The rapid inventions of social media in current era have changed the wellbeing of human lives. The current study aimed to explore the correlation between social media usage and undergraduate students’ psychological wellbeing in Mirpur, Azad Jammu and Kashmir. Two research instruments were used in this study Social Media Addiction Scale-Student Form (SMAS-SF) and Flourishing Scale (FS). The first scale measures the usage capacity of social media and the second measures the psychological wellbeing of undergraduate students. The correlation between the scores obtained from the scales was determined by applying Pearson correlation formula. The positive correlation between social media usage and psychological wellbeing of undergraduate students has been found in this study. The other finding related to most preferred social media concluded that WhatsApp was most preferable social media among undergraduate students. 61% undergraduate students used the WhatsApp to engage their daily life in using social media.