Femtocells are a new concept which improves the coverage and capacity of a cellular system. We consider the problem of channel allocation and power control to different users within a Femtocell. Knowing the channels available, the channel states and the rate requirements of different users the Femtocell base station (FBS), allocates the channels to different users to satisfy their requirements. Also, the Femtocell should use minimal power so as to cause least interference to its neighboring Femtocells and outside users. We develop efficient, low complexity algorithms which can be used online by the Femtocell. The users may want to transmit data or voice. We compare our algorithms with the optimal solutions. © 2012 IEEE.