Climate change may create serious problems for farmers by increasing precipitation variability and drought and flood events. Understanding how to build livelihood resilience to these effects is a pressing need. Agroforestry is one potential solution. Although many people intuitively link agroforestry with livelihood resilience to floods and drought, little comprehensive empirical evidence exists. Here, we strive to answer the call for more empirical evidence by drawing on field work in Isiolo County, Kenya to ask the research question: How does agroforestry help smallholder farmers build livelihood resilience to floods and drought? We used a mixed-methods approach that included 20 qualitative case study households and 338 quantitative household surveys. Our major findings are: (1) practicing agroforestry can influence perceptions of floods and drought, (2) specific environmental and livelihood benefits of agroforestry contribute to livelihood resilience, and (3) agroforestry directly and indirectly builds livelihood resilience to floods and drought. Identifying potential climate change adaptation strategies is crucial for smallholder farmers. Our research indicates that agroforestry is one promising option.