The present study investigated the associations between social skills, friendship quality, and happiness, and tested a mediational model positing that friendship quality would mediate the relationship between social skills and happiness among American and Malaysian college students. Although American students reported significantly higher levels of psychosocial well-being than Malaysian students, the study variables were positively associated with each other in both cultures. More importantly, findings supported the proposed model in both groups. Results suggest that part of the reason why social skills are associated with positive psychological well-being is because of friendship experiences. Overall, the findings of the present study reinforce, extend and cross-culturally generalize the presumed benefits of social skills in positive well-being elaborated by Segrin and Taylor (2007). The authors also provided suggestions for future research.