An image pickup apparatus that facilitates checking of the tilt thereof by changing a display position of a horizontal guide. A digital camera (image pickup apparatus) includes a tilt sensor for detecting a tilt of the camera. A system controller determines the display position of the horizontal guide based on the tilt of the camera detected by the tilt sensor such that it is displayed in an upper portion of the screen when an angle formed between the optical axis of the camera and a gravity direction is smaller than when the angle is equal to a predetermined angle. The system controller causes the horizontal guide to be displayed on the screen at the determined position, together with an image picked up by an image pickup device.