A field experiment was conducted at the College of Agriculture, Gwalior (M. P.) during two kharif seasons of 2011 and 2012 to study the effect of varieties and nutrient management on growth, yield and economics of clusterbean. Amongst the clusterbean varieties, HG 563 recorded maximum growth, yield and yield attributes and net income. Thus, HG-563 produced maximum 19.45 q/ha grain with net income up to Rs. 178151/ha. Amongst the fertility treatments, 75% RDF (N15P30K15) with 5 t/ha vermicompost raised all the above parameters up to maximum extent. The net income was highest Rs. 177089/ha with B: C ratio 9.78. The treatment interactions were non-significant for grain yield. For the sake of recommendation to the clusterbean growers in this region, HG-563 may be recommended with 75% NPK+5t vermicompost/ha. For maintaining good soil health and sustainable crop productivity, vermicompost would be most beneficial in the long run. The net income would reduce only slightly.