This article is part of the seminar-workshop on the 鈥淐onsequences of Small Farm Mechanization on Production, Employment and Incomes in the Philippines鈥� sponsored jointly by the Ministry of Agriculture, the National Economic and Development Authority, the Philippine Institute for Development Studies and the International Rice Research Institute held on December 1-2, 1983 at Tagaytay City. Utilizing cross-section results from a survey conducted, this article measures the importance of mechanization as a source of income variation. Analysis supports the fact that mechanization has effects on income changes. However, this article encourages the use of multivariate analysis for a better assessment of its impact and the inclusion of factor share analysis to account for the distribution of ownership.