The town was based on the construction of salt wells and the canals and railroad tracks that passed through it.

Early settlers of the wooded region were mainly Scots-Irish immigrants, migrating west between 1768 and 1795.

The settlers did not colonize the area near the Kiskiminetas River until 1795 because of Native Americans defending their land.

In 1816-1817 Andrew Boggs purchased a large amount of land, which held the first town lots.

The town was named with the common consent of the first settlers for the newly thriving salt industry.

In 1835 and 1836, Robert Young, Butler Meyers, and Jacob Newhouse opened the first canal-boat construction business in the town.

In 1855 the railroad bridge was built, with Major S.S. Jameson as the contractor and with the help of the principal mason John Marth.

Dr. John McFarland, a graduate of Jefferson Medical College, was the town's first physician; he came to Saltsburg in 1836.

McFarland was also the director of the Indiana County Medical Society and an instructor at the Saltsburg Academy.

Every year in early June, Saltsburg holds a community celebration in the Canal Park and on Point Street lasting three days, including live music, a fireworks display, and the annual duck race, in which plastic ducks are numbered and thrown into the river from the bridge.

[9] Saltsburg also holds community days in early September called "Canal Days", including booths along the canal in the town containing crafts, food, and games, as well as live music, fireworks, and a poker run bicycle ride along the West Penn Trail.

As part of the Western Pennsylvania Trail network, Saltsburg collaborates with regional organizations to restore and interpret cultural resources, ensuring its history remains vibrant.

The Rebecca B. Hadden Stone House Museum has been standing since the days of the canal.The Saltsburg Area Historical Society operates a museum in an 1830 stone house, showcasing local history through period furnishings, artifacts, and industry exhibits on the canal era, salt, glass, and coal.

Displays also highlight pottery, arrowheads, blacksmith tools, military memorabilia, and notable local figures.

The museum is open for tours on Wednesdays year-round (except Thanksgiving and Christmas weeks) from 10 A.M. to 2 P.M., and Sundays from 1 to 5 P.M., May through October.