The purpose of this study was to assess the status of the existing practice of Teachers Performance Appraisal (TPA) in government general secondary and preparatory schools of Bahir Dar city administration. The research used descriptive survey design. Out of 11government general secondary and preparatory schools in the city administration, five schools were selected by using Simple random sampling (Lottery system) in the study. The samples of the study included: 140 teachers who were selected by using Simple random sampling; 45 department heads, five V/ principals, and five principals taken as samples of the study by using comprehensive sampling technique; and also five Parent teachers’ association (PTA) member representatives were taken as a sample by using available sampling technique. Datawas collected through questionnaires and interview. The data was analyzedusing one sample t- test, mean ranking, and narrative (description) analysis .The findings of the study were: Appraisers perceived appraising of teachers’ performance at low level; the respondents perceived that the criteria used for TPA were vague, not specific and inappropriate;the process of TPA and the time, frequency as well as adequacy of its implementation was moderate. The findings were also indicated that, some of the major problems of TPA were: the appraisal criteria lack validity and reliability; teachers were not involved in the formulation of TPA criteria; appraisers have no adequate training. This implies that the practice of the current TPA lacks transparency, not participatory;teachers develop low trust on TPA to take it as a means of developing their professional competence