Many students associate grades with the completion of course work rather than learning the course content. While research has heavily focused on teaching strategies and instructional tools to improve students' learning in general chemistry, less focus has been given to assessments as a learning tool to improve students learning. Standards-based grading (SBG) is a nontraditional assessment method that explicitly connects the learning course objectives with assessments and student grades. Provided with more than one opportunity to demonstrate their knowledge of course objectives, students are evaluated on their level of achievement of these objectives. This article describes the implementation, outcomes, and challenges of SBG in a large enrollment nonmajors' general chemistry course. Evidence is presented regarding the use of SBG in chemistry from the evaluation of two semesters of students' assessment scores and a student opinion survey. Students appeared to use the structure of the SBG to pass the course at higher rates than previous semesters, demonstrated some metacognitive skills, and generally appreciated SBG as the assessment method in the course.