Physical Education (PE) is increasingly recognized as a vital platform for nurturing life skills and values essential for holistic student development. Beyond physical fitness, PE offers structured movement experiences that promote personal, social, and ethical growth among learners. The present study theoretically examines how life skills and values can be systematically incorporated into physical education programs within school curricula. Drawing upon established frameworks such as Social-Emotional Learning, Character Education in Movement, and Citizenship, Ethics, and Sport, the paper highlights the potential of PE to foster self-management, teamwork, communication, problem-solving, adaptability, and respect. Movement-based activities, cooperative games, and sport-oriented tasks provide authentic contexts for students to practice decision-making, goal setting, emotional regulation, and ethical conduct. The integration of values such as fairness, responsibility, sportsmanship, inclusion, and respect for diversity strengthens learners‘ social awareness and civic engagement. The study also emphasizes inclusive and equitable pedagogical approaches that address cultural relevance and diverse learner needs. By embedding life skills and values intentionally within PE curricula, schools can support students‘ social-emotional well-being and prepare them for the complex demands of contemporary life. The paper concludes that physical education, when thoughtfully designed, serves as an effective medium for value-based education and the development of transferable life skills.