Sanitation is vital for the comfortable and healthy existence of human beings and clear nearby environment. The sanitation condition of the study area is improper use of pit latrine, inadequate treatment and discriminate disposal, and use of open defecation around forest areas. In addition to, lack of technology for construction of on-site sanitation containment and has poor fecal sludge management procedure. The research tried to address on-site sanitation system from point of waste generator to disposal area that is Sebat Amite. Therefore, the goal of this study was to assess on-site sanitation system in Bahir Dar city based on perception of the household with special emphasis on a multi-criteria aspect. The research was performed by questionnaire and field surveying method using a multi-criteria analysis as a technique of bringing together a wide range of quantitative assessments into the decision-making process. In particular questionnaire was established and spread to 196 households in three randomly choose sub-city and having on-site sanitation facilities. The collection data were analyzed using a descriptive statistic through a frequency’s way. The results showed the big problem diseases appeared in averagely Diarrhea 53.23%, Typhoid 47% and Amoebiasis 49.47%. As household survey, the sanitation service of Aste Tewodros, Belay Zeleke and Facilo were used 24.56%, 30% and 49.28% septic tank toilet and 56.14 %, 50% and 30.43 % were used flush toilet. This research is to assess the existing on-site sanitation systems in Bahir Dar city with more concern about environment, health, technical, socio-cultural and economic aspects. To sum up, the health, socio-cultural, environmental aspects have similar condition in economic and technical disputes. Bahir Dar city requirements a proper and financially possible sanitation facility both at household level and the city level for sustainability use technical option. On-site sanitation facilities sustainable growth must environmentally friendly, socially acceptable and financially practical. Therefore, the recommendation to use each sub-city sanitation facilities installed recently entail trickling filter, anaerobic and rapid filters as well as natural treatment systems at disposal area (Sebat Amite). Key words: Sanitation system, multi-criteria analysis, Bahir Dar City