They both mean anus or detestable person, but "asshole" is more US, while "arsehole" (spelled with the "e") is more British and Australian.

Both mean your anus but it is an offensive term. Do not call anyone this name as you may find yourself in a fight.

Hello, About ( asshole ) :- Main Entry: ass•hole Pronunciation: \ˈas-ˌ(h)ōl\ Function: noun Date: 14th century 1 usually vulgar : ANUS 2 a usually vulgar : a stupid, incompetent, or detestable person b usually vulgar : the worst place —used in phrases like asshole of the world From ( http://www.merriam-webster.com )