The Chinese economy has entered a new normal, the structure of economic would like be optimization and adjustment. At the same time, it will make the pattern of income distribution changes. Education is one of the important factors that affect the disparity of income distribution, and its extension, distribution and quality which influence the gap of the income distribution are not identical. In the theory, under the interaction between the structure effect and the wage compression effect, educational expansion effect on the degree of income inequality that showed a trend of enlarged at first and then narrowed. Education inequality will enlarge the income distribution gap. The influence of educational expansion and quality of the income distribution gap are also related with the level of economic development, namely, “economic threshold effect”. Based on the panel data of 24 provinces in China, from 1995 to 2011, based on education expansion, education distribution and education quality, this paper focuses on how education affects the inequality of income distribution. Empirical results show that the relation between education expansion and income gap presents invertedU shape. And at present our country is still on the left side of the invertedU curve. The more unequal education distribution is, the greater the income gap is. The improvement of education quality has failed to have the effect of improving income distribution, because of the uneven distribution of educational resources between urban and rural areas. Therefore, the government should further promote education expansion policy; Coordinate overall education development and promote the education fair distribution; Deepen the reform of education fund input mechanism and optimize the structure of education investment.