Paxton is located in
Keith County, within the
Prairie Lakes Region, between
Ogallala and
North Platte along US Hwy 30 and the banks of the South Platte River, near Lake C.W. McConaughy.
Originally called "Alkali" for the alkaline content in the soil, the name was changed to "Paxton" in 1885 for a prominent rancher in the territory.