic removal, toxicity studies to evaluate inhibition to coliform and nitrifying bacteria, and bioreactor studies to evaluate impact on operating parameters. Stock solutions of zinc nanomaterial varied in size from 50 to 500 nm, but when added to an activated sludge solution, the nanoparticles agglomerated to larger sizes such that more than 60% of the zinc nanomaterial settled out of solution. However, when ionic zinc was added to activated sludge, more than 60% of the ionic zinc remained in suspension. It is likely that the ionic strength of the wastewater influenced the aggregation of the nanomaterial. Differences in the extent of removal between ionic and nano zinc species indicate that the mechanisms governing their removal are different. Toxicity analysis showed that zinc nanomaterial did not inhibit growth of coliform and ammonia oxidizing bacteria. However, ionic zinc inhibited the growth of both the coliform and ammonia oxidizing bacteria. Bioreactors were set up using activated sludge that was collected from a local treatment plant operating only in carbon oxidation mode. The treatment plant was operated at an SRT of 1.2 days and an MLSS of 650 mg/L. Several key parameters (COD, MLSS, pH) in the bioreactors were monitored through a 7-day incubation period, but showed no significant changes due to the addition of nano or ionic zinc. It is possible that the toxicity of zinc nanomaterial was not observed in these experiments because the nanomaterial agglomerated and settled out of solution.