Abstract: In 2004 the Ministry of Finance formally established the national compensation fund system for forest ecological benefit, which indicated that China has entered a new era of compensated use of forest ecological benefits. Since then, the compensation policies for ecological public welfare forest have been formulated across the country, and in late 2004 Beijing started to implement the compensation policy for the ecological public welfare forest in mountainous areas. Starting with the current situation of implementing the compensation policy for ecological forest in Beijing mountainous area, and based on the field survey of farmers in the 8 districts/counties involved in the compensation policy, the effects of implementing the compensation policy were analyzed and evaluated using the method of constructing multivariate linear regression model. Accordingly some suggestions are proposed, such as increasing the compensation levels, completing the social security system for rangers, improving the performance appraisal system, rationally allocating management personnel and strengthening the quality of management personnel team, which provide the theoretical support for further perfecting the compensation policy for ecological public welfare forest in Beijing mountainous areas and its supporting measures.