Dwivedi passed the intermediate and Acharya examination in Astrology from Banaras Hindu University and was appointed a teacher at Shantiniketan. Later, he held the office of the Director of Hindi Bhavan in Visva Bharati University. Dwivedi retired his career as the Head of the Department of Hindi in Punjabi University (Chandigarh).

He entered the literary field inspired by great personalities such as Rabindranath Tagore, Kshitimohan Sen and Banarasidas Chaturvedi.

A man of exceptional qualities, Dwivedi was versatile in a variety of languages such as Sanskrit, Pali, Hindi, Gujarati and Punjabi. His literary collections include journals, thesis, reports and commemorative volumes on various topics. Patra kala, Samachar Sampadan, Tattva Mimamsa and Ramakatha are among his popular works.

In 1957, he was awarded Padmabhushan. Dwivedi passed away in 1979. A collection known as Hazari Prasad Dwivedi Collection (HPD Collection) is housed in a separate section in Indira Gandhi National Centre for the Arts (IGNCA), New Delhi.