Growing out of the college retention research of Alexander Astin (1993) and Vincent Tinto (1975), this study examined differences in academic achievement and persistence of first-semester college freshmen who participated in Freshman Learning Communities (FLC), including a Living-Learning Community (LLC), and students who did not participate in a university-sponsored learning community. This study also explored variables that may moderate the relationship of learning community participation with academic achievement and persistence. Variables explored included: entry-level readiness for self-directed learning, gender, ethnicity, high school GPA, and SAT or equivalent ACT scores. Data was collected from 544 students at XYZ University using a pre/post university-developed instrument, the College Assessment of Readiness for Entering Students Intended (CARES-I), College Assessment of Readiness for Entering Students- Actual (CARES-A) and the Self-Directed Learning Readiness Scale/Learning Preference Assessment. Demographic and academic data were collected through the institution's Office of Institutional Effectiveness and Analysis. There was a statistically significant difference in academic achievement for students enrolled in either a Freshman Learning Community or a Living Learning Community (df = 424, t = 2.32, p < .05) as compared to students not part of a freshman learning community. The learning community students had higher end-of-semester grades. Multiple regression analysis was used to explore the moderating variables that may influence the learning community effect on academic achievement. Only the pre-academic characteristic of students' entering high school GPA moderated the relationship of learning community participation and academic achievement (p < .05).