An experiment was conducted during kharif season of 1995 and 1996 to study the effect of Bradyrhizobium and phosphorus solubilizing bacteria (PSB) alone or in combination with different levels of phosphorus on soybean at Gwalior, Madhya Pradesh. Results revealed that inoculation of Bradyrhizobium and phosphorus solubilizing bacteria (PSB) alone or in combination caused marked increase in yield and quality parameters. Besides, increasing levels of phosphorus up to 26.20 kg ha−1 also improved the seed yield and quality parameters. Of the different combinations, application of 19.65 kg P ha−1 with Rhizobium and PSB registered higher seed yield, oil yield and protein content resulting into the higher return and C.B. ratio over the independent application of 26.20 kg P ha−1 and thus 6.55 kg P may be saved without affecting the yield.