He was the sixth child; however, the third child to survive childhood, and youngest surviving son of Frederick Christian, Elector of Saxony, and the German composer Duchess Maria Antonia Walpurgis of Bavaria.

Since he was the youngest son of the family, Maximilian initially had little chance to inherit the Electorate of Saxony.

However, by 1800, Maximilian was the third in line to the Electorate due to the children of his two eldest brothers, Frederick Augustus and Anthony, dying in infancy, except Maria Augusta, Frederick Augustus's only surviving offspring.

However, three years later, on 1 September 1830, during the Autumn Disturbances, he renounced his rights of succession in favour of his eldest son, Frederick Augustus.

Maximilian and Carolina bore eight children: In Lucca on 15 October 1825 Maximilian married Maria Luisa Carlotta of Parma, daughter of King Louis of Etruria and niece of his first wife Carolina, by proxy, and the two wed in person in Dresden on 7 November 1825.