The transition to adulthood can challenge an individual's psychological well-being as emerging adults navigate more diverse contexts. A sense of belonging in new contexts influences psychological well being as does experience with discrimination and/or lack of emotional well-being, or coping skills to navigate environments that are not inherently inclusive. In order to understand the relationship between sense of belonging, discrimination, and emotional well-being on psychological well-being, we utilized a national, representative sample of emerging adults (N = 2,526) who participated in the Longitudinal Panel Study of Income Dynamics specifically, the Transition into Adulthood Supplement (TAS). The transitioning adults were sampled from the primary family unit of the PSID and asked to participate independently in the TAS. Using the Life Course Development Framework as a guide, the researchers analyzed TAS measures related to emotional well-being, sense of belonging, and discrimination in various contexts and modelled that with psychological well-being. Other factors in the analyses included gender, race, age, employment status, and enrollment in post-secondary education. Results suggest that sense of belonging; emotional well-being, discrimination, and enrollment status are significantly related to psychological well-being. There was also a differential impact of discrimination and sense of belonging on psychological well-being. The findings highlight the importance of looking at institutional (meso level) factors in addition to individual (micro level) characteristics when supporting emerging adult psychological wellbeing. Theories that emphasize individual characteristics over systematic issues may not adequately address the needs of emerging adults in marginalized groups.