This study examined household’s willingness to pay for improved solid waste management services in Jigjijga town, capital of Somali Regional State, Ethiopia. Using a semi structured questionnaire, primary data were collected from 178 household heads in Kebeles 10, 16, 17, 7, 5 and 8 that were selected purposively based on their income group. The socioeconomic data were analyzed using descriptive statistics while the independent variables were assessed using Logit Regression Model. The average willingness to pay amount was found to be nearly 4 United States Dollar (150 Ethiopian Birr), and the logit regression model results showed that income, and family sizes were statistically significant at 1%, where occupation and quantity of waste generated were also statistically significant at 5%. Furthermore, educational levels, period of stay, and environmental awareness of households were statistically insignificant. Lack of sustainable waste management financing is the major challenge (51%) reported by waste managing bodies followed by household’s unwillingness to pay, Inadequate protective equipment’s of staffs, poor connection between the kebelle administration & the waste collecting companies, less access to roads , and lack of recycling centers in the study sites. Private agencies should, therefore, be empowered via providing them incentives and necessary materials. Waste managing companies should increase the frequency of collection, while at the same time modifying their service price according to the average amount which most household are willing to pay. Finally, serious measures must be taken against households that illegally dispose their waste in unwanted places.