As a replacement to existing fossil fuels, biofuels, have proven their worth; however, their widespread use is limited due to inconsistent yields, higher costs and poor productivity. An oleaginous yeast, Rhodosporidium toruloides has been reported to accumulate substantial amounts of lipids (that can be converted to biofuels) and therefore, it was selected for study and optimization. Apart from lipids, R. toruloides is also reported to produce carotene that can be used as a therapeutic agent. In this study, the culture medium was statistically modeled and optimized for concomitant production of lipids and carotenoids and for improving and maximizing the productivity of lipids as well as carotenes. The two metabolites were expressed differentially in the growth cycle of the organism. Culture medium components were simultaneously varied at five different levels using statistical modeling employing response surface methodology (RSM). Osmotic stress was introduced in order to simulate saline conditions and optimize the carotenoid as well as lipid production process, to be used in conditions with high salt contents. We observed a 10% (w/v) increase in carotenoid production in initial experiments under osmotic stress due to high salt concentration, while the increase in lipid synthesis was not pronounced. In this study, we demonstrate 36.2% (w/v) lipid production and 27.2% (w/v) carotenoid production, under osmotic stress with high salt concentrations, for the first time.