Controlled traffic farming (CTF) is used to confine soil compaction to the least possible area of the field, thereby achieving economic and environmental benefits. In the context of climate change, soil erosion is one of the most discussed topics, and there is a research gap in understanding the effects of CTF on soil erosion in Central Europe. The aim of this work was to show the potential of CTF to reduce water erosion, in terms of water runoff and soil loss on steep land. A 16 ha experimental field with a CTF technology implemented since 2009 at the Slovak University of Agriculture was used in this research. Three traffic intensity locations were selected and watered using a rainfall simulator. The results showed that the soil which had not been wheeled for 12 years had the lowest water runoff: its intensity after 20 min of simulated rain was 10 times lower compared to the multiple traffic treatment. The soil loss, expressed as the total soil sediments collected after 35 min, in the no traffic area was lower by 70%, compared to the soil with one-pass treatment and only 25% of the loss in the multiple traffic areas. These results show that CTF can significantly reduce soil loss through water runoff on steep land.