This paper introduced the background of resident participation in rural tourism, analyzed in detail the concept and importance of resident participation, the content of resident participation and the safeguard measures of resident participation through literature review. This paper took Yuanjia Village in China as a case study, analyzed the practice of Yuanjia Village in system design, management division, resident education and benefit distribution, and the effect of resident participation of Yuanjia Village obtained. The results showed that resident participation reflected main body status of farmers in rural tourism. The innovation of system design, management system and benefit distribution system can guarantee resident participation right and obtain good satisfaction.