Nanocomposites are produced to enhance the properties of a polymer matrix by adding suitable nanomaterials. Biodegradability is an important factor to be considered when a nanocomposite is produced in larger quantities for various applications. Lack of biodegradable property will result in the same accumulation, which can end up in serious environmental problems. Added nanoparticles also greatly influence the biodegradability of nanocomposites based on their organic or inorganic nature. Hence, various methods were developed to check the degradation rate of the nanocomposites and are discussed in detail in this chapter. Soil, water, and bacterial degradation studies are of more importance as it predicts the time of accumulation of nanocomposite under the soil and sea after their disposal. Other degradation studies described are based on the type of agents used for degradation, including enzymes, light radiation, IR radiation, mechanical methods, oxidation methods, chemical methods, and ultrasonic wave degradations. This chapter also describes various analysis methods for biodegradation used for the degradation rate analysis of bio nanocomposite, and the design suggested economical ways of degradation.