The Rainbow Beach township is situated halfway up the sweeping twenty six-kilometre stretch of beach from Double Island Point in the south to Inskip Point in the north. From the south the town can be reached from the Bruce Highway via Gympie (75 km) or along the beach by 4WD from Noosa. From the north, it can be reached from Maryborough via Hervey Bay.

Rainbow Beach was originally gazetted in 1969 as a township to serve the sand-mining industry until 1975 when mining ceased. Since then the township has evolved into a thriving community serving the tourism and recreation industry.

The town took its name from the famous coloured sand cliffs in the Cooloola Section of the Great Sandy National Park that borders the southern part of the town.

The beautiful sandy beach in front of the town has excellent swimming and is patrolled year round.

Rainbow Beach boasts a modern aquatic and gymnasium facility, a community centre housing the library, a Surf Club and the Sports Club with bowling greens.

The town has numerous eateries, including a pub with a bottle shop, two supermarkets, fruit shop, newsagency, pharmacy, butchery, bakery, tourist information centres, post office, hairdresser with beauty therapy. There is also a hardware shop and caravan repairs business.

Access via Gympie or Maryborough by sealed roads or by 4WD along the beach from Noosa on Forty Mile Beach (subject to tides). Access to Fraser Island and Double Island Beaches for 4WDs