Water shortage and pollution are serious challenges for many countries. Nanomaterials are promising new tools for water quality management due to unique physicochemical properties, high economic benefit, high removal efficiency and environmental friendliness. Here we describe four types of nanomaterials used for water treatment: nanofiltration membranes, photocatalytic nanomaterials, adsorption nanomaterials and reducing nanomaterials. We discuss their properties, applications and mechanisms for pollutant removal. We also review nanomaterials used for water quality monitoring, notably nanomaterials used for the detection of trace pollutants and pathogens. These nanomaterials include carbon nanotubes, magnetic nanoparticles, noble metal nanomaterials and quantum dots.