Purpose: The purpose of this study was to identify the prevalence of visual and hearing impairment and to investigate the effect of visual and hearing impairment on depression and cognitive function in community-dwelling Korean elderly. Methods: The study population consisted of a representative community sample of 4,028 persons aged 65 and older from the Korean Longitudinal Study of Aging 2008. Depression and cognitive function were measured by CES-D 10-item scale and K-MMSE. Visual and hearing impairment were measured by 5-Likert scale. Data were analyzed using Rao-Scott ${chi}^2$-test, simple and multiple logistic regression. Results: The prevalence of visual and hearing impairment were 37.3% and 14.0%, respectively. Of the participants, the prevalence of depression was 58.4% and cognitive impairment was 50.6%. There were significant differences in depression and cognitive function according to visual and hearing impairment. Far vision and hearing impairment were predictors for both depression and cognitive impairment even after covariates had been adjusted. Conclusion: These data suggest that visual and hearing impairment in older adults may increase their probability of experiencing depression and cognitive impairment. Thus sensory impairment should be considered a risk factor for mental health and the cognitive function of elderly.