This study examined determinants of dropout in six government primary second cycle schools situated in Akaki Kality subcity of Addis Ababa City Administration. It employed descriptive survey research method. Data were collected from teachers, dropout returnees, principals and parent-teacher association leaders from schools using questionnaire and interview. The school principals and parent teacher association leaders were the subjects of interview questions. One hundred thirty dropout returnees, one hundred fifty four teachers and five school principals and five parent teacher association leaders participated in this study. Dropout returnees, school principals and parent teacher association leaders were selected using available sampling technique whereas teachers are selected using stratified and systematic random sampling. Quantitative data were analyzed using percentage, mean and t-test whereas qualitative data were analyzed with themes and categories. The study indicated the eight major out- of-school related factors for student dropout. These were: low level of parents’ monthly income, low level of parental education, divorced parents, involvement in domestic work, unable to afford expenses to school supplies, involvement in generating income for the family, parents negative attitudes in formal education, and deceased parents are among major factors that contribute to high rate of dropout in the study area in respective order. Where as students’ negative interest towards education found to be a high contributing factor to dropout from the school. Independent samples t-test revealed statistically significant differences across students and teachers on determinant factors of dropout. The mean in the t-test indicated teachers’ ratings reasons for dropout was significantly higher than those of students. The qualitative analysis indicated that economic condition of the family, students’ high involvement in domestic activities and involvement in income generating activities were the major factors that determine dropout in these schools. Based on the findings, recommendations were forwarded.