During the recent years, there has been growing attention to the development of topical delivery systems to facilitate drug permeation through the skin. The drugs commonly used are those with debatable oral administration. Piroxicam is a valuable anti-inflammatory, antipyretic and analgesic drug, however, its long-term oral administration is limited due to the various gastrointestinal side effects. The main purpose of this study was to prepare and assess a topical formulation of piroxicam, based on solid lipid nanoparticles (SLNs), to improve its percutaneous permeation rate. Topical Nanolipidic gel of piroxicam was formulated and its pharmaceutical characteristics were evaluated. Piroxicam loaded SLNs were formulated by solvent emulsification/evaporation method. Particle size assessment, entrapment efficiency assessment, in vitro release study and skin permeation of the piroxicam were carried out to characterize the SLNs. These SLNs were then formulated in gel as a topical delivery system to assess percutaneous permeation of piroxicam. The SLNs were prepared in different size ranges from 100 to 300 nm and drug release behavior from two different nano-sized SLN suspensions was evaluated. Piroxicam nanolipidic gel exhibited increased skin permeation of the drug over commercial piroxicam gel formulation and also mean particle size of formulated SLNs had a significant effect on permeation rates.