This study describes a child adaptation of the Sheehan Disability Scale, a measure of impairment among anxious adults. Parallel child and parent report forms were created to assess the degree to which anxiety interferes with child and parent social, educational/occupational, and family functioning. Data from 267 anxious children (140 boys ages 5-19) and their parents collected during a diagnostic assessment were compared to data from 85 children (47 boys ages 9-18) from the community collected by mail. The validity of the Child Sheehan Disability Scale (CSDS) report forms were supported by correlations with interview and self-report measures of related constructs, as well as differences between children with and without anxiety disorders. The sensitivity of the CSDS to treatment effects was demonstrated in a subset of the clinical sample. Logistical regression suggested that the CSDS contributes unique variance beyond symptom severity for identifying children who present for treatment. (Contains 5 tables.)