Falls are an important health issue for older people, as they lead to increased morbidity and mortality and reduced physical function, activities of daily living, and quality of life. Skin sensation is an indicator of the ability to maintain balance, which is a factor in fall risk. We investigated the validity of a computer-controlled plantar-foot sensation-testing instrument (PFS tester) that measures skin sensation. We examined the within-subject reproducibility of skin sensation thresholds and their relationship to balance in older participants. Within-subject skin sensation threshold reproducibility was examined using intraclass correlation coefficients. The skin sensation thresholds showed moderate within-subject reproducibility. The associations between skin sensation thresholds and balance were examined using multiple regression analysis. We found a significant relationship between skin sensation thresholds and balance. The results indicate that the PFS tester is clinically applicable and a reliable indicator of balance ability.