The restroom stall occupancy indicator system includes a latch coupled to a stall door and movable between a locked position and an unlocked position. A sensor is responsive to selected positioning of the latch and communications the position information to a transmitter. The transmitter then relays the position information to a receiver coupled to an indicator. The indicator, in turn, is responsive to the received position information to provide a first visual identification when the latch is in the unlocked position and a second visual identification when the latch is in the locked position.