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Research has noted racial differences in depression but whether depression levels diverge or converge across the life course differently by race is not well understood. Using longitudinal data from the 1986-2002 Americans’ Changing Lives, this study uses HLM Growth Modeling to investigate the multidimensional mechanisms implicated in race differences in depression by examining the extent to which these differences are explained by psychosocial stress, socioeconomic status and health conditions. Level 1 predictors included time varying covariates such as parental stress, financial stress, life events, marital status, educational attainment, income, age, diabetes, BMI and high blood pressure. Race and sex were entered at Level 2. Findings show although depression wanes over time, African Americans (β=0.459; p<.001) experience higher levels of depression compared to Whites over the life course. Race differences in depression were explained by parental (β=0.459; p<.001) and financial stress (β=0.459; p<.001). However, education (β=0.459; p<.001), marital status (β=0.459; p<.001), and being overweight (β=0.459; p<.001) were inversely related to depression. High blood pressure (β=0.459; p<.001) was positively associated with depression. Men had lower depression than females (β=0.459; p<.001) and interactions show strong evidence that sex differences in depression depends on experiencing parental stress. Implications of findings suggest interventions for reducing stress endemic to racial populations is imperative for reducing health disparities and improving population health.