Outhouse is a single screen shooter played from a side view perspective where the player has to defend the titular outhouse from toilet paper thieves. The outhouse is located in the middle of the screen and the thieves come wandering in from either side. The player controls a flying craft and has to shoot the thieves before they manage to reach the outhouse and get away with the paper. Once the thieves reach the outhouse they move back to where they came from leaving a trail of paper behind and if they leave the screen the paper is lost. If shot before they leave, the paper is returned to the outhouse. There are also squatters that enter the outhouse and use up some paper directly. Other obstacles and enemies include fireballs, zappers (that that move down the sides of the screen and shoot at the player) and other flying objects that needs to be avoided. In addition to the regular laser the player also has a limited amount of smart bombs that kill everything on screen. The game ends when there is no paper left, the outhouse has been destroyed or when the player has lost all his lives.