School heads use techniques of motivation for increasing the performance of teachers in teaching learning process. Head teachers encourage them to perform their duties devotedly by using different techniques. This study aimed to find the effect of principals’ motivational strategies on the performance of teachers on the basis of their academic qualifications. All elementary teachers working in 60 public schools of district Sheikhupura were the population of the study. Six hundred and twenty seven elementary teachers were selected for sample by using the technique of cluster random sampling. The study was conducted to examine the effect of motivational techniques used by schools' principals to improve performance of teachers on the basis of their academic qualification. A standardized research instrument as questionnaire was used comprising 48 items from eight most important techniques of motivation. Statistical analysis of data showed significant difference among factors such as appreciation, recognition, performance appraisal, monetary benefits and rewards and promotion. It is recommended that heads may offer awards and gifts to teachers for developing their performance in academic activities