Children who are deaf are often delayed in reading comprehension. This delay could be due to problems in morphological processing during word reading. In this study, we investigated whether 6th grade deaf children and adults are delayed in comparison to their hearing peers in reading complex derivational words and compounds compared to monomorphemic words. The results show that deaf children are delayed in reading both derivational words and compounds as compared to hearing children, while both deaf and hearing adults performed equally well on a lexical decision task. However, deaf adults generally showed slower reaction times than hearing adults. For both deaf and hearing children, derivational words were more difficult than compounds, as reflected in hearing children's slower reaction times and in deaf children's lower accuracy scores. This finding likely reflects deaf children's lack of familiarity with the meaning of the bound morphemes attached to the stems in derivational words. Therefore, it might be beneficial to teach deaf children the meaning of bound morphemes and to train them to use morphology in word reading. Moreover, these findings imply that it is important to focus on both monomorphemic and polymorphemic words when assessing word reading ability in deaf children. (Contains 1 figure.)