Introduction: Retrocalcaneal bursitis is an annoying and testing clinical issue that is portrayed by pain anterior to the tendon just superior to its insertion in the os calcis. The treatment for retrocalcaneal bursa has been varied and inconsistent starting from analgesia, modified shoe wear, injection, calcaneal osteotomy, Achilles tendon debridement, excision of the retrocalcaneal bursa and nobody knows what procedures result in optimal clinical outcomes. The aim to assess the functional outcomes of patients with retrocalcaneal bursitis treated with ultrasound-guided methylprednisolone injection. Materials and Method: This is the prospective study done in Sri Ramachandra medical college during the period April 2018 to August 2019. We had twenty-five patients in study six of them were male and nineteen were female. The diagnosis of retrocalcaneal bursitis was made based on clinical examination and radiological findings. Steroid injection was administered under ultrasound guidance and findings were noted at regular follow up. American orthopaedic foot and ankle score (AOFAS) was obtained from the patient before the procedure and the score was recorded in the patient’s medical record. Results: Mean pre-op AOFAS score was 50.4 whereas the mean post-op score was 69.4 at 4 weeks 76.4 at 3 months and 80.3 at the end of 6 months. Conclusion: The functional outcome of patients with retrocalcaneal bursitis treated with ultrasound-guided methylprednisolone injection was shown to have good results in all patients with no complications.