The rapid development of Internet finance has a profound impact on China's economic development, social changes and people's lives. More and more households invest in internet finance, but does it really reduce income fluctuations or make households take risks? Based on the 2017 China household finance survey (CHFS), we find that internet financial improves the total income of household. But it also increases the household income risk. Overall, the unit risk that households invest in internet finance can obtain more excess returns. Further, we find that internet finance can affect households' investment income, salary and transfer income. For households with businesses, internet finance can increase the probability of online sales, promote entrepreneurship, and significantly increase operating income and its risk. Our study can provide reference for regulating the development of Internet financial market and preventing household income risk.