The present invention is directed to a portable air compressor having a storage compartment, which may be used to store air compressor accessories. A shroud which encloses a portable air compressor has a recess. The recess is at least partially covered with a cover member, which is mounted to the shroud. The recess and the cover member together define a storage compartment for storing air compressor accessories such as fittings, nozzles, and the like, and/or tools such as a wrench, or the like.