Variable-rate application of fertilizer enables farmers to improve fertilizer use-efficiency, increase economic returns, and reduce environmental hazard by adjusting rates of fertilizer to specific conditions, within discrete areas of a field. Field experiments were conducted at Malakander Farm, NWFP Agricultural University, Peshawar, to develop a variable-rate nitrogen management scheme for irrigated, wheat, by comparing uniform and variable-rate fertilizer-application based on yield-map. For this purpose, spatial patterns in soil properties and wheat yield in the field were determined, using geostatistical techniques. Organic matter, mineral nitrogen (N), soil phosphorus (P) and potassium (K), and grain yield were spatially distributed in the field. Based on the spatial patterns in wheat yield, the field was divided into two management-units and N-rates were determined for each unit. Uniform rate of fertilizer was 120-90-60 kg N-P2O5-K2O ha-1. The variable rates were 100-90-60 and 150-90-60 kg N-P2O5-K2O ha-1. The data on grain-yield of wheat showed that variable-rate N-application resulted in significantly higher grain-yields than the uniform N-treatment. Moreover, the variable rate treatment had a positive economic return, i.e., Rs. 2969 ha-1more than the uniform treatment. Thus, variable rate fertilization would increase yield and economic returns.