Due to the large amount of water resources stored in glaciers, permafrost, and lakes, the source region of the Yangtze River (SRYR) is of great importance for the overall basin water flow. For this purpose, a state of art review and calculations were made for the period 1957-2013 using observed hydrological and meteorological data with a water balance approach. Actual evapotranspiration was calculated and validated by empirical formulas. Water storage change analysis was conducted with uncertainty boundaries using a 10-year moving window. Results show that temperature, precipitation, and actual evapotranspiration in the SRYR increased by 0.34 • C, 11.4 mm, and 7.6 mm per decade, respectively (significant at 0.05 probability level). Runoff appears to have increased at a rate of 3.3 mm per decade. The SRYR water storage in total has not changed significantly during the period, although the moving average is mostly below zero. Based on the water balance equation, the increase in calculated evapotranspiration is mainly due to the significantly increasing temperature. This in combination with increasing precipitation leads to a relatively stable water storage during the study period. Correlation analyses show that precipitation dominates runoff during the warm season (May to October), while temperature anomalies dominate the runoff during the cold season (November to April). The influence of temperature on runoff seems to enhance during the winter period.