A powered ratchet tool generally includes a housing having a handle portion with a trigger assembly. A motor has an output shaft member that rotates about a longitudinal axis. A ratchet assembly includes a ratchet hub member that connects to the output shaft member. A selector member connects to the ratchet assembly and is operable to change the ratchet assembly between a tighten condition and a loosen condition. A drive member is connected to the ratchet assembly. The drive member rotates about the longitudinal axis about which the ratchet hub member, the selector member and the output shaft member rotates.