Abstract:    Chhau dance, a vibrant folk tradition of Purulia district in West Bengal, represents both a cultural expression and a livelihood strategy for local communities. This study investigates the role of Chhau dance in the cultural economy and the challenges faced by practitioners in sustaining their livelihoods. Data were collected from 150 respondents, including performers, mask-makers, and allied workers, through structured questionnaires and interviews. Descriptive statistics, chi-square tests, and correlation analysis were employed to examine socio-economic characteristics, income diversification, and dependency on Chhau-related activities. Results indicate that 68% of respondents rely on Chhau dance as a primary source of income, though seasonal fluctuations lead to unstable earnings. Statistical analysis reveals significant associations between income levels and occupational diversification (p < 0.05), while correlation tests highlight a positive relationship between years of experience and livelihood security. Despite its cultural significance, constraints such as low remuneration, lack of government support, and declining youth participation hinder sustainability. The study emphasizes the need for policy interventions, cultural promotion, and institutional support to strengthen the livelihood base of Chhau practitioners while preserving this intangible cultural heritage.