Cloud Computing is technology for next generation Information and Software enabled work that is capable of changing the software working environment. It is interconnecting the large-scale computing resources to effectively integrate, and to computing resources as a service to users. Cloud computing allows to the users to use applications without installation and access their personal files and application at any computer with internet or intranet access. Cloud computing effectively the actual separation of physical and virtual services, a variety of business services reduced costs, improved utilization of network resources. Cloud computing is a technology that uses the internet or intranet and central remote servers to maintain the data and applications. This technology allows for efficient computing by centralizing storage, memory, processing and bandwidth. Here Work is focuses on RC5 Encryption Algorithm for stored data in cloud. Resulted encrypted method is secure and easy to use; it is fulfilling the needs of cloud users and providers.