Paul Stephen Rudd was born in Passaic, New Jersey, to parents Michael and Gloria, who both hailed from Jewish families with roots in the London area, United Kingdom. He is the eldest of two siblings, with a younger sister three years his junior. During his early years, Rudd's family embarked on frequent travels due to his father's career with Trans World Airlines (TWA). Eventually, they settled in Overland Park, Kansas, where his mother took on a role as sales manager for local television station KSMO-TV.
Rudd spent his formative years attending Broadmoor Junior High and Shawnee Mission West High School, from which he graduated in 1987. Notably, he served as Student Body President during his high school tenure. Following his graduation, Rudd pursued higher education at the University of Kansas in Lawrence, majoring in theater. He later enrolled at the American Academy of Dramatic Arts-West in Los Angeles, where he earned his degree.
Rudd's academic endeavors also included a three-month intensive workshop under the guidance of renowned director Michael Kahn at the British Drama Academy at Oxford University in Britain. He played a significant role in producing the Globe Theater's production of Howard Brenton's "Bloody Poetry," starring as Percy Bysshe Shelley.