Natural resource use conflicts are a global issue. In sub-Saharan Africa, such conflicts can be extreme, leading to deaths. There is a growing literature on the causes and effects of natural resource use conflicts. This paper reports on the relationship between natural resource use conflicts and households’ well-being and the socio-economic determinants of such well-being (happiness) among farmers and pastoralists in Kilosa and Kiteto Districts, Tanzania. The study on which the paper is based adopted a cross-sectional research design where data were collected through key informant interviews and focus group discussions. In addition, a questionnaire was administered to 373 randomly selected respondents 143 pastoralists and 230 crop farmers. Quantitative primary data were analysed using SPSS and STATA software. Content analysis was used to analyse qualitative data from FGDs, key informant interview and open-ended questions. There was a significant difference (p <0.001) in asset ownership, household dwelling conditions, the degree of happiness and education levels between farmers and pastoralists. Female-headed households in conflict-ridden areas were more likely to be happy (p <0.05) than their male counterparts; whereas less educated households and households with better dwelling conditions were less likely to be happy compared to more educated and those with poor dwelling conditions. District of domicile influenced the degree of happiness among households with those in Kilosa being happier than those in Kiteto District. The paper concludes by calling the government to educate all stakeholders on the threat of resource use conflicts against the well-being of the society and recommends ways to minimize negative effects of conflicts among farmers and pastoralists.