The rear axle assembly is used on rear-wheel drive vehicles. The final leg of a drive train is the rear axle assembly and it is most commonly called as the final drive. Rear end is its other name. One of the parts of the rear axle assembly is called differential. Conventionally manufacturers have adopted a common design for making rear axle assemblies. This project is about the design of a rear axle with differential. The working and construction of rear axle will be clear only after making this project. The project clearly explains the design and principle of the project. The rear axle assembly includes the differential assembly, the rear drive axles, and the rear axle housing. Rear axle assemblies are subjected to heavy loads from the engine and road. In a rear axle assembly, engine power enters the drive pinion gear from the drive shaft assembly and differential pinion yoke/flange. Numbers of small parts make up this project hence, making this project requires lot of attention and teaches you lots of mechanical concepts. Hence, it is a good choice for mechanical students.