A field experiment was conducted at Agricultural Research Station, Gangavati, Karnataka, India during 1991-2004 to evaluate the performance of six tree species viz., Hardwickia binata, Sesbania grandiflora, Acacia nilotica, Dalbergia sissoo, Casuarina equisetifolia and Azadirachta indica in saline-waterlogged soils and their impact on soil physico-chemical and hydrological properties. Tree performance was evaluated in terms of establishment and diameter at breast height (DBH) in different salinity blocks (range <5 to > 15 dS/m). A. nilotica out performed all other tree species at all salinity levels. Higher establishment and better growth rates made it more suitable for saline conditions. H. binata remained comparable with A. nilotica especially at higher salinity. C. equisetifolia, which recorded better survival initially, appeared to be affected by the salinity as evidenced by considerable reduction in its establishment at higher salinity. Similar trend was noticed in case of DBH of tree species. Reduction in soil salinity and calcium carbonate was observed under all the tree species apart from improvement in organic carbon. Tree species such as A. nilotica and C. equisetifolia with higher bio-mass production exhibited greater bio-amelioration potential in saline vertisols. Water table depth receded considerably in the plantation area during both canal running and canal lean period; despite an increasing trend observed outside the plantation where field crops were grown. On the whole, the study established the role of trees in bio-amelioration of salt affected soils along with lowering water table of marshy lands.