Exhibit 10.1


March 15, 2007

David C. Mayfield
526 Kingwood Drive
PMB 408
Kingwood, Texas 77339

Dear David:

I have enjoyed our conversations with you regarding your background and a senior
management level position opportunity with Sharps Compliance, Inc. ("Sharps" or
the "Company") .We are pleased to offer you the position of Senior Vice
President of Sales and Marketing with Sharps reporting directly to me. The offer
is contingent upon, (i) your acceptance of the terms and conditions of
employment, (ii) completion, to the Company's satisfaction, of a background
check and (iii) satisfactory results of drug testing.

Your compensation will include a base salary of $6,923.08 per pay period
(twenty-six pay periods per year). Additionally, your salary will be increased
by an amount necessary to reimburse you for excess of the cost of the Company's
group health insurance (or the cost of coverage should you join your spouse's
group health insurance plan) over the amount you are paying at your current
employer. You will be eligible to participate in a special bonus arrangement as
outlined in the attached Exhibit A.

As an employee of Sharps, you will be eligible to participate in the Company's
group benefit program which includes: group health, vision, dental, disability
insurance and 401(k). A summary description of the program, including employee
premiums, is included as an attachment to this offer letter. You will also be
entitled to a grant of options to purchase 100,000 shares of the Company's
common stock at an exercise price equal to the closing price of the stock on
your first day of employment. All stock option grants are subject to the terms
of the Sharps Compliance Corp. 1993 Stock Plan.

This offer does not constitute an employment contract or guarantee of employment
for any specific period of time since the Company is an "at-will" employer.
At-will employment means


                                                         Sharps Compliance, Inc.
                                                     9220 Kirby Drive  Suite 500
                                                            Houston, Texas 77054
                                                             713.660.3514 Direct
                                                                713.660.3574 Fax
                                                             dtusa@sharpsinc.com
                                                               www.sharpsinc.com


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Page 2
Mayfield

that either you or the Company, with or without cause and with or without prior
notice, may terminate the employment relationship at any time. Additionally,
your employment will be subject to the Company's policies and procedures, a copy
of which will be provided to you when you join the Company. The Company will
agree to enter into a mutually agreeable document that provides you with three
(3) months of severance with thirty (30) days notice should your employment be
terminated, without cause, or in the event of a change in control. Additionally,
you agree to enter into a non-compete and confidentiality agreement consistent
with that entered into by other senior management members.

We are pleased to offer you this opportunity and are confident that you will
make a measurable contribution to the Company. Should the above be acceptable to
you, please sign your acceptance of this offer of employment in the designated
space below and fax the document to 713-660-3574. You have previously completed
and signed an Application of Employment including authorization for drug
testing, background checks and release of information. As previously agreed,
your start date has been established as April 9, 2007.

Should you have any questions, please feel free to call me at 713-660-3510 or
David P. Tusa at 713-660-3514.


Sincerely,

/s/ Dr. Burton J. Kunik                            Accepted and Agreed:
Dr. Burton J. Kunik
Chairman, Chief Executive Officer & President      -----------------------------
                                                   David C. Mayfield       Dated





Attachments

                                                         Sharps Compliance, Inc.
                                                     9220 Kirby Drive  Suite 500
                                                            Houston, Texas 77054
                                                             713.660.3514 Direct
                                                                713.660.3574 Fax
                                                             dtusa@sharpsinc.com
                                                               www.sharpsinc.com

<PAGE>

                                    EXHIBIT A


                            Special Bonus Arrangement

Employee will be entitled to a cash bonus computed on the increase in Company's
gross profit (defined as consolidated revenue less cost of goods sold) as
follows:

      o     Increase in fiscal year 2008 over fiscal year 2007 gross profit
            greater than 30% but less that 40% - year end bonus of $30,000; or

      o     Increase in fiscal year 2008 over fiscal year 2007 gross profit of
            greater than 40% - year end bonus of $100,000; or

      o     Increase in fiscal year 2008 over fiscal year 2007 gross profit of
            less than 30% - zero year end bonus.

The cash bonus is payable within thirty (30) days following the issuance of the
Company's June 30, 2008 earnings release. Revenue, cost of goods sold and gross
profit are determined based upon, (i) the Company's audited financial
statements, (ii) consistent with that released in its Securities and Exchange
Commission filings and (iii) adjusted to exclude the effects of the Company's
recently announced $1.4 million purchase order from a major pharmaceutical
manufacturer. Employee is only entitled to such cash bonus for the period of
employment with Sharps Compliance, Inc. The Company's fiscal year end is June
30th.

This bonus arrangement is for the year ended June 30, 2008 only. Any subsequent
bonus arrangement would require approval by the Company's Compensation Committee
of the Board of Directors in order to be considered valid.

                                                         Sharps Compliance, Inc.
                                                     9220 Kirby Drive  Suite 500
                                                            Houston, Texas 77054
                                                             713.660.3514 Direct
                                                                713.660.3574 Fax
                                                             dtusa@sharpsinc.com
                                                               www.sharpsinc.com