Adolescence is a key period for the emergence of psychopathology, with many psychiatric disorders having their modal age-of-onset during this period. Relative to other periods of the lifespan, susceptibility to a number of psychiatric disorders is greatest during adolescence, particularly in females. In addition, disorders which emerge during adolescence appear to be more enduring and serious than those with a later onset. Although these psychiatric conditions may appear different from each other in terms of their associated behavioral signs or symptoms, this review will argue that they involve common alterations in motivational processes or disturbances in reward processing, although the direction of such changes (hypersensitivity vs. hyposensitivity to reward) and the stage of processing affected (reward anticipation vs. receipt) may differ across broader groupings of disorder. Recent behavioral, neuropsychological and neuroimaging research on reward processing in children, adolescents, and adults with these conditions will be described and evaluated. In addition, this article will consider what these studies tell us about their etiology and highlight gaps in our knowledge base. The review will also attempt to explain why adolescence is a period of elevated risk for the development of psychopathology, by discussing normative changes in reward processing in humans and animals.