The pursuit of both commercial sustainability and social responsibility is a defining characteristic of inclusive finance. One practical application of this dual goal is to increase the income of farmers through the use of digital inclusive finance. This study aims to measure the impact of digital inclusive finance on farmers' income levels and identify its operational mechanism. Drawing on statistical data from 281 prefecture-level cities in mainland China from 2011 to 2020, the study finds a significant positive correlation between the level of development of digital inclusive finance and farmers' income levels. Furthermore, digital inclusive finance has a positive effect on narrowing the income gap between urban and rural areas, mainly by promoting technological progress in agriculture. The study's heterogeneity analysis reveals that the positive effect of digital inclusive finance is more pronounced in areas with higher human capital and lower levels of digital development. Moreover, traditional financial development and digital financial inclusion are complementary. These findings provide empirical evidence of the role of digital finance in promoting balanced development.