The Nashville Entertainment Association gave him its first Master Award in 1983, and he was the 83rd inductee into the Rockabilly Hall of Fame. On April 5, 2000, he received a Chetty award for significant instrumental achievement at Nashville's Ryman Auditorium during the Chet Atkins Musician Days festival. Health problems prevented Martin from attending; Nelson, Vince Gill and Marty Stuart presented the award—named after Atkins, who attended—to Martin's son, Joshua. Grady Martin was inducted into the Musicians Hall of Fame in 2007.