The study examined the relationship between family achievement guilt, psychological ill-being, and self-compassion in university students. I hypothesized that family achievement guilt would be related to psychological ill-being and that self-compassion would attenuate the relationships between family achievement guilt and psychological ill-being. Supplemental analyses examined differences in family achievement guilt and psychological ill-being in first-generation and non-first-generation students. Using a cross-sectional design, participants (N = 533) completed an online survey. Though family achievement guilt was significantly related to psychological ill-being (βs = .20 - .28), self-compassion did not attenuate the relationships between family achievement guilt and psychological ill-being, even when only first-generation students were in the analyses. First-generation students reported significantly higher levels of family achievement guilt compared to non-first-generation students (d = .39). Researchers should investigate the possible adaptive features of family achievement guilt and ways in which the maladaptive consequences of family achievement guilt may be reduced.