Woodlot farming is an important economic activity which has potential to improve the livelihoods of men and women; however the benefit derived from woodlot farming has a gender differential. The study was conducted in Mufindi District in Tanzania to analyze the livelihood outcomes among women and men engaged in woodlot farming. The study adopted a cross sectional research design and involved 120 respondents. Asset ownership was used as proxy indicator of wealth status; the wealth index was constructed to gauge the levels of livelihood outcomes. Independent T-test and Chi- square tests were used to compare livelihood outcomes among woodlot farmers and non-farmers, men and women. It was found that woodlots owners had better livelihood outcome than their non-woodlot farmers’ counterparts (P<0.05). The levels of livelihood outcomes between women and men were statistically significant (P<0.05). The differences in the levels of livelihood outcome are attributable to one’s engagement in woodlot farming. However, men derived more benefit in the woodlot farming due to their dominance in decision making over the income accrued from woodlot farming at household level. The study recommend the local government authority and non-governmental organizations involved in promoting livelihood improvement through woodlot farming to address gender differences in decision making over the use of income at household level. This can be done by promoting gender dialogues in the community with a view to change gender norms that discriminate women participation in decision making as well as promoting women ownership of resources by allowing more women access and control over productive resources including land