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This paper provides a qualitative assessment of the impacts of climate variability and extremes to local communities in the Pantabangan-Carranglan Watershed located in Northern Philippines. It also analyzes the local adaptation practices and their effectiveness in mitigating adverse impacts based on the experiences and perceptions of the local community themselves. The study revealed that strong typhoons, droughts (associated with El Niño) and delay onset of rainy season tend to have more harmful impacts to a greater number of farmers compared to other climate-related stressors. Impacts vary among different socio-economic groups with the poor farmers being the most adversely affected, and hence, more vulnerable. Similarly, adaptation practices and their effectiveness vary across socio-economic groups and geographic location. In general, while various local adaptation practices exist, these are either limited or ineffective to minimize adverse impacts especially among the poorer sector of the community. The paper concludes by discussing the implications of the study to development planning and future research on adaptation.