In Ethiopia land degradation is the main challenge for agricultural sector and food security in particular and economic development as a whole. In view of the magnitude and impacts land degradation on livelihood, the study was conducted in Kake Kebele. The main objective of the study was to investigate the magnitude and impacts of land degradation on livelihood of farming communities. 50 household heads were selected from each target kebeles by using simple random sampling technique. In order to achieve the objective of the study both primary and secondary data were generated. Primary data were generated through questionnaire, FGD, key informant interview and personal observation. The finding of the study indicated crop and livestock productivity are declining as a result of land degradation and this seriously affects the livelihood of the farming community. In addition to this water resource in the study area were drying up over time. The magnitude of land degradation is increasing over time because of high population pressure, frequent farming, and topographic nature. The livelihood of farming community is affected by land degradation in the study area. So, the agricultural office of the District should give greater emphasis on Land management and on non-farm source of income and the researcher recommend others based on the finding that Training should be given to the farmers regarding the use of compost and its preparation in order to increase crop productivity on their farmland. Focus should be given on searching of alternative soil and water conservation rather than focusing on terracing.
