The 1960–61 Indiana Hoosiers men's basketball team represented Indiana University. Their head coach was Branch McCracken, who was in his 20th year. For the first time, the team played its home games in the New Fieldhouse in Bloomington, Indiana, and was a member of the Big Ten Conference. The Hoosiers finished the regular season with an overall record of 15-9 and a conference record of 8-6, finishing 4th in the Big Ten Conference. Indiana was not invited to participate in any postseason tournament.