Kelly's brother, Martin, is the father of Dan Kelly, a singer-guitarist. Dan has performed with his uncle on several of Kelly's albums, including "Ways and Means", as a member of Paul Kelly and the Boon Companions, and on "Stolen Apples"; Dan and Paul were both members of Stardust Five, which released "Stardust Five". Dan has released three albums, two of which received ARIA Award nominations. Kelly's younger sister, Mary Jo Kelly, is a Melbourne-based pianist who performed with him on the track "South of Germany" for "Paul Kelly Live at the Athenaeum, May 1992" (1992). She has performed in Latin bands and worked as a music teacher at the Victorian College of the Arts Secondary School. Mary Jo provided piano on Archie Roach's album "Charcoal Lane" (1990), which was produced by Kelly and Connolly.