In this study, $0.95(K_{0.5}Na_{0.5})NbO_3-0.05Li(Sb_{0.8}Nb_{0.2})O_3$ ceramics were investigated as a function of the amount of $Ag_2O$ addition in order to improve dielectric and piezoelectric properties of lead-free piezoelectric ceramics. With increasing the amount of $Ag_2O$ addition, density and electromechanical coupling factor ($k_p$) increased up to 0.2 wt.% $Ag_2O$ and decreased above 0.2 wt.% $Ag_2O$. At the sintering temperature of $1020^{circ}C$, electromechanical coupling factor ($k_p$), density, dielectric constant (${varepsilon}r$) and curie temperature (Tc) of ceramics with 0.2 wt% $Ag_2O$ showed the optimal values of 0.42, $4.33;g/cm^3$, 738 and $393^{circ}C$, respectively.