The present investigation was intended to ascertain the relationship between self-efficacy and life satisfaction among banking sector employees with particular reference to Sitamarhi district of North Bihar, India. The sample of the study consisted of 120 participants. The General Self-efficacy (GSE) scale was developed by Jerusalem and Schwarzer [1] and the Satisfaction with Life Scale (SWLS), created by Ed Diener [2], was used for the data collection. Having collected the data from the Bank employees of Sitamarhi district of North, Bihar, India, individual’s score were obtained for giving statistical treatment. Pearson’s correlation was applied to study the relationship between self-efficacy and life satisfaction while simple linear regression was used to examine the role of self-efficacy on life satisfaction. Results indicated that self-efficacy has its major impact on life satisfaction, whereas; Life satisfaction can reflect experiences that has influenced a person in a positive way. These experiences have the ability to motivate people to pursue and reach their respective goals. It is observed during the present study that people generally avoid tasks where they perceive the self-efficacy is low, but undertake tasks where self-efficacy is high. When self-efficacy is significantly beyond actual ability, it leads towards an overestimation of the ability to complete tasks. Obtained results have been discussed in detail by giving appropriate reasons.