Homestay is one approach to promote the rural tourism. Visitors get a chance to spend time with the family observing their customs, values and culture, which give them the opportunity to feel the taste of rural life in Homestay. The main objective of this study was to identify the income, expenditure, and profit of Homestay in Nepal. The study was conducted in 9 districts (Kaski, Kailali, Kavre, Kathmandu, Chitwan, Tanahun, Bhaktapur, Syangja, Nawalpur) of Nepal. The study had collected the data from 348 Homestay by using the structured questionnaire survey. The study was based on the quantitative design. The mean, standard deviation and correlation was run to analyze the data. The result shows that average monthly income was NPR. 33162.21, monthly expenditure was NPR. 19449.42, and monthly profit was NPR. 13540.98. It shows that every Homestay was in profit. The comparative data shows that the income of Nawalpur was higher than other district whereas Bhakatpur was lower. There was significant positive correlation between income, expenditure and profit of Homestay. There was positive contribution of Homestay in economic improvement of Homestay owners. The further researcher can study on the social contribution of Homestay.