The current research is aimed to investigate the association between personality and the formation of the psychological contract (PC) in India. A sample of 262 employees was used to test the hypotheses. The study provides the theoretical explanation beneath the association of personality and formation of the PC. It reveals how personality is associated with employee obligations and employer obligations. The findings have practical implications in managing the PC. The examination of the association of the PC (employee and employer obligations and fulfilment of obligations) and personality can have direct implications for human resource (HR) practitioners in managing their HR practices. The study adds to the theory of the PC by exploring one of the factors underlying the idiosyncratic nature of the PC.