This study develops and assesses the application of a livelihood vulnerability index (LVI), LVI-IPCC and livelihood effect index for the natural and agricultural resources in Northwestern Pakistan. By using structured questionnaire, primary data were collected from the targeted households in the study region. Data on socio-demographics, water security, health, social networks and climate variability were collected from the targeted respondents in this study area, and combined into indices. The IPCC framework was utilized that characterizes vulnerability into exposure, sensitivity and its adaptive capacity. Findings of our study showed that tehsil Shabqadar was more vulnerable among three studied tehsils particularly in natural disasters, health, water and land holding status. Tehsil Tangi was the second high vulnerable tehsil followed by tehsil Charsadda relative to other LVI components with the exclusion of livelihood strategies and financial constraints. Findings of this study provide a better understanding of the social and behavioral trends as well as an integrated and holistic view of the agriculture, climate change and livelihoods process in assessing the vulnerability. The findings and this pragmatic approach will be helpful in intending specific strategies and policy effectiveness to lessen susceptibility of households to climatic variations.