By the beginning of the 20th century, Orthodoxy had firmly established itself on the North American continent, having existed there for over a hundred years. Since monasticism plays an important role in the life of the Orthodox Church, it was clear from the very beginning of Orthodoxy in America that sooner or later this form of spiritual life would begin to flourish.

The idea of creating a monastery in America belonged to the young hieromonk Arsenius (Chagovtsev), who later became Archbishop Arsenius of Winnipeg. Father Arsenius arrived in America in 1902 and headed the St. John the Baptist parish in Mayfield, Pennsylvania. He believed that the monastery should become a "mother house" for monks serving in the Orthodox mission in North America.

On May 17 (30), 1906, Archbishop Tikhon (Bellavin), who served in America from 1898 to 1907, along with Bishop Raphael, consecrated the church in honor of St. Tikhon of Zadonsk. The choir from the Wilkes-Barre parish sang at the service, having arrived with Father Alexy Tovt.

By 1907, the monastery had a brotherhood building with a dining church in the name of St. Tikhon of Zadonsk and a shelter for 15 orphans. The brotherhood included an abbot, two hieromonks, and seven novices.

Five canonized saints lived and prayed in the monastery, each of whom supported the monastery and seminary in their own way. These were St. Tikhon of Moscow, St. Raphael of Brooklyn, St. Alexy of Wilkes-Barre, St. Nicholas of Zikhino, and St. Alexander Hotovitsky.

St. Tikhon's Monastery became a place of repentance for those who decided to turn away from worldly life and strive for the higher calling of God in Christ Jesus. The monastic brotherhood expresses this repentance in daily services and prayers, as well as in obedience to the abbot and the brotherhood. The founder of the monastery, Archbishop Arsenius (Chagovtsev), envisioned it as a support for the American mission. Today, St. Tikhon's Monastery maintains close ties with St. Tikhon's Seminary, its faculty, students, and alumni. The monastery also operates a bookstore, a printing house, a cemetery, candle and carpentry workshops, as well as a coffee shop.