A survey was conducted in 2012 to assess the impact of dairy technologies on the livelihood of dairying households in Ada’a and Lume districts of central Ethiopia. A total of 108 dairy farms were interviewed using structured questionnaire. Dairying has significant contribution as a sustainable source of income to the dairy producing households. It contributed about 62% and 66% of the total monthly income in Ada’a and Lume districts, respectively. Dairying was the first income source for about 80% and 62% of the dairy producing households in Ada’a and Lume districts, respectively. On the other hand, 92.9 % and 88.9 % of the respondents in Ada’a and Lume districts respectively explained that dairy technology adoption has significantly increased their household income. About 56% and 32% of households in Ada’a and Lume districts were found to save money from dairying in a traditional form of saving. Adoption of dairy technologies has also an impact on the consumption of milk and milk products as all family members in about 77.5% and 87.1% of households in Ada’a and Lume districts, respectively could consume more milk.