Asian Americans have been portrayed as the model minority for seemingly having achieved socioeconomic success and being free of problems. Such stereotypes may have lasting and negative impact on Asian American individuals, families, and communities. Utilizing the social justice framework and critical race feminist theory, we interrogate and problematize the model minority stereotype and its impacts by situating Asian Americans in the Black‐and‐White racial hierarchy, offering a brief history of the term, providing disaggregated statistics on Asian Americans' socioeconomic conditions, reviewing recent literature on Asian Americans and their families, and discussing some consequences that this myth generates. We focus on the roles of family and community contexts and acculturation status on Asian Americans' educational achievement, gender, and psychological adjustment and mental health issues. Our review illustrates the diversity and nuance in Asian Americans' educational, psychological, social, and economic outcomes. We conclude with some recommendations for professionals working with Asian Americans.