Abstract: The device for adjusting an endplay of an axle shaft in a differential assembly includes an axle shaft supported in a differential case for rotation about a longitudinal axis, and an endplay adjustment member threadedly mounted on a terminal shoulder provided at an inboard end of the axle shaft. The axle shaft has external splines adapted to mate with internal splines of a differential side gear and an annular groove located adjacent to the terminal shoulder. The annular groove receives a retainer ring provided to limit an axial displacement of the axle shaft in an outboard direction. The endplay adjustment member is selectively positionable on the terminal shoulder along the axial direction of the axle shaft to variably limit an axial movement of the retainer ring within the annular groove, thus adjusting the axle shaft endplay.