Due to land scarcity, agricultural land infertility, high population pressure and recurrent drought, the government of Ethiopia implemented resettlement programs in 2003 EC before 15 years. The program aimed at addressing the problem of drought and famine through improved access to land and availing institutional support. In light of this, the objective of the study is to identify existing livelihood strategies adopted by rural households and analyze factors that determine households’ participation to choose alternative livelihood strategies in Buno Bedele Zone, Chewaka resettlement district. The data were collected through both primary and secondary data collection methods. The data were obtained from 137 sample household heads that were selected through simple random sampling techniques. The study used both descriptive and econometrics for analysis. The descriptive statistics were used to explain socio economic characters of the household comparison which it resettlers have better encouragement than the hosts community,… and it was used to identify the existence of livelihood strategies that was 60.72 percent of households total annual income from the on farm strategy (agriculture) and 23.46/15.81percent was from off/nonfarm activities. Multinomial logit model applied to analyses the factors that determine households’ participation to choose alternative livelihood strategies. In this regard, the econometric investigation indicate that out of the total seventeen variables included in the models four variables in non and off farm activities, ten variables in off farm and on farm strategies, eight variables in combination of on farm, off farm and nonfarm activities and four variables in on farm and nonfarm activities were solely or simultaneously in different strategies significant including age of household heads, family size, dependent ratio, settlement fragmentation, number of oxen, irrigation access, education access, land size, livestock holding size, sex of household head,, market distance, total annual income from on farm, membership in local association, extension service, agricultural input use and credit access are found to be the significant determinants up to 10% probability levels. The results of this study recommend that resettlement implementation should be for sustainable livelihood development. To do so, higher concern would be given to the environmental issue and both agricultural intensification and non/off farm strategies could be strengthened to raise positively farmers’ participation in various livelihood strategy.