The beginnings of St. Paul's Lutheran School extend deep into the early life of Kankakee County. A small group of German Lutheran immigrants had organized St. Paul's Lutheran Church by 1859. Five years later, in the fall of 1864, they organized a day school with an enrollment of 25 students.

School was conducted in the basement of the church on the corner of East Avenue and Chestnut Street until a destructive fire. A church was constructed on the corner of Merchant Street and Dearborn Avenue and occupied in 1866. By 1917 a schoolhouse was built with an addition completed in 1958. When building expansion was needed for the school a decision was made by the congregation to build an Upper Grade Center in 1976 and operated its school on two campuses. Construction in 1990 included building, remodeling and additional classrooms at the Westwood site to enable the entire school program and the administrative offices of the church and school to move to one location at its present site.

St. Paul's began a kindergarten program in 1946 before it was required for local public schools. Preschool programs and extended day care were begun in the 1970's as the school continued to meet the educational and ministry needs of its families.