There has been steady progress, both in individual laboratories and in the development of integrated commercial systems, for the sophisticated control of stimulus presentation and response recording during magnetic resonance imaging (MRI). This chapter articulates some of this progress and the general considerations for anyone establishing a functional MRI research environment, focusing on the latest developments relevant to an investigator establishing their own psychophysical laboratory in the magnet. The technical problem of stimulus presentation and response recording provides a brief discussion of the general need to adapt the psychophysical tasks themselves to be more compatible with the MRI environment. The chapter also discusses stimulus presentation, subdivided by modality (visual, auditory, tactile, etc.) and voluntary response recording, and furthermore deals with physiological response recording, head movement and related safety issues. Finally, it discusses the tradeoffs between commercial systems, custom designed systems and the goal of a completely integrated psychophysiological laboratory in the MRI environment.